Currys Starts Strong In Run-Up To Christmas

04/09/2007

Currys’ Chief Executive is positive about a surge in summer spending. If the trend continues through the Christmas party and holiday season, the company could do rather well before the New Year.

DSG International, the company which owns Currys and PC World says it is “cautious” about the trend of profits on high street.

Sales across the board rose 6 per cent in the 16 weeks leading up to August 18, which covers the first quarter of the group’s financial year.

DSG also comments strong sales at PC World could have occurred due to price cuts of up to 20 percent in stores. John Clare, Chief Executive isn’t sure if the sales trend will continue during the Christmas party and gift giving season because of higher interest rates in UK and Europe. “Whilst the year has started well we remain cautious about the outlook. The first quarter is a relatively less significant one for the group and it is much too early to extrapolate trends out for the rest of the year, especially with the peak trading period still ahead.”

Big ticket items such as flat-screen TVs are popular buys for the Christmas party and holiday season. Richard Ratner, an analyst at Seymour Price believes the recent spike in sales for items like these is due to a rainy summer.

Currys and PC World also predicts new digital products will be popular buys in the run-up to the Christmas party and gift giving season.