JB Hi-Fi Reports 33 Percent Growth

As pessimists talk down the CE market, JB Hi-Fi has reported 32.5 percent growth and $25.81 million in net profits.

The result will put pressure on Harvey Norman as JB Hi-Fi over the next quarter will move into computing as well expand into new stores in both Australia and New Zealand.

As Harvey Norman franchisees squabble over CE sales between computing and consumer electronics, JB Hi-Fi is executing a rapid expansion program.

JB Hi-Fi opened 18 new stores during the year, bringing its total number to 66, and expects to open another 13 this financial year, including eight in time for the Christmas rush.

The $25.81 million profit comes as a significant increase to its $19.5 million profit a year ago. Sales for the last fiscal year rose 36 percent to $945.8 million, up from $693.9 million the year before.

Following the announcement JB-Hi-Fi shares closed at A$4.79. They are currently sitting on A$4.68. The company declared a fully franked final dividend of four cents per share, up 11 per cent.