Electricals retailer Currys has raised its annual profit outlook after reporting a 2% rise in underlying sales for the Christmas trading period, with strong demand for mobile phones, gaming and computing offsetting weaker trends in TVs.
The group said like-for-like sales in its UK & Ireland division rose 2% over the 10 weeks to January 4 and were up 1% in its Nordics business. Gross margin was stable in the UK & Ireland and improved in the Nordics.
"We're pleased by our strong peak trading. We grew in both markets, continuing the trend of Currys' strengthening performance, and we believe this year's profits will be ahead of market expectations," CEO Alex Baldock said.
He highlighted that AI laptops, where Currys has a 75% market share, and premium mobiles proved especially popular.
Currys, a takeover target last year, forecast a year to end-April 2025 adjusted profit before tax of £145-155m - a rise of up to 31% on the year and ahead of analysts' average forecast of £140m.
It also said it now expects to pay a dividend at the year-end.
Shares in Currys have increased 73% over the last year.
Last week, UK retailers including Next, Tesco, Sainsbury's and M&S all reported robust Christmas trading but all flagged concerns about rising costs, the strength of the economy and consumers in 2025.
Currys warned last month that measures in the new UK government's first budget in October, including hikes in employer social security contributions and the minimum wage from April, would cost the group an extra £32m a year and make price rises inevitable.
Two-thirds of British retailers will raise prices this year in response to the budget measures, according to a survey of finance chiefs published on Wednesday.
