Best Buy lifts guidance; tech demand remains firm

Best Buy is betting that it will see more demand for computer equipment as the the work-from-home trend that started during the health crisis extends into the future.

The electronics retailer boosted its full-year sales guidance Tuesday, contradicting Wall Street fears that Best Buy would suffer a slowdown after a sales boom last year.

A big chunk of that boom came as students and schools rushed into remote learning.

But sales of laptops, webcams and other computer accessories continued to fly off shelves in recent months - leading to a stronger-than-expected quarterly surge in comparable sales of 20 percent.

Total revenues hit nearly $12 billion and profits easily topped forecasts.

And the trend seems likely to continue:

Many companies are delaying return-to-office plans.

Employers are also crafting new hybrid work models as employees call for more flexibility in work structure after successfully navigating working from home.

CEO Corie Barry is confident that will keep the tech upgrade cycle going.

Shares of Best Buy have rallied more than 12 percent so far this year and were up in early Tuesday trading.

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