Best Buy Official Reiterates FY11 EPS View $3.45-$3.60
Best Buy Co. reiterated its two-week-old guidance for fiscal 2011 earnings in the range of $3.45 a share to $3.60 a share.
During a presentation at an Oppenheimer-sponsored conference in Boston Wednesday, the company also reiterated plans for same-store sales to grow 1% to 3% for the year and for operating margins to expand 30 to 40 basis points.
"We're holding to it [the outlook], and we expect to achieve those targets," said Dave Deno, senior vice president and chief financial officer of Best Buy's international operations.
Deno also suggested Best Buy's spending to pursue growth opportunities outside the U.S. and other established markets is receiving heavy scrutiny.
He characterized Carphone Warehouse in the U.K., all Canadian operations and Five Star in China as large and established businesses. Best Buy's namesake stores in China, the U.K. and Mexico, meanwhile, were called startups that are important to Best Buy's future growth.
The consumer electronics retailer intends to focus on international operations where Best Buy can leverage its investments and "have size going forward," Deno said.
"We don't have plans to spend beyond these countries," he said. "We have a very, very disciplined approach to capital internationally. We are not going to take our significant cash flow and just spend it willy-nilly. The businesses have to perform to earn the right to get more capital."
Deno said that while "it's early days," Best Buy is "very pleased with sales" at its big-box stores in the U.K. The company expects to open between four and six stores there this year.
Deno also emphasized that selling content--whether for TVs, computers or other devices--is of growing importance to Best Buy. The company this week detailed plans to offer mobile broadband services, and it recently launched a new video-on-demand service.
Related News
Photos
More>>
trade
- The Schaeffler Group and Henan University of Science and Technology (HUST) begin
- Hailin Bearing Company Donations For The Disaster Zhouqu
- President Hu stresses economic restructuring, agricultural production while
- CBIA Director-general Liu Enshi Visited Xiangyang Automobile Bearing Co.,Ltd
- NTN Signs an Alliance Memorandum in the Bearing Business with Luoyang LYC
market
- Wafangdian JinFeng Took Part In Shanghai Bearing and Equipment Exhibition
- Director of Bangladesh Ministry of Transport Visited Xiangyang Bearing Company
- Shanghai Rabbit Participated in the 12th China International Bearing & Equipment
- Chairman of China Machinery Industry Federation visited the Longxi Corporation
- Germany Customers Visited Xiangyang Automobile Bearing Co., Ltd
finance
- Three Products of CSC Received Authentication
- LDB Participated the 12th China International Bearing and Equipment Exhibition
- New Look of ZWZ in 2010 China International Bearing & Equipment Exhibition
- NTN Participated in the 12th China International Bearing & Equipment Exhibition
- New Look of Xinxiang Sunrise in 2010 China International Bearing & Equipment