Best Buy Shares Soar on Strong Earnings
Forget about the holiday struggles that were experienced by the retail industry as a whole. Best Buy just reported a way stronger than expected Q4 that ended on February 2. The 13-week quarter, which ran a week shorter than last year, saw the company’s shares check in at $2.69, up nearly 41 percent from the same period last year and 13 cents higher per share than Wall Street analysts expected. The company also saw year-over-year increases and beat estimates on revenue (up 9.77 percent to $14.8 billion) and comparable U.S. sales (up 3 percent, compared to an estimate of 2 percent).
Best Buy posted the strong results despite a softening mobile phones market, which was offset by big gains in wearables, appliances, and gaming.
“We are very proud of the financial results we have just delivered,” Hubert Joly, Best Buy chairman and CEO, said in a statement. “In addition to these great financial results, we made significant progress implementing our Best Buy 2020 strategy to enrich lives through technology and further develop our competitive differentiation. We launched our Total Tech Support program, expanded our In-Home Advisor program and acquired GreatCall. I so appreciate the hard work of our associates, as well as our partners, in driving these terrific results.”