Global Finance News
04 Mar 2025, 16:17
Best Buy reported fourth-quarter results with a 0.5% increase in comparable sales and GAAP diluted EPS of $0.54, which included a $2.02 goodwill impairment. Adjusted diluted EPS was $2.58. The company announced a 1% increase in its quarterly dividend to $0.95 per share and expects FY26 adjusted diluted EPS to be between $6.20 and $6.60.
For Q4 FY25, Best Buy's revenue was $13.95 billion, down from $14.65 billion in Q4 FY24 due to the absence of an extra week that had contributed $735 million in the prior year's quarter. The domestic segment saw a slight 0.2% rise in comparable sales, while international comparable sales increased 3.8%. Online domestic sales rose 2.6%.
Operating income as a percentage of revenue was 1.6% on a GAAP basis and 4.9% on an adjusted basis. Best Buy recorded a $475 million goodwill impairment related to its Best Buy Health unit, contributing to a higher GAAP effective tax rate of 47.2%.
For FY26, the company expects revenue between $41.4 billion and $42.2 billion, with flat to 2% comparable sales growth. The adjusted operating income rate is projected between 4.2% and 4.4%.
The company returned $415 million to shareholders in Q4 through dividends and share repurchases and expects to repurchase $300 million in shares during FY26.
For Q4 FY25, Best Buy's revenue was $13.95 billion, down from $14.65 billion in Q4 FY24 due to the absence of an extra week that had contributed $735 million in the prior year's quarter. The domestic segment saw a slight 0.2% rise in comparable sales, while international comparable sales increased 3.8%. Online domestic sales rose 2.6%.
Operating income as a percentage of revenue was 1.6% on a GAAP basis and 4.9% on an adjusted basis. Best Buy recorded a $475 million goodwill impairment related to its Best Buy Health unit, contributing to a higher GAAP effective tax rate of 47.2%.
For FY26, the company expects revenue between $41.4 billion and $42.2 billion, with flat to 2% comparable sales growth. The adjusted operating income rate is projected between 4.2% and 4.4%.
The company returned $415 million to shareholders in Q4 through dividends and share repurchases and expects to repurchase $300 million in shares during FY26.
