Best Buy Co. Inc (BBY)
Gross profit margin
| Feb 1, 2025 | Nov 2, 2024 | Aug 3, 2024 | May 4, 2024 | Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 9,385,000 | 9,468,000 | 9,483,000 | 9,517,000 | 9,603,000 | 9,542,000 | 9,642,000 | 9,709,000 | 9,912,000 | 10,285,000 | 10,755,000 | 11,278,000 | 11,640,000 | 11,870,000 | 11,863,000 | 11,323,000 | 10,573,000 | 10,265,000 | 9,831,000 | 9,844,000 |
| Revenue (ttm) | US$ in thousands | 41,528,000 | 42,226,000 | 42,537,000 | 42,832,000 | 43,452,000 | 43,541,000 | 44,372,000 | 45,118,000 | 46,298,000 | 47,928,000 | 49,251,000 | 50,771,000 | 51,761,000 | 52,333,000 | 52,276,000 | 50,337,000 | 47,262,000 | 45,521,000 | 43,432,000 | 43,058,000 |
| Gross profit margin | 22.60% | 22.42% | 22.29% | 22.22% | 22.10% | 21.91% | 21.73% | 21.52% | 21.41% | 21.46% | 21.84% | 22.21% | 22.49% | 22.68% | 22.69% | 22.49% | 22.37% | 22.55% | 22.64% | 22.86% |
February 1, 2025 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $9,385,000K ÷ $41,528,000K
= 22.60%
Best Buy Co. Inc's gross profit margin has shown a relatively stable trend over the past few years, hovering around the low 20% range. The company's gross profit margin decreased slightly from around 22.86% in May 2020 to 21.46% in October 2022 before gradually recovering to 22.60% in February 2025.
The fluctuations in the gross profit margin may indicate changes in the company's pricing strategy, cost of goods sold, or sales performance. It is essential for Best Buy to closely monitor its gross profit margin to ensure operational efficiency and profitability.
Overall, maintaining a gross profit margin above 20% is generally considered healthy for a retail company like Best Buy, as it reflects the percentage of revenue retained after accounting for the cost of goods sold. Continued monitoring and analysis of this metric will be crucial for Best Buy to make informed business decisions and sustain its financial performance.