Sign up for the FREE Tell Membership and receive benefits that include the digital edition of Tell Magazine sent straight to your inbox, product giveaways, coupons and much more!
Sign up for the FREE Tell Membership and receive benefits that include the digital edition of Tell Magazine sent straight to your inbox, product giveaways, coupons and much more!
Although Best Buy is not surpassing sales from last year, their fourth quarter still beat expectations and proved that the electronics giant isn’t going anywhere anytime soon. The quarter ended stronger than it started and most likely benefited from the liquidation of its major competitor, Circuit City.
Their quarter ended on February 28 and the company reported a net income of $570 million and $1.35 a share, a loss when compared to the net income of $737 million and $1.71 a share reported last year. However, the figures beat predictions of much lower revenue made by financial analysts. The company projects to be down 5 percent in sales for the year due to the recession and faces competition from retail chains that sell electronics, like Wal-Mart and Target.
In order to prepare for the recession, Best Buy saved money by cutting back on inventory, but found that they faced shortages by quarter’s end. Data showed that consumer electronics and software sales dipped while home office equipment and notebook PC sales showed solid gains.
Read: [CNET]
Related Posts