Best Buy reported quarterly results that topped Wall Street’s expectations, as the retailer stuck to its holiday-quarter outlook helped by a higher-than-expected demand for electronics.
The Minneapolis company net sales for the fiscal third quarter declined by about 11% from $11.91 billion year over year in the third quarter. Net income fell to $277 million, from $499 million a year earlier.
After cutting its forecast in June, the consumer electronics retailer raised its full-year forecast, saying it expects comparable sales to decline about 10%.
“Across consumers, we can also see that savings are being drawn down and credit usage is going up,” Best Buy CEO Corie Barry said on a call with investors. “And value clearly matters to everyone.”
She said sales declined across most of Best Buy’s product categories, however compared to the same quarter in 2019, computing revenue is 23% higher and appliances revenue is 37% higher.
Shares of the company rose more than 11% on Tuesday after hitting a 52-week low in October.
The retailer’s shares are down about 30% so far this year.
Barry said that throughout the quarter the company was committed to balancing its near-term response to current conditions, while advancing strategic initiatives and investing in areas important for our long-term growth.