The electronics retailer also intends to have $1 billion of additional efficiencies as well as cost reductions over the next five years, while still aiming for revenue of $43.1 billion to $43.6 billion for fiscal 2020, Chain Store Age reported.
“In this next chapter, our focus continues to be top-line growth,” Best Buy CFO Matt Bilunas said, according to the outlet. “We also believe the initiatives we will outline today, along with a continued focus on cost reductions, will result in operating income rate expansion over the five-year timeframe.”
The investors meeting is also a first for Corie Barry, who took over as chief executive in the summer. It also comes as Best Buy is making a push into the healthcare market, particularly with health-monitoring services and digital health technology. The retailer acquired Great Call last year, which is a company that provides emergency and health response services to seniors.
Barry and other executives were expected to outline the “Building the New Blue: Chapter Two” phase of the company’s strategy at the meeting. Barry said, according to the outlet, “Our Building the New Blue strategy is the right one, and it’s working.”
News surfaced this spring that Barry would become the company’s chief executive, effective in mid-June. Barry took over for Hubert Joly, who is credited with reviving the company.
In the firm’s announcement of her appointment in April, Barry said, “I am deeply honored to have been selected as Best Buy’s next CEO and look forward to working closely with Hubert, our Board, and the exceptional Best Buy family to continue the momentum we have been able to achieve.”
Barry continued, “Today’s technology and consumer landscape creates tremendous opportunities for Best Buy to further expand and deepen relationships with our customers and employees, while continuing to deliver shareholder value.”
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