Best Buy (BBY) earnings Q3 2023

A Best Buy store is seen in Los Angeles, California, U.S., March 13, 2017.

Lucy Nicholson | Reuters

Best Buy on Tuesday surpassed Wall Street’s expectations for quarterly earnings, as demand for big-ticket consumer electronics held up despite inflation.

The consumer electronics retailer reiterated its outlook for the holiday quarter. It raised its full-year forecast to reflect the beat, saying it expects comparable sales to decline about 10%.

Shares of the company rose more than 6% in premarket trading Tuesday.

Here’s how the retailer did for the fiscal third quarter ended Oct. 29 compared with what Wall Street was anticipating, according to a survey of analysts by Refinitiv:

  • Earnings per share: $1.38 adjusted vs. $1.03 expected
  • Revenue: $10.59 billion vs. $10.31 billion expected

Net income for the three-month period fell to $277 million, or $1.22 per share, from $499 million, or $2 per share, a year earlier.

Best Buy is staring down a more uncertain sales environment this holiday season. Some inflation-pinched consumers are pulling back on discretionary items and spending more money on necessities and experiences. The company joined other retailers in slashing its outlook this summer. It said at the time that it expects same-store sales to drop by about 11% for the 12-month period ending in January.

A month after Best Buy warned of slower sales, it cut jobs across the country.

Shares of Best Buy are down about 30% so far this year, underperforming the S&P 500 Index. Shares closed on Monday at $70.83, down nearly 2%. The company’s market value is $15.95 billion.

This is breaking news. Please check back for updates.

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