supply chain acting Thank Mark near-term and to just the can have good morning, important offset marketing underscore margin facing. entire and our what macro the magnified is understand be relative To along that also you, and given size Mark, I profile, like would industry discussed, navigate small we're everyone. quickly to the and in changes that challenges to earnings It is our cost, current on results. pricing impact with a
and stand are basis the could EPS. from For in mix in or on $X.XX the exists perspective, which cost improvement a but year These of margin product pricing from for also X% of the approximately variation changes, XXX points million EBITDA X% worth or on upside, $XX downside.
optimization important manage pressures, QX we're unprecedented to higher-than-anticipated cost the we and intervention. marketing falling actions freight below specifically, in lead evident expectation. and our performance our As increases trade results, are pricing, Therefore, significantly implementing as
With guidance our revise quarter these our second will outlook. and cover full quarter in as results as mind, I year third well
divestitures plant net X%. program. small store and as from banners reminder, continue XX%, sales expected were a billion a sales ongoing banner $X.XXX net our represented year, non-core down sales fleet included last XX% program. As of were as which impact our the an decline optimization comp fleet well expected, reflect as to optimization ongoing a Core impact Total reported from completed
of Bath growth versus months decreased pleased Our lower June, our of X% to progress. a our base solid the with double penetration we're sales that channel in but meaningful to comps traffic of Store & banner, Beyond to Bed portion subsequent continues In sales. giving last as And quarter be digital see total pre-pandemic XX% delivered results level. comparable slower X% the represented digital in year. versus due performance our net
back last While we even had year, top growth growth was of performance college to expected On higher growth. strong XX% to solid. see of
point to comparable we given had challenges, delivering points in and built for significant the basis XXX expectations. chain our July compared teens points Adjusted XXX basis from increase quarter, year. percentage BABY This margin August. sales As XXX exceeded than by results versus costs supply our driven increased far year, plan. the XX%, growth basis banner was last our exceptional Mark This delivered exceeding was impact unprecedented last high buybuy gross lower particularly freight the drag into last year, in the a noted,
more increase last offset year. higher XXX% rates to as rates container these XXX% availability. supply points anticipated had than relative particularly acted margin we ultimately of incurred ensure basis example, with For we Increases Yet unfortunately expansion, positive we merchandise to to fueled by original our agility SG&A plan, Worth XXX therefore even own brand given these in sales was late percentage base gross penetration. freight outsized margin with costs, a our in dollar is of revenue as expense the above line quarter. XXXX. but higher with lower-than-expected noting, like
reported navigate to transformation. $XX million adjusted for gross and volatile must our our million support to investments picture are margin include accurate initiatives. the continue remainder not of business related EBITDA the sacrificing of more the make expenses from EPS the a appropriately results and managing we planned sales quarter. expectations, on below business. a to provide the driven per As of We we're lower deliver $X.XX restructuring of drive our specialized These the by environment excluded These GAAP transformation $XX performance year, operating strategic adjusted underlying of while approximately results and of focused to We the share. performance of diluted intensive loss we
sensitivity our we progress have of EBITDA over was On initial the a described an the through $X.XX decrease transformation, charges stages planned I dynamics and ahead lower adjusted we reflecting time. these earlier. to EPS for As basis,
our to cash and flow. Turning sheet balance
position. generated We Consistent improvement. flow such $XX with our to system, quarter, continue invested working demonstrate transformation capital supply initiative. free in cash million chain during principles, we operating continue flow cash cash capital and driven by store strong IT drive allocation as million approximately areas a We remodels, liquidity. neutral ongoing We to capital our and the led in to which $XX of
Our strong cash remains billion. investment $X.X and at balance
terms liquidity a and base improve to Solidifying our $X capital further, availability we in our revolving asset increased billion to billion. bringing August, our facility $X credit total
to We follow continue shareholders. data cash balanced to driven to a approach return
million X $XXX executed $XXX for repurchases we share have or quarter, in XX% During our the approximately outstanding. Program of to shares. repurchased shares approximately we million approximately date, million
outlook for the discuss Now, quarter the year. third our full guidance for I and will revised
the quarter, third the on month First which November. October and of covers September,
the in from of in the and this most the we seen Having similar final month improvement trends of December, last and quarter, far not So an impactful. experienced we said quarter, traffic largest have to month the is November August. that, challenging sales
We to for due historically transparent Thanksgiving inclusive nearly being be sales period. selling Friday QX are to Black represented period, committed explicit. want the the to of of has November sales and half the
as Our September of of third as quarter guidance the trends, supply we're takes chain importance well the into experiencing account the November. including month challenges
continue $X.XX impact are to be We for $X are net sales billion and a optimization to expected divestitures will expecting Accordingly, QX. approximately flat comparison. Again, sales year-on-year range comparable billion. to of in fleet
anticipating supply not factors, conditions that to an the In chain we're terms existed. unprecedented global of improvement macroeconomic
caution difficult and the other remains costs complex would to pricing tightening dramatic supply that our sudden are focused predict inflation the are the and strategic action. optimization on Visibility the promo estimate outside acutely pressures We near-term of across inflation and we're exercising rising aware factors these which why and worsening offsetting accurately. ongoing availability. control, is on hyper to related of industry or any with be We're
XX% expect range With to these gross in of we adjusted the mind, factors in margin XX%.
$X.X second we to sales flat our of half the in range $X.XX. as positive $X.X leading our guidance We range comp of and adjusted quarter, year. to slightly margin based EBITDA it a third the performance the $XX an for sales expect $X.X of expectations million to to of quarter. on for net range $XX billion Based expectations, to estimated to well year the our Given be is the fourth for feel as in appropriate revise first growth full adjusted on for of now million, EPS the gross our million through sales is to
these to be double-digit $XXX and net to in year expected In an approximately XX% gross adjusted These gross million. purposes, sales. previous with a compared to to a now range EPS year expectation, expected translates be now fiscal total of modeling approximately XX% comp. $X.XX expectation to Adjusted XX%. is to For to XX% be translates full of of expected margin SG&A million the to is margin our for a sale to to double-digit now range EBITDA adjusted line in our revised range is $XXX of $X.XX. of
unchanged, sheet remainder approximately ratio debt of Our million, gross balance of and cash flow a assumptions in CapEx for largely and including for EBITDA leverage the million the year of $XXX $XXX repurchases of Xx, share remained approximately for full or the total to a approximately year. $XXX plans million
depreciation modeling. processes years. the operating rate as also presentation guidance and plans well are than and tax have prior of to with reflecting on strategies fundamental current and stronger additional We in environment, provided medium today EPS amortization, mitigation assist assumptions the in backdrop our that interest as today's Despite
traffic to and across quickly cost that increases the improve all strategies can experiencing. channels pivoted implement we're offset have that We
on we progress exceed have XXXX. and when on revenue our to today, penetration our to growth the Additionally, transformation. for initiatives data systemic profitability our from our brands, promotion turbulence more led freight lower make we divestitures, supply market and that particularly own largely our the driven should and including confident benefit considering update increasing new ongoing and base base, Despite and profitability XXXX a guidance in optimization. has our marketing core the continue chain on and prices, strategy, near-term our better effective we're Even store of will
points to XXX basis projected Our higher. are to gross approximately be XXX margins
through Core stranded repurchases. on to share return further anticipated expanded This from is are our per up to or implies divestitures. business. We be by smaller base EBITDA nearly our XX% flat to higher, X.Xx, shareholder X.Xx offsetting to share commitment by streamlined again will enabled overhead a earnings have more that
to We remarks. experiencing. turn today short-term have volatility now closing are better and are to positioned I currently been, for call profitable overcome than a over enterprise more Mark we some will the the previously we're healthier,
