In its second-largest acquisition, Amazon buys the company for $970 million.
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For the 13-week fiscal first quarter ended May 4, 2013, compared to the 14-week fiscal 2013 first quarter ended May 5, 2012, Best Buy also reported:
- Revenue of $9.380 billion, down 9.6% from $10.373 billion.
- Part of the revenue decline stems from a 9.6% decrease in international revenue to $1.40 billion; excluding the impact of last year’s extra week, the decline would be 5.1%. Contributing to the decrease were the closing of 15 Canadian stores last year and a 2.8% same-store sales decline driven, Best Buy says, by “ongoing competitive pressure in China, partially offset by effective promotions that drove positive comparable-store sales in China.”
- A net loss of $81 million compared with a profit of $158 million in last year’s first quarter.
Best Buy has previously announced plans to sell its 50% stake in the Best Buy Europe joint venture it created in 2008 with Carphone Warehouse Group plc for about $750 million. Best Buy has moved that business into the category of discontinued operations for accounting purposes.