Best Buy Sees Profit Double as Sales Rise 18%

Best Buy Co. said fiscal third-quarter earnings more than doubled as increased demand for notebook computers, large-screen televisions and digital cameras helped the retailer gain market share from competitors.

Net income climbed to $122 million, or 37 cents a share, from $59 million, or 18 cents, a year earlier, Richfield, Minn.-based Best Buy said. Sales in the three months ended Nov. 29 rose 18% to $6.03 billion.

Best Buy boosted advertising, increased staffing and introduced exclusive merchandise such as a music DVD set by the Rolling Stones.

*

* Circuit City Stores Inc., the No. 2 U.S. electronics chain, posted a fiscal third-quarter profit, contrasted with a loss a year earlier, after switching its sales force to hourly workers from a commission basis and remodeling stores. It had net income of $1.47 million, or 1 cent a share, compared with a net loss of $17.8 million a year earlier.

* FedEx Corp.’s fiscal second-quarter profit fell 63% from last year because of higher-than-expected costs of an early retirement and voluntary severance program. The company reported profit of $91 million, or 30 cents a share, for the quarter that ended Nov. 30, down from $245 million, or 81 cents, last year.

* General Mills Inc. said net income for its fiscal second quarter rose to $308 million, or 81 cents a share, from $276 million, or 73 cents, a year earlier.

* 3Com Corp., a maker of computer-networking equipment, said its loss widened to $139 million, or 37 cents a share, in its fiscal second quarter from $68.5 million, or 19 cents, a year earlier.