Post-Earnings Highlights and Notes - Best Buy

LONDON, December 11, 2014 /PRNewswire/ --

Investor-Edge.com has issued free post-earnings highlights on Best Buy Co. Inc. (NYSE: BBY). On November 20, 2014, the company reported its financial results for Q3 FY15 (period ended November 01, 2014). Click on www.investor-edge.com/FreeReports to read our free earnings review on Best Buy Co. Inc. (Best Buy). In Q3 FY15, the company's revenue grew $53 million from Q3 FY14 and its GAAP diluted EPS from continuing operations increased $0.18 per share on a Y-o-Y basis. The President and CEO of Best Buy, Hubert Joly, stated that in Q3 FY15, the company's teams delivered positive comparable sales, improved profitability and continued progress in its Renew Blue transformation. This resulted in $9.4 billion in revenue and $0.32 in non-GAAP diluted earnings per share versus $0.18 last year, he added. Our free coverage report can be accessed at:

www.investor-edge.com/register

Earnings Overview 

During Q3 FY15, Best Buy's revenue grew 0.6% to $9.38 billion from $9.33 billion in Q3 FY14. The company's reported revenue exceeded Bloomberg analysts' forecasts of $9.11 billion. Best Buy's Q3 FY15 domestic revenue grew 2.3% Y-o-Y to $7.99 billion, primarily driven by 3.2% Y-o-Y growth in comparable sales. On the other hand, the company's Q3 FY15 International revenue decreased 8.4% Y-o-Y to $1.39 billion. The decline was primarily driven by the negative impact of foreign currency exchange rate fluctuations, a 3% Y-o-Y decline in comparable sales driven by China, and the loss of revenue from store closures in Canada and China. The free research on BBY can be downloaded as in PDF format at:

http://get.Investor-Edge.com/pdf/?c=Best%20Buy&d=11-Dec-2014&s=BBY

Mr. Joly informed that operationally, the Y-o-Y improvement was primarily driven by 0.6% revenue growth and the benefits from the company's Renew Blue and other SG&A cost reduction initiatives, partially offset by strategic pricing investments and the ongoing competitive pressure on its gross profit rate. He further stated that on the top line, while sales in the NPD-reported Consumer Electronics categories declined 0.2%, the company's strength in televisions, computing, and tablets versus the industry, in addition to its growth in gaming and appliances, drove a Domestic comparable sales increase of 2.4%, excluding the 80-basis point estimated benefit associated with the classification of revenue for the new mobile carrier installment billing plans. He added that domestic online comparable sales increased 22%.

The company's Q3 FY15 GAAP operating income increased to $190 million from $90 million in Q3 FY14. For Q3 FY15, GAAP net earnings attributable to Best Buy's shareholders rose to $107 million, or $0.30 per diluted share, from $54 million, or $0.16 per diluted share, in Q3 FY14. Analysts from Bloomberg had expected the company to report earnings of $85 million, or $0.25 per diluted share. Further, on a non-GAAP basis, the company's Q3 FY15 net income increased to $114 million, or $0.32 per diluted share, from $64 million, or $0.18 per diluted share, in Q3 FY14. Sign up and read the free analyst's notes on BBY at:

http://get.Investor-Edge.com/pdf/?c=Best%20Buy&d=11-Dec-2014&s=BBY

On October 2, 2014, Best Buy paid a quarterly dividend of $0.19 per common share outstanding, or $66 million.

Stock Performance  

On the day of the earnings release, November 20, 2014, Best Buy's stock rallied 6.98% to end the session at $38.02. The stock has mostly witnessed a negative momentum since then. On the last close, Wednesday, December 10, 2014, shares of the company finished at $36.00, down 1.29%, after vacillating between $35.96 and $36.91. A total of 4.71 million shares were traded, which was below its three months average volume of 6.01 million shares. Over the last one month and the previous three months, the company's shares have gained 3.72% and 11.42%, respectively. However, the stock has lost 9.73% since the beginning of 2014. Shares in Best Buy closed above their 50-day and 200-day moving averages of $34.25 and $30.04, respectively. Furthermore, the stock traded at a PE ratio of 15.47 and has a Relative Strength Index (RSI) of 53.10. Visit Investor-Edge and access the latest research on BBY at:

http://get.Investor-Edge.com/pdf/?c=Best%20Buy&d=11-Dec-2014&s=BBY

Sneak Peek to Corporate Insider Trading 

In the last one month, there were 40 insider transactions made by 4 individuals. Between November 13, 2014 and November 28, 2014, a total of 3,766,149 shares have been disposed at an average price of $37.81 per share and for a total value of $142.38 million. During the stated period, Richard M. Schulze, founder and 10% owner of Best Buy, disposed 3,600,000 shares at an average price of $37.78. On November 24, 2014, Rajendra M. Mohan, Chief Merchandising Officer at Best Buy, purchased a total of 30,000 shares at an average price of $19.67 per share, and, on the same day, he sold 42,000 shares at $38.36 per share. Additionally, on the November 24, 2014, Allen U. Lenzmeier, Director at Best Buy, disposed 60,000 shares at $38.33 per share. Furthermore, on November 26, 2014, Shari L. Ballard, President - U.S. Retail and Chief Human Resources Officer at Best Buy, sold 64,149 shares at $38.59 per share. Complimentary in-depth research on BBY is available at:

http://get.Investor-Edge.com/pdf/?c=Best%20Buy&d=11-Dec-2014&s=BBY

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