Core Viewpoint - Best Buy Co., Inc. reported first-quarter fiscal 2026 results with revenues in line with estimates but a decline in both revenues and earnings year over year, leading to a downward revision of full-year guidance due to tariff impacts [1][3][13]. Financial Performance - Adjusted earnings per share were $1.15, surpassing the Zacks Consensus Estimate of $1.09 but down from $1.20 in the prior year [3]. - Enterprise revenues reached $8,767 million, nearly matching the consensus mark of $8,766 million but down 0.9% from $8,847 million in the previous year [3]. - Gross profit decreased by 0.7% to $2,049 million, while gross margin expanded by 10 basis points to 23.4% [4]. - Adjusted operating income remained flat at $333 million, with an adjusted operating margin of 3.8% unchanged from the prior year [4]. Operational Insights - Domestic revenues were $8,127 million, down 0.9% year over year, attributed to a comparable sales decline of 0.7% [6]. - Domestic online revenues increased by 2.1% to $2.58 billion, accounting for 31.7% of total domestic revenues, up from 30.8% in the previous year [7]. - International revenues fell to $640 million, a decrease of 0.6% year over year, impacted by foreign currency fluctuations and comparable sales decline [9]. Guidance and Future Outlook - For fiscal 2026, Best Buy expects revenues between $41.1 billion and $41.9 billion, down from the previous range of $41.4 billion to $42.2 billion [13]. - The company revised its comparable sales forecast to a range of down 1% to up 1%, compared to earlier guidance of flat to 2% growth [13]. - Adjusted earnings per share are now projected to be between $6.15 and $6.30, slightly lower than the previous range of $6.20 to $6.60 [14].

Financial Data and Key Metrics Changes - The company reported net sales of $1.4 billion, an increase of 2.9% compared to the prior year, marking the strongest underlying sales performance since 2021 [25][14] - Earnings per diluted share were $0.49, exceeding the high end of the guidance range [14] - Gross profit rate was 45.4%, an increase of 160 basis points year-over-year, driven by a 100 basis point improvement in merchandise margin [27][28] Business Line Data and Key Metrics Changes - Body care grew low single digits, driven by the success of the Disney Princess line and the expansion of the everyday luxuries line [18][20] - Home fragrance also grew low single digits, with strong performance from single wick candles and wallflowers [18] - Soaps and sanitizers grew mid single digits, supported by on-the-go products [19] Market Data and Key Metrics Changes - U.S. and Canadian store net sales totaled $1.1 billion, an increase of 4.3% versus the prior year [26] - Direct net sales were $250 million, a decrease of 4.3% compared to last year, but adjusted for Buy Online Pickup in Store (BOPIS), direct sales outperformed store sales [26] - International sales, representing about 5% of total net sales, grew approximately 10.1% to $64 million [27] Company Strategy and Development Direction - The company aims to transform Bath and Body Works by focusing on consumer-centric strategies, enhancing digital capabilities, and exploring new distribution channels [7][10] - International expansion is a key pillar of the long-term strategy, with plans for at least 30 new store openings in 2025 [29][11] - The company is committed to fewer, bolder priorities to accelerate growth through consistent and repeatable drivers [49] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to absorb current tariff levels and maintain guidance for net sales growth of 1% to 3% for the full year [30][31] - The leadership team is optimistic about the innovation pipeline for the second half of the year, including new product launches and collaborations [46][71] - The company is focused on enhancing customer engagement through its loyalty program, which has approximately 39 million active members [21][22] Other Important Information - The company plans to invest $250 million to $270 million in capital expenditures during the year, focusing on real estate and technology [33] - The loyalty program has been enhanced to increase reward redemption options, aiming to drive higher engagement and sales [22] Q&A Session Summary Question: What attracted you to Bath and Body Works? - The CEO highlighted the emotional connection consumers have with the brand and the strong foundation of the business, including a dedicated workforce and a vertically integrated supply chain [40][41] Question: Can you elaborate on the go-forward top line commentary? - Management noted that Disney was a key driver of sales growth and expressed confidence in upcoming product launches, including Father's Day promotions [44][46] Question: What are the long-term growth rates for body care and home fragrance? - Management expects body care to grow above low single digits over time, while home fragrance is currently facing market pressures but is still growing [66][67] Question: How do you view pricing strategy in light of tariffs? - The company plans to remain agile with pricing, ensuring that it meets customer expectations while maintaining value [100] Question: What are the plans for international expansion? - The CEO emphasized the importance of selecting priority markets and matching them with appropriate business models for growth [101][102]

Best Buy (BBY) Q1 2026 Earnings Call May 29, 2025 08:00 AM ET Company Participants Mollie O'Brien - Vice President, Investor RelationsCorie Barry - CEOMatt Bilunas - CFO & Senior EVP of Enterprise StrategyJason Bonfig - Senior Executive VP of Customer Offerings & FulfillmentSteven Zaccone - Director, Equity Research, Hardlines RetailJonathan Matuszewski - Senior Vice President Conference Call Participants Scot Ciccarelli - MD & Senior Research AnalystMichael Baker - Managing Director, Senior Research Analys ...

Best Buy (BBY) Q1 2026 Earnings Call May 29, 2025 08:00 AM ET Speaker0 Ladies and gentlemen, thank you for standing by. Welcome to Best Buy's First Quarter Fiscal twenty twenty six Earnings Conference Call. At this time, all participants are in a listen only mode. Later, we will conduct a question and answer session. At that time, if you have a question, you will need to press star one on your phone. If you choose to be taken out of the question queue, please press star one again. As a reminder, this call i ...

DICK’S Sporting Goods (DKS) Q1 2026 Earnings Call May 28, 2025 08:00 AM ET Speaker0 Ladies and gentlemen, thank you for standing by. My name is Krista, and I will be your conference operator today. At this time, I would like to welcome everyone to the DICK'S Sporting Goods First Quarter twenty twenty five Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session. Thank you. And I would now like to tu ...

2 We believe sports have the power to change lives. 3 We create confidence and excitement by inspiring, supporting, and personally equipping all athletes to achieve their dreams. We create an inclusive environment where all TEAMMATES can thrive. We create and build leading brands that serve and inspire ATHLETES. We make a lasting impact on COMMUNITIES through sport. We deliver SHAREHOLDER value through growth and relentless improvement. Together with our Foundation, we have provided over $200 million in gra ...

Core Insights - Walmart and Target are both major players in the retail sector, with Walmart being the largest retailer globally, known for its scale and competitive pricing, while Target focuses on affordable style and curated merchandising [1][2] - As of 2025, both companies are facing challenges from cautious consumer spending and e-commerce competition, with Walmart emphasizing its strengths in grocery and logistics, and Target working on recovering from margin pressures [2][3] Walmart's Performance - Walmart's diversified business model and multi-channel revenue approach, including physical stores, e-commerce, advertising, and memberships, provide a strong foundation for long-term growth [6][10] - In Q1 of fiscal 2026, Walmart's advertising revenues increased by 50%, and membership income grew by 14.8%, indicating a successful shift towards higher-margin services [7] - Global e-commerce sales rose by 22% in Q1 of fiscal 2026, supported by improved last-mile delivery infrastructure aiming for same-day delivery to 95% of U.S. households [8] - Despite a strong start in 2025, Walmart has identified potential headwinds from tariffs and economic uncertainty, but its expanding e-commerce and high-margin segments offer resilience [9][10] Target's Performance - Target is focusing on operational discipline and customer value, showing signs of stabilization after previous challenges, with delivery speeds improving by 20% and same-day services increasing over 35% in Q1 of fiscal 2025 [11] - However, total sales declined by 2.8% in the same quarter, with a 3.8% drop in comparable sales and a 2.4% decrease in traffic, indicating ongoing struggles in discretionary categories [12] - Adjusted EPS fell to $1.30 from $2.03 year-over-year, with management projecting a low single-digit decline in full-year sales and revising EPS guidance to $7 to $9 due to macroeconomic headwinds [13][14] Comparative Analysis - The Zacks Consensus Estimate for Walmart's fiscal 2026 EPS is steady at $2.59, reflecting a projected growth of 3.2% year-over-year, while Target's EPS estimate for fiscal 2025 has decreased by 9.6% to $7.72, indicating a decline of 12.9% [15][17] - Over the past 12 months, Walmart's stock has returned 47.3%, significantly outperforming the S&P 500's 9.3% increase, while Target's stock has declined by 35.1% [18] - Walmart trades at a forward P/E ratio of 35.82x, compared to Target's 12x, reflecting stronger earnings visibility and market confidence in Walmart's performance [19] Conclusion - Target's strategic investments in digital capabilities and store enhancements are overshadowed by margin pressures and weak discretionary demand, while Walmart is positioned as a more stable investment with consistent earnings growth and strong omnichannel execution [20]

Core Viewpoint - Ulta Beauty, Inc. is expected to report its first-quarter fiscal 2025 earnings on May 29, with a consensus estimate for revenues at $2.79 billion, reflecting a 2.2% increase year-over-year, while earnings per share are projected to decline by 11.1% to $5.75 [1][2]. Group 1: Earnings Predictions - The Zacks Model predicts an earnings beat for Ulta Beauty, supported by a positive Earnings ESP of +0.23% and a Zacks Rank of 3 (Hold) [3][4]. - Ulta Beauty has historically delivered a trailing four-quarter earnings surprise of nearly 9% on average [2]. Group 2: Growth Drivers - The company continues to lead the beauty retail sector by integrating mass, prestige, and luxury brands, enhanced by a strong omni-channel strategy that combines physical retail expansion with digital innovation [5]. - Investments in marketing and social platforms are increasing brand visibility, while a focus on product assortment and loyalty engagement is driving customer traffic [5]. - The skincare segment, particularly brands like Sol de Janeiro and TATCHA, is contributing to growth, positioning the company favorably for the upcoming quarter [6]. Group 3: Challenges - Ulta Beauty faces pressure from rising selling, general and administrative (SG&A) expenses, which are expected to increase by 220 basis points to 26.6% of net sales for the fiscal first quarter [7]. - Margin performance is likely to be affected by lower merchandise margins and increased supply chain expenses [7]. - The ongoing decline in the Makeup category presents a risk to the company's growth momentum [7]. Group 4: Stock Performance and Valuation - Ulta Beauty's stock has increased by 12.8% over the past three months, outperforming the Zacks Retail - Miscellaneous industry's decline of 7.1% [9]. - The stock is currently trading at a forward 12-month price-to-earnings (P/E) ratio of 17.25, slightly above the industry average of 16.12 [9]. Group 5: Investment Outlook - Despite near-term challenges such as rising SG&A expenses and margin pressure, Ulta Beauty's long-term fundamentals remain solid, suggesting a balanced risk-reward profile for investors [10].

Total revenue in the year of $1,076.8 million, an increase of 18% year-over-yearTotal revenue in the quarter of $253.4 million, grew 10% year-over-year Gross margin improved to 44%, with gross profit increasing 12% year-over-yearMonthly ARPU1 grew 13% year-over-year to ~$489 while subscription ARPU1 grew 11%Repurchased ~18.7 million shares, or ~12% of total shares outstanding, for proceeds of ~$219 million in last 12 months2Lightspeed reports in US dollars and in accordance with IFRS Accounting Standards.MO ...

As DICK’S Sporting Goods Inc. (DKS) prepares to announce its first-quarter fiscal 2025 earnings on May 28, investors are closely watching for insights into its performance this season.DKS is expected to register a year-over-year sales increase in the quarter under review. The Zacks Consensus Estimate for revenues is pegged at $3.12 billion, indicating a rise of 3.4% from the year-ago quarter’s reported figure. However, the consensus estimate for earnings is pegged at $3.24 per share, which indicates a dip o ...