Big Lots

With almost 1,400 locations across the United States, Biglots is one of the largest closed out retailers in the country. For decades, they've been one of the top choices for budget conscious cons As recently as three years ago, Biglots looked to be on top of the world with soaring revenue and profits, good profits to bankruptcy in just three years. Having a large retailer is incredibly complicated. Companies With data analysis tools and techniques always advancing, you need to be constantly learning if you want to stay on top. Today'sponsor Brilliant provides the best way to do just that. The original consolidated department store in Col Due to a trademark dispute, they eventually changed their name to Biglots. As they expanded to many hundreds of locations, they had to start relying on pre-planned purchases for much of their product. They started selling food, mostly dry or canned food that can last on the shelves for a long time. Things The hope is that you'll come into Biglots every week to buy groceries. While you're at Biglots grocery shop, Biglots became something of a hybrid between an odd lot closeout store and a traditional retailer. While this did help Biglots achieve more mainstream appeal, as a traditional retailer, they didn't really have any competitive advantage. They lacked the scale in negotiating leverage of the So for most food items, Biglots' prices are actually slightly worse than Walmart. This makes the value proposition of Biglots somewhat confusing. While they indeed have extreme bargains on much of their odd lot merchandise, for most everyday items, you're probably better off buying from Walmart or a grocery store. Despite labor market conditions, also forced Biglots to significantly increase the wages it paid to its employees. By 2023, Biglots' operating expenses had grown to $2. 1 billion, almost 20% greater than 2019 levels. Finally, in 2021, Biglots' board of directors authorized more than $400 million of stock buybacks. When companies have excess cash, they often repurchase their own stock on the open market. This reduces the n And because the stock price was at all-time highs, they weren't even able to buy back that many shares. In 2023, sales continued to decline in every product category. Consolidated revenue fell by 14%, bringing sales vol Remember that one of the main reasons that people shop at Biglots is for the treasure-hunting experience. You walk into the s*** with their cash on hand rapidly dwindling, Biglots filed for bankruptcy protection in September of 2024. The company also announced the closure of 344 stores nationwide, but that still leaves them with about 1,000 stores still operating business as usual. However, whether an extreme-value brick-and-mortar retailer can be viable in an e-commerce world dominated by players Alright guys, that wraps it up for this video. What do you think about Biglots? Is it game over, or will Nexus be able to turn things around? Let us know in the comments section below. As always, thank you so much for watching and we'll see you in the next one. Wall Street Millennial, signing out.