Electronics retailer Best Buy Co Inc lowered its full-year sales and profit forecasts on Tuesday, as red-hot inflation saps consumers’ spending power.

However, Best Buy shares jumped 8% in premarket trading after the company beat estimates for first-quarter revenue.

Its stock fell over 16% last week as retail behemoths Walmart Inc and Target Corp said surging prices of everything from toothpaste to gas was forcing consumers to prioritize household essentials over discretionary items such as electronics.

Best Buy said it was expecting full-year sales comparable to fall 3% to 6%, compared with its previous forecast of a 1% to 4% drop.

It expects fiscal 2023 adjusted earnings per share of $8.40 to $9, compared with its previous forecast of $8.85 to $9.15.

Total revenue fell to $10.65 billion from $11.64 billion in the first quarter ended April 30, but beat expectations of about $10.41 billion, according to IBES data from Refinitiv.

(Reporting by Uday Sampath in Bengaluru)