Harvey Norman, Chaired by Gerry Harvey, Has Posted a 45.7 Per Cent Fall. Poor Gerry!

MMM on 05/05/2024 - 10:34
Last edited 08/05/2024 - 08:47 by 1 other user

Sales, dividend down as retail slump hits Harvey Norman

…The Gerry Harvey-chaired company on Thursday reported a 45.7 per cent dip in pre-tax profit to $283.6 million for the six months to December 31. After tax, the bottom line profit was $202.8 million, down from $369.8 million. Despite outperforming consensus expectations, Mr Harvey was "not that happy" with the result.

So decide on a poll to see if there is still some love for Gerry and HN.
When was your last purchase?

Edit: I think this comment sums up the poll best!

https://www.ozbargain.com.au/node/844376?page=1#comment-1524… @paloverde88 on 07/05/2024 - 22:43

"HN was doing well back in those days 20 years ago, now there's far too many options to buy to compare prices consumers are more knowledgeable and smarter the only ones going to HN is for the stupid Latitude finance plans.
I would never buy anything from HN nowadays. I don't like pressure I don't like finance deals and I don't think many of HN staff are tech incline and they are 99% salespeople 1% tech They are sort of an odd type store, they are not superstore status like officeworks, they are not niche like JB, not classy like DJ and they are not pocket deep like Apple stores so they are sort of like the now dead Godfreys and if not they are slowly heading that direction."

Poll Options expired

  • 16
    Last two weeks:
  • 20
    Last two Months:
  • 21
    NO Bargains, at HN:
  • 559
    Cant remember:
Electrical & Electronics

Related Stores

Harvey Norman
Harvey Norman

Comments

  • HamBoi69 on 05/05/2024 - 10:42

    So decide on a poll to see if there is still some love for Gerry and HN.

    That's a Whirlpool forums kinda idea. This is OzBargain.

  • AustriaBargain on 05/05/2024 - 11:02
    +11

    JB Hifi did about as well in profits, there's a dip in spending all round.

    • MMM on 05/05/2024 - 11:09
      -6

      Yea, agree but this is not a dip, this is more like a crater. Retail is competitive but just seem like HN have stopped trying, stores look tired and rarely see any online bargains.

      • Dollar General on 05/05/2024 - 14:07
        +18

        It’s dropped a lot due to the once in a generation cash handouts by the government combined with extremely low interest rates.

        Retail will never have the goldilocks period again for decades

    • noshopping on 06/05/2024 - 11:28
      +2

      GoodGuys use to run 20% off deals regularly, after JBhifi bought them, I rarely see it :(

      • Hirolol on 06/05/2024 - 11:51
        +1

        How could accc let it happen
        Not good at all for consumers.
        Not on our side at all

  • Jimothy Wongingtons on 05/05/2024 - 11:09
    +13

    Looks like all that juicy wfh / lockdown mania has finally exited the system

  • RockyRaccoon on 05/05/2024 - 11:10
    +3

    So Colesworth make profit increases - No Love. Gerry makes a profit decrease - No Love

    Is there a trend here?

    • moar bargains on 05/05/2024 - 15:22
      +11

      Ozbargainers don't give love unless they get a good deal for it

      • RockyRaccoon on 05/05/2024 - 17:07
        +2

        You get a prize.

        Ozbargainer gains - They are safe
        Ozbargainer loses - Hell Fire and Brimstone unleashed

    • RiseAndRuin on 05/05/2024 - 17:45

      I guess Ozbargainers profit didn't increase

    • smartazz104 on 06/05/2024 - 09:05
      +5

      Gerry makes a profit decrease - No Love

      Seems like there's plenty of love for HN making a loss.

      • Grunntt on 06/05/2024 - 10:36
        +4

        Seems like there's plenty of love for HN making a loss.

        That's not a loss - it's still called a profit. They just didn't make as excessive a profit as they wanted (and I note that's a profit over just 6 months - my sympathy for any company making half a billion dollars in profit for 12 months lies elsewhere)

        dip in pre-tax profit to $283.6 million for the six months to December 31

    • Wiede on 06/05/2024 - 11:29
      +2

      The only corporation I tolerate and don't hate giving my money to is Valve.

  • Muzeeb on 05/05/2024 - 11:19
    +15

    I will abstain from voting pending my free Nokia 110 from HN tomorrow.

    • Sye on 05/05/2024 - 14:32
      +3

      They will be OzBargained by the end of today.

  • Caped Baldy on 05/05/2024 - 11:22
    +2

    This is why we need a liking system for forum posts.

  • Emphasise on 05/05/2024 - 11:40
    +44

    I'm so happy to pay extra GST on overseas purchases. Really thinking about the people there, thank you Gerry!

  • shrek4 on 05/05/2024 - 11:41
    +13

    Where’s the poll option for ‘never, no way, HN can rot in hell’?

  • DingoBilly on 05/05/2024 - 11:54
    +8

    Who cares, it's just a company like any other.

    If you're sitting here reading the news and trying to get the company to fail then you're a weird fanatic yourself. It'll either get better and do well or get worse and eventually fade just like every other company.

    • Ezekiel2320 on 05/05/2024 - 12:12
      +30

      JB is a rip off but they don't actively lobby to make things worse, Gerry Harvey can rot in hell

    • jackspratt on 06/05/2024 - 11:29
      +2

      Absolutely.

      There is a strange, pile-on mindset that exists within a particular OzB cohort.

      Stores looked perfectly normal when I picked up my 2 free Nokia 110s yesterday. 😊

  • Trying2SaveABuck on 05/05/2024 - 12:06
    +5

    i know everyone hates on HN and rightly so but JB are just as if not more evil

    • follow on 05/05/2024 - 12:15
      +1

      care to elaborate?

      • Trying2SaveABuck on 05/05/2024 - 12:19
        +1

        JB HIFI is one of [some years the most] the most profitable per-square meter retailer in the world its margins are fat and it achieves these by fairly aggressive sales tactics

        im not saying HVN dont do something similar but HVN is actually fairly good to its franchiees

        anyone who invests in the ASX actually know how profitable Australian retail is, JB hifi is probably the best of them all [bar maybe Lovisa which is a different kind of retailer]

        • I like freestuff on 05/05/2024 - 19:36
          +14

          Making money ≠ evil. JB can have my money any day over HN.

          • Trying2SaveABuck on 05/05/2024 - 20:47
            -1

            @I like freestuff: Making money isnt evil ripping people off is to some extent

            I personally will shop at switch ever is cheapest

        • johnno07 on 05/05/2024 - 21:45
          +5

          is one of [some years the most] the most profitable per-square meter retailer in the world

          Have you got a source for this? JB being the most profit dense retailer in the WORLD seems unlikely.

          • payless69 on 06/05/2024 - 23:46

            @johnno07: Bezos is the worlds most profitable E-tailer with his bricks and mortar wholefoods doing rather badly.
            L'Oreal proves that chicks can get rich on retail. Susanne Klatten sells cars with 3 letters to people who like phallus extenders.
            Who in the world ever heard of JB? Sounds like a demented from a white house?

    • Bruceflix on 05/05/2024 - 12:17
      +33

      JB do more for the community by giving all the face tattooed Gen Zs employment.

      • Minimum chips on 05/05/2024 - 16:24
        +3

        Which has a flow on effect for Hot topic fashion and the Funkopops economy. Without that vital income stream, a whole generation of young adults wouldn't be able to eat (pingers).

    • Daabido on 05/05/2024 - 12:21

      Please explain.

    • cordsplace on 06/05/2024 - 16:57
      -2

      Not everyone hates Gerry. I lot actually like him.

  • pegaxs on 05/05/2024 - 12:11
    +26

    LOL…. Once all their base consumer Boomers die out, so too will HN. My only wish is that Gerry gets to live long enough to see his empire be placed into liquidation and parted out like the shitbox Commodore up on bricks that it is.

    The only thing that would bring as much pleasure is the thought of Gerry passing away and then his family fighting over whatever is left and destroying every last remaining remnants of his legacy.

    • Bruceflix on 05/05/2024 - 12:18
      +1

      With your last paragraph, there is just as much joy if you replace Gerry with Gina

      • nikey2k27 on 05/05/2024 - 17:08
        -2

        sadly gina that will not to many many many trust why her dad still give her problem today Hancock prophecy keep big bit of most of project lan hancock want in his life just sad she never let her dad be happy with Aisa wife at end it made lan very happy man rose did. my family did test drilling for him in at very start in WA. he first wife was very sick woman her whole life.

        • Herbs on 05/05/2024 - 18:51
          +4

          wot?

        • payless69 on 06/05/2024 - 07:55

          maybe you should propose to gina?
          maybe she never tried Aisa man?

        • mhz on 06/05/2024 - 10:12
          +3

          and now in English?

      • cordsplace on 06/05/2024 - 17:02
        -1

        Gina is Australia's largest individual taxpayer. Her support for sport and charirites is fantastic and she makes a lot of money for Australia and employs thousands of Australians. She didn't inherit her Dad's wealth. The business was bust. She rebuilt it.

        • R4 on 06/05/2024 - 17:11
          +1

          Yep. I know people who work on her mine and they are very well paid and looked after (probably get the best food in the Pilbara). Many on the East Coast don't get her - and don't like that she's fat and has a right-wing, conservative opinion (if she was left-wing and fat, they'd love her).

    • cordsplace on 06/05/2024 - 16:58
      -1

      pegaxs, you must be a real fun at the BBQ. A real sad sack.

      • mousie on 07/05/2024 - 06:08

        I'd have two beers with him in total agreement following his comment.

  • ihbh on 05/05/2024 - 14:24

    Harvey Norman, chaired by Gerry Harvey, has posted a 45.7 per cent fall, ….Poor Gerry!

    You know they are in the property business, right?

    • MMM on 05/05/2024 - 20:21
      +1

      Yea, Gerry is, but sadly his franchisees are not, they are in retail. He charges them and wins either way and pretends he has their interest at heart and that's why his growth is Malaysia because your local HN and employees will benefit from that, …yeah right!

  • GoldenDragon888 on 05/05/2024 - 14:51

    A week ago. I bought something from a market place seller that was cheaper than stocked elsewhere.

  • Wiadro on 05/05/2024 - 14:56
    +3

    last time i went to HN, they told me to buy the product at JB or good guys because they have it in stock and HN needs a week to get it

  • Empharand on 05/05/2024 - 16:33
    +15

    I'm sure Dodgy Gerry is currently wiping his tears with the Jobkeeper funds that were meant to go to employee's during the lockdown…

  • AussieDaddy on 05/05/2024 - 17:32
    +2

    After tax, the bottom line profit was $202.8 million [in six months]

    So no loss? Not good enough. Hardly Normal should feel the pain that millions of Australians feel every day.

  • JimmyF on 05/05/2024 - 17:34
    +9

    Did Gerry ever pay back those tax payer funds he got? aka jobkeeper? I know he said he would after lots of fanfare….. but did he?

    • JakeyJooJoo on 05/05/2024 - 18:59
      +6

      He paid back around a quarter of the funds. Dogmate still kept 16 mil.

      https://www.theguardian.com/australia-news/2021/aug/31/harve…

      • JimmyF on 05/05/2024 - 19:48
        +6

        Sounds about right for the scumbag….. Token payback to say he paid some back.

        • payless69 on 05/05/2024 - 20:31
          +2

          It is not what you know but who do you know!
          Remember Gerry was a failed door to door vacuum salesman.

    • ipiok on 05/05/2024 - 19:44
      +3

      Don’t forgot the stockpiles of PPE and Covid shots that all expired and had to be thrown away. Regardless of your thoughts on Covid, one cannot argue it will go down as the biggest wealth transfer in history.

  • Windows7forever on 05/05/2024 - 19:01
    +1

    Shall we raise a GoFundMe for him?

  • Nugs on 05/05/2024 - 19:46

    "When was your last purchase?"
    Two years, freezer carked it suddenly and after ringing around it was off to HN in the ute
    .

  • Ozb101 on 05/05/2024 - 20:15
    +9

    I will go to HN to check/test the tech I am looking to purchase. It is always dead quiet so I don't have to battle the crowds like in JBHIFI

    Once I do my testing I will purchase online, JB etc

  • George Washington on 05/05/2024 - 21:36
    +7

    HN is the worst when purchasing items. I asked for a price beat on a fridge Betta was doing. They said no blah blah excuse. Went to Betta got 100 bux off and bought it

  • Kranbone on 05/05/2024 - 22:32
    +1

    Had some pretty shocking experiences at the flagship Auburn store. I'm still surprised they're around given the amount of competition.

    Perhaps the older demographic still see value and respect the brand.

  • Brian McGee on 06/05/2024 - 08:02

    I bought a mount for a security camera, I needed it at short notice and HN was the only one with it in stock close to me.

    Bunnings, TGG, JB HiFi were all special order.

    Still managed to wait in a 10min queue with 2 eople ahead to checkout though, so some things never change.

    • Bruceflix on 06/05/2024 - 11:07

      Easier and cheaper option would have been to look in gumtree for a 3d printing service.

      • Brian McGee on 06/05/2024 - 11:11

        Not when you need to mount the camera that afternoon cause you're going away the next day.

        It was the only option much to my disappointment.

        • WT on 06/05/2024 - 12:49

          cable ties

          • Brian McGee on 06/05/2024 - 13:56
            +1

            @WT: almost as useless as the magnetic mount it comes with.

  • Zythyx on 06/05/2024 - 08:10
    +2

    Back in 2016/2017 I bought a JBL Bluetooth Speaker w/ Google Home from Harvey Norman from a deal post here on OzBargain. Great little speaker and still works well today - however the initial purchase was (profanity): I had it delivered, but when it I got it, the Google Assistant was already linked to some other random person. I tried a few things to get it unlinked/reset, but nothing worked. The packaging and the device all looked like it was brand new too, but I don't know if it was just repackaged really well, refunded and resold.

    Went into the store to get it sorted and the first thing the retail worker there asks me is 'Are you sure that's not your account that's linked?' like no, I'm not randomasshole@gmail… after some back and forth I finally got them to replace the device. The experience with that retail worker was awful and what should have been a simple apology and replacement became almost an hour long ordeal.

    Haven't shopped there since

    • mitchalbrown on 06/05/2024 - 10:14
      -2

      In their defence… I could imagine how many boomers have come in there with their new device linked to their email address and the retail assistant asking "are you sure thats not your email" and the boomer calling their grandchild before confirming that is in fact… their email.

      • Grunntt on 06/05/2024 - 10:58
        +2

        I could imagine how many boomers have come in there with their new device linked to their email address

        Pretty sure computers, smart phones, email and the internet/www, amongst much more tech, was invented and used by boomers.
        People seem to confuse the elderly with 'boomers' - either deliberately, through ignorance or laziness.

        (on another note - many use Gerry Harvey as a prime example of boomers benefitting at the expense of the young - he's not a boomer as he was born in 1939)

        • mitchalbrown on 07/05/2024 - 12:21

          I work in IT… can tell you boomers are my bread and butter.

          • Grunntt on 09/05/2024 - 10:24
            +1

            @mitchalbrown: My point was - unless you know their date of birth it's pretty easy to lump anyone that's older than you into the boomers group.
            Many people I know have difficulty in seeing an age difference between a 55 year old and a 60 year old or even a 75 and 80 year old(only one of each is a boomer).
            My father took great delight in informing a retail assistant that as a 92 year old he is not a boomer (heard their under the breath comment as he was walking away).

            I work in IT too ( and btw that's a pretty wide description of a job function) but the person who does the great majority of our family tech support is the boomer who is currently using the 18th computer that he has assembled for his own use over the years.
            His comments are that most of his 'work' comes from the youngest cohort who think that tapping on a phone or tablet makes them technically literate.

    • splicer on 07/05/2024 - 14:48
      -1

      When you buy a Firestick or Amazon Echo you can have your details already inserted into it so when you get the item it's ready to go. Someone may have done something similar to this option, and then the unit simply got mixed up at despatch?

  • Subere on 06/05/2024 - 08:24
    +17

    Stopped shopping there when he went on a campaign against video games complaining he couldn't compete with grey imports then got the gov to force gst on online digital sales of any digital goods.

    Him taking jobkeeper and making millions in profits is just the icing on the cake on my disdain for this guy

  • grr1701 on 06/05/2024 - 08:26
    +2

    Should have set aside some of the money Scumo gave him during Covid when HN made brilliant profits anyway.

  • Speckled Jim on 06/05/2024 - 08:27

    2012: a few Sunbeam coffee drip machines they were clearing.

  • BertieBrown on 06/05/2024 - 08:52
    +2

    I’m genuinely trying to think of the last time I bought something from HN. It’s weird that I can’t remember because I usually remember where I bought things. They did have a Dyson dusting brush that I wanted that others didn’t, but I couldn’t bring myself to buy it from there.

    I generally only go to JB HiFi for anything electrical because HN have been really hard to get on with returns in the past, which I realise is just my experience.

    I’m not surprised that they have lost profits. Gerry himself appears to be very unliked in the public profile, and their actual stores in the age of the Internet seems antiquated.

  • smartazz104 on 06/05/2024 - 09:07
    +4

    So his intense lobbying to get GST added to every overseas purchase of items he doesn't even stock hasn't worked out as well for him as he thought it would; that's a shame.

  • brad1-8tsi on 06/05/2024 - 09:33

    HVN announced those results in February. Why bring it up now?

    Full transparency, I've bought various bundles of shares in HVN from 2002 to 2019. They were pretty much $2.50 for that whole period. They did bump occasionally. My average buy price was $2.60.
    I think Gerry has lost the plot and should STFU. He's an old whinger and would cry if he lost a dollar.

    Do you have an understanding of HVN's structure? It's a bricks and mortar retailer, an online seller (that took a while because Gerry didn't understand the internet), a franchise manager and a property investor.
    Revenue from sale $1.48b (down $335m from1H23 or up $450m from 1H20)
    Revenue from franchisees $500m
    Property portfolio $3.5 billion.
    The share price is quite volatile and has been a bit overcooked lately so it's understandable it would drop back.
    They used to be a poor dividend payer but it's a reasonable 4.5-5% FF these days.

    • brad1-8tsi on 06/05/2024 - 09:36
      +2

      PS: Haven't bought anything from HVN in years.

      Went there on Friday to get pricing on a full kitchen fitout and was surprised at the words "can't discount that, can't discount this"

    • payless69 on 06/05/2024 - 10:17
      -1

      This forum is not really for the smart investor, just full of Mao freaks who cry foul when they lose an argument.
      Gerry's track record in overseas expansion is still way above his peers.
      What do you think? If all 3 of us would be in jail, should we protect him in the shower?

      • brad1-8tsi on 07/05/2024 - 09:14
        +3

        I'd use him as a shield. HVN won't die if Gerry isn't around. It will probably improve. It will be good when his missus realises she's too old for the job as well.

        • MMM on 07/05/2024 - 10:24
          +2

          HVN won't die if Gerry isn't around. It will probably improve.

          Board, tried to get rid of him but Gerry wants to make HN great again, in Malaysia. Don't hate the guy just get sick of him shifting blame and whinging about competition. He built a business on putting small local family owned stores out of business, then whinged about an unfair playing field when the big boys came to town, as he could not compete and wants the government to step in and help him?

  • hawkers89 on 06/05/2024 - 09:34
    -1

    Bought a Sonos Arc and Sub from HN last year.. they were the cheapest out of JB and TGG.

    • buckster on 06/05/2024 - 18:53

      Especially back when amex used to do the HN credits

  • Wasabi Ninja on 06/05/2024 - 09:39
    +6

    I boycott HN ever since he forced the GST on all overseas purchases. So did practically everyone else I know. Later Gerry….

    • Windows7forever on 06/05/2024 - 09:48
      +4

      The head of the Aust Retailers Association at the time is just as much to blame. Greedy lobbyists influencing the govt.

  • gromit on 06/05/2024 - 10:40
    +5

    can't even remember the last time I went to a Gerry Store. must be a good 4 or 5 years. Personally like others the GST campaigning for overseas purchases was the final straw. Really highlighted how he would screw anyone for his own benefit.

  • bamzero on 06/05/2024 - 11:09
    +3

    Unfortunately Gerry or not we still wont get back our sub $1000 GST free imports.

    I wonder, did he push for being able to pass on credit card fees too? (Getting off topic, but who else thinks that should be reverted back to how it was. Given the cashless push many transactions are on card anyway so it seems irrelevant now, and is a running cost that should just be factored in)

    • gromit on 06/05/2024 - 11:26
      +1

      credit card fees were always passed along anyway. Current system is at least transparent whereas prior to that retailers would just embed it into the price so you would have to argue negotiate to get a discount for cash. Reality nowadays is cash should attract the higher fees as it costs most retailers a lot more to process and protect than credit card transactions.

    • BargainBobcat on 06/05/2024 - 22:38

      All I know is our imports prices used to be ok and now are stupidly expensive - especially from the US and UK. Did Gerry have something to do with that?

  • Drakesy on 06/05/2024 - 11:50
    +1

    I used to walk into HN all the time in the 2000's, 2010 came and it became the domain of the uneducated purchaser a la boomer, it was a quiet, relaxed environment where their salespeople can prey on them all they want, upselling all the Monster Cables and sh1t warranties.

    JBhifi is a bit like the opposite, appealing to the gen x,y,z'ers with the Good Guys caught somewhere in the middle (stil given JB owns both they have a foot in each door).

    As boomers slowly die off so will HN's customer base and thus their point of difference will no longer exist.

  • R4 on 06/05/2024 - 11:59
    +3

    I've lived in Australia for 18 years and have never bought anything at HN, and never will.

    Gerry will never get a cent of my money.

    • payless69 on 06/05/2024 - 12:07
      -2

      Your mistake. I went to examine some of the vacuum he left in our store and walked out with a free mobile phone with a free 2 year warranty.

      • R4 on 06/05/2024 - 14:50
        +1

        Cool. No mistake on my part but party on with your win.

  • curtturtle on 06/05/2024 - 12:04
    +3

    HN used to make their money ripping off Boomers with prices far higher than everyone else but they could go into a store and see the item. It is kind of the Myers approach. Covid comes around and Boomers are forced to learn how good online shopping is. No need to buy from HN anymore. Bye bye HN! You won't be missed.

    • jackspratt on 06/05/2024 - 12:41

      I guess with such deep inside knowledge, you must have been working at HN at the time.

      Can you advise how easy it is to buy a 3 piece lounge suite, and a 10 setting dining table with chairs, online - without ever seeing them?

      • smartazz104 on 06/05/2024 - 13:22
        +1

        Can you advise how easy it is to buy a 3 piece lounge suite, and a 10 setting dining table with chairs, online - without ever seeing them?

        I wonder how many of these specific items HN sells a week…

        • gromit on 06/05/2024 - 15:13
          +1

          Its a LOT. The majority of many of the stores consist of furniture. My parents used to compete with them as they had their own store and you don't devote that much floor space without having a high turnover. Most of the furniture items they do bulk purchases of.

      • curtturtle on 07/05/2024 - 08:15

        Nah never worked for them. Have been working in e-commerce and digital marketing for many years. More and more people are not needing to see something in personal, even large items. They get the measurements and go by the photos.

        Even the sales of furniture stats from ibis world show a massive growth during covid with continued growth predicted.

        https://www.eway.com.au/wp-content/uploads/sites/12/2023/09/…

        Online retailers like Temple and Webster are also seeing exponential growth.

        "Online furniture retailer Temple & Webster has beaten market expectations with first-half revenue growth of 23 per cent to $254 million"

        https://www.afr.com/companies/retail/temple-and-webster-join…

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