Insights

JB Hi-Fi share price falls despite strong Q3 sales growth

JB Hi-Fi had a strong third quarter…
The post JB Hi-Fi share price falls despite strong Q3 sales growth appeared first on The Motley Fool Australia. –

The JB Hi-Fi Limited (ASX: JBH) share price is falling on Wednesday.

In morning trade, the retail giant’s shares are down 2.5% to $51.26.

Why is the JB Hi-Fi share price falling today?

The JB Hi-Fi share price is falling today despite the release of a strong sales update.

According to the release, the retailer continued to experience heightened customer demand and strong sales growth during the third quarter of FY 2022.

The JB Hi-Fi business was once again the star of the show, reporting total sales growth of 11.9% year on year during the quarter. This was underpinned by an 11.1% jump in comparable store sales growth.

In light of this strong quarter, the JB Hi-Fi Australia business’ year to date sales are now up 1.9% year on year.

Over in New Zealand, the JB Hi-Fi business delivered a much-improved performance. It reported a 4.8% increase in sales during the third quarter. This has reduced JB Hi-Fi New Zealand’s year to date sales decline to just 1.8%.

Finally, The Good Guys business was also on form during the quarter. It reported a 5% increase in comparable store sales, bringing its total quarterly sales growth to 5.5% year on year. This means that year to date sales are now up 1.1% over the prior corresponding period.

What about the fourth quarter?

Pleasingly, JB Hi-Fi’s sales momentum has continued into fourth quarter. Though, management hasn’t provided any numbers. Nor has it provided any guidance for the full year.

It commented: “Whilst the Group is pleased with the continued sales momentum, the end of financial year remains an important trading period. In view of the ongoing disruption to stock availability and operations arising from Covid-19 and other local and global uncertainties, the Group does not currently consider it appropriate to provide FY22 sales and earnings guidance.”

Judging by the JB Hi-Fi share price performance today, it appears that some investors were expecting an even stronger update or more colour on its margins.

The post JB Hi-Fi share price falls despite strong Q3 sales growth appeared first on The Motley Fool Australia.

Should you invest $1,000 in JB Hi-Fi right now?

Before you consider JB Hi-Fi, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and JB Hi-Fi wasn’t one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of January 13th 2022

More reading

Here are the ASX retail share winners and losers of the last quarter
2 high-yielding ASX 200 dividend shares rated as buys by brokers
Why is the JB Hi-Fi share price having such a rough start to the week?
How retirees can maximise returns from ASX dividend shares: fund manager

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

  • This field is for validation purposes and should be left unchanged.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US & HK* Trades. Click Here!