JB Hi-Fi chief executive Nick Wells has given his first public account of the retailer's decision to end its 25-year membership of the Narta group on 31 December 2026, saying the move reflects the company's current scale.
In comments to Appliance Retailer, Wells addressed questions suppliers had raised since the announcement, including why the decision was taken now and what it would mean for the buying function and data services that Narta has managed.
Wells said both organisations considered the timing right to conclude the membership. He attributed the decision to the size of JB Hi-Fi's organisation today, and said the change would also allow Narta to concentrate on supporting its members going forward.
He acknowledged Narta's role in the retailer's growth and thanked its team, adding that JB Hi-Fi would continue to work closely with the group over the coming weeks to make the transition a smooth one. Business would carry on as usual until the membership ends on 31 December, after which some services previously provided by Narta would be brought in-house, he said.
Wells described the exit as an important news event for suppliers in the industry but said he did not believe it warranted an announcement to the ASX. He said the decision was not about more money but about enabling both parties to focus on the future, and was therefore not material from an ASX perspective.