Home > Industry > BREAKING NEWS:COVID-19 Delivers Record Numbers For JB Hi Fi

BREAKING NEWS:COVID-19 Delivers Record Numbers For JB Hi Fi

JB Hi-Fi Limited has reported an 11.6% increase in sales to $7.9 billion, EBIT is up 33.2% to $332.7 million (Statutory NPAT up 21.0% to $302.3M.

The retailer delivered $600m in online sales across the Group which was up 50% year on year, with Q4 up 134%.

The retailer has also announced that the final dividend is up 76.5% to 90 cps and total FY20 dividend up 33.1% to 189 cps.

The Company has also rewarded their store and warehouse team members with bonuses  in appreciation of the incredible

contribution they have made during Covid-19 said CEO Richard Murray.

Total JB Hi Fi sales grew by 12.5% to $5.32 billion, with comparable sales up 12.2%.

Management said that sales momentum was strong through the year and accelerated in Q4 as customers spent more time working, learning, and seeking entertainment at home.

The key growth categories were Communications, Computers, Visual, Audio and Small Appliances.

JB Hi Fi online sales grew 56.6% to $404.0 million or 7.6% of total sales, with Q4 sales up 155.2%.

Gross profit increased by 11.7% to $1.17 billion resulting in a gross margin of 22.0%.

Cost of doing business (“CODB”) was 14.1%, down 80 bps on the pcp.

The Good Guys

Total sales growth for The Good Guys was 40.4% (July 2019: -2.1%) with comparable sales growth of

40.4% (July 2019: -3.4%).

TGG total sales grew by 11.2% to $2.39 billion, with comparable sales up 10.8%.

TGG management reported that sales momentum improved through the year and accelerated in Q4 as customers spent more time working and learning at home as well as upgrading their home appliances and entertainment products.

he key growth categories were Portable Appliances, Floorcare, Laundry, Computers and Televisions. Online sales were up 33.0% to $174.2 million.

JB Hi-Fi said its Australian arm for fiscal 2020 grew sales by 12.5 per cent to $5.32bn, ahead of guidance of $5.26bn, with like for like sales up by 12.2 per cent.

Sales momentum was strong through the year and accelerated in the fourth quarter as customers spent more time working, learning and seeking entertainment at home.

Gross profit increased by 11.7 per cent to $1.17bn resulting in a gross margin of 22 per cent.. Cost of doing business was 14.1 per cent, down 80 basis points.

The retailer said elevated sales growth and cost control more than offset the additional operating costs associated with ensuring that team members and customers remained safe during COVID-19 and resulted in strong earnings growth. Divisional EBIT was up 26.2 per cent to $380.8m.

Group CEO, Richard Murray, said “I would like to recognise and thank our almost 13,000 team members who have done an incredible job in meeting the extraordinary challenges faced during FY20. Our customers

have continued to turn to us for their technology and home appliance needs and our team members have responded and adapted in an amazing manner to make sure we can meet these needs safely and effectively.”

In recognition of the incredible contribution store and warehouse team members have made during Covid19, in June the Group paid a cash bonus of $1,000 to each of its full-time customer facing team members (pro-rated for part-timers and casuals) in JB Hi-Fi Australia, The Good Guys and JB Hi-Fi New Zealand.

The Group did not receive any Australian Government Covid-19 subsidies. The Group received NZD3.0million from the New Zealand Government’s wage subsidy scheme, which supported team member wages while the New Zealand stores were closed.

JB HI-FI New Zealand

JB Hi Fi said that total sales were down 5.7% to NZD222.8 million, with comparable sales down 5.7%. Q4 sales were materially impacted by the temporary closure of stores because of the New Zealand Government restrictions.

More to follow.

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