Britain's top electrical retailer DSG International, suffering from weak demand, heavy competition and sharp deflation, said today that it would beat most full-year profit forecasts after a stronger second half.
Full-year results will be announced on June 21 and according to forecasts, expectations for pre-tax pre-exceptional profit are currently in a range of £293.6m sterling to £319.5m.
DSG said it now expects pre-tax profit to be in a £312m to £318m range after group sales rose 8%, including a 4% like-for-like gain.
In a trading update today, DSG - which trades as Dixons, Currys and PC World in Ireland - said that the electrical markets across Europe performed slightly better in the second half, led by new technology digital products, including flat panel TVs, MP3s and iPods, laptop computers and satellite navigation equipment.
It said that electrical like for like sales in Ireland rose by 15% in the second half of the year.
DSG said it expects strong sales of digital products to continue at least until the start of the World Cup in the middle of June. However, it said it remained cautious about the speed of any long term recovery, and said that much will depend upon wider economic factors in relation to tax, pensions, employment and interest rates.
