What were the key takeaways from Best Buy’s earnings call?

Did Best Buy beat or miss consensus estimates last quarter?

What is the market's earnings forecast for Best Buy next quarter?

What guidance did Best Buy's management provide for the next earnings period?

What is Best Buy's latest dividend and current dividend yield?

What were the key takeaways from Best Buy's earnings call?

What is the revenue and EPS growth rate for Best Buy year over year?

What does Best Buy do and what are its main business segments?

- **Q3 Revenue Growth**: $9.7 billion (+0.4% YoY), driven by 2.7% comparable sales growth in computing, gaming, and mobile phones.
- **Marketplace Success**: 1,000+ sellers, 11x SKUs, with customer return rates lower than first-party.
- **Q4 Outlook**: Sales growth of -1% to +1%, operating income rate 4.8-4.9%.
- **Strategic Initiatives**: Ads and Marketplace contributing to gross profit, with Marketplace expected to scale in 2026.
- **Challenges**: Appliance and home theater declines, but improving TV trends and Switch 2 strength.

**【CEO Summary Section】**
- Q3 revenue of $9.7 billion, up 0.4% year-over-year, driven by 2.7% comparable sales growth.
- Computing, gaming, and mobile phones led growth, with desktop computers up 30% YoY.
- Gross profit rate improved due to Marketplace and ads initiatives.
- Q4 outlook: sales growth of -1% to +1%, adjusted operating income rate of 4.8-4.9%.
- Marketplace launched with 1,000+ sellers and 11x SKUs, showing strong customer engagement.
- Strategic focus on omnichannel experiences, new profit streams (ads, Marketplace), and cost efficiencies.

**【CFO Financial Commentary】**
- Q3 GAAP net income $420 million, adjusted EPS $1.40 (11% YoY increase).
- Domestic revenue $8.9 billion (+2.1% YoY), online sales 31.8% of domestic revenue.
- Gross profit rate down 30bps (domestic) but up 30bps (international) due to supply chain improvements.
- SG&A expenses down $4 million, driven by lower Best Buy Health costs.
- Full year guidance: revenue $41.65B-$41.95B, adjusted EPS $6.25-$6.35.
- Q4 gross profit rate expected to decline due to promotional investments, offset by Marketplace and ads growth.

**【Q&A Highlights】**
- Marketplace ramping up with 1,000+ sellers, 11x SKUs, and lower return rates than first-party.
- Challenges in appliances and home theater, but TV unit growth and improved share trends.
- Switch 2 strong, handheld gaming growth (e.g., ASUS Rog Xbox Ally).
- Vendor labor investments up 20% YoY, focusing on tech categories.
- Holiday promotions similar to last year, emphasizing hot products like Switch 2 and AI glasses.

Best Buy Co., Inc. (BBY) Q3 2026 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

BBY

BBY fundamentals

You can ask Aime