Electronics retailer JB Hi-Fi says customers still opened their wallets last month despite fears of a consumer slowdown, giving the company a strong start to fiscal 2023 after a record 2022.
JB Hi-Fi investors will collect a final dividend of $1.53 this year, increasing the full-year payout by 10.1 percent to $3.16 after the retailer posted a profit of $544.9 million -Dollar on sales of $9.2 billion.
JB Hi-Fi surprised the market last month when it was revealed it was expecting record sales.
When the company released its full-year figures on Monday morning, the company said Australian sales had remained strong throughout July, rising 9.7 percent on comparable sales growth of 9.2 percent.
The company’s white goods brand, The Good Guys, posted growth of 7.8 percent in July, even though the company’s sales in New Zealand fell nearly 1 percent.
Terry Smart, CEO of JB Hi-Fi, acknowledged that pressure on the cost of living is still being felt, but said the brand is well positioned to start the new fiscal year.
“As we enter an increasingly uncertain retail environment and household budgets continue to be squeezed, shoppers will be drawn to trusted, value-based retailers,” he said.
“Our ongoing strategy of providing customers with the best value and outstanding service every day will ensure our brands continue to deliver for our customers and remain a preferred destination well into the future.”
Inflationary pressures have also hit business operations across the board, but the company stressed Monday morning that while its “cost of doing business” rose 21 basis points, it was still just 11.4 percent.
https://www.smh.com.au/business/companies/jb-hi-fi-hikes-dividend-says-consumers-still-spending-despite-slowdown-fears-20220814-p5b9pe.html?ref=rss&utm_medium=rss&utm_source=rss_business JBX) raises dividend and reports $9.2 billion in revenue