Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

Best Buy shares plunge after Q3 sales disappoint

Published 2015-11-19, 07:18 a/m
© Reuters.  Best Buy shares plunge in pre-market trade after weak Q3 sales
BBY
-
ESZ24
-
1YMZ24
-
NQZ24
-

Investing.com - U.S. electronics retailer Best Buy (N:BBY) saw shares fall sharply in pre-market trade on Thursday, after the company reported lower than expected third quarter revenue.

Best Buy said revenue totaled $8.82 billion for the quarter ended October 31, missing forecasts for revenue of $8.86 billion and down 2.3% from sales of $9.03 billion in the same period a year earlier.

Adjusted earnings per share came in at 41 cents, beating expectations for adjusted earnings of 36 cents per share.

Comparable sales, excluding the impact of installment billing, increased 0.5%, below forecasts for a gain of 1.5%.

Comparable-store sales fell 2.0% on continued weakness in the consumer electronics category.

Hubert Joly, Best Buy chairman and CEO, commented, "We have delivered another quarter of Domestic comparable sales growth and operating income expansion."

Following the release of the report, Best Buy shares tumbled as much as 11% before paring losses to 8.3% to trade at $28.73 in pre-market trade from a closing price of $31.34 on Wednesday.

Meanwhile, the outlook for U.S. equity markets was modestly upbeat. The Dow futures pointed to a gain of 38 points, or 0.21%, at the open, the S&P 500 futures indicated a rise 8 points, or 0.37%, while the Nasdaq 100 futures increased 19 points, or 0.39%.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.