Best Buy reported a 4.3% year-over-year increase in second-quarter (Q2) revenue and raised its full-year guidance after higher sales and sharply improved profitability.
The consumer electronics retailer said enterprise revenue rose to $9.78bn in the quarter ended 1 August, from $9.44bn a year earlier.
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Comparable sales increased 4.1% while domestic comparable sales rose 4.5%. International revenue fell 4.2% to $709m.
Operating income climbed 67.7% to $421m, with operating income margin improving to 4.3% from 2.7%.
Net earnings increased 69.4% to $315m from $186m. Diluted earnings per share (EPS) rose 70.1% to $1.48.
Best Buy CEO Corie Barry said: “We are very pleased to report we outperformed expectations in the second quarter with comparable sales growth of 4.1% and a higher-than-expected adjusted operating income rate.”
Barry will leave both her chief executive position and board seat at the close of Q3, on 31 October 2026.
Domestic revenue, which accounts for most of the business, increased 4.3% to $9.07bn, driven by growth in computing, home theatre and emerging categories including AI glasses and trading cards.
Domestic adjusted operating income rose 15.1% to $404m.
By contrast, international adjusted operating income declined 27.8% to $13m from $18m as weaker comparable sales and foreign exchange weighed on results.
Incoming CEO Jason Bonfig said the company was lifting its outlook because of first-half performance and momentum heading into the back half of the year.
“We are raising our annual financial guidance due to the strong first half performance and our momentum as we enter the second half of the year,” he said.
For FY27, Best Buy now expects revenue of $42.30bn to $42.80bn, up from prior guidance of $41.20bn to $42.10bn.
It raised comparable sales guidance to 1.9% to 3% from -1% to 1%, and adjusted diluted EPS guidance to $6.70 to $6.90 from $6.30 to $6.60.
