14th Jan 2022 08:37
(Alliance News) - Currys PLC on Friday revealed disappointing trading results over Christmas as the electronics retailer announced plans to launch a share buyback programme.
Currys said the technology market was challenging over Christmas, blaming "uneven customer demand and supply disruption".
For the 10 weeks that ended January 8, group like-for-like revenue fell 5% compared to growth of 4% two year before.
International like-for-like revenue in the same 10-week period was down 3%, while for the UK & Ireland revenue fell 6%.
Looking ahead, Currys expects to deliver full-year adjusted pretax profit of around GBP155 million. This would be flat on the year before. It posted adjusted pretax profit of GBP156 million in financial 2021.
Currys shares were down 5.0% to 106.80 pence Friday morning in London, one of the worst performers in the FTSE 250 index of mid-caps.
The retailer also launched a share buyback programme of up to GBP75 million. The buyback scheme will run to the end of October, running to the end of October. Morgan Stanley will conduct a first phase, worth GBP32 million and running until April 29.
"The technology market was challenging this Christmas, with uneven customer demand and supply disruption. Against this backdrop, Currys' colleagues showed their resilience and the stronger business we've built. We gained market share, improved customer satisfaction, traded profitably, and can look ahead with confidence," Chief Executive Officer Alex Baldock said.
"Customer demand for some tech was strong. This was a gamers' Christmas, the year that virtual reality broke into the mainstream, and when consoles flew off the shelves. Oculus Quest 2 and PS5 were stars. Appliances large and small also enjoyed strong sales, as consumers continued to kit out their homes. Still, the overall UK tech market was down 10% compared to last year's peak period," he added.
By Will Paige; [email protected]
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