BBBY posts strong quarter

In a strong earnings report that could be a sign of improving demand for spending on the home, Union, N.J.-based Bed Bath & Beyond posted third quarter earnings of $151.3 million, up 72.5% from $87.7 million in the same quarter last year.

Sales for the quarter ended Nov. 28 were $1.975 billion, up from 10.8% from $1.78 billion in the prior-year quarter. Comparable store sales in the quarter increased 7.3%.

Bed Bath & Beyond had a total of 1,086 stores, including 960 Bed Bath & Beyond stores.

The consumer continues to face challenges, said Leonard Feinstein, co-founder and co-chariman. Still, he described the company as "cautiously optimistic." It opened 16 new Bed Bath & Beyond stores in the quarter, and closed one Bed Bath & Beyond store.

The company's third quarter results exceeded even internal expectations, said CEO Steven Temares. Challenges persist, but the retailer's fundamental strategy remains unchanged. He described the strategy as offering a broad mix of products at low prices and with high levels of service.