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

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JB Hi-Fi said online sales nearly doubled since the launch of a new website in August last year, accounting for 3.8 per cent of first-half sales, or $4.8m, compared to 2 per cent a year earlier.

For FY2018, management expects total sales to be around $6.85 billion and group net profit after tax (NPAT) in the range of $235 million to $240 million, which would be an increase of between 13.1% to 15.5% on underlying NPAT in the previous corresponding period.

Sales in New Zealand were down 0.4 per cent to $123.6 million and its earnings before interest and tax were zero, compared to $1m past year, although that was largely weighed down by $5m in lost sales and one-off closure costs.

Total sales in New Zealand dropped 0.4 per cent to $115.5 million ($NZ124.6 million).

"One JB Hi-Fi store was closed and we have exited whitegoods and rebranded the four stores to JB Hi-Fi" from JB Hi-Fi Home.

While the overall numbers were down in New Zealand, the company says the launch of a new website in August 2017 significantly stimulated NZ online sales, with growth figures of 89.8% to NZD 4.8 million (3.8% of total sales).

JB Hi-Fi has increased its interim dividend by 19.4 per cent to 86 cents per share, fully franked.

JB Hi-Fi added that sales from its appliances chain, The Good Guys, which it bought in 2016, grew just 1.8 percent on a comparable store basis in the six-month period.

A short time ago, the shares were down 7.6% to $25.95.

Management has controlled The Good Guys for 12 months now, and although it's still early days, the acquisition's performance has underwhelmed compared to JB's Australian segment.

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