Over Half Of JB Hi-Fi Stores Now Closed
JB Hi-Fi enjoyed a bumper financial year in the twelve month period ending June, as its net profit jumped 67.4 per cent to $506.1 million, marking its eighth consecutive year of making record profits.
However, the good fortune may soon be up, as new CEO Terry Smart says that 55 per cent of JB Hi-Fi stores are currently closed as a result of the various lockdowns across the country.
Sales fell 14.9 per cent over the past six-week period, compared to the same period the year prior. Despite this, sales are still 19.4 per cent higher than the same six-week period in 2019.
“We’re seeing the impact of store closures in NSW and Victoria, but high involvement purchases such as cooking and higher average selling price products tend to get delayed more than [lost], and when stores reopen you tend to pick a lot of those back up again,” Smart said.
“While it remains an uncertain retail environment, we have continued to demonstrate our ability to adapt and respond. The combination of our passionate and knowledgeable team members, our multichannel offer, including quality store locations and established online offerings, and our ongoing investment in our supply chain gives us confidence in the outlook for the business.”
The company did not issue 2022 guidance, for these very reasons.