JB Hi-Fi's first-half profit has fallen by more than nine per cent, as projected, ahead of a quarter of a billion dollar share buyback to be completed in April.
The electronics and entertainment retailer on Monday reported an interim net profit of $287.9 million, down from $317.7 million in the previous corresponding half.
"We continued to see elevated demand across all of our sales channels, particularly online which our customers seamlessly transitioned to during the various lockdowns" imposed due to the COVID-19 pandemic, CEO Terry Smart said.
The result was in line with the company's earnings forecasts released in January.
JB Hi-Fi announced a $250 million off-market share buyback to return surplus capital to shareholders, due to be completed by April 20.
The retailer said this, combined with the interim dividend payout, would effectively return more than $400 million to investors.
Looking at the second half of the year, JB Hi-Fi said sales in January continued to be strong across its Australian and Good Guys operations, despite supply chain issues. New Zealand sales dipped slightly.
It declined to provide guidance for the full year, given a still uncertain retail environment.
JB Hi-Fi will pay a dividend for the six months ended December 31 of $1.63, down from $1.80 in the previous corresponding half.
