Financial and Non-Financial Analysis of JB Hi-Fi Company

Running head: FINANCIAL ANALYSIS
Financi
al
Analysi
s
October 6
2019

FINANCIAL ANALYSIS 1
Executive Summary
The purpose of this report is present the interpretation of the financial and non-financial
performance of JB Hi-Fi Company which is one of the leading businesses of Australia
operating in the retailing industry. The analysis of the report has presented that the
company’s revenue and sales and increasing due to its continuous focus on improving
customer service and improving in-store experience of the customers. Besides this, the
company is focused on adopting different strategies that can help in managing challenges in
the coming future.

FINANCIAL ANALYSIS 2
Table of Contents
Executive Summary...................................................................................................................1
Introduction................................................................................................................................3
Interpretation..........................................................................................................................3
Management Structure.......................................................................................................8
Organizational Structure....................................................................................................8
Non-wage benefits.............................................................................................................8
Conclusion..................................................................................................................................9
References................................................................................................................................10
Appendix..................................................................................................................................11

FINANCIAL ANALYSIS 3
Introduction
The aim of this paper is to present the financial and non-financial interpretation of JB Hi Fi
Company with the analysis of its recent annual report in order to identify the trends and
changes in its performance and how it manages issues or challenges. In addition to this, this
interpretation is being done to support the external and internal stakeholders in taking their
investment decisions in the company.
Interpretation
The Group that include The Good Guys and JB Hi-Fi business are involved in the selling of
the following products: Telecommunication services, Software and musical instrument,
consumer electronics, whitegoods, small appliances, computers, cameras, etc. The group is
also involved in offering consulting services as well as information technology (IBIS World,
2019). With these services company has successfully gained a significance share in the
market. The sales of the group are majorly gained by its branded retail store chain (105 Good
Guys store in Australia and 196 JB Hi-Fi in Australia) and online operations (JB Hi-Fi
websites). In addition to this, the sales of the group are also generated through the education
and commercial business that is The Good Guys Commercial and JB Hi-Fi Solutions (JB Hi-
Fi, 2019c).
Net profit margin – It is considered as the revenue percentage left after all the expenses. From
the analysis of the annual report of JB Hi-Fi, the net profit margin is increasing which reflects
that has a strong profitability position in the market (Refer Appendix).
Gross profit margin –This ratio helps analysts how good the company is at making product or
offering a service in comparison to its rivals. The analysis of the JB Hi-Fi reveals that the