Changes are happening - please bear with us while we update our site.

Changes are happening - please bear with us while we update our site. Click here to give us your advice and feedback.

JB Hi-Fi (ASX:JBH) share price in focus on solid FY23 Q3 sales

The JB Hi-Fi Limited (ASX:JBH) share price is under the spotlight today after the business announced its sales update for the March quarter.

The JB Hi-Fi Limited (ASX: JBH) share price is under the spotlight today after the business announced its sales update for the March 2023 quarter.

JB Hi-Fi operates three businesses – JB Hi-Fi Australia, JB Hi-Fi New Zealand and The Good Guys.

FY23 third quarter sales

The company reported that its quarterly comparable sales for JB Hi-Fi Australia fell 0.1%, while total sales rose by 0.8%, compared to the third quarter of FY22.

In New Zealand dollar terms, JB Hi-Fi NZ saw comparable and total sales growth of 10.8%.

The Good Guys saw comparable and total sales decline by 3.8%.

However, compared to FY19, total JB Hi-Fi Australia sales were up 38.8%, NZ sales were up 30.1% and The Good Guys sales were up 22.4%. In other words, it’s still selling a lot more than pre-COVID times.

While sales growth has been slowing throughout the year, the total sales for the year have been strong. In FY23 to the end of March 2023, total JB Hi-Fi Australia sales have grown by 6.5%, JB Hi-Fi New Zealand sales grew by 14.5%, while The Good Guys sales increased by 3.8%.

What to make of this update for the JB Hi-Fi share price

JB Hi-Fi said the business Pleased with the third quarter trading result with “sales continuing to be well above pre-COVID FY19” levels.

But, it also said that, as expected, sales growth has started to moderate from the elevated levels seen in the first half of FY23, but its “trusted value-based offerings have continued to resonate” with customers and it has grown its market share.

If you could go back 12 months and tell people how high the Australian interest rate has gone, yet JB Hi-Fi Australia is still managing to achieve total sales growth, I think people would be surprised.

While it’s good for the company that its sales are performing so well, I’d guess it’s a small sign of why the RBA felt it needed to increase interest rates again in May.

I wouldn’t call the ASX retail share great value at the moment. There have been times when the JB Hi-Fi share price has been under $40 over the last year. So, I’d wait until it’s at least under $42 if I were interested in buying shares – it’s barely registering signs of a sales decline yet. I think the next few quarters of sales could show more pain, which could impact the market’s thoughts on the business.

$50,000 per year in passive income from shares? Yes, please!

With interest rates UP, now could be one of the best times to start earning passive income from a portfolio. Imagine earning 4%, 5% — or more — in dividend passive income from the best shares, LICs, or ETFs… it’s like magic.

So how do the best investors do it?

Chief Investment Officer Owen Rask has just released his brand new passive income report. Owen has outlined 10 of his favourite ETFs and shares to watch, his rules for passive income investing, why he would buy ETFs before LICs and more.

You can INSTANTLY access Owen’s report for FREE by CLICKING HERE NOW and creating a 100% FREE Rask Account.

(Psst. By creating a free Rask account, you’ll also get access to 15+ online courses, 1,000+ podcasts, invites to events, a weekly value investing newsletter and more!)

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.

At the time of publishing, Jaz does not have a financial or commercial interest in any of the companies mentioned.
Skip to content