06 Sep 2012
1st Quarter Trading Statement
Dixons Retail plc, Europe's leading specialist multi-channel electrical retailer and services company, today announces trading for the 12 weeks ended 21 July 2012.
- Encouraging start to the year with total sales up 2% and like for like sales up 5% in the first quarter.
- Good performance in UK & Ireland with like for like sales up 7%.
- Northern Europe continues to trade strongly as Elkjøp outperforms in its markets.
- Italian and Greek businesses taking appropriate actions in continued difficult economic environments.
- Continued strong growth in multi-channel:
- Group multi-channel sales up 39% in the first quarter.
- Multi-channel sales up 48% in UK & Ireland.
- Trading at PIXmania continued to be challenging. On 10 August 2012 the Group acquired the 22% interest in PIXmania owned by the Rosenblum family giving the Group day to day control.
- Group gross margins down 0.3% in the first quarter.
| 12 Weeks ended 21 July 2012|
|Underlying Sales||Total growth|
|Like for like growth|
|UK & Ireland||+6% ||+6%||+7%|
(Nordics & Central Europe)
|PIXmania||(12)% ||(3)% ||(3)% |
|Total Group||+2% ||+8% ||+5%|
Sebastian James, Chief Executive, commented:
"While it is still early in our financial year, I am encouraged by the start we have made across the Group. We have had a real boost from a busy summer of events in the UK and our Northern European operations continue to go from strength to strength. I am pleased that we now have day to day control of PIXmania allowing us to take the decisive actions necessary to improve its performance. August has proven to be quieter across the retail sector in some of our markets and we continue to be cautious about the outlook. However, we are well placed for the back to school period and look forward to the launch of Windows 8 and the exciting new products that we will have available for customers for the Christmas period."
Dixons Retail plc will announce interim results for the 24 weeks ended 13 October 2012 on 29 November 2012.
For further information
|David Lloyd-Seed,|| IR & Corporate Affairs Director, Dixons Retail ||01727 205065 |
|Mark Webb, ||Head of Media Relations, Dixons Retail ||01727 205019 |
|Tom Burns, Zoe Bird ||Brunswick ||020 7404 5959 |
Investors & Analysts Conference Call
Sebastian James and Humphrey Singer will host a conference call for Investors and Analysts at 8.00am:
|Dial in number: ||+44 (0) 1452 555 566 |
|Conference call ID ||26608508|
A replay facility will be available after the call using the following details:
|Dial in number: ||+44 (0) 1452 550 000 |
|Conference call ID ||26608508#|
Information on Dixons Retail plc is available at http://www.dixonsretail.com
1) Like for like sales are calculated based on stores that have been open for a full financial year both at the beginning and end of the financial period and are calculated using constant exchange rates. Customer support agreement sales are excluded from all UK like for like calculations. Operations that are subject to closure have sales excluded as of the announcement date. Stores closed for refurbishment are excluded during the period of closure. All PIXmania pick up store sales are included in like for like sales.
2) UK & Ireland comprises Currys, CurrysDigital, Dixons Travel, PC World, combined 2-in-1 Currys and PC World, operations in Ireland, Dixons.co.uk, DSGi Business, the Harrods consession and KnowhowTM. Like for like sales exclude DSGi Business.
3) Northern Europe comprises the Elkjøp group, Czech Republic (ElectroWorld), Slovakia (ElectroWorld) and Dixons Travel Denmark.
4) Southern Europe comprises Greece (Kotsovolos), Italy (Unieuro, combined 2-in-1 Unieuro and PC City stores and Dixons Travel Italy), and Turkey (ElectroWorld).
5) Movements in the financial position, including levels of borrowings, of the Group since the last balance sheet date are reflective of the trading performance and statements outlined above. Other than this, there have been no significant changes in the financial position of the Group.
6) 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.