Best Buy (BBY) Financials

Bottom-line takeaways for Best Buy (BBY) based on the last four years of quarterly reports show stable but evolving fundamentals. Profitability has remained solid in the latest quarter, cash flow generation has rebounded into year-end, and financing activity continues to return capital to shareholders, albeit with ongoing outflows. Below are the key positives, neutrals, and negatives, with the positives shown first.

• Q4 2026 net income rose to $541M and basic/diluted earnings per share both at $2.56, a notable improvement vs. Q4 2025 (EPS was $0.55 in that period).
• Q4 2026 operating cash flow was $1.28B and free cash flow was about $1.10B after $175M of capital expenditure, indicating strong quarterly cash generation and liquidity.
• Q4 2026 gross margin was roughly 20.9% (Total Gross Profit $2.88B on $13.81B revenue), showing margin stability despite top-line volatility.
• Q4 2026 net cash from continuing operating activities was positive at $1.28B, contributing to a net increase in cash of $829M for the quarter.
• Total revenue has remained in a relatively narrow band (about $13.8B–$14.7B historically) across the quarters shown, reflecting stable demand with seasonal patterns.
• Operating expenses (SG&A plus restructuring) have been broadly stable, generally in the $1.6B–$2.3B range per quarter, with occasional small restructuring effects.
• Long-term debt stays modest (roughly $1.1B–$1.5B) and the overall liabilities base remains in a steady range as a share of assets.
• Cash dividends and share repurchases continue to drive negative financing cash flow, consistent with ongoing capital returns to shareholders.
• Material revenue pressure persists vs. peak levels in 2024; Q4 2026 revenue of about $13.8B is down modestly from the $14.66B seen in Q4 2024.
• CFO volatility remains evident, with a negative cash flow from continuing operating activities in Q3 2026 (versus strong positives in other quarters), highlighting quarterly liquidity swings even as Q4 turns positive.