Best Buy Sees Online Sales Growth, Still Posts $409M Loss
Best Buy said that "accelerating online growth" is its No. 1 priority in fiscal 2014, and it's well on its way to doing that. It's online sales grew 11.2 percent last quarter, after having already jumped 25.4 percent in the same quarter a year ago, the electronics chain revealed when announcing financial results for its fiscal fourth quarter.
Even still, Best Buy posted a loss of $409 million after paying preferred dividends for the three-month period ended February 2, or $1.21 per share. On the bright side, that's down from a loss of $1.82 billion, or $5.17 per share, a year ago.
"These results were driven by a compelling assortment of new products in key growth categories, increased 'blue-shirt' training and higher customer engagement in our retail stores, and impactful ‘traffic-generating’ marketing activities," said Hubert Joly, Best Buy President and CEO. "It was a quarter that was driven, not given and we are encouraged by the intensity, collaboration and momentum that was generated by both our front line and corporate teams as we began to execute against our Renew Blue initiatives."
Best Buy said it didn't receive a bid from its co-founder, Richard Schulze, who had been considering buying the company and taking it private the way Michael Dell did with Dell. In lieu of that, Best Buy will look to trim costs, including upcoming job cuts on top of the 400 pink slips it already handed out earlier this week.
Even still, Best Buy posted a loss of $409 million after paying preferred dividends for the three-month period ended February 2, or $1.21 per share. On the bright side, that's down from a loss of $1.82 billion, or $5.17 per share, a year ago.
"These results were driven by a compelling assortment of new products in key growth categories, increased 'blue-shirt' training and higher customer engagement in our retail stores, and impactful ‘traffic-generating’ marketing activities," said Hubert Joly, Best Buy President and CEO. "It was a quarter that was driven, not given and we are encouraged by the intensity, collaboration and momentum that was generated by both our front line and corporate teams as we began to execute against our Renew Blue initiatives."
Best Buy said it didn't receive a bid from its co-founder, Richard Schulze, who had been considering buying the company and taking it private the way Michael Dell did with Dell. In lieu of that, Best Buy will look to trim costs, including upcoming job cuts on top of the 400 pink slips it already handed out earlier this week.
