Finance Finance News JB Hi-FI on track for profit boost

JB Hi-FI on track for profit boost

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JB Hi-Fi is on track to lift its profit this financial year by about 10 per cent despite winding back its sales expectations.

The retailer, which specialises in DVDs, CDs and electronic games, expects a 5.3 per cent rise in annual sales for 2013/14, slightly below its previous forecast of six to eight per cent.

However, it is sticking by its previous guidance of a $126-$129 million net profit for the year, a rise of between 8.3 and 10.8 per cent.

JB Hi-Fi’s earnings update follows warnings from several retailers in recent weeks about a sales slump amid consumer worries about spending cuts announced in May’s federal budget.

Meanwhile, the retailer’s chief executive Terry Smart has named his retirement date – June 30.

Mr Smart, who announced his plans to step down in April, will hand over the reins to chief financial officer Richard Murray.

Shares in JB Hi-Fi were 40 cents, or two per cent, higher at $19.13 at 1031 AEST.