The new Dixons Carphone boss, Alex Baldock, has underlined his warning that fixing the retailer’s problems will take time, as he reported a 24% plunge in profits.
The UK electricals and mobile phone retailer, which disclosed a huge data breach last week, has been hit by the lack of technical innovation in mobile phones, meaning customers are updating their handsets less frequently. Many are also switching to cheaper sim-only deals.
Dixons made an underlying pre-tax profit of £382m for the year to 28 April, down from £500m the previous year. It had already flagged the fall last month, along with the warning that current-year profits will slide by a further 20%.
Like-for-like revenues in the UK and Ireland rose 2%, while group like-for-like revenues were up 4%, boosted by strong growth in Scandinavia and Greece. UK mobile phone sales were flat on a like-for-like basis.
Baldock, who took over as chief executive from Seb James in April, said: “Recent events have underlined that we have plenty of work to do, and it will take time, but I’m even more confident than the day I took the job in our long-term prospects.”
For more read the full of article at The Guardian
