Best Buy reports better-than-expected quarterly earningsMay 21, 2015 - 17:47 AMT PanARMENIAN.Net - Best Buy reported quarterly earnings and revenue that topped analysts' expectations on Thursday, May 21, helped by strong demand for large-screen TVs, smartphones and appliances, according to CNBC. Shares of Best Buy were sharply higher in premarket trading following the report. Best Buy said its revenue growth in the United States was driven by sales of mobile phones bundled with billing plans by telecom carriers. Under these plans, telecom carriers allow customers to buy new phones for a low down payment and pay the remaining amount in installments along with monthly bills. Best Buy also benefited from selling more high-margin computer hardware and fewer low-margin tablet computers, the company said. Best Buy's revenue from the United States rose 1.4 percent to $7.9 billion in the first quarter. However, the company's same-store sales fell 0.7 percent. The company said it expected "a flat to positive low-single digit revenue growth rate" in its U.S. business and "a flat to negative low-single digit revenue growth rate" in its overall business. The total revenue growth forecast includes the impact of some store closures and consolidation of operations in Canada, the company's second largest market. The net income attributable to Best Buy's shareholders fell to $129 million, or 36 cents per share, in the first quarter ended May 2 from $461 million, or $1.31 per share, a year earlier. Excluding items, the company earned 37 cents per share. Revenue fell 1 percent to $8.56 billion. Best Buy shares have fallen more than 10 percent since March 30, two days after the company announced the consolidation of its Canadian units known as Future Shop, leading it to cutting about 500 full-time jobs and approximately 1,000 part-time jobs. Still, the retailer's stock remains up about 36 percent in the last year. Top stories Yerevan will host the 2024 edition of the World Congress On Information Technology (WCIT). Rustam Badasyan said due to the lack of such regulation, the state budget is deprived of VAT revenues. Krisp’s smart noise suppression tech silences ambient sounds and isolates your voice for calls. Gurgen Khachatryan claimed that the "illegalities have been taking place in 2020." Partner news Most popular in the section | Government reveals details from Pashinyan’s meeting in border village Prime Minister Nikol Pashinyan has met with a group of residents of a border village in Armenia’s northern Tavush province Narek Manasyan wins European Boxing Championships silver for Armenia Armenia’s Narek Manasyan (92kg) won Armenia’s second silver medal at the European Boxing Championships 2024 on April 28. Blinken urges Azerbaijan to continue negotiations with Armenia Secretary of State Antony J. Blinken has urged Azerbaijani President Ilham Aliyev to continue negotiations with Armenia. Pashinyan, Blinken talk Armenia-U.S. ties over the phone Prime Minister Nikol Pashinyan had a phone conversation with US Secretary of State Antony Blinken on April 28, Pashinyan’s office reports. |