--- title: "Best Buy | 8-K: FY2027 Q2 Revenue Beats Estimate at USD 9.779 B" type: "News" locale: "en" url: "https://longbridge.com/en/news/297173490.md" datetime: "2026-08-27T11:04:16.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/297173490.md) - [en](https://longbridge.com/en/news/297173490.md) - [zh-HK](https://longbridge.com/zh-HK/news/297173490.md) generator: "portal-rs" --- # Best Buy | 8-K: FY2027 Q2 Revenue Beats Estimate at USD 9.779 B Revenue: As of FY2027 Q2, the actual value is USD 9.779 B, beating the estimate of USD 9.593 B. EPS: As of FY2027 Q2, the actual value is USD 1.48, beating the estimate of USD 1.3654. EBIT: As of FY2027 Q2, the actual value is USD 431 M. Best Buy Co., Inc. reported its second quarter (Q2 FY27) and six-month (Six Months FY27) results, along with updated financial guidance for FY27 and Q3 FY27. #### Revenue - **Q2 FY27 Enterprise Revenue**: $9,779 million, an increase from $9,438 million in Q2 FY26. - **Q2 FY27 Domestic Segment Revenue**: $9,070 million, up from $8,698 million in Q2 FY26. - **Q2 FY27 International Segment Revenue**: $709 million, a decrease from $740 million in Q2 FY26. - **Six Months FY27 Enterprise Revenue**: $18,715 million, up from $18,205 million in the prior year period. - **Six Months FY27 Domestic Segment Revenue**: $17,319 million, an increase from $16,825 million in the prior year period. - **Six Months FY27 International Segment Revenue**: $1,396 million, an increase from $1,380 million in the prior year period. #### Comparable Sales - **Q2 FY27 Enterprise Comparable Sales Change**: 4.1%, compared to 1.6% in Q2 FY26. - **Q2 FY27 Domestic Comparable Sales Change**: 4.5%, compared to 1.1% in Q2 FY26. - **Q2 FY27 Domestic Online Sales Change**: 5.1%, consistent with 5.1% in Q2 FY26. - **Q2 FY27 International Comparable Sales Change**: -1.8%, compared to 7.6% in Q2 FY26. - **Six Months FY27 Domestic Comparable Sales Change**: 3.2%, compared to 0.2% in the prior year period. - **Six Months FY27 International Comparable Sales Change**: 1.3%, compared to 3.5% in the prior year period. #### Gross Profit - **Q2 FY27 Enterprise Gross Profit**: $2,338 million, with a gross profit margin of 23.9%, up from $2,194 million with a margin of 23.2% in Q2 FY26. - **Q2 FY27 Domestic Gross Profit**: $2,180 million, with a gross profit margin of 24.0%, up from $2,033 million with a margin of 23.4% in Q2 FY26. The higher domestic gross profit rate was primarily driven by growth in Marketplace and Best Buy Ads, and IEEPA tariff refunds of approximately $34 million, partially offset by lower product margin rates. - **Q2 FY27 International Gross Profit**: $158 million, with a gross profit margin of 22.3%, compared to $161 million with a margin of 21.8% in Q2 FY26. The higher international gross profit rate was primarily due to improved product margin rates. #### Operating Income - **Q2 FY27 Operating Income**: $421 million, with an operating income margin of 4.3%, up from $251 million with a margin of 2.7% in Q2 FY26. - **Q2 FY27 Adjusted Operating Income**: $417 million, with an adjusted operating income margin of 4.3%, up from $369 million with a margin of 3.9% in Q2 FY26. - **Six Months FY27 Operating Income**: $791 million, with an operating income margin of 4.2%, up from $470 million with a margin of 2.6% in the prior year period. - **Six Months FY27 Adjusted Operating Income**: $780 million, with an adjusted operating income margin of 4.2%, up from $702 million with a margin of 3.9% in the prior year period. #### Selling, General and Administrative Expenses (SG&A) - **Q2 FY27 SG&A**: $1,923 million, or 19.7% of revenue, compared to $1,829 million, or 19.4% of revenue in Q2 FY26. - **Q2 FY27 Adjusted SG&A**: $1,921 million, or 19.6% of revenue, compared to $1,825 million, or 19.3% of revenue in Q2 FY26. - **Q2 FY27 Domestic Adjusted SG&A**: $1,776 million, or 19.6% of revenue, compared to $1,682 million, or 19.3% of revenue in Q2 FY26. The increase was primarily due to higher compensation, Marketplace and Best Buy Ads initiatives, and advertising expense, partially offset by lower Best Buy Health expense. - **Q2 FY27 International Adjusted SG&A**: $145 million, or 20.5% of revenue, compared to $143 million, or 19.3% of revenue in Q2 FY26. The increase was primarily driven by higher advertising and depreciation expense, partially offset by favorable foreign exchange rates. #### Restructuring Charges - **Q2 FY27 Restructuring Charges**: - $6 million, compared to $114 million in Q2 FY26. - **Six Months FY27 Restructuring Charges**: - $15 million, compared to $223 million in the prior year period. #### Net Earnings - **Q2 FY27 Net Earnings**: $315 million, up from $186 million in Q2 FY26. - **Six Months FY27 Net Earnings**: $591 million, up from $388 million in the prior year period. #### Cash Flow - **Six Months FY27 Total Cash Provided by Operating Activities**: $1,296 million, compared to $783 million in the prior year period. - **Six Months FY27 Total Cash Used in Investing Activities**: - $339 million, compared to - $369 million in the prior year period. - **Six Months FY27 Total Cash Used in Financing Activities**: - $443 million, compared to - $574 million in the prior year period. #### Capital Expenditures - **Six Months FY27 Additions to Property and Equipment**: - $344 million, compared to - $341 million in the prior year period. #### Shareholder Returns - **Q2 FY27 Share Repurchases**: $36 million. - **Q2 FY27 Dividends Paid**: $203 million. - **Year-to-Date FY27 Share Repurchases**: $36 million. - **Year-to-Date FY27 Dividends Paid**: $405 million. - A regular quarterly cash dividend of $0.96 per common share was authorized, payable on October 8, 2026. #### Balance Sheet Highlights - **Cash and Cash Equivalents (August 1, 2026)**: $2,255 million, up from $1,456 million on August 2, 2025. - **Merchandise Inventories (August 1, 2026)**: $6,296 million, up from $5,816 million on August 2, 2025. - **Accounts Payable (August 1, 2026)**: $6,026 million, up from $5,682 million on August 2, 2025. #### Operational Metrics - **Domestic Revenue by Category (Q2 FY27 Revenue Mix)**: Computing and Mobile Phones (46%), Consumer Electronics (27%), Appliances (12%), Services (9%), Entertainment (6%), and Other (0%). - **International Revenue by Category (Q2 FY27 Revenue Mix)**: Computing and Mobile Phones (47%), Consumer Electronics (28%), Appliances (10%), Services (7%), Entertainment (7%), and Other (1%). - The company achieved comparable sales growth across most categories, driven by computing, home theater, and emerging categories like AI glasses and trading cards, partially offset by a decline in traditional gaming. Growth was also observed in Best Buy Ads and Marketplace initiatives. #### Outlook / Guidance Best Buy Co., Inc. has raised its annual financial guidance for FY27, now expecting revenue of $42.3 billion to $42.8 billion, comparable sales change of 1.9% to 3.0%, and an adjusted operating income rate of 4.4% to 4.5%. For Q3 FY27, comparable sales are projected to be in the range of 1.0% to 3.0%, with an adjusted operating income rate of 4.1% to 4.2%. ### Related Stocks - [BBY.US](https://longbridge.com/en/quote/BBY.US.md) ## Related News & Research - [Best Buy declares $0.96 dividend](https://longbridge.com/en/news/297327286.md) - [Best Buy Analysts Increase Their Forecasts After Better-Than-Expected Q2 Results](https://longbridge.com/en/news/297337766.md) - [Frequency Exchange To Launch Nikki On Best Buy Marketplace In Q4 2026, Kickstarting Broader Retail Expansion](https://longbridge.com/en/news/297914575.md) - [Barclays Reaffirms Their Hold Rating on Best Buy Co (BBY)](https://longbridge.com/en/news/297294768.md) - [BUZZ-Street View: Best Buy's sales rebound may lift stock despite concerns over one-time tariff refunds](https://longbridge.com/en/news/297325287.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**