JB Hi-Fi Ltd Highlights Record $11.06bn FY26 Sales and 22.5% Dividend Rise

JB Hi-Fi delivers record $11.06 billion in FY26 sales as dividend jumps 22.5%

In its FY26 full-year results presentation delivered to investors on 17 August 2026, JB Hi-Fi Limited outlined record total sales of $11.06 billion, up 4.8% on the prior year.

Management detailed net profit after tax (NPAT) of $489.9m, up 6.0% on the FY25 statutory result and 2.9% on an underlying basis, with basic earnings per share (EPS) of 448.1 cps. The Board declared a total ordinary dividend of 337 cps, up 22.5% and representing 75% of NPAT.

Presented by Group CEO Nick Wells and Group CFO David Giansalvo, the result reflected the scale, diversification and disciplined cost control that management framed as central to sustaining shareholder returns.

FY26 financial results at a glance

The presentation detailed group headline metrics showing growth across sales, earnings and dividends. The following table summarises the key figures reported for the period.

Management noted the underlying FY25 comparison excludes a one-off $13.7m expense relating to the resolution of ACCC proceedings against The Good Guys. On an underlying basis, NPAT rose 2.9% and EBIT 3.8%, providing a cleaner view of the year-on-year trend.

How the four retail divisions performed

The presentation broke down performance across the group’s four retail divisions. The table below sets out divisional sales, growth and EBIT for the reporting period.

*The e&s FY25 figures reflect the period of ownership only (from 2 September 2024). On a full twelve-month comparable basis, e&s sales were down 3.2%, so the 21.3% statutory figure does not represent organic growth.

JB Hi-Fi Australia — the engine room

Sales rose 4.4% to $7.42bn, with comparable sales up 3.2%. Management identified Computers, Mobile Phones, Fitness, Small Appliances and IT as the key growth categories.

Online sales increased 7.0% to $1.28bn, representing 17.2% of total sales. The presentation noted Q4 softness, with comparable sales down 0.8%, driven by supplier price rises and stock availability shortages in technology.

JB Hi-Fi New Zealand — standout growth

Sales grew 26.0% to NZD499.5m, with comparable sales up 15.3%, as the business continued to expand its reach. EBIT turned positive at NZD4.1m (from NZD-0.2m), a margin improvement of 88 bps.

Management framed the division as a scaling business gaining traction, with 2 new stores planned in FY27 and 1 store relocation, taking the total to 28 stores and doubling its store network over the past four years.

The Good Guys — margin gains in a soft market

Sales rose 2.7% to $2.94bn, while EBIT increased 6.0% to $184.0m, lifting margin 19 bps to 6.25%. The presentation highlighted continued market share gains in a weaker Q4 home appliance market.

e&s — investing for growth

EBIT was -$0.4m as the business invests in strategic initiatives, including new stores, its Commercial division and migration to agency sales. Management framed this as a near-term investment phase, with written sales growth expected to be recognised in future periods.

Understanding retail scale and why margins matter

For readers newer to retail analysis, several metrics help explain how JB Hi-Fi sustains returns. Cost of Doing Business (CODB) measures operating costs as a percentage of sales. A low cost base lets a retailer compete on price and defend market share where higher-cost peers cannot.

Comparable sales (or “comp” sales) strip out the contribution of newly opened stores to reveal underlying performance across the existing store base, giving a clearer read than total sales alone.

Return on Invested Capital (ROIC) measures how efficiently a business generates profit from the capital it deploys. Applied to JB Hi-Fi, the group reported CODB of 13.32% and ROIC of 51.1%, alongside sales-per-square-metre leadership. These metrics underpin the group’s capacity to sustain returns and dividends.

Balance sheet strength and shareholder returns

The presentation detailed a net cash position of $206.5m with no borrowings, and net assets of $1.64bn. Free cash flow was $403.4m, with operating cash flow of $701.2m.

Management noted the modest year-on-year dip in operating cash flow reflected increased June working capital, as inventory was purchased ahead of supplier price rises to secure stock into the key June promotional period. The group reported ROIC of 51.1% and a gearing ratio of 0.0.

Dividend lifted to 337 cents

As announced in August 2025, the Board increased the dividend payout ratio from 65% to a range of 70–80% of NPAT from FY26. The final dividend was 127 cps fully franked, up 21.0%, bringing the total ordinary dividend to 337 cps, up 22.5% and representing 75% of NPAT.

Key dates for the final dividend were disclosed as follows:

1. Record date: 28 August 2026

2. Payment date: 11 September 2026

Capital Management

The Board will continue to regularly review the Group’s capital structure with a focus on maximising returns to shareholders and maintaining balance sheet strength and flexibility.

Strategic priorities and FY27 outlook

Five focus areas for FY27

Management outlined five focus areas for FY27, grouped under a “Customer First” theme:

1. Retail Execution — including the rollout of Electronic Shelf Labels to 100 JB Hi-Fi Australia stores.

2. Store Growth — 4 new JB Hi-Fi Australia stores, 2 new New Zealand stores (taking the total to 28), and 1 new The Good Guys store, plus relocations and extensions.

3. Multichannel Growth — AI and Agentic Commerce, Marketplace expansion, and growing the in-store Retail Media network from 140 to 250 screens.

4. Supply Chain — a new Transport Management System and a Melbourne Big & Bulky Home Delivery Centre planned for H2 FY27.

5. e&s Expansion — migration to a Shopify website, Commercial expansion beyond Victoria, and a new store layout trial in early FY28.

FY27 trading update (July 2026)

The Group disclosed sales figures for the period 1 July 2026 to 31 July 2026:

• JB Hi-Fi Australia: total -0.5%, comparable -1.4%

• JB Hi-Fi New Zealand: total +20.9%, comparable +11.7%

• The Good Guys: total -1.7%, comparable -1.7%

• e&s: total -2.7%, comparable -4.0%

Management noted customers are increasingly seeking value and migrating spending to key promotional events, while technology sales continue to be impacted by supplier price rises and stock availability. In what is expected to remain an uncertain retail environment in the short term, the Group indicated it will focus on driving demand, leveraging supplier relationships to maximise stock allocations and growing market share.

The investment case

Drawing on the presentation’s Investment Checklist, management framed the group’s investment proposition around several pillars:

• Market-leading scale, positioned as the #1 player in the Australian consumer electronics and home appliance market

• Global best-in-class metrics, including low CODB and high sales per square metre

• A diversified, resilient multi-brand portfolio

• A strong balance sheet with net cash and high ROIC

• A shareholder-return focus through proactive capital management and dividend policy

Management framed continued store growth, digital and AI investment and disciplined execution as positioning the group to keep taking market share in an uncertain retail environment.

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