Well, Delta Airlines shares are surging after earnings. Let's get to Phil Leau with a special guest, Delta Airlines CEO, Ed Bastian. Hey, Phil. Hey, Ed. Hey, Joe.Ed, thank you very much. Uh, we just had the numbers we reported about a half hour ago. You beat the street for Q2, albeit expectations had been lowered, but more importantly, you give guidance for the full year, 525 to 625, the streets at 539, but this is down substantially from what you guys expected in January of at least 735.What's changed in t ...

Core Viewpoint - Best Buy has adjusted its revenue and profit guidance for fiscal 2026 due to the impact of higher tariffs, reflecting a challenging retail environment [2][3] Financial Performance - Best Buy's net income for the three-month period ending May 3 declined by approximately 18% to $202 million from $246 million in the same period last year [5] - First-quarter revenue dropped from $8.85 billion in the year-ago period [5] - Comparable sales fell by 0.7% year-on-year in the U.S., with declines in categories like home theaters and appliances, although there was growth in computing, cell phone, and tablet categories [6] Revenue Guidance - The company downgraded its revenue expectations for fiscal 2026 to a range of $41.1 billion to $41.9 billion, down from a previous range of $41.4 billion to $42.2 billion [2] Tariff Impact and Strategy - Best Buy has increased prices on some items due to higher costs from tariffs, with changes implemented by mid-May [2] - The company has reduced its reliance on Chinese imports, with China now accounting for 30% to 35% of its merchandise, down from 55% [7][8] - About 25% of merchandise comes from the U.S. or Mexico, which are not subject to tariffs, while the remaining 40% is sourced from other countries like Vietnam, India, South Korea, and Taiwan, which face a 10% tariff [7][8] Operational Adjustments - Best Buy has encouraged vendors to manufacture in multiple countries, negotiated lower costs, and adjusted its merchandise mix [9] - The company is focusing on improving customer experience, enhancing digital and in-store integration, and expanding its third-party marketplace and retail media businesses [9] Market Trends - Following a pandemic-related boost in sales for home offices and entertainment centers, Best Buy has faced declining sales over the past three years [10] - The lack of hit tech products has been a challenge, but new product launches, such as the Nintendo Switch 2, are anticipated to attract customers [11] - Smartphone sales have shown strength, with increased staffing at Best Buy stores by Verizon and AT&T to meet demand [12]