Join        Login             Stock Quote

Best Buy (BBY) 3Q Adj Earnings Drop 94.2 Pct, Miss Estimates; Shares Fall

 November 20, 2012 09:09 AM

(By Balaseshan) Best Buy Co. Inc. (NYSE: BBY) slipped to a quarterly loss due to a restructuring charges primarily related to store closures. Despite revenue beating consensus, adjusted earnings missed Street's expectations, sending its shares down 3.85% in premarket.

Loss from continuing operations for the third quarter were $13 million or $0.04 per share, compared to a profit of $173 million or $0.47 per share last year. Adjusted earnings per share (EPS) from continuing operations plunged 94% to $0.03 from $0.47.

Revenue declined to $10.75 billion from $11.15 billion. Comparable store sales decreased 4.3% for the latest quarter.

[Related -Best Buy BBY Teaches Us Four Steps to a Trend Reversal]

Analysts, on average, polled by Thomson Reuters had expected a profit of $0.12 per share on revenue of $10.73 billion for the third quarter.

The Domestic segment comparable store sales declined 4.0%, while International segment comparable store sales decreased 5.2%. Revenue from Domestic segment fell 4.7% to $7.7 billion, while International segment revenue declined 1% to $3.1 billion.

Return on assets for the 12 months ended November 3, 2012 showed a negative 2.7% compared to a positive 6.2% last year. Adjusted Return on invested capital (ROIC) fell to 10.1% from 10.7%.

Looking ahead into the fiscal 2013, the company currently expects to generate free cash flow in the range of $850 million to $1.05 billion, lower than previously communicated range of $1.25 to $1.5 billion that had been provided on August 21, 2012.

[Related -Sony Corporation: Top Black Friday Deals For PS3, Xbox 360]

BBY closed Monday's regular session at $13.75. The stock has been trading between $13.52and $28.52 for the past 52 weeks.

iOnTheMarket Premium


Post Comment -- Login is required to post message
Alert for new comments:
Your email:
Your Website:

rss feed

Latest Stories

article imageEmerging-Markets Stocks Took The Lead Last Week

Emerging-markets equities enjoyed a solid rise last week among the major asset classes, based on a set of read on...

article imageDoes Your Latest Investment Pass This Test?

On Wednesday, I sounded the alarm about the problems looming for some consumer staples stocks. In short, read on...

article imageIs The Slump In US Manufacturing Easing?

Yesterday’s November survey data from the Philadelphia Fed hints at the possibility that a stronger trend read on...

article imageMarket Potentially Facing Near Term Technical Headwinds

After the S&P 500 Index pullback on Thursday and Friday last week, the market's advance on Monday and read on...

Popular Articles

Daily Sector Scan
Partner Center

Related Articles:

A Pause In The Action
More Articles on: Retail/Wholesale

Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.