20th Jul 2006 07:01
Kesa Electricals plc20 July 2006 20 July 2006 Trading Update Kesa Electricals plc today announces a trading update for the period1 February 2006 to 18 July 2006, based on unaudited management accounts. Turnover growth as reported in sterling Darty 11.0%Comet 10.5%BUT 2.3%Other* 30.2%Group Total 11.3% Turnover growth in local currency Total Like-for-like Darty 10.3% 8.8%Comet 10.5% 8.6%BUT 1.7% (2.9)%Other* 28.4% 11.2%Group Total 10.8% 7.6% *BCC, Vanden Borre, Datart, Darty Italy and Darty Switzerland Total Group turnover for the period grew by 11.3 per cent, 10.8 per cent inlocal currency. At Darty, sales grew by 10.3 per cent in local currency, 8.8 per cent on a likefor like basis, driven by very strong demand for flat screen televisions. Dartycontinued to see modest growth in sales of white goods and the adverse productmix margin effect was more than off set by the benefits from the ongoing costrationalisation programme and turnover leverage. Comet sales accelerated in the second quarter, and turnover for the period grewby 10.5 per cent, 8.6 per cent on a like for like basis. This growth was againled by demand for flat screen televisions, while white goods sales remainedweak. Despite the negative margin mix effect, Comet is expected to deliver asmall profit in the first half. Total store turnover at BUT grew by 0.4 per cent in local currency, down 2.9 percent on a like for like basis, helped by an improved second quarter performance.The five small to mid sized relayed stores progressed well and nine additionalrelayed stores will be completed by the end of the month. Our other businesses, BCC, Vanden Borre, Datart, Darty Italy and DartySwitzerland, continued to deliver improved overall turnover with growth of 28.4per cent in local currency, 11.2 per cent on a like for like basis. Chief Executive Jean-Noel Labroue commented, "As anticipated, sales at our electrical businesses accelerated during May andJune triggered by the very strong demand for flat screen televisions ahead ofthe World Cup, while sales of white goods remained soft. This caused an adversemix margin effect over the period which was more than compensated for byproductivity gains and cost control measures. "As a result, we expect to deliver a satisfactory first half profit performance.However, the World Cup effect will have brought forward some television salesand with the on-going uncertainties in consumer confidence, we remain cautiousabout the outlook for our important second half. We will therefore continue tobe tightly focussed on cost control and margin and cash management." ENDS Kesa Electricals plc's interim results for the six months ended 31 July 2006will be announced on 27 September 2006. There will be a telephone conference call for analysts at 8.30am on 20 July2006. If you would like to listen to a recording of this call, please visit thecompany's web site on www.kesaelectricals.com after 10.00am. Enquiries Analysts Kesa Electricals plcSimon Ward +44 (0) 20 7269 1400 Media Kesa Electricals plcAnnabel Donaldson UK +44 (0) 20 7269 1400 Guy Lavaud France +33 (0) 1 43 18 52 00 FinsburyAbigail Irving-Bell UK +44 (0) 20 7251 3801 Euro RSCGLaurent Dondey France +33 (0) 1 58 47 95 17 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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