Best Buy Posts 3% Decline in Q2 Entertainment Revenue – Media Play News

Erik Gruenwedel

August 29, 2024

Best Buy Aug. 29 reported second-quarter (ended Aug. 3) entertainment revenue of $517.4 million on overall domestic revenue of more than $8.6 billion, which was down 3% from entertainment revenue of $533.4 million on total revenue of almost $8.9 billion in the previous-year period.

The entertainment segment, which includes a products such as DVD and Blu-ray Disc movies (which will cease being sold by the end of the year), video game hardware and software, books, music CDs, and computer software, saw same-store sales decline 7.4% compared with an increase of 9% in the prior-year period.

The primary drivers of lower entertainment revenue included declines in video game hardware console sales and the concurrent dearth of new-release titles, as well as the previously announced decision to stop selling packaged media.

From a merchandising perspective, the largest drivers of the comparable sales decline were appliances (down 14.9%), consumer electronics (down 6.2%), home theater and gaming. These drivers were partially offset by growth in the tablets, computing (up 3.9%) and services (i.e. Geek Squad) categories (up 8.5%).

“We delivered strong results in our domestic tablet and computing categories, which together posted comparable sales growth of 6% versus last year,” CEO Corie Barry said in a statement.

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