Best Buy tops quarterly estimates, raises outlook as computing shows strength

• Best Buy raised its full fiscal year outlook on Thursday after reporting a stronger-than-expected first half performance.
• The earnings come as the retailer is turning around its business and preparing to operate under incoming CEO Jason Bonfig.
• Best Buy reiterated that it’s still seeing customers spend, though they’re still focused on value and sales.

A Best Buy logo sign is seen in Chicago, Illinois, United States, on July 29, 2026.
Marcin Golba | Nurphoto |

Best Buy on Thursday reported better-than-expected fiscal second-quarter results and raised its full-year outlook as the company’s recovery showed more signs of taking hold.

The consumer electronics retailer said it saw comparable sales growth of 4.1% during the second quarter, compared to its previous outlook of just 1%, and saw a “higher-than-expected” adjusted operating income rate. Best Buy said it drove growth across all of its major categories, with a surge in computing contributing to that strength.

Best Buy also raised its full fiscal year

Best Buy also raised its full fiscal year financial guidance due to what incoming CEO Jason Bonfig called its”strong first half performance.” The company now expects revenue of between $42.3 billion and $42.8 billion, compared to prior guidance of a range between $41.2 billion to $42.1 billion. It also anticipates comparable sales will climb 1.9% to 3%, compared to prior expectations of between a decline of 1% and increase of 1%.

Best Buy said it now expects adjusted earnings per share for the year to be between $6.70 and $6.90, compared to prior guidanceof between $6.30 and $6.60 per share.

The company also said its gross profit rate for the quarter included a $34 million benefit from tariff refunds.

Here’s how the company performed in its second

Here’s how the company performed in its second fiscal quarter compared with what Wall Street was expecting, according to a survey of analysts by LSEG:

• Earnings per share:$1.47 adjusted vs. $1.38 expected
• Revenue:$9.78 billion vs. $9.59 billion expected

For the quarter ended Aug. 1, Best Buy reported net income of $315 million, or $1.48 per share, compared with $186 million, or 87 cents per share, the year prior. Adjusting for one-time items, Best Buy reported adjusted earnings of $1.47 per share.

The earnings marked the last quarter of reporting under current CEO Corie Barry. Bonfig will take over the reins of the company on Nov. 1, a leadership change that was part of a broader strategy to accelerate Best Buy’s business.

The strength of our Q2 results reflects both

“The strength of our Q2 results reflects both the deliberate actions we have taken to position the business for growth and a healthy demand environment for our category,” Bonfig said in a statement.

The company reiterated that customers continue to spend, though they are still focused on value and sales.

The consumer electronics retailer has also been hit by tariffs and the soaring price of memory chips. Best Buy said on Thursday that it’s continuing to navigate those industry-wide challenges and sees customers shopping with specific needs and budgets.

Best Buy has been in a sales slump

Best Buy has been in a sales slump after it reported declining foot traffic and lower consumer confidence in recent quarters. Bonfig previously told CNBC he’s confident in his abilities to refresh the company and its products and enhance the customer experience.

Part of that strategy has been opening smaller format stores in an effort to expand Best Buy’s presence in areas that can’t sustain a full-sized location. Bonfig also said he plans to leverage artificial intelligence to improve the store experience and corporate processes.

Source: www.cnbc.com