Share Dealing
'Solid' performance sends Dixons shares north
Dan Kilpatrick, 17 January 2012
Shares in Dixons Retail, owner of Currys and PC World, opened 10 per cent higher after the group reported a 'solid' performance for the 12 weeks to 7 January.
The group's share price levelled off at 10.51p, a 0.62p rise at 9am, despite adding to the embattled high street's Christmas sales woes.
Like-for-like sales were down 7 per cent in the UK and Ireland for the 12 weeks but the retailer's performance in the January sales was better, up 23 per cent between 4 and 14 January on a like-for-like basis.
Dixons said growth in multi-channel sales had been strong, with 19 per cent of total group sales generated online.
The UK electronics industry took a battering last year. Dixons' rival Comet was sold by owner Kesa in November 2011 for just £2 to turnaround specialist OpCapita.
US electronics chain, Best Buy, began closing its UK stores on Sunday after losses of £46.7 million in the six months to September last year.
Dixons group chief executive, John Browett, described the performance as 'solid against a challenging backdrop' but warned, 'Consumer confidence in many of our markets remains fragile and we will maintain a cautious approach to the outlook for the year ahead.
'We have set our business accordingly and will continue with our self-help strategy to improve the offer for customers. Our renewal and transformation plan is continuing to make the business better, easier and cheaper to run and delivering an unbeatable combination of value, choice and service for customers,' he finished.
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