Dixons celebrates shiny Christmas
Sales up but margins down
DSGi - the group behind PC World and Currys - has updated the City on trading over the crucial Christmas period.
For the 12 weeks ended 9 January group sales were up eight per cent with only UK computing sales showing a slight fall - down three per cent in like-for-like terms. The retailer said that Windows 7 provided a bit of a boost but continued weakness in business sales held back sales.
The Nordic countries did best - with 18 per cent like-for-like growth. DSGi's ecommerce business did well too - growing 15 per cent. UK and Ireland Electricals were up eight per cent
The revamped megastores all brought in more than a million pounds in the first week of the sales. Over Christmas DSGi sold a TV and a computer every two seconds.
Despite this good news group margin was down 0.8 per cent although stock turn over was up over 10 per cent on last year.
The company expects the year ahead to be tough, especially in the UK, but has high hopes that its shop upgrading scheme will continue to boost sales. DSGi is in talks to close its pension scheme to new members.
Full statement available from here. ®