Best Buy Co., Inc. (NYSE:BBY) Q1 2021 Earnings Conference Call - Final Transcript

May 21, 2020 • 08:00 am ET


Best Buy Co., Inc. (NYSE:BBY) Q1 2021 Earnings Conference Call - Final Transcript


Loading Event

Loading Transcript


Ladies and gentlemen, thank you for standing by. Welcome to Best Buy's First Quarter Fiscal 2021 Earnings Call. [Operator Instructions] As a reminder, this call is being recorded for playback and will be available by approximately 11:00 AM Eastern Time today. [Operator Instructions]

I will now turn the conference over to Mollie O'Brien, Vice President of Investor Relations.

Mollie O'Brien

Thank you and good morning, everyone. Joining me on the call today are Corie Barry, our CEO; Matt Bilunas, our CFO; and Mike Mohan, our President and COO.

During the call today, we will be discussing both GAAP and non-GAAP financial measures. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures and an explanation of why these non-GAAP financial measures are useful can be found in this morning's earnings release, which is available on our website,

Some of the statements we will make today are considered forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may address the financial condition, business initiatives, growth plans, investments and expected performance of the Company and are subject to risks and uncertainties that could cause actual results to differ materially from such forward-looking statements. Please refer to the Company's current earnings release and our most recent 10-K for more information on these risks and uncertainties. The Company undertakes no obligation to update or revise any forward-looking statements to reflect events or circumstances that may arise after the date of this call.

I will now turn the call over to Corie.

Corie Barry

Good morning, everyone and thank you for joining us. Before we get into the details of our results, on behalf of all of us at Best Buy, I want to extend our sincere appreciation and gratitude to all those who are on the front lines, working to keep us safe or maintain essential services. And we offer our heartfelt sympathy to all those who have lost someone to this virus or who are sick with COVID-19.

Today, we are reporting Q1 revenue of $8.56 billion, which is a decline of 6.3% from the first quarter of last year. Our Q1 non-GAAP earnings per share were $0.67 compared to $1.02 last year. The Q1 non-GAAP operating income rate of 2.9% was down 90 basis points from last year, primarily due to the operational disruptions caused by the pandemic, which Matt will provide more details on later.

This pandemic has changed the way we work, learn, care for ourselves, and importantly, connect with each other. Against that backdrop, our purpose has never been more relevant, to enrich lives through technology. It is because of that purpose that we were in virtually every jurisdiction with the stay-at-home order in place, designated an essential retailer, because of the products and services we offer.

I wanted to take a moment to share how Best Buy has been responding and will continue to respond to the crisis we all face. There are scenarios we plan for as business leaders and