Strong UK and Ireland sales help balance weaker performance in Nordic markets.

Currys Calms Investor Concerns with Upgraded Profit Forecast, Despite Expected Decline
Strong UK and Ireland sales help balance weaker performance in Nordic markets.

Category: Business

Currys has revised its annual profit expectations upwards following better-than-anticipated performance in the UK and Ireland, helping to mitigate struggles in its Nordic division. Despite this improved outlook, the electricals retailer still anticipates a year-on-year decline in overall profits.

The company now forecasts profits between £110 million and £120 million, exceeding the previously predicted £104 million, though this figure remains below last year’s £126 million. Strong trading results in March and April are expected to drive a 40% increase in profits from the UK and Ireland operations.

In contrast, the retailer continues to grapple with challenges in the Nordics, where it faces stiff competition. Although cost-cutting measures have been undertaken to bolster profitability, these efforts will come at a one-off expense of £15 million to £20 million.

In an effort to enhance the Nordic division’s performance, Currys appointed a new regional leader in March. Group CEO Alex Baldock acknowledged the competitive pressures, remarking, “The intensity of competition may be unrelenting, but we’re no stranger to tough markets and aggressive competitors… We now need to go further and faster to improve our performance.”