Best Buy Short of Inventory, But More on the Way
Best Buy, which cut inventory late last year due to reduced demand, is now facing shortfalls that it is working to fix, executives said yesterday.
According to CNNMoney.com, Best Buy executives on Thursday's earnings call said that after the company ended last year with a 15 percent decline in domestic inventory, it ended up lacking sufficient inventory to meet demand in some product categories. That's because store traffic has begun to increase, in part due to the recent demise of Circuit City.
Best Buy Thursday reported a quarterly profit of $570 million, a drop of 23 percent from the same period the year before.