Best Buy Q4 Profit Up Despite DVD Sales Decline31 Mar, 2006 By: Erik Gruenwedel
Despite a 4.5% same-store sales decline in DVD and CD product, big box retailer Best Buy Co. posted fourth-quarter (ended Feb. 26) profit of $644 million, compared to $572 million during the same period last year.
As a percentage of same-store sales (opened at least one year), entertainment software (DVD and CD) dropped from 23% to 21%, and from 21% to 19% of revenue for the quarter and fiscal year 2006, respectively.
Sales of flat-panel televisions, MP3 players, laptop computers and video game hardware helped the Minneapolis-based chain record revenue of $10.6 billion, compared to $9.2 billion during the same period last year.
For FY 2006, revenue was $30.8 billion, compared to $27.4 billion during the same period last year.