Best Buy 2Q net income rises on cost-cutting
MINNEAPOLIS (AP) — Best Buy’s second-quarter net income rose sharply, helped by cost-cutting efforts and a benefit from legal settlements.
The results beat expectations. Best Buy’s shares are up 14 percent in premarket trading.
The biggest specialty electronics store in the U.S. earned $266 million, or 77 cents per share, for the period ended Aug. 3. A year earlier it earned $12 million, or 4 cents per share.
Earnings were 32 cents per share, excluding one-time items. Analysts expected 12 cents.
Revenue fell slightly to $9.3 billion from $9.34 billion last year. Analyst expected $9.13 billion. Revenue in stores open at least a year slipped 0.6 percent.
Best Buy Co. has been cutting costs to offset tough competition from discounters and online retailers.