Thursday 07 September 2023 8:30 am

Currys sticks to full-year guidance despite falling sales

The rejected deal involved a cash offer for the entire firm at 62p per share, making the bid for the firm total to about £700m.

Currys has said it is sticking to its annual profit guidance despite recording a 4% fall in group sales in the 17 weeks to August.

The British electrical goods seller reported a 2% dip in like-for-like sales in its UK and Ireland (UK&I) division as consumers put off buying expensive goods amid the cost of living crisis.

Currys said sales improved in July and August compared with the previous two months, with purchases on mobiles and domestic appliances performing strongly, while sales on pricier goods such as computers were weak.

At its Nordic division like-for-like sales fell 8%. The group warned that the market remained “challenging”.

The retailer continued to roll out savings measures in order to reduce operating costs.

In May, the retailer lifted its prospects for the rest of the year, saying its profit before tax was expected to be £110m-£120m, up from about £104m previously.

“Our priorities this year are simple: to keep the UK&I’s encouraging momentum going, and to get the Nordics back on track,” Alex Baldock, group chief executive, said.

“We’re making good progress on both, in what continues to be a challenging economic environment. We remain confident that we’re building a stronger business that’s resilient today and fit to prosper in the longer term.”