Why Is JB Hi-Fi’s New Zealand Sales Growth Skyrocketing in Q1 FY26?
JB Hi-Fi reports solid Q1 FY26 sales growth, led by a remarkable 39.3% increase in New Zealand, while Australian sales maintain steady momentum. The Good Guys and e&s show modest gains as the group prepares for a critical Q2.
- JB Hi-Fi Australia sales up 6.0%, steady comparable growth
- New Zealand sales jump 39.3%, comparable sales up 24.3%
- The Good Guys and e&s post modest sales increases
- Q1 sales align with group expectations entering Q2
- Strong New Zealand performance contrasts with slower growth elsewhere
Robust Start to FY26 for JB Hi-Fi
JB Hi-Fi Limited has kicked off its 2026 financial year with a solid sales performance across its key markets, according to its latest quarterly update. The retailer reported a 6.0% increase in total sales for its Australian operations during the first quarter, maintaining a steady comparable sales growth rate of 5.0%, unchanged from the previous year. This steady momentum in Australia provides a stable foundation as the group moves into the more critical second quarter.
New Zealand Leads the Charge
The standout performer in the quarter was JB Hi-Fi New Zealand, which delivered a remarkable 39.3% surge in total sales, with comparable sales growth accelerating sharply to 24.3% from just 2.7% in the same period last year. This dramatic uplift signals strong consumer demand and effective market penetration, positioning the New Zealand segment as a key driver of the group’s overall growth. The scale of this increase invites closer scrutiny into the factors behind such a leap, including potential new store openings, product mix shifts, or promotional strategies.
Mixed Results for The Good Guys and e&s
Meanwhile, The Good Guys, JB Hi-Fi’s appliance-focused brand, recorded a more modest 2.5% rise in total sales, with comparable sales growth at 2.4%. This represents a slowdown compared to the previous year’s stronger performance, suggesting some headwinds or market saturation in this segment. The e&s division, which covers entertainment and services, posted a 4.1% increase in total sales but only a slight 0.7% gain in comparable sales, indicating that growth may be driven more by expansion than by increased sales per existing store.
Outlook as JB Hi-Fi Enters Q2
The group’s management has confirmed that Q1 sales are in line with expectations, providing a cautiously optimistic outlook as JB Hi-Fi enters the traditionally important second quarter. Investors will be watching closely for updates on margin performance, cost pressures, and how the company plans to sustain or accelerate growth, particularly in light of the standout New Zealand results. The absence of detailed commentary on profitability or cost dynamics leaves some questions unanswered but underscores the importance of the upcoming quarterly results.
Bottom Line?
JB Hi-Fi’s strong New Zealand surge sets the stage for a pivotal Q2, but slower growth in other segments tempers enthusiasm.
Questions in the middle?
- What specific factors drove the exceptional sales growth in New Zealand?
- How will The Good Guys address its slowing comparable sales growth?
- What impact will these sales trends have on JB Hi-Fi’s margins and profitability in FY26?
