Electronics retailer Best Buy saw a big dip in sales of appliances in the first quarter, with comparable-store sales down 10.6 percent in that category.
Best Buy acknowledged a “challenging” environment in the category. The company said it attempted to offset some of the price declines by instituting price increases.
Still, the company said in a statement, “Best Buy estimates that it is increasing its market share in appliances as customers chose Best Buy's energy-efficient assortment and customer-focused labor model.”
Total earnings for the electronics retailer were $179 million, down 6.7 percent from $192 million in the previous year. Sales rose, however, 13.9 percent to $9 billion from $7.9 billion in the same period last year. Comparable-store sales rose 3.7 percent overall.
"It is very early in what we still expect to be a volatile year for the consumer," said Jim Muehlbauer, executive vp-finance and CFO for Best Buy. "While the challenges in the external environment will continue to make consumer spending difficult to predict, we are very encouraged by the local growth plans we've developed to serve our customers both today and into the future."