Best Buy lifts full-year outlook after strong Q3 results

(Sharecast News) - American electronics retailer Best Buy has raised its profit guidance for the full year after a strong third quarter, with sales and adjusted earnings come in ahead of expectations. The company, which owns more than 1,100 stores across the US and Canada, said it expects full-year revenues to be between $41.65bn and $41.95bn, up from previous estimates of $41.1bn-41.9bn, equating to comparable sales growth of 0.5-1.2%, ahead of earlier guidance of -1.0% to +1.0%.

Full-year adjusted earnings per share are now tipped to come in at $6.25-6.35, up from an earlier forecast of $6.15-6.30.

Comparable sales in the third quarter to 1 November were up 2.7% over last year, comfortably ahead of the 1.5% increase expected by analysts, with strong results across computing, gaming and mobile phones.

"We delivered sales growth across both online and stores, saw continued improvements in customer experience ratings and launched our Best Buy Marketplace," said chief executive Corie Barry.

Adjusted earnings per share rose to $1.40 from $1.26 a year earlier, topping the $1.31 expected by the market.

Best Buy shares were rising 1.6% to $76.80 in pre-market trade on Tuesday.