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 RSS News Feed | 12 May 2011 |
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Dixons Retail reports sales dip | Back |
A two per cent fall in like-for-like sales was reported by Dixons Retail in the year to April 30.
The store group - parent company of Currys, PC World and Dixons - pointed out in a full-year trading statement issued today, that while the decline averaged out at two per cent across the group for the full year, it actually fell further, this time by four per cent, in the second half.
In the UK and Ireland, like-for-like sales fared worse than the group as a whole, falling three per cent during the course of the year although, again, putting in a worse performance in the 28 weeks to April 30 when like-for-likes dropped seven per cent.
Underlying group pre-tax profits were likely to be around £85 million, it said, in line with the profit warning it issued in March.
Chief executive John Browett admitted: “Market conditions have been challenging in many of our markets this year.”
On the plus side, the store group pointed out that it had made £50m-worth of cost savings during the financial year, its new format stores were consistently pulling in increased profits and it had launched a new customer services brand KnowHow.
The group could now also boast 60 megastores with average annual sales of £20m and businesses were, despite the tough conditions, performing ahead of their markets, it said – “particularly in the UK, Nordics, Italy and Greece”.
Said Mr Browett: “Our focus on value, choice and particularly on service have been at the heart of this delivery.”
He said he remained cautious about the year ahead: “However, through our renewal and transformation plans, our businesses are well placed to emerge from the current weak consumer environments ahead of our competitors.”
The store group - parent company of Currys, PC World and Dixons - pointed out in a full-year trading statement issued today, that while the decline averaged out at two per cent across the group for the full year, it actually fell further, this time by four per cent, in the second half.
In the UK and Ireland, like-for-like sales fared worse than the group as a whole, falling three per cent during the course of the year although, again, putting in a worse performance in the 28 weeks to April 30 when like-for-likes dropped seven per cent.
Underlying group pre-tax profits were likely to be around £85 million, it said, in line with the profit warning it issued in March.
Chief executive John Browett admitted: “Market conditions have been challenging in many of our markets this year.”
On the plus side, the store group pointed out that it had made £50m-worth of cost savings during the financial year, its new format stores were consistently pulling in increased profits and it had launched a new customer services brand KnowHow.
The group could now also boast 60 megastores with average annual sales of £20m and businesses were, despite the tough conditions, performing ahead of their markets, it said – “particularly in the UK, Nordics, Italy and Greece”.
Said Mr Browett: “Our focus on value, choice and particularly on service have been at the heart of this delivery.”
He said he remained cautious about the year ahead: “However, through our renewal and transformation plans, our businesses are well placed to emerge from the current weak consumer environments ahead of our competitors.”
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