No one is his right mind is likely to be happy with the Best Buy (BBY) numbers for December. Same-store sales dropped 6.5%. Sales rose a modest 4% to $7.5 billion.
The figures were an example of just how bad the retail environment is and Best Buy is considered on of the best-run chains in America.
BBY’s US-based operations generated $5.9 billion in revenue for fiscal December, which was nearly unchanged compared with last year’s period.. Unlike Wal-Mart (WMT), Best Buy did well overseas. The company’s international segment increased its fiscal December revenue by 29 percent to $1.6 billion.
Even though the numbers were bad, the market must have expected worse. BBY shares were up a fraction to $29.90 in pre-market trading.
Douglas A. McIntyre