Big lots closes even more stores this year
The retailer says that he has a "substantial doubt" about his ability to continue.
Inflation continues to raise its ugly head, many buyers depend more and more reduction stores . But even with their faithful group of good business hunters, some stores simply cannot follow. The last channel to cope with these challenges is the retailer of house goods Big Lots, who has just announced that he is closing more stores this year.
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In a June 13 Deposit With the Securities and Exchange Commission of the United States (Sec), Big Lots noted that he planned to close between 35 and 40 stores in 2024. Currently, the retailer operates 1,389 locations In 48 states, with most of Texas (116 stores), California (109 stores), Florida (106 stores), North Carolina (75 stores) and New York (64 stores).
"In 2024, the American economy continued to face macroeconomic challenges, including high inflation, which had a negative impact on the purchasing power of our customers," said the DRI dossier.
The company has not shared details on the locations that will closure, but it has been actively closing the stores for some time now. In 2023, Large prizes closed About 50 stores and started 2024 with more closures. In recent months, the retailer has closed big lots stores in Leesburg, Virginie , And Columbia, Missouri .
In light of current projections and "net losses and the use of species in operating expenses" in 2022, 2023, and this year, Big Lots also noted that there was "substantial doubt" on His ability to continue. In the first quarter of 2024, net sales decreased by 10.2%, or $ 114.5 million. The company also declared net losses of $ 205 million, or $ 6.99 per share, during the same period.
"Although we have made substantial progress in improving our commercial operations in the first quarter, we have missed our sales objectives mainly due to a continuous decline in consumption expenditure by our main customers, especially in articles high discretions with high tickets "," Bruce Thorn , president and chief executive officer of Big Lots, said in a June 6 press release announcing the results. AE0FCC31AE342FD3A1346EBB1F342FCB
In relation: Walgreens closes the "significant" number of 8,600 pharmacies .
Big lots actively works to keep the business afloat, store closings being one of the few articles.
"Our operational initiatives to provide a wider assortment of new extreme, reduced good deals and increase productivity exceeded our objectives in the first quarter. Improvement of more than the year of the gross margin and operating expenses, despite pressure significant sale, "said Thorn. (He also cited the five key actions of the company: "To have good deals, communicate an undoubted value, increase the relevance of the store, win customers for life with our omnichannel efforts and to stimulate productivity.")
And even with the aforementioned "doubts" and the external fears that the big prizes could finish Bankruptcy , Thorn expressed its optimism for the rest of 2024.
He added: "Although short -term conditions were difficult, we do not slow down progress to transform our business. Current financial performance does not yet reflect the strongest business model that we have created through our five actions Keys, but we expect the fruits of these efforts to become more apparent in the rear half of the year.
Better life Standing to Big Lots to comment and update history when we hear.
