JB Hi-Fi hardware sales rocket up

Impressive gains for Connected Homes.

Hardware sales were up 5.4% for JB Hi-Fi in the year ended 30 June, 2019, driven by communications, audio, fitness, games hardware and connected tech categories.

“Audio had a solid year enjoying strong sales in an aggressive market with headphones, both in-ear and over-ear, particularly in wireless categories. We continued to take a price leadership position for Bose and Sony models in the second half.

“Fitness also performed with growth coming from trackers and smart watches. Games hardware too was strong, particularly with Nintendo Switch. Connected Homes also sold well with good results coming from Google and security systems like Arlo and Swann. Telco’s were also selling well with results coming from key brands.”

There were good sales for DVD but headline sales continued to be a challenge while the Solutions business recorded double digit sales and is on track to deliver on a sales target of $500 million.

Photo Credit: Penny Stephens, The Age

Total sales for The Good Guys grew 2.2% to $2.15 billion, with comparable sales up 0.9%. Key growth categories were refrigeration particularly French Door models, large capacity and combo washers and dryers, dishwashers driven by strong offers across key price points , large screen TVs, communications and computers. Online sales rose 3.7% to $130.9 million or 6.1% of total sales. “Two new stores were opened and both are performing well,” Murray said.

JB Hi-Fi New Zealand total sales were up 2.0% to NZ$236.2 million, with comparable sales up 8.2%. Key growth categories were communications, fitness, audio and small appliances. An improved online platform contributed to a 38.3% increase in sales to NZ$13.3 million or 5.6% of total sales.

“There is some variability in the sales environment but for a retail business the all-important Christmas trading period is ahead of us so we need to nail Christmas.”

Murray said challenges across the business came down to simplifying things:  “Business at its heart has the desire for simplicity.”

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