US-based electronics retailer Best Buy has reaffirmed its full-year fiscal 2027 (FY27) guidance after reporting higher revenue and earnings in the first quarter (Q1).
The company said it still expects FY27 revenue of $41.2bn to $42.1bn. It also maintained its forecast for comparable sales, which is expected to range between a 1% decline and a 1% growth.
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Best Buy left unchanged its outlook for an adjusted operating income rate of 4.3% to 4.4%. Adjusted diluted earnings per share are still projected at $6.30 to $6.60 while capital expenditure is expected to be about $750m.
In Q1 FY27, Best Buy posted enterprise revenue of $8.94bn compared to $8.76bn a year earlier.
Best Buy CFO Matt Bilunas said: “We are pleased with our first quarter results and are maintaining our guidance for the year. Comparable sales have started strong in May, with month-to-date growth up high single digits.
“Our comparable sales outlook for the full quarter is approximately 1% growth as we start to lap last year’s very successful gaming launch in June. We expect our Q2 adjusted operating income rate to be approximately 3.9%, which is flat to last year.”
For the quarter ended 2 May 2026, gross profit rose to $2.1bn from $2.05bn in the same period last year.
Operating income increased to $370m from $219m a year earlier.
Net earnings climbed to $276m from $202m while diluted earnings per share improved to $1.31 from $0.95.
Domestic revenue totalled $8.25bn, up 1.5% from last year, mainly driven by comparable sales growth of 1.8%.
On a weighted basis, gaming, computing, mobile phones and services made the largest contribution to comparable sales growth. This was partly offset by a decline in appliances.
Domestic online revenue was $2.62bn, increasing 1.4% on a comparable basis. Online sales represented 31.7% of total domestic revenue, unchanged from a year earlier.
International revenue rose 7.3% to $687m, supported by comparable sales growth of 4.7% and a favourable foreign exchange impact.
During Q1, the company returned $202m to shareholders through dividends. It said it continues to expect to spend $300m on share repurchases during FY27.
Best Buy also announced a quarterly cash dividend of $0.96 per common share.
