Dixons Retail, Europe's second-biggest electrical goods retailer, said its new financial year had got off to a good start.
This comes after it posted a 17% fall in 2011-12 profit against a tough economic backdrop.
The group trades as Currys and PC World in the UK and Ireland, Elkjop in Nordic countries, UniEuro in Italy and Kotsovolos in Greece.
It said the trends seen in the final quarter of the 2011-12 year, when like-for-like sales increased 5%, had broadly continued.
"Our business is well-positioned for the year ahead," it said.
Dixons Retail said it made an underlying pretax profit of £70.8m sterling in the year to April 28. That was just above company guidance of £65-70m but down on the £85.3m pounds made in 2010-11. Underlying sales were flat at £8.19 billion.
European shoppers have been curbing spending as their disposable incomes are squeezed by rising prices, muted wages growth, government austerity measures and fears over the impact of the euro zone debt crisis.
Electrical goods chains such as European No.1 MediaMarkt Saturn and number three Kesa are facing extra pressure from cut-price competition from supermarkets and internet retailers such as Amazon. Kesa reported a 42% slump in year profits yesterday.
Dixons was able to stem its profit fall by revamping stores and improving product ranges and customer service. It has also benefited from the disarray of competitors Comet and Argos in its core home market, a switch to digital television in the southeast of England and the success of Apple's new iPad.
The group reduced its net debt to £104m from £206.8m a year ago and said it was on target to repay £160m of bonds due in November and associated hedge cost of about £65m.
