Best Buy Co., Inc. reported fiscal fourth‑quarter 2026 revenue of $13.814 billion, a 0.72% miss versus the $13.91 billion consensus estimate, while adjusted diluted earnings per share rose to $2.61, beating the $2.47 estimate by $0.14 (5.7% beat). The revenue shortfall was largely driven by a 1.1% decline in domestic sales to $12.58 billion, reflecting softness in home‑theater and appliance categories, while growth in computing and mobile‑phone sales helped offset the weakness.
Comparable sales fell 0.8% year‑over‑year, a decline that the company said was within its guidance range. Operating income increased to $695 million, or 5.2% of revenue, up from 5.1% in the prior year, and adjusted operating income rose to 5.0% of revenue, a slight improvement over 4.9% in Q4 FY25. The margin expansion was supported by a shift toward higher‑margin segments such as the digital Marketplace—now hosting more than 1,000 sellers and 11× the SKU count of its first‑party catalog—and the Best Buy Ads platform, whose partner base nearly doubled year‑over‑year.
For fiscal 2027, Best Buy reiterated its guidance, projecting adjusted diluted EPS of $6.30‑$6.60 and revenue of $41.2‑$42.1 billion. The guidance midpoint falls short of the analyst consensus of $6.65 EPS and $42.2 billion revenue, indicating a cautious outlook amid a mixed macro environment. CEO Corie Barry noted that the company was pleased with the profitability beat and that overall market share remained flat, while CFO Matt Bilunas highlighted excitement about FY27 momentum and the need to navigate ongoing consumer shifts toward value‑focused purchasing.
Investors responded favorably, with analysts citing the EPS beat and margin expansion as key drivers of the positive reception. The company’s continued investment in its digital Marketplace and advertising platform was seen as a strategic move to generate higher‑margin revenue streams in a challenging retail environment.
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