Best Buy sales dip over holiday period
Best Buy (Getty Images)
RICHFIELD, Minn. (FOX 9) - Best Buy sales took a hit over the holiday period as the company dealt with product shortages and the omicron variant surged.
New financial numbers out this morning show that profits and sales both fell as the Richfield-based company struggled to keep popular items in stock throughout November, December, and January. Sales took a 3% hit for the fourth quarter, while profits fell nearly 30%.
Beyond a product crunch, many stores also implemented shortened hours as the omicron variant spread across America.
Executives are already forecasting a challenging 2022, with sales expected to keep dropping. However, Best Buy remains upbeat about its future, with predictions for a strong 2023 and beyond.
Despite the holiday setbacks, Best Buy still recorded a banner fiscal year, with sales growth up 10%.
Appliances, virtual reality, home theater, and headphones were the merchandising bright spots, while gaming, mobile phones, and tablets all declined.
Investors seemed encouraged by the report, with the company’s stock trading up after the opening bell.