Company: BBY
Filing Date: 2025-09-05
Form Type: 10-Q
Source: 0000764478-25-000040
Chunk: 53

Company: BEST BUY CO INC
Filing Date: 2025-09-05
Form: 10-Q
Item: Part I, Item 8
Chunk 53
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1,1541,170Less current portion101013Total long-term debt, less current portion$1,164$1,144$1,157Fair Value and Future MaturitiesSee Note 4, Fair Value Measurements, for the fair value of long-term debt. Both the 2028 Notes and the 2030 Notes mature within the next five fiscal years.

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7.     Revenue

We generate substantially all of our revenue from contracts with customers from the sale of products and services. Contract balances primarily relate to unfulfilled membership benefits and services not yet completed, product merchandise not yet delivered to customers, deferred revenue from our private label and co-branded credit card arrangement and unredeemed gift cards. Contract balances were as follows ($ in millions):August 2, 2025February 1, 2025August 3, 2024Receivables, net(1)$486$504$474Short-term contract liabilities included in:Unredeemed gift card liabilities230253243Deferred revenue889951940Accrued liabilities605064Long-term contract liabilities included in:Long-term liabilities213229233(1)Receivables are recorded net of allowances for expected credit losses of $14 million, $20 million and $16 million as of August 2, 2025, February 1, 2025, and August 3, 2024, respectively. During the first six months of fiscal 2026 and fiscal 2025, $853 million and $893 million of revenue was recognized, respectively, that was included in the contract liabilities at the beginning of the respective periods. Estimated revenue from our contract liability balances expected to be recognized in future periods if the performance of the contract is expected to have an initial duration of more than one year is as follows ($ in millions):Fiscal YearAmountRemainder of fiscal 2026$17Fiscal 202733Fiscal 202829Fiscal 202926Fiscal 203026Fiscal 203126Thereafter89See Note 11, Segments, for information on our revenue by reportable segment and product category.

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8.     Earnings per Share

We compute our basic earnings per share based on the weighted-average number of common shares outstanding and our diluted earnings per share based on the weighted-average number of common shares outstanding adjusted by the number of additional shares that would have been outstanding had the potentially dilutive common shares been issued as calculated using the treasury stock