Best Buy swings to loss in Q3
Minneapolis -- Best Buy Co. woes continue, as the electronics retailer reported Tuesday a loss of $10 million for the quarter ended Nov. 3, compared with net income of $156 million in the year-ago period. Results were hurt by restructuring charges and slowed sales.
Sales slid 4% to $10.75 billion, but met Wall Street expectations. Same-store sales dropped 4.3%.
"In-line with trends experienced over the last three years, Best Buy's third quarter financial performance was clearly unsatisfactory," said new CEO Hubert Joly. A week ago, Joly – a turnaround expert brought in last July to shore up the retailer – put forth his plan to improve results around improved customer service and strategic cost-cutting.
“The results we are reporting today only strengthen our sense of urgency and purpose,” Joly said.