Dixons Carphone plc
Strong start to year, with UK and Ireland like-for-like revenues up 10%
Highlights (Q1 2015/16, 13 weeks ended 1 August 2015)
• Group like-for-like revenues up 8%
• Continued momentum in the UK and Ireland, with like-for-like revenues up 10%
• Good performance in the Nordics with like-for-like revenues up 4%
• Flat like-for-like revenues in Southern Europe with improving trading in Spain and growth in Greece despite challenging markets
• CWS announces an agreement with Sprint Corporation to open and manage stores in the US
• Integration on track
Pro forma Headline like-for-like1 revenues |
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UK & Ireland |
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10% |
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Nordics |
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4% |
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Southern Europe |
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0% |
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Group |
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8% |
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Sebastian James, Group Chief Executive, said:
"This is a very encouraging first quarter with excellent growth for the Group overall, showing strong like-for-like revenues in the UK driven principally by significant market share gain in phone sales. Against the World Cup last year I was also pleased to see growth in UK electricals. At the same time, we have continued to see improvements in customer satisfaction and price competitiveness through the period and across all our major territories. Our Nordic business has also experienced decent growth overall against a slightly less buoyant market backdrop.
Our multi-channel proposition continues to make good headway against our competitors, both on and offline, and we continue to invest in those areas that will ensure our long term profitability: service, delivery options, expansion of free warranty, digital marketing and Norwegian price competitiveness. Work has started well on our new venture with Sprint in the US and we are opening our first stores next week. The integration is also going smoothly with our UK head-office move on track and the new management structures in place and working well.
Overall, a very good start to the trading year but I am aware that there is plenty of the year left to go. In the next quarter we will anniversary the startlingly successful iPhone6 launch, the consolidation of the mobile market and, later in the year, an extraordinary Black Friday. Nevertheless, our whole team believes that the business is in very good shape to have another successful year, and I look forward to giving a further update at the interims in December."
(1) Like-for-like revenues are calculated based on Headline store and internet sales using constant exchange rates. New stores are included where they have been open for a full financial year both at the beginning and end of the financial period. Sales from franchise stores are excluded and closed stores are excluded for any period of closure during either period. Customer support agreement, insurance and wholesale revenues along with revenue from Connected World Services and other non-retail businesses are excluded from like-for-like calculations. Revenues from Carphone Warehouse stores-within-a-store are included in like-for-like.
Investor and analyst call
There will be a conference call for investors and analysts at 7:30 am (BST) this morning. The call will also be broadcast on our website, www.dixonscarphone.com via a listen-in only webcast.
Dial-in details - UK/International: +44 (0) 20 3003 2666; passcode: 5339762
Seven-day replay - UK/International: +44 (0) 20 8196 1998; passcode: 5339762
Next announcement
The Group will publish its interim results on Wednesday, 16 December 2015.
For further information
Kate Ferry |
IR, PR & Corporate Affairs Director |
+44 (0)7748 933 206 |
Mark Reynolds |
Head of Investor Relations |
+44 (0)7979 696 498 |
Hannah Collyer |
Head of Media Relations |
+44 (0)1727 203 041 |
Nick Cosgrove, Helen Smith |
Brunswick Group |
+44 (0)207 404 5959 |
Information on Dixons Carphone plc is available at www.dixonscarphone.com Follow us on Twitter: @dixonscarphone and @DCSebJ |
About Dixons Carphone Dixons Carphone plc is Europe's leading specialist electrical and telecommunications retailer and services company, employing over 40,000 people in 9 countries. Focused on helping customers navigate the connected world, Dixons Carphone offers a comprehensive range of electrical and mobile products, connectivity and expert after-sales services from the Geek Squad and KNOWHOW. Dixons Carphone's primary brands include Carphone Warehouse, Currys and PC World in the UK & Ireland, Elkjøp, Elgiganten, Gigantti and Lefdal in the Nordic countries, Kotsovolos in Greece, Dixons Travel in a number of UK & Ireland airports and Phone House in Spain, Sweden and Norway. Our key service brands include KNOWHOW in the UK, Ireland and the Nordics, and Geek Squad in the UK, Ireland and Spain. Business-to-business (B2B) services are provided through Connected World Services, PC World Business and Carphone Warehouse Business. Connected World Services aims to leverage the Group's existing expertise, operating processes and technology to provide a range of services to businesses. |
Certain statements made in this announcement are forward-looking. Such statements are based on current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from any expected future events or results referred to in these forward-looking statements. Unless otherwise required by applicable laws, regulations or accounting standards, we do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise. Information contained on the Dixons Carphone plc website or the Twitter feed does not form part of this announcement and should not be relied on as such.
