Dixons Carphone shares rise on strong performance in Southern Europe

Electrical retailer Dixons Carphone (LON:DC) saw shares rise nearly 5 percent on Wednesday, after an update to the markets showed impressive figures against a “lively political backdrop”.

For the 16 weeks to April 29th the retailer reported a 9 percent rise in annual sales, with like-for-like sales growing 4 percent. The company updated investors that it expects pre-tax profit for the full year to come in between £485 million to £490 million.

In the UK & Ireland, like-for-like revenues in the full year improved by approximately 3 percent as a result of sales successfully transferred from closed stores and sales disruptions, largely benefitting UK and Ireland electricals, where like-for-like revenues grew 7 percent.

Chief executive Seb James said: “Despite a lively political backdrop, we have been able to continue to grow our business and maintain very high levels of customer satisfaction across the group.”

The group’s activity in Southern Europe saw a particular improvement, delivering “another very good year” with full year like-for-like revenues up 6 percent.

“With Greece a particularly strong performer, the business continues to gain market share and improve its service and delivery propositions and in Spain the SmartHouse initiative is providing good momentum against a tough overall market backdrop”, the company said.

Shares in Dixons Carphone are currently trading up 4.56 percent at 340.94 (0958GMT).

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