JB Hi-Fi Must Be Still Selling A Lot Of Games And Consoles

Monday, 12 Feb, 2018

JB Hi-Fi has lifted first-half profit 37.4 per cent to $151.7 million after a healthy Christmas sales performance across its expanded store network.

Total sales for the half year period rose 23 percent, totalling $3.68 billion while online sales grew by a sizeable 40 percent, accounting for 4.8 percent of total sales.

Comparable sales at its flagship Australian JB Hi-Fi stores grew 7.8 per cent, driven by strong trading in phones, computers, audio equipment, drones, and gaming hardware.

Despite the launch of Amazon Australia, JB Hi-Fi has posted a "record" HY18 earnings result, notching a 21% rise in net profit [after tax], and a 41% increase in total sales.

JB Hi-Fi declared an interim dividend of 86 Australian cents per share, up from 72 Australian cents a year ago.

Despite this, half-year total sales for The Good Guys jumped a whopping 318% notching $1.09 billion.

The company, which operates in Australia and New Zealand, forecast sales of about A$6.85 billion for the full 2018 financial year, and underlying net profit between A$235 million and A$240 million, 13 to 16 percent higher than the previous underlying profit.

The Good Guys' sales fell 4.7 per cent in January, which JB Hi-Fi said was impacted by cycling strong sales of seasonal products like air conditioning units.

"We are pleased with the progress we have made at The Good Guys and are confident about the future opportunities for the Group". In November, building approvals for new homes in Australia surged to 15-month highs. This comprises $4.75 billion from JB Hi-Fi and $2.1 billion from The Good Guys.