Dixons post a drop in first quarter profits
Dixons – one of Europe's largest electrical retailers – has posted a drop in first-quarter underlying sales and profit margins.
They blamed this on shoppers tightening their spending on discretionary items amid rising prices and austerity measures.
The group, which is home to the Currys and PC World chains in both Ireland and the UK, said sales at stores open at least a year fell 7pc in the 12 weeks to July 23, including a 10pc decline in the UK.
The falls were broadly in line with expectations and exaggerated by a strong performance the same time last year.
Last year sales of TV surged in the UK ahead of the World Cup and Apple's popular iPad was launched.
Gross profit margins dropped a larger-than-expected 1pc due to steps to gain market share abroad..
The group said it had identified an extra £10m of cost savings and would limit capital spending.
It added was on track to meet full-year expectations for the business.