Best Buy Shares Up 9% After Profit, Revenue Soar Past Estimates

Best Buy Co. Inc. shares surged 9% in premarket trade after the electronics retailer's fiscal third-quarter profit and revenue sailed past estimates. Best Buy said it had net income of $107 million, or 30 cents a share, in the quarter, up from $54 million, or 12 cents a share, in the year-earlier period. Adjusted per-share earnings came to 32 cents, well ahead of the 25 cents estimate from analysts polled by FactSet. Revenue rose to $9.38 billion from $9.33 billion, also ahead of the FactSet estimate of $9.11 billion. Sales were driven by televisions, computing and tablets, as well as gaming and appliances, Chief Executive Hubert Joly said in a statement. The company is expecting fourth-quarter revenue and same-store sales to be flat, but for adjusted per-share earnings to rise by about 50 basis points. Shares are down about 11% in the year so far, while the S&P 500 has gained 11%.