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Table of Contents
29
Results of Operations
In order to align our fiscal reporting periods and comply with statutory filing requirements in certain foreign jurisdictions, we
consolidate the financial results of our Mexico operations, as well as our discontinued China and Europe operations, on a lag.
Consistent with such consolidation, the financial and non-financial information presented in our MD&A relative to these
operations is also presented on a lag. Our policy is to accelerate the recording of events occurring in the lag period that
significantly affect our consolidated financial statements. There were no significant intervening events which would have
materially affected our financial condition, results of operations, liquidity or other factors had they been recorded during fiscal
2015.
On November 2, 2011, our Board approved a change in our fiscal year-end from the Saturday nearest the end of February to the
Saturday nearest the end of January, effective beginning with our fiscal year 2013. As a result of this change, our fiscal year
2013 transition period was 11 months and ended on February 2, 2013. Refer to Note 1, Summary of Significant Accounting
Policies, of the Notes to Consolidated Financial Statements, included in Item 8, Financial Statements and Supplementary Data,
of this Annual Report on Form 10-K for further information.
In this MD&A, when financial results for fiscal 2014 are compared to financial results for fiscal 2013, the results for the 12-
month fiscal 2014 are compared to the results for the 11-month transition period from fiscal 2013. Fiscal 2014 (12-month)
included 52 weeks and fiscal 2013 (11-month) included 48 weeks. The following tables show the fiscal months included within
the various comparison periods in our MD&A:
Fiscal 2015 (12-month) Results Compared With Fiscal 2014 (12-month)(1)
2015 (12-month) 2014 (12-month)
February 2014 - January 2015 February 2013 - January 2014
(1) For entities reported on a lag, the fiscal months included in fiscal 2015 (12 month) and fiscal 2014 (12-month) were January through December.
Fiscal 2014 (12-month) Results Compared With Fiscal 2013 (11-month)(1)
2014 (12-month) 2013 (11-month)
February 2013 - January 2014 March 2012 - January 2013
(1) For entities reported on a lag, the fiscal months included in fiscal 2014 (12-month) were January through December and for fiscal 2013 (11-month) were
February through December.
Discontinued Operations Presentation
The results of mindSHIFT in our Domestic segment and Best Buy Europe and Five Star in our International segment are
presented as discontinued operations in our Consolidated Statements of Earnings. Unless otherwise stated, financial results
discussed herein refer to continuing operations.
Domestic Segment Installment Billing Plans
In April 2014, we began to sell installment billing plans offered by mobile carriers to our customers to complement the more
traditional two-year plans. While the two types of contracts have broadly similar overall economics, installment billing plans
typically generate higher revenues due to higher proceeds for devices and higher cost of sales due to lower device subsidies. As
we increase our mix of installment billing plans, there is an associated increase in revenue and cost of goods sold and a
decrease in gross profit rate, with gross profit dollars relatively unaffected. We estimate that our fiscal 2015 Enterprise and
Domestic comparable sales of 0.5% and 1.0%, respectively, both include a 0.5% of revenue impact from this classification
difference. The impact on our consolidated gross profit rate was immaterial.
Consolidated Results
Fiscal 2015 Summary
• Fiscal 2015 included net earnings from continuing operations of $1.2 billion, compared to $695 million in fiscal 2014. Net
earnings in fiscal 2015 included a $353 million discrete tax benefit related to reorganizing certain European legal entities,
while fiscal 2014 included $149 million of restructuring charges. Earnings per diluted share from continuing operations
was $3.53 in fiscal 2015, compared to $2.00 in fiscal 2014.