JB Hi-Fi has been named as one of the biggest retailers worldwide in Deloitte’s Global Powers 2018 Retailing report, joining the ranks of other Australian retail heavyweights – Woolworths and Wesfarmers.
Australian electronics and whitegoods retailer JB Hi-Fi made its debut on Deloitte’s Top 250 global retail report for the first time this year, ranking 218th following $5.3 billion in revenues for the 2017 financial year.
The Global Powers of Retailing report identifies the 250 largest retailers around the world based on publicly available data for FY2016 and analyses their performance across geographies and product sectors.
Only two other Australian retailers made the cut this year, with Woolworths coming in 23rd with $50.8 billion in revenue and Coles’ owner Wesfarmers taking the top spot out of the three, coming in 21st with $59.5 billion.
JB Hi-Fi’s entrance on the list came thanks to the retailer’s 12.5 percent compound annual growth rate from $3.95 billion in 2016, with its revenue list coming off the back of its acquisition of whitegoods retailer The Good Guys in 2016, purchased for $870 million.
The company has since experienced positive financial earning, staving off Amazon‘s pre-Christmas arrival. On Monday the JB Hi-Fi reported its 2018 half-year year net profit was up 37 percent, to $151 million compared with $110 million for the same period a year ago.
Total sales for the half year period rose 23 percent to $3.68 billion while online sales grew by a sizeable 40 percent, accounting for 4.8 percent of total sales.
“It was another strong result for the JB Hi-Fi business in Australia, particularly through the important November and December periods,” said the JB Hi-Fi chief executive Richard Murray.
This year Delloitte’s retail Top 250 report focused on the theme of “Transformative Change, Reinvigorated Commerce,” which looked at the latest retail trends and the future of retailing through the lens of young consumers.
There are now 38 Top 250 global retailers operating in Australia, including newcomer JD Sports as well as more established players like Tiffany & Co and Swarovski. The report also highlights the three main threats to Australian retail.