Currys & PC World: £30m loss
Currys & PC World: £30m loss
Thursday 27th November 2008
DSG International – owner of Currys and PC World – recorded a loss of £29.8 million for the last six months.As recession fears and the credit crunch deter shoppers – with MFI and Woolworths both calling in the administrators this week – DSG reported like-for-like sales were down seven per cent and it was offering no dividend.
Total sales rose three per cent to £3,468 million.
Profits were hit as Currys saw fewer shoppers and the firm looked to clear older stock and cut prices on TVs to match internet prices.
Sales at PC World were down ten per cent, but this was in part blamed on the clearance of laptop overstocks last year that drove high sales.
Online sales at PIXmania and Dixons.co.uk were up nine per cent.
The pre-tax loss of £29.8 million compared with a profit last year of £52.4 million.
Looking forward to Christmas and 2009, DSG stated the outlook was "uncertain".
John Browett, DSG chief executive, said: "We are focused first on trading through the current tough economic environment in which we are prioritising cash generation as well as tightly managing stock, money margins and costs."
He added the firm was working on its new format superstores and Curry.digital stores, where some stores were reporting 25 per cent higher sales than the rest of the group.
At 10:21 GMT the DGS share price was down 5.36 per cent to 13.25p. A year ago it was over 110p.
Related News
Blanchflower: I wanted to stop crisis - 27/11/08
The Bank of England should have acted earlier to cut interest rates, monetary policy committee (MPC) member David Blanchflower said today
The Bank of England should have acted earlier to cut interest rates, monetary policy committee (MPC) member David Blanchflower said today
Administrators called in at MFI - 26/11/08
MFI is to face administrators as the furniture giant became the latest victim of the economic crisis today
MFI is to face administrators as the furniture giant became the latest victim of the economic crisis today
US spends $800 billion more in fixing credit crisis - 25/11/08
US authorites are to spend an additional $800 billion (£523 million) shoring up the nation's finances
US authorites are to spend an additional $800 billion (£523 million) shoring up the nation's finances
Tories win chance to debate 'Budget' - 25/11/08
The Conservative party has won the right to a full parliamentary debate of yesterday's Pre-Budget Report
The Conservative party has won the right to a full parliamentary debate of yesterday's Pre-Budget Report
Mortgage industry backs Crosby report - 25/11/08
Mortgage experts have backed the Crosby report but are disappointed the government will not look into its recommendations until the spring
Mortgage experts have backed the Crosby report but are disappointed the government will not look into its recommendations until the spring
News Article Search
Quick Apply
News Archive