JB Hi-Fi (JBH) H1 2026 earnings summary

Executive summary

• Record half-year sales of $6.09 billion, up 7.3% year-over-year, with EBIT up 8.1% to $454 million and NPAT up 7.1% to $305.8 million, building on prior year momentum.

• Multi-brand strategy with JB Hi-Fi, The Good Guys, and E&S, each targeting distinct market segments and all major brands delivering sales and EBIT growth, except E&S EBIT, which declined due to strategic investments.

• Focus on value, customer service, and multi-channel retailing, supported by scale and operational efficiency.

• Interim dividend increased 23.5% to 210 cents per share, fully franked, with record date 27 February and payment on 13 March, representing 75% of NPAT.

Financial highlights

• Group gross margin rose to 22.31% (+19 bps), with gross profit at $1,357.4 million and cost of doing business at 12.63%.

• EBIT up 8.1% to $454 million; NPAT up 7.1% to $305.8 million; EPS up 7.1% to 279.7 cents per share.

• Free cash flow was $457 million, with net cash of $489.5 million at period end.

• Inventory increased 6.7% to $1.41 billion, in line with sales growth.

• Operating cash flow was $609.1 million, down from $655.6 million in the prior year.

Outlook and guidance

• Management remains cautious due to retail market uncertainty, competitive pressures, and forward-looking risks including consumer spending, inflation, and interest rates.

• Continued focus on operational efficiency, customer engagement, expanding store network, supply chain optimization, and multichannel growth.

• Expectation of price increases in PCs due to memory and storage costs, but plan to maintain price points for customers.

• Sales and earnings are typically higher in the first half due to Black Friday and Christmas trading.

• January 2026 sales update: JB Hi-Fi Australia up 4.0%, New Zealand up 26.4%, The Good Guys up 2.7%, E&S down 4.6%.