Best Buy Beats Q1 Estimates, Posts 2% Comparable Sales Growth as Retailer Stabilizes Revenue

Best Buy reported first fiscal-quarter results that exceeded Wall Street expectations on both earnings and revenue, signaling a potential turnaround from a prolonged sales slump. The electronics retailer posted comparable sales growth of 2% and reaffirmed its full-year guidance, sending shares roughly 7% higher in premarket trading.

Earnings and Revenue Beat

For the period ended May 2, Best Buy reported net income of $276 million, or $1.31 per share, up from $202 million, or 95 cents per share, in the year-ago period. Revenue rose slightly to $8.94 billion from $8.77 billion the prior year. Excluding one-time expenses—including charges from restructuring its health business—adjusted earnings per share came in at $1.28.

Analysts surveyed by LSEG had expected adjusted earnings per share of $1.23 on revenue of $8.83 billion.

Growth Drivers and Guidance

The company attributed its quarterly growth to gains in gaming, computing, mobile phones and services, which were partially offset by a decline in appliance sales. Comparable sales increased 2% year-over-year, outperforming the company's own outlook.

Best Buy reaffirmed its full-year revenue guidance of $41.2 billion to $42.1 billion, with adjusted earnings per share of $6.30 to $6.60. The company expects full-year comparable sales to range between a decline of 1% and an increase of 1%.

"Our comparable sales grew 2% versus last year, higher than our outlook, with positive comps across the majority of our major product categories and strong performance in our Best Buy Ads and Marketplace initiatives," Chief Executive Officer Corie Barry said in a release. "We also drove operating income rate expansion and EPS growth."

Leadership Transition

The earnings report comes just over a month after Best Buy named Jason Bonfig as its new chief executive officer, replacing Barry in the fall. The leadership change is part of the company's broader effort to boost sales and accelerate its business transformation.

"With this momentum, I believe it is the right time to transition the leadership of Best Buy, and step down as CEO later this year," Barry said in a statement Thursday.

Bonfig, who is set to take the helm on Nov. 1, said in the release that he is focused on expanding the company's reach and elevating the customer experience. More retailers, including Walmart and Target, have leaned into advertising and third-party marketplace businesses, which offer sales growth with higher profit margins than traditional merchandise.

Best Buy has been grappling with a sales slump, compounded by higher tariffs and lower consumer confidence. Last quarter, Barry noted a divergence in spending patterns between higher-income and lower-income shoppers, with softness in higher-cost item sales.

Market Context

Current market data as of May 28, 2026: The U.S. dollar trades at 70.90 Russian rubles (change: -0.77), the euro at 82.72 Russian rubles (change: -0.58). Bitcoin is at $73,386, down 3.0% in the last 24 hours. Brent crude oil is estimated at approximately $72 per barrel.