JBH
Jb Hi-fi Limited
ASX
2024 AGM Addresses and Presentation
Sentiment:
Annual Results
30 October 2024 5:50 PM
JB Hi-Fi Limited reported strong FY24 results, with $9.59 billion in Group sales and $647.2 million in Group EBIT, driven by a focus on value and exceptional customer service.
Better than expected
The strong FY24 results, exceeding expectations with significant growth in sales and EBIT, indicate better than expected performance.
The positive Q1 FY25 sales growth across all brands further supports the better than expected results.
Summary
- JB Hi-Fi Limited (JBH) reported strong financial results for the fiscal year ending June 30, 2024 (FY24).
- Group sales reached $9.59 billion, Group EBIT was $647.2 million, and earnings per share were 401.4 cents.
- A total ordinary dividend of 261 cents per share (cps) was paid, representing 65% of net profit after tax (NPAT), along with an 80 cps special dividend.
- The company ended FY24 with $302.7 million in net cash.
- In September 2024, JBH acquired 75% of e&s, a premium home appliance and bathroom retailer.
- JBH's Q1 FY25 sales update showed positive growth across all brands: JB Hi-Fi Australia (4.9% total sales growth, 5.0% comparable sales growth), JB Hi-Fi New Zealand (19.6% total sales growth, 2.7% comparable sales growth), and The Good Guys (5.3% total sales growth, 5.0% comparable sales growth).
- The company highlighted its four key competitive advantages: scale, low-cost operating model, multichannel capability, and people and culture.
- JBH's share price has shown strong compound annual growth rates (CAGRs) since its listing in 2003 and more recently since 2019.
Sentiment
Score: 8
Explanation: The document presents overwhelmingly positive results and future outlook, with strong financial performance and strategic acquisitions. However, the acknowledgement of a 'tough retail environment' slightly tempers the overall sentiment.
Positives
- Strong FY24 financial results with significant growth in sales and EBIT.
- Successful acquisition of e&s, expanding the company's product offerings and customer base.
- Positive Q1 FY25 sales growth across all brands.
- Strong balance sheet with significant net cash.
- Consistent dividend payments with a special dividend in FY24.
- High compound annual growth rates in share price, EPS, and dividends since listing and since 2019.
Risks
- The retail environment is described as tough, with customers seeking value.
- The company acknowledges uncertainty for the coming year.
Future Outlook
The Group will remain focused on retail execution and value promotion, multichannel growth, New Zealand expansion, commercial growth, and supply chain optimization in FY25. They expect growth in sales and increased scale to improve gross and overall profit margins over time in New Zealand.
Management Comments
- In this tough retail environment where customers are seeking value, our brands continue to resonate strongly driven by the trust customers have in our low-price best value proposition.
- Our motivated, passionate, knowledgeable and highly trained staff continue to be our most important asset.
- Retailing is a dynamic and exciting industry and JB Hi-Fi, The Good Guys and e&s are market leaders in their respective sectors.
- The Group is pleased with its Q1 FY25 sales, and e&s sales for the month of September, as we enter the important Q2 trading period.
- We will remain focused on our customers' needs and continue to innovate as we navigate another uncertain year.
Industry Context
JB Hi-Fi's performance reflects its ability to navigate a challenging retail environment by focusing on value and customer service. The acquisition of e&s positions them to compete in the premium home appliance market.
Next Steps
- Opening two new JB Hi-Fi Australia stores and one The Good Guys store in FY25.
- Opening five new JB Hi-Fi New Zealand stores in FY25.
- Expanding JB Perks and The Good Guys Gold Service Extras membership programs.
- Growing over-the-phone, chat, and video sales channels.
- Developing commercial sales capability in New Zealand.
- Investing in workforce and systems to support growth in New Zealand.
- Actively growing the commercial customer base across corporate, government, and education sectors.
- Further integrating commercial and retail businesses to drive customer lead generation and enhance delivery experience.
- Launching a new transport management system.
- Optimizing inventory flow during peak trade periods.
Key Dates
- October 2003: JB Hi-Fi Limited listed on the ASX
- 2019: Start date for five-year performance metrics
- April 2022: $250.0 million off-market buyback
- June 30, 2024: End of FY24
- August 2024: $87.5 million special dividend paid
- September 2024: Acquisition of 75% of e&s completed
- October 2024: Changes announced to Group Executive team; AGM held
- October 29, 2024: Date for share price CAGR calculation
- October 31, 2024: Date of the company announcement
- July 1, 2024 September 30, 2024: Q1 FY25 sales period
Keywords
JB Hi-Fi, FY24 Results, Annual Report, Retail, Consumer Electronics, Home Appliances, e&s Acquisition, Financial Performance, Sales Growth, Dividends, Share Price
JBH
Jb Hi-fi Limited
ASX
Sector: Consumer Discretionary Distribution & Retail
Filings with Classifications
Worse than expected
22 June 2025 6:24 PM
Regulatory Settlement Announcement
- The company is required to pay a significant pecuniary penalty of $13.5 million and contribute $200,000 to the ACCC's costs, which represents an unexpected financial outlay.
Better than expected
9 February 2025 4:34 PM
Half Year Results
- The company's sales, EBIT, and NPAT all exceeded the prior year's results, indicating a strong financial performance.
Better than expected
9 February 2025 4:32 PM
Half Year Results
- The company reported better than expected sales and earnings growth for HY25, driven by strong customer demand and strategic acquisitions.
Better than expected
30 October 2024 5:50 PM
Annual Results
- The strong FY24 results, exceeding expectations with significant growth in sales and EBIT, indicate better than expected performance.
- The positive Q1 FY25 sales growth across all brands further supports the better than expected results.
Better than expected
30 October 2024 5:43 PM
Sales Update
- Sales growth across all divisions exceeded expectations, indicating strong consumer demand.
Worse than expected
12 September 2024 6:52 PM
Annual Report
- The overall decrease in sales, EBIT, NPAT, and EPS compared to the previous year indicates worse-than-expected results.
Better than expected
12 September 2024 6:41 PM
Annual General Meeting Notice
- JB Hi-Fi's FY2024 results significantly outperformed annual analyst consensus expectations at the start of the financial year, demonstrating better-than-expected performance.
Worse than expected
10 July 2024 8:00 PM
Missing type for ID: 3511
- ASX:JBH announces worse than expected results.
Disclaimer: This summary was generated by artificial intelligence and its accuracy is not guaranteed. The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.