Jb Hi-fi Limited · ASX:JBH
Jb Hi-fi — Macquarie Australia Conference 2014
18 slides from Jb Hi-fi's conference presentation, May 2014
Slide 1: JB Hi-Fi Limited Macquarie Australia Conference May 2014
For personal use only JB Hi-Fi Limited Macquarie Australia Conference May 2014
Slide 2: Contents
CONTENTS For personal use only 1. Trading Update 2. Future growth 3. CEO Transition 4. Capital management
Slide 3: Trading Update: Sales – maintaining momentum!
1. Trading Update Sales – maintaining momentum! For personal use only Sales Growth HY14 3QTR YTD * The Company has continued to see good Total Comps. Total Comps. Total Comps. sales momentum in Australia and Australia 6.5% 2.3% 5.0% 2.1% 6.1% 2.3% New Zealand. New Zealand (NZD) 0.5% 0.3% 3.2% 3.2%
Slide 4: FY14 Trading Outlook
1. Trading Update… For personal use only FY14 Trading Outlook At the end of FY14 the Company will have 182 stores: - Australia: 169 stores (JB HI-FI: 147, HOME: 22) - New Zealand: 13 stores (JB HI-FI: 13, HOME: nil). The Company expects in FY14: - total sales to increase by between 6% and 8% on
Slide 5: Future growth drivers
2. Future growth will come from For personal use only New stores Continued growth in market share HOME Commercial Online and Digital Leveraging our low CODB 5
Slide 6: New stores
2. Future growth will come from… For personal use only New stores Continued solid pipeline of properties with opportunities in FY15 and beyond. FY14F Will continue our disciplined approach 182 stores to selecting new stores based on 177 13 168 high foot traffic locations. 157 13 13 Target of
Slide 7: Continued growth in market share
2. Future growth will come from… For personal use only Continued growth in market share JB has the ability to bring brands to life and create engagement in categories. Reputation for taking the deal and price leadership. Leverage our high foot traffic. High level of customer service. Pas
Slide 8: New displays create greater engagement with customers
2. Future growth will come from… New displays create greater engagement with our customers For personal use only …driving continued growth in market share! 8
Slide 9: HOME – Capturing the opportunity
2. Future growth will come from… HOME – Capturing the opportunity For personal use only Leveraging the strength and trust in the brand. 13 existing stores in Australia will be converted to JB HI-FI HOME in FY14, with 10 converted year to date. Many conversion opportunities. Significant sal
Slide 10: HOME – Capturing the opportunity
2. Future growth will come from… HOME – Capturing the opportunity For personal use only Significant sales growth opportunity as we grow our share of the circa $4.6 billion home appliances market. Positive sales mix impact with medium term gross margins expected to be above the company average.
Slide 11: HOME – Capturing the opportunity
2. Future growth will come from… HOME – Capturing the opportunity For personal use only As previously announced, we expect to have 22 HOME stores by the end of FY14. Rollout is 1 year ahead of schedule. Anticipate an additional 30 HOME stores by the end of FY15 (4 new and 26 conversions). 75
Slide 12: Commercial
2. Future growth will come from… For personal use only Commercial JB HI-FI has continued to see strong growth in its Commercial business. Significant opportunities to grow this division over the next 2 to 3 years. We are committed to our aspirational longer term sales target of $500m per ann
Slide 13: Online and Digital
2. Future growth will come from… For personal use only Online and Digital Our goal is to enable customers to engage with JB how they wish, whether in-store or online. We aim to leverage off our high volume of sales of physical devices and content heritage to drive use of our digital services.
Slide 14: Leveraging our low Cost of Doing Business (CODB)
2. Future growth will come from… For personal use only Leveraging our low Cost of Doing Business (CODB) Our low cost of doing business enables us to compete and invest in growth notwithstanding a competitive environment. We have the lowest CODB of the major listed retailers in Australia, driven
Slide 15: CEO Transition
3. CEO Transition For personal use only CEO Transition Terry Smart has announced his intention to leave the Company in August 2014. Richard Murray will succeed Terry as CEO. Richard has been JB HI-FI’s Chief Financial Officer for more than 10 years and a Director since 2012. JB HI-FI has a s
Slide 16: Capital Management
4. Capital Management For personal use only Disciplined, measured and considered The Board and Management Team continually consider all aspects of our capital structure with a focus on maximising returns to shareholders. Continued solid earnings growth and prudent management of our balance sheet
Slide 17: Thank You
17 For personal use only Thank You
Slide 18: Appendix: Store Numbers
Appendix For personal use only STORE NUMBERS HOME TOTAL % of # group FY13 176 8 5% i FY14F 182 22 12% FY15F 190 52 27% FY16F 198 75 38% i FY13 store numbers exclude the final Clive Anthonys store that was closed in FY14. 18