Best Buy revenues drop during holiday period

Best Buy shares plunged 26 percent in the premarket Thursday after the retailer said its total revenue dropped to $11.45 billion in the holiday period from $11.75 billion a year earlier.

Same-store sales fell 0.8% in the nine weeks ended Jan. 4, compared with a decline of 1.7% in the year-ago period.

In the domestic segment, comparable sales fell 0.9% versus no change a year earlier, while same-store online sales jumped 23.5% compared to a 10.0% increase a year ago.

Analysts had expected Best Buy’s same-store sales to rise 0.5%, according to Retail Metrics President Ken Perkins.

The retailer said price competitiveness came at a higher-than-expected cost and cut its view on its fourth-quarter non-GAAP operating income rate.

Still, Best Buy said it gained market share during the holiday period.

This article originally appeared on Marketwatch.com.