Best Buy Co. Inc (BBY)
Net 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 927,000 | 1,270,000 | 1,260,000 | 1,243,000 | 1,241,000 | 1,276,000 | 1,290,000 | 1,322,000 | 1,419,000 | 1,550,000 | 1,772,000 | 2,200,000 | 2,454,000 | 2,644,000 | 2,536,000 | 2,234,000 | 1,798,000 | 1,727,000 | 1,629,000 | 1,435,000 |
| 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 |
| Net profit margin | 2.23% | 3.01% | 2.96% | 2.90% | 2.86% | 2.93% | 2.91% | 2.93% | 3.06% | 3.23% | 3.60% | 4.33% | 4.74% | 5.05% | 4.85% | 4.44% | 3.80% | 3.79% | 3.75% | 3.33% |
February 1, 2025 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $927,000K ÷ $41,528,000K
= 2.23%
The net profit margin of Best Buy Co. Inc has fluctuated over the period provided, ranging from a low of 2.23% on February 1, 2025, to a high of 5.05% on October 30, 2021. The trend indicates some variability in the company's ability to convert its revenue into profit over time.
In general, a higher net profit margin is desirable as it signifies that the company is able to control its costs effectively and generate more profit from its sales. The upward trend from May 1, 2021, to October 30, 2021, reaching the peak of 5.05%, suggests an improvement in profitability during that period.
However, the net profit margin started declining after October 30, 2021, and continued to decrease until February 1, 2025, when it reached its lowest point of 2.23%. This downward trend may indicate challenges in maintaining profitability, possibly due to increasing expenses or other operational factors impacting the company's bottom line.
Overall, it is important for Best Buy Co. Inc to closely monitor and manage its expenses and revenue generation in order to sustain and improve its profitability over time.