Today, Brand House Collective Inc., formerly Kirkland’s Inc., announced its Q2 financial results, including a decline in net sales and gross profit, due to “major events” that significantly impacted revenue.
Amy Sullivan, CEO of Brand House Collective told investors, “The debut of our first Bed Bath & Beyond Home store was met with overwhelming demand, exceeding our expectations, and generating nationwide excitement that affirms the strength of this iconic brand. That early success gives us confidence to accelerate the conversion of Kirkland’s Home stores. We are also unlocking new opportunities by monetizing the Kirkland’s Home name, both inside Bed Bath & Beyond stores and through wholesale partnerships with independent retailers. This is just the beginning of what’s ahead.”
Ms Sullivan continued, “Our Q2 results reflect two major events that weighed heavily on the quarter: the tornado damage at our distribution center and our deliberate decision to liquidate select inventory ahead of expanding Bed Bath & Beyond assortments. These factors were the dominant drivers of the year-over-year decline in profitability and created near-term pressure on sales.”
As of september 16, the company has $49 million of outstanding debt.
Despite the accumulated losses, the company highlighted the opening of its first Bed Bath & Beyond Home store in Nashville, Tennessee, and also announced the sale of Kirkland’s Home intellectual property to Bed Bath & Beyond Inc. for $10 million.
By CEO NA Editorial Staff
