JB Hi-Fi first-quarter sales fall; Good Guys tumbles
JB Hi-Fi boss Terry Smart says first-quarter sales are trading in line with expectations, trending softer at its Australian electronics stores and sinking 12.2 per cent at white goods retailer The Good Guys.
The group is well positioned “with the heightened uncertainty in the retail environment”, Mr Smart told investors at its annual meeting on Thursday.
Terry Smart says strong retail execution is vital in a tougher trading environment. Arsineh Houspian
“As we have continued to demonstrate, we will adapt and respond to the changing retail conditions to ensure we remain the number one destination for shoppers and grow our market share.”
September-quarter sales at JB Hi-Fi Australia fell 0.1 per cent, with comparable sales down 1.4 per cent.
“Q1 FY24 sales are in line with the group’s expectations cycling the elevated period from last year,” Mr Smart said.
“While total sales continue to be well above pre-COVID Q1 FY19, the group continues to see variability in category performance.”
Sales growth for JB Hi-Fi New Zealand was 1 per cent higher and comparable sales fell 1 per cent.
Mr Smart saidJB Hi-Fi’s strong retail execution is vital in the current environment, so it will focus on growing market share by attracting new customers with promotions.
“At the same time we will leverage the efficiency of our operating model, with our flexible business model and low-cost culture key to responding to changes in the environment,” he added.
Chairman Stephen Goddard, who is up for re-election, reminded shareholders that since 2019 the JB Hi-Fi share price has compounded at 4.3 per cent a year to October 25, exceeding the 0.4 per cent of the S&P/ASX 200 Index over the same period. Earnings have compounded 21.9 per cent a year over
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