JB Hi-Fi Offsets Drop In Software With Game Sales

Image: Supplied

The bright yellow electronics retailer has their financial results for 2018-19 this morning, with games hardware, drones, audio, computers and communications highlighted as the stronger performers for the business.

JB's full year results went out to investors today, revealing a 9.4% jump in sales to $4.54 billion and a 12.3% jump in net profit to $233.2 million. Breaking that figure down a little, JB's Australian business enjoyed a small growth in sales (2.9%) and comparable sales (0.3%) for the 2018 financial year.

In their results presentation, the group noted that software sales were down by 11.2% "as a result of an acceleration" in falling movie sales. That was offset "growth in the Games Software" category, however.

As part of their strategic plans for the next year, JB noted evolution in the gaming, services and ecommerce areas, as well as highlighting their partnership with the Melbourne Esports Open:

Hardware and services sales - which includes all JB sales outside of games software, movies and music - jumped by 11.9% for the year, thanks to growth in drones, games hardware (the Switch undoubtedly playing a part here), computers, audio and communications. Business Insider Australia also noted that JB's full year net profit after tax jumped by 35.3%, in stark contrast to the rest of the Australian retail market.


Comments

    But everyone was saying Amazon was going to shake up the retail landscape and would hurt traditional retail.

      That was the plan - then Amazon caved to the lure of the Australia Tax thus leaving it a competitor to Gerry Harvey. Which in itself isn't much.

        I hope Lifehacker does an article when Amazon AU finally becomes price competitive. I've given up even price comparing on it anymore. They *never* beat the price of other shops. At least not for the stuff I'm buying.

        Back to the article. I find movie buying at JB frustrating lately. They used to pretty reliably list a movie/CD new at a decent price (ie: slightly cheaper than competitors) and within a fairly short time the price would drop and you'd be able to pick it up really cheap. It also used to be possible to order in practically anything if it wasn't in stock.

        Now it's often impossible to order in ("No that's not even in the system sorry") and the prices seem to stay high for a long time. And often it's cheaper to get something from BigW or Target than JB so they're not even price competitive on new stuff anymore. And that's before you get to the dodgy "sales" practises where a movie is $30 this week, next week there's a 20% off sale and somehow the movies' base price has changed from $30 to $40 so it's actually NOT a saving. Or they simply pull a bunch of titles from the shelves before the sale and put them back afterwards :(

          'Prime Day' had some good specials on hardware, but that was about it for... er, ever, so far.

    Didn't Jerry Harvey have a hissy fit and say retail was dead with Amazon in town.

      That was after he said that nobody actually makes any money from the internet.

    So ... we’re just leaving that rogue capital S in esport unpunished?

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