Best Buy 2007 Annual Report Download - page 41

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Item 6. Selected Financial Data.
The following table presents our selected financial data. The table should be read in conjunction with Item 7, Management’s
Discussion and Analysis of Financial Condition and Results of Operations, and Item 8, Financial Statements and
Supplementary Data, of this Annual Report on Form 10-K. Certain prior-year amounts have been reclassified to conform to
the current-year presentation. In fiscal 2004, we sold our interest in Musicland. All fiscal years presented reflect the
classification of Musicland’s financial results as discontinued operations.
Five-Year Financial Highlights
$ in millions, except per share amounts
Fiscal Year 2007(1) 2006(2) 2005(3) 2004 2003
Consolidated Statements of Earnings Data
Revenue $35,934 $30,848 $27,433 $24,548 $20,943
Operating income 1,999 1,644 1,442 1,304 1,010
Earnings from continuing operations 1,377 1,140 934 800 622
Loss from discontinued operations, net of tax — — — (29) (441)
Gain (loss) on disposal of discontinued operations, net of tax — — 50 (66) —
Cumulative effect of change in accounting principles, net of tax(4) ————(82)
Net earnings 1,377 1,140 984 705 99
Per Share Data(5)
Continuing operations $ 2.79 $ 2.27 $ 1.86 $ 1.61 $ 1.27
Discontinued operations — — — (0.06) (0.89)
Gain (loss) on disposal of discontinued operations — — 0.10 (0.13) —
Cumulative effect of accounting changes — — — — (0.16)
Net earnings 2.79 2.27 1.96 1.42 0.20
Cash dividends declared and paid 0.36 0.31 0.28 0.27 —
Common stock price:
High 59.50 56.00 41.47 41.80 35.83
Low 43.51 31.93 29.25 17.03 11.33
Operating Statistics
Comparable store sales gain(6) 5.0% 4.9% 4.3% 7.1% 2.4%
Gross profit rate 24.4% 25.0% 23.7% 23.9% 23.6%
Selling, general and administrative expenses rate 18.8% 19.7% 18.4% 18.6% 18.8%
Operating income rate 5.6% 5.3% 5.3% 5.3% 4.8%
Year-End Data
Current ratio(7)(8) 1.4 1.3 1.4 1.3 1.3
Total assets(7) $13,570 $11,864 $10,294 $ 8,652 $ 7,694
Debt, including current portion(7) 650 596 600 850 834
Total shareholders’ equity 6,201 5,257 4,449 3,422 2,730
Number of stores
Domestic 868 774 694 631 567
International 304 167 144 127 112
Total 1,172 941 838 758 679
Retail square footage (000s)
Domestic 33,959 30,826 28,465 26,640 24,432
International 7,926 3,564 3,139 2,800 2,375
Total 41,885 34,390 31,604 29,440 26,807
(1) Fiscal 2007 included 53 weeks. All other periods presented included 52 weeks.
(2) In the first quarter of fiscal 2006, we early-adopted the fair value recognition provisions of Statement of Financial
Accounting Standards (“SFAS”) No. 123 (revised 2004), Share-Based Payment (“123(R)”), requiring us to recognize
expense related to the fair value of our stock-based compensation awards. We elected the modified prospective
transition method as permitted by SFAS No. 123(R) and, accordingly, financial results for years prior to fiscal 2006
have not been restated. Stock-based compensation expense in fiscal 2007 and 2006 was $121 ($82 net of tax) and
$132 ($87 net of tax), respectively. Stock-based compensation expense recognized in our financial results for years
prior to fiscal 2006 was not significant.
Footnotes continue on next page.