Store comps grow at Kirkland’s operator ahead of Bed Bath & Beyond merger

Core Insights - The Brand House Collective is undergoing transformation efforts in anticipation of its acquisition by Bed Bath & Beyond, which is expected to enhance its retail capabilities and growth potential [2][3] Company Overview - The Brand House Collective's CEO, Amy Sullivan, expressed optimism about the ongoing transformation and the strategic inventory optimization supporting the store conversion program [2][3] - The acquisition by Bed Bath & Beyond is valued at approximately $26.8 million and is expected to close in Q1 of 2026, pending shareholder approval and lender consent [3] Financial Performance - In Q3, The Brand House Collective reported a net sales decline of 9.6% year over year, totaling $103.5 million, attributed to a 7.4% drop in consolidated comparable sales and a 6% reduction in store count [5] - Store comparable sales increased by 1.7%, while e-commerce sales saw a significant decline of 34.6% [5] - The company improved its net loss from $7.7 million in the previous year to $3.7 million in the latest quarter, with operating expenses decreasing by 33% to $23.1 million [5] Strategic Initiatives - The merger is expected to lead to the closure of over 40 stores in early 2026 and aims for $20 million in cost reductions [4] - The relationship between The Brand House Collective and Bed Bath & Beyond began in October 2024, with Kirkland's operating five small-format Bed Bath & Beyond stores [4]