JB Hi-Fi reaches $2bn revenue mark for 2016 half-year results

Gross profit increases 7.6 per cent

JB Hi-Fi reaches $2bn revenue mark for 2016 half-year results

JB Hi-Fi reaches $2bn revenue mark for 2016 half-year results

Consumer electronics retailer, JB Hi-Fi (JBH), has reported a revenue of $2.12 billion for its 2016 half-year results ending December 31, 2015. In a statement on the ASX, the company said its net profit after tax (NPAT) comes up to $95.2 million for the period, up from $88.5 million from the same time last year.

The company also achieved an increased gross profit of 7.6 per cent, but its gross margin was down to 21.7 per cent. It also mentioned that its cost of doing business was 14.3 per cent, resulting in an EBIT of $138.2 million and an EBIT margin of 6.5 per cent.

“This was a solid result with trading in the important November and December periods, particularly strong as we executed on a great promotional plan,” JB Hi-Fi CEO, Richard Murray, said.

Its online sales was up 28.9 per cent in the first half of 2016, representing about three per cent of all sales. The number of unique visitors to its website during the 12 months to December 31, 2015 averaged at 1.3 million per week.

Murray said HB Hi-Fi Solutions remains on track to deliver on its longer term aspirational sales target of about $500 million per annum, through both organic growth and strategic acquisitions. He said all departments achieved “solid growth” for the period.

“JB Hi-Fi Solutions is a key driver of our future growth. We continue with our aggressive recruitment plan as we expand our product and service offer,” he added.

The board also declared an interim dividend of $0.63 per share, fully franked, up $0.04 per share on the prior year. The interim dividend will be paid on March 4 and the record date for determining the entitlement will be February 19.

“The board believes that the company’s dividend payout ratio of 65 per cent appropriately balances the distribution of profit to shareholders and the reinvestment of earnings for future growth.”

During the 2016 half year period, the company completed an on-market buy-back of 0.7 million ordinary shares, at a cost of $13.2 million, to offset the dilutionary impact of shares expected to be issued to employees under the company’s share option plans in FY16.

It also opened seven new stores across the country and it expects to open a total of eight new stores in FY16.

Murray also said the market is expected to remain competitive as retailers cycle a strong second half in FY16. In FY16, the company expects total sales to be circa $3.9 billion and NPAT to be in the range of $143 million to $147 million.

“We continue with a strong investment program, including the rollout of JB Hi-Fi Home, the introduction of small appliances to existing stores, and upgrades to a number of our stores. This will position us well as we cycle a strong second half in the prior year,” he added.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags retailJB HiFiconsumer electronicsresults

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Hafizah Osman
Show Comments

Father’s Day Gift Guide

Brand Post

PC World Evaluation Team Review - MSI GT75 TITAN

"I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it."

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?