Best Buy (BBY) earnings in the first quarter of 2023

Customers shop at Best Buy on August 24, 2021 in Chicago, Illinois. Best Buy reported a nearly 20% increase in second-quarter sales as consumers purchased electronics to adapt to the ongoing pandemic-related lifestyle changes.

Scott Olson | Getty Images

Shares of Best Buy rose early Tuesday as consumer retailers surpassed Wall Street’s first-quarter fiscal revenue estimates, despite a high level of customer inflation, and the company was boosted by Covid’s stimulus a year ago.

Shares rose about 5% in pre-market trading.

Here’s a comparison of Wall Street forecasts for the three-month period ended April 30, according to a survey of analysts by Refinitiv:

  • Earnings per share: $ 1.57 adjusted vs. $ 1.61 expected
  • Revenue: $ 10.65 billion vs. $ 10.41 billion was expected

Best Buy’s first-quarter net income fell $ 341 million, or $ 1.49 per share, $ 595 million, or $ 2.32 per share, a year earlier. Excluding items, he earned a $ 1.61 adjustment for each share.

Net sales It fell to $ 10.410 billion from $ 11.64 billion a year earlier.

Best Buy in-store sales were down 8% from a year earlier, analysts expected a better-than-expected 8.6% drop, according to FactSet.

Investors have been looking at the profits of traders to look for signs about the health of the American consumer. With Best Buy, some were worried that the company would be particularly vulnerable to a delay. He made harsh comparisons a year ago with the demand for pandemic-driven home cinema, computer monitors and kitchen appliances. This led to a 37.3% increase in sales at the same store.

Walmart and Target’s investor concerns were heightened last week. The two big box retailers saw sales growth in the first quarter, but lost Wall Street earnings expectations as fuel and merchandise costs rose and demand for higher consumer margins as discretionary purchases sank. In particular, Target CEO Brian Cornell said customers skipped big things like TVs and kitchen appliances – goods that Best Buy also sells.

The results of the trade show last week led to a big sale on Wall Street.

Shares of Best Buy had a 52-week low on Friday. Shares rose less than 1% on Monday to close at $ 72.59. Shares of the company are down about 29% this year, and the S&P 500 is down about 17% year-on-year.

This story is unfolding. Please check back for updates.

Best Buy (BBY) earnings in the first quarter of 2023

Source link Best Buy (BBY) earnings in the first quarter of 2023

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