Best Buy (BBY) 2nd quarter profits have beat analysts’ estimates. The retail store saw its stock rise 7.10% this morning (as of 11:40AM).

The electronic retail giant saw earnings rise almost 61% from $158 million to a whopping $254 million. Sales increased as well, but only by 2.7%.

The reason for such a large jump in Best Buy’s earnings can be attributed to an expansion in their operating margin.

“We’re still in the early stages of our Connected World strategy, but this quarter’s results give me continued confidence that we’re making progress in driving value through growth in connections for our customers, vendors and shareholders,” said Chief Executive Brian Dunn.

Shares of best buy at the time of this article were at $37.11, which is still well under the 52 week high of $48.83 seen last year.

According to reports, smartphones, laptops and tablets are hot products at the Best Buy stores nation wide, while video games and HDTV’s are faltering a bit. 3D TV’s are not selling anywhere near the amount that had been projected by many analysts.