JB Hi-Fi reaffirms $7.1b sales guidance
The AFR reported that JB Hi-Fi appears to be defying the downturn in discretionary spending, reporting stronger same-store sales growth in its Australian and New Zealand electronics stores in the lead up to Christmas. At the annual meeting in Melbourne on Thursday, where the retailer narrowly avoided a first strike against its remuneration report, the retailer's CEO said total sales at JB Hi-Fi stores in Australia rose 5.3% and comparable sales grew 3.4% for the three months ending September. This was a significant acceleration from July, when same-store sales rose just 0.3%. Analysts say trading conditions for discretionary retailers have deteriorated over the last few months – pointing to subdued same-store sales at Nick Scali, PAS Group and Michael Hill and slower growth at Super Retail Group – as low wages growth, rising utility costs and political instability take a toll on household spending.