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JB Hi-Fi says "plenty of good days" ahead

Despite a recent profit downgrade, the electronics retailer still had a very positive future

Electronics retailer JB Hi-Fi Ltd (ASX:JBH) says that despite a recent profit downgrade, it still has a very positive future.

JB Hi-Fi last Tuesday cut its full year profit guidance due to costs associated with the restructuring of discount electrical retailing brand Clive Anthonys.

The company had said net profit for the 12 months to June was now likely to be $108.5 million to $113.5 million, compared with the previous forecast of between $134 million and $139 million.

JB Hi-Fi chairman, Patrick Elliott, said on Sunday that despite the downgrade, JB Hi-Fi was still looking for a record full year result and would continue to open 13 to 15 stores each year for the next three to five years.

"So I think there's plenty of good days still to come," Elliott told the ABC's Inside Business program.

Elliott also said that closing down its underperforming discount electrical retailing brand, Clive Anthonys, was "one of the options" that the group was considering.

"The expectation is that we'll be able to convert quite a few of those stores to JB Hi-Fi stores," Elliott said.

"We're looking at perhaps a change to the format for those stores, but remaining in appliance retailing although it may be on a somewhat smaller scale, and some of those locations which aren't profitable we will look to close."

Nominations for the 2012 ARN IT Industry Awards open on Tuesday, June 12.

More about: ABC, ABC

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