Feeds

Dixons Retail: A mirror held up to Europe

Southern pain, northern gain, Pixmania ruining it for everyone

Top 5 reasons to deploy VMware with Tegile

Dixons Retail's top and bottom lines slipped in fiscal 2012 ended 28 April, according to preliminary results.

Group pre-tax profits fell to £70.8m, down from £85.3m in the previous financial year and sales dipped three per cent to £8.05bn, compared to £8.3bn in fiscal 2011.

The total loss before tax narrowed to £118.8m from £224.1m last year, after non-underlying items of £189.6m, which Dixons said are predominantly non-cash and relate to the write-off of goodwill on Unieuro, Kotsovolos and PIXmania.

The High Street is no easy place for retail outlets to ply their wares as consumers' disposable income has been hit by rising household bills, amid high unemployment and government austerity measures.

And of course bricks and mortar retailers are under constant threat from lower cost Internet rivals that undercut them on price.

Dixons said it had made "good progress" in the UK and Ireland and the Nordics with profits up 15 per cent and 12 per cent respectively but this was "offset" by "weaker" output in Southern Europe and Pixmania.

However, the group, which owns Currys and PC World, said things are looking up after a five per cent sales spike in Q4.

CEO Sebastian James, who succeeded John Browett some months ago, said he was "pleased that by focusing our efforts on delighting customers, we have outperformed [offline] competitors".

That said the company is still forging ahead with cost cutting plans, with £60m reduced in fiscal 2012 and another £90m targeted over the next two years.

Net debt fell to £104m on the £206.8m it was burdened with a year ago.

"The new financial year has got off to a good start with the trends seen in the final quarter of last year broadly continuing. However, we continue to plan cautiously and manage costs aggressively," said James. ®

Beginner's guide to SSL certificates

More from The Register

next story
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Yes, yes, Steve Jobs. Look what I'VE done for you lately – Tim Cook
New iPhone biz baron points to Apple's (his) greatest successes
Lords take revenge on REVENGE PORN publishers
Jilted Johns and Jennies with busy fingers face two years inside
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Edward who? GCHQ boss dodges Snowden topic during last speech
UK spies would rather 'walk' than do 'mass surveillance'
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.