NYSE$BBY

Best Buy Co Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Best Buy reported better-than-expected profitability but slightly softer-than-expected revenue for Q3 2024.

Best Buy's Q3 2024 results revealed better-than-expected profitability despite a slight revenue decrease. The company's strong operational execution helped navigate near-term sales pressures. Due to uneven consumer demand, Best Buy lowered its annual revenue outlook, but the non-GAAP diluted EPS guidance midpoint is slightly higher than initial expectations.

  • Q3 FY24 revenue was $9.756 billion, compared to $10.587 billion in Q3 FY23.
  • GAAP diluted EPS was $1.21, while non-GAAP diluted EPS was $1.29.
  • Domestic revenue decreased by 8.2% year-over-year, driven by a comparable sales decline of 7.3%.
  • The company returned $313 million to shareholders through dividends and share repurchases.

Headline financials

Total Revenue

$9.76B

Previous: $10.6B-7.8%
EPS (adj)

$1.29

Previous: $1.38-6.5%
Domestic comparable sales

-7.3%

Previous: -10.5%+30.5%
International comparable sales

-1.9%

Previous: -9.3%+79.6%
Capital Expenditures

-$612M

Previous: -$696M+12.1%
Free Cash Flow

-$349M

Previous: -$419M+16.7%
Net Income

$263M

Previous: $277M-5.1%
Operating Income

$354M

Previous: $365M-3.0%
Gross Profit

$2.23B

Previous: $2.33B-4.3%
Cash & Equivalents

$636M

Previous: $932M-31.8%
Total Assets

$16.9B

Previous: $17B-0.8%
Stock-Based Comp

$35M

Previous: $33M+6.1%

Revenue & EPS history

Best Buy · Revenue · Quarterly

$9.76B

Q3 2024-7.8%vs Q3 2023
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Best Buy · $9.76B total across 2 segments · Q3 2024

  • Domestic segment
    $9B-8.2%
  • International segment
    $760M-3.4%

Forward guidance

For the fourth quarter, Best Buy expects comparable sales to decline between 3.0% and 7.0%. The non-GAAP operating income rate is expected to be in the range of 4.7% to 5.0%, compared to 4.8% last year.

Tailwinds

  • The midpoint of annual non-GAAP diluted EPS guidance is slightly higher than the midpoint of the original guidance.
  • Prepared for a deal-focused customer with promotions and deals for all budgets.
  • New shopping experiences are being introduced.
  • Expanded product assortment is available.
  • Fast and free fulfillment options are offered.

Headwinds

  • Consumer demand has been uneven and difficult to predict.
  • Annual revenue outlook has been lowered.
  • Comparable sales are expected to decline in the range of 3.0% to 7.0% for Q4.
  • Macro environment creates near-term sales pressure.
  • Industry is experiencing sales pressure.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+0.8%

Avg return

Earnings day

+1.9%

Avg return

5 days after

+0.1%

Avg return

30 days after

51%

36 / 71 earnings

Positive

+20.4%

Q2 2016

Best reaction

-16.8%

Q3 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027
Q4 2026+13.3%+8.3%+4.7%
Q3 2026+4.4%+4.8%-7.8%
Q2 2026-3.8%-1.3%+0.9%
Q1 2026-7.1%-2.3%-4.6%
Q4 2025-13.3%-8.5%-28.3%
Q3 2025-5.2%-3.3%-3.9%
Q2 2025+14.4%+15.0%+16.5%
Q1 2025+18.0%+22.2%+17.2%
Q4 2024-2.2%-4.7%+2.9%
Q3 2024-0.1%+2.1%+11.3%
Q2 2024+2.5%+1.6%-7.0%
Q1 2024+7.5%+6.1%+14.4%
Q4 2023+0.9%-0.3%-5.2%
Q3 2023+16.3%+14.7%+13.6%
Q2 2023-4.1%-3.5%-11.7%
Q1 2023+10.3%+15.7%-1.8%
Q4 2022+5.2%+0.3%-10.4%
Q2 2022+8.7%+4.8%-5.3%
Q1 2022-0.6%-1.8%-3.3%
Q4 2021-11.6%-9.6%+5.1%
Q3 2021-6.7%-7.7%-16.0%
Q2 2021-4.3%-5.2%-10.7%
Q1 2021-5.7%-2.5%-0.4%
Q4 2020-7.9%-6.9%-24.0%
Q3 2020+8.7%+8.6%+18.3%
Q2 2020-7.8%-8.4%-1.1%
Q1 2020-4.7%-5.5%-2.4%
Q4 2019+14.1%+11.2%+17.8%
Q3 2019-0.2%+0.6%-19.0%
Q2 2019-4.9%-2.6%-4.2%
Q1 2019-9.9%-10.2%+0.4%
Q4 2018+0.8%+6.0%-3.4%
Q3 2018-2.6%-2.2%+14.0%
Q2 2018-13.3%-12.8%-9.0%
Q1 2018+17.0%+17.6%+9.4%
Q4 2017+1.6%-0.5%+11.4%
Q3 2017+10.7%+15.2%+16.2%
Q2 2017+20.4%+20.4%+17.3%
Q1 2017-2.8%-2.9%-7.8%
Q4 2016+3.1%
Q3 2016-2.6%
Q2 2016+20.4%
Q1 2016+1.6%
Q4 2015+3.0%
Q3 2015+7.0%
Q2 2015-0.9%
Q1 2015+6.5%
Q4 2014-3.1%
Q3 2014-11.1%
Q2 2014+9.8%
Q1 2014-4.3%
Q4 2013+8.3%
Q3 2013-15.9%
Q2 2013-2.4%
Q1 2013+2.2%
Q4 2012-11.0%
Q3 2012-16.8%
Q2 2012-3.8%
Q1 2012+5.5%
Q4 2011+1.9%
Q3 2011+0.6%
Q2 2011+0.7%
Q1 2010-0.2%
Q1 2011-3.6%
Q4 2010+2.6%
Q4 2008+2.6%
Q3 2010-2.4%
Q3 2009-2.4%
Q2 2010+0.9%
Q2 2009+0.9%
Q4 2009+0.9%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro