Best Buy Q1 EPS Beats by $0.06; Revenue Hits $8.94 Billion
BBY•Best Buy reported Q1 adjusted EPS of $1.28, beating estimates by $0.06 on $8.94 billion revenue, up 1.9% year-over-year and above the $8.82 billion consensus. Comparable sales rose 2.0%, driving a 9.9% share jump, while the retailer maintained fiscal 2027 guidance for $6.30–$6.60 EPS and $41.2–42.1 billion revenue.
1. Q1 Earnings and Revenue
Best Buy reported adjusted EPS of $1.28, beating the $1.22 estimate by $0.06, and delivered revenue of $8.94 billion, up 1.9% from a year ago. Comparable sales rose 2.0%, reversing last year’s decline and surpassing the company’s own forecast of 1% growth.
2. Segment Performance
Domestic revenue increased 1.5% to $8.25 billion while international sales rose 7.3% to $687 million. The domestic gross profit rate improved to 23.7% from 23.5%, driven by gains in Marketplace and Best Buy Ads initiatives.
3. Stock Reaction
Shares jumped 9.9% in premarket trading on the earnings beat and stronger-than-expected sales, reflecting investor confidence in product categories such as gaming, computing, mobile phones and services.
4. Outlook and Forecast
Best Buy maintained its full-year fiscal 2027 guidance of $6.30–$6.60 adjusted EPS and $41.2–$42.1 billion revenue, while forecasting second-quarter comparable sales growth of about 1.0% and an adjusted operating income rate near 3.9%.
