Jb Hi-fi Limited · ASX:JBH
Jb Hi-fi — 2017 Macquarie Australia Conference
18 slides from Jb Hi-fi's conference presentation, May 3, 2017
Slide 1: JB Hi-Fi Limited 2017 Macquarie Australia Conference
For personal use only JB Hi-Fi Limited 2017 Macquarie Australia Conference 15 AUGUST 3 MAY 2017 2016 PAGE 1
Slide 2: Agenda
Agenda For personal use only 1. Trading and FY17 outlook 2. The Good Guys update 3. The strength of the JB HI-FI model 4. Investment checklist JB HI-FI LIMITED PAGE 2
Slide 3: 1. Trading and FY17 Outlook
1. Trading and FY17 Outlook For personal use only As announced on 6th April 2017: - for the JB HI-FI business comparable sales growth for the March FY17 quarter was 8.2% and total sales growth was 10.8%; and - for The Good Guys business comparable sales growth for the March FY17 quarter was 1.2% a
Slide 4: 2. The Good Guys update – Recap of acquisition strategic rationale
2. The Good Guys update For personal use only Recap of acquisition strategic rationale Creates Australia’s leading consumer electronics and home appliance retail group Aligned retailing philosophies and customer value propositions with a focus on great value everyday and exceptional customer ser
Slide 5: 2. The Good Guys update
2. The Good Guys update For personal use only Update Trading continues to perform in line with our expectations Terry Smart’s appointment has been well received by staff and suppliers and having commenced on 18 April, Terry is already excited by the opportunity to work with the team and grow the
Slide 6: For personal use only
3. The strength of the JB HI-FI model For personal use only JB HI-FI’s continued sales momentum is pleasing given we have now cycled DSE’s exit We are confident in the outlook for the business and accustomed to competing in an ever evolving market, new competitors will enter and some existing co
Slide 7: The fundamentals of the JB HI-FI model
3. The strength of the JB HI-FI model For personal use only The fundamentals of the JB HI-FI model Unique brand personality – product plus experience Market position – value Low cost operating model Great people – motivated, passionate and knowledgeable Convenient and high quality store lo
Slide 8: Unique brand personality - product plus experience
3. The strength of the JB HI-FI model For personal use only Unique brand personality - product plus experience Product plus Experience Price Mood – Sight, Sound, Touch Quality Authenticity – Character, Believability, Individuality Availability Ease of Purchase – Accessibility, Availability Choice St
Slide 9: Market position – value
3. The strength of the JB HI-FI model For personal use only Market position – value Discount retail proposition across a wide range of product from entry level to aspirational / premium Value perception reinforced by brand positioning and merchandising and frequency of promotional activity Sta
Slide 10: Low cost operating model
3. The strength of the JB HI-FI model For personal use only Low cost operating model Lowest cost of doing business (~15.2%) of major Australian listed retailers and international consumer electronics retailers Obsession with not letting waste and inefficiency creep into our cost structure Low
Slide 11: Great people - motivated, passionate and knowledgeable
3. The strength of the JB HI-FI model For personal use only Great people - motivated, passionate and knowledgeable Honest, authentic and trusted Approachable and not intimidating Passionate about the products - experts in each department Empowered and highly engaged 11 JB HI-FI LIMITED PAGE
Slide 12: Convenient and high quality locations
3. The strength of the JB HI-FI model For personal use only Convenient and high quality locations High grade shopping centre, CBD and homemaker store locations High foot traffic and easily accessible locations 2 Compact store size 36 21 Highly productive floor space 10 and high sales per squ
Slide 13: Supplier partnerships
3. The strength of the JB HI-FI model For personal use only Supplier partnerships Strong and lasting partnerships with all major suppliers High foot traffic store locations provide suppliers the ability to showcase their product Scale and market leadership gives us relevance with suppliers at
Slide 14: Multichannel capability
3. The strength of the JB HI-FI model For personal use only Multichannel capability Continued investment in online ensures we give consumers options on how to transact with JB HI-FI (i.e. in store, mobile or desktop) Integrated high quality in store and online offer is critical as retail continu
Slide 15: Ability to constantly evolve
3. The strength of the JB HI-FI model For personal use only Ability to constantly evolve Constant evolution of the model, including the categories and products ranged, maintains our sales productivity and drives new and replacement sales IN CAR IN AUDIO AUDIO VISUAL VISUAL AUDIO VISUAL VISUAL IN C
Slide 16: Ability to constantly evolve
3. The strength of the JB HI-FI model For personal use only Ability to constantly evolve We have seen industry changes before, as evident in the below extract from the FY2012 results presentation, and remain confident we can continue to evolve and compete 16 JB HI-FI LIMITED PAGE 16
Slide 17: 4. Investment checklist
4. Investment checklist For personal use only Unique and relevant brands Flexible business model – history of category growth and development Diversity of product categories across brands Low cost of doing business New store and online opportunities Meaningful synergies to be realised fr
Slide 18: Questions
For personal use only QUESTIONS 18 JB HI-FI LIMITED PAGE 18