Dixons showers shareholders with special dividend

Dixons saw shares rocket today after announcing a special dividend on the strength of higher than expected overall retail sales. Shares soared 27 pence to 1,242 pence in midday trading – making Dixons the second biggest riser in the FTSE 100. Dixons chairman Sir Stanley Kalms told today’s Annual General Meeting that sales were 20 per cent ahead of the same period last year for the 18 weeks to 4 September – and up nine per cent on a like-for-like basis. Although gross margins were slightly down, all the group’s brands had gained positive like for like growth. Kalms said sales had been particularly strong in computer products and mobile phones, as well as widescreen TVs. The company declared a surprise special interim dividend of 7.5 pence per ordinary share to be paid on 13 December. Dixon's share price had calmed down by mid-afternoon to 1,197 pence, a drop of 18 pence on this morning’s opening trading price.®