Best Buy's Q2 Earnings Up 27% Sep 12, 2006

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Consumer electronics and appliances retailer Best Buy Co., Inc. today reported net earnings of U.S. $230 million, or $0.47 per diluted share, for its fiscal second quarter ended Aug. 26, 2006. Net earnings increased 22 percent compared with $188 million, or $0.37 per diluted share, for the prior-year second quarter.

Total revenue for the second quarter increased by 13 percent to $7.6 billion, compared with $6.7 billion for the prior year's period. The rise in revenue was fueled by new store openings (237 in the past 12 months) and comparable store sales gains of 3.7 percent. Domestic and international segments reported comparable store sales gains of 3.0 percent and 9.3 percent, respectively.

"I have never been more proud of our employees. They are embracing our long-term transformation to being a truly customer-centric enterprise, while still delivering stellar near-term results," said Best Buy Vice Chairman and CEO Brad Anderson. "Our results continue to show the benefit of our employees' relentless focus on exceeding customer expectations."

Revenue growth included the impact of recent acquisitions, including 14 Pacific Sales Kitchen & Bath Centers showrooms added in March 2006 and 131 Jiangsu Five Star Appliance Co., Ltd. locations added in June 2006 (Five Star is expected to be included in the company's comparable store sales figure beginning with the fiscal 2008 third quarter).

Best Buy Co., Inc. is headquartered in Minneapolis, Minnesota, U.S. and has more than 1,100 retail stores in the U.S., Canada and China.

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