JB Hi Fi (JBH) sales boosted
JB Hi-Fi (JBH) -4.24%: following Harvey Norman’s updated yesterday, competitor JB Hi FI updated the market after withdrawing guidance in late March. Now with a little more clarity, earnings locally were given a boost by the shutdowns with Australian JB Hi Fi stores seeing 2H sales growth of 20% on last year, and the Good Guys adding 23%. New Zealand’s more onerous shutdowns meant that sales fell 19% in stores across the ditch, though this is a far smaller segment for the group. The company now expects profit of $300-$305m for the full year, more than 20% higher than FY19, and around 3.5% above analyst expectations. JBH shares were lower today though, following the broader market, though the update was a good one, its clearly already priced in. Investors now look to FY21 – has the pandemic brought JBH sales forward, or will they be able to maintain some of the growth? We think its overcooked on the upside.
JB Hi Fi (JBH) Chart
