Overstock.com Inc (NASDAQ: OSTK) shares are trading lower Wednesday after the company provided an update on Bed Bath & Beyond, which it acquired in June.
What Happened: Overstock provided a business update for Bed Bath & Beyond's third quarter, which included estimated financial results.
Overstock said it expects Bed Bath & Beyond revenue to decline in the mid-teens percent range on a year-over-year basis. Orders are expected to be up in the mid-single digit percent range, while average order value is expected to decline in the high-teens percent range.
The company said it had over 4.8 million active customers over the last 12 months as of Sept. 4.
"Our U.S. business launched successfully on August 1. Consumers are showing that they love the new Bed Bath & Beyond," said Jonathan Johnson, CEO of the new Bed Bath & Beyond.
"Even in a challenging macro-economic environment, we acquired new customers and re-activated past customers. Our topline performance is improving steadily. We have experienced year-over-year order growth since the U.S. launch, led by orders from new customers."
Johnson also noted that website traffic has improved alongside the company's conversion rate as promotional offers attract new customers. The company's mobile app is also performing well, outpacing other platforms on sales since its U.S. launch.
Overstock will share additional details on its next earnings call which is estimated to take place sometime around the end of October, according to Benzinga Pro.
OSTK Price Action: Overstock shares were down 23.8% at $20.89 at the time of publication, according to Benzinga Pro.