Dixons Carphone profits to crash 22%

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Dixons Carphone
// Currys PC World & Carphone Warehouse owner Dixons Carphone expects profits to fall 22%
// Revenues expected to rise to £10.6bn from the £10.5bn a year earlier
// The challenging mobile phone market has affected sales

The parent company of Currys PC World and Carphone Warehouse, Dixons Carphone has revealed that it expects profits to fall thanks to the challenging mobile phone market.

Dixons had previously revealed that it had been too slow to win over online shoppers, and chief executive Alex Buldock is expected to announce pretax profits in the year to April 30 fell about 22 per cent to £299 million on Thursday.

Meanwhile, analysts have predicted that Dixons’ revenues will rise to £10.6 billion from the £10.5 billion a year earlier.

The company is expected to be facing costs from a turnaround strategy which it announced six months ago, as well as the ever-changing habits of consumers when it comes to purchasing mobile phones.

Dixons said consumers are now buying mobile phones outright rather than signing up to lengthy contracts, which means mobile sales have fallen by seven per cent in the six months to October 31, and are expected to be down five per cent for the final three months of the financial year.

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21 COMMENTS

    • If you haven’t worked or currently work there how can you talk about the treatment of staff, and even if you have or know someone who has. That’s no reason to hope 30,000 people lose their jobs. What a dick!

    • Yeah.. the best thing for the staff “They dont treat right” is for them all to lose their job huh?

      Numpty

      I think they will pull through if they can outpace the decline in sales with their rate of Re-Invention

  1. Should focus on cheaper phones and multipads such as Prestigio etc instead of just trying to sell high end items

  2. They don’t offer anything except a competitive price. Staff are poorly trained, young and inexperienced and driven to sell add ons and warranties. I suspect that the profit decline is not just due to mobile as you can’t have overheads like they do and compete on price with internet sheds. I’ll predict store closures.

  3. Worked for CPW 10 years. Great company and yes they did and do treat staff fairly. Over the years we had bonuses, Company Balls and incredible incentives. The mobile environment has changed beyond recognition, but still last Christmas staff got another bonus. Their future is looking bleak, but they still recognise their teams against the odds.

  4. Some very poor comments on here from ill informed people or people with a sheer lack of intelligence! There are many peoole who work for Dixons Carphone who have been around for several decades. If they were a poor company to work there they certainly wouldn’t have stayed around. The staff are well trained in the retail sector and do have a bonus structure all based around great customer service. Please get your facts straight before putting out ill informed comments!

  5. Took out a cashback offer on their brand Mobiles.co.uk . Any excuse to avoid paying out cashback. If you don’t look after your customers, they will go elsewhere. I expect the phone regulators will get involved if they carry on refusing to pay out cashback they agreed to.

  6. This is a great place to work at, loads of ambitious, experienced and hard working people I have met during my time with the Company. The pay is competitive, environment is friendly and you get benefits such as discounts across other retailers as well. Alex is the man with his sleeves rolled up 24/7 and I do believe he is capable to take the Company to the next level. Regarding negative comments…..drop-outs, failures and absolute losers! You can’t expect good comments from healthy thinking people so please shove your negativity and good luck in your miserable life
    P.s.
    Am I the only one who noticed Alex’s name is spelled incorrectly….?

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