Currys Share Discussion Threads

[muscletrade] 02/7/2015 07:24

Yes Mike very interesting development and the methodology also seems wise. Working with a partner with little/no capital outlay initially and then gradual rollout and joint venture status based on success of initial 20 stores.

Compare and contrast with Tesco efforts in the US and how well that ended.

[mikepompeyfan] 02/7/2015 07:05

Entry into the USA. Interesting.

Connected World Services signs agreement with Sprint Corporation to open US stores


Dixons Carphone plc, announces that its Connected World Services (CWS) division has entered into an agreement with Sprint Corporation to open and manage a significant number of Sprint-branded stores in the US. Sprint is a leading US mobile network operator with nearly 60 million customers.

In the initial phase, Dixons Carphone will supply mobile phone retail expertise and proprietary knowledge to Sprint who will open approximately 20 retail stores. If these stores prove to be successful, the parties will progress to a second phase which will involve CWS investing equally with Sprint in a joint venture to support rollout plans of up to 500 stores.

During the second phase, Dixons Carphone will invest up to $32 million to obtain a 50% interest in the new venture, and this cash will be used by the business to fund the roll-out and operation of the stores. Dixons Carphone will also provide support across the whole of the Sprint estate as part of a wider know-how sharing arrangement.

Commenting on the transaction, Andrew Harrison, Dixons Carphone Deputy Group Chief Executive and CEO of the Connected World Services division, said:

"We are delighted to be working with Sprint and to be a part of a transformation in their business that is already making impressive headway. This is a very exciting venture for us, and is a significant step in growing our CWS business in the US. We bring specialist knowledge and skills to this partnership and will be looking to deliver innovation and outstanding customer service under the Sprint brand."

Marcelo Claure, Sprint CEO said:

"We are excited to partner with Dixons Carphone and to leverage all their know-how as one of the world's leading wireless retailers to benefit Sprint and its customers. We are committed to offering the best customer experience when buying wireless products and services"

[mitch101] 30/6/2015 23:44

ha ha AM.....concur

[mikepompeyfan] 30/6/2015 06:32

UK consumer confidence climbed in June to its highest level since the start of the millennium, as low inflation and stronger pay growth paved the way for a surge in spending.
Confidence was at its strongest since January 2000, according to GfK's latest confidence barometer. All five measures of its survey, including optimism about personal finances as well as the wider economy, rose in June compared with May.
The index, which rose by six points to 7, also showed that consumers were becoming more willing to splash out on big ticket items such as furniture and electrical goods.

Near zero inflation has helped to boost consumer spending power, while pay continues to grow at a robust pace. Official data showed average weekly pay growth grew by 2.7pc in the three months to April compared with a year ago, which was the fastest pace of growth since December 2008.
Joe Staton, head of market dynamics at GfK, said: “We’re seeing a dramatic uptick in confidence this month, a real post-election bounce that’s put a spring in the step of consumers across the UK. June’s six point jump takes the Overall Index Score back to levels not seen since the late Nineties or early days of the Noughties.
"This renewed optimism could also translate into a busy time for retailers. The number of shoppers agreeing that “now is a good time for people to make major purchases such as furniture or electrical goods” has powered ahead by a buoyant 14 points this month compared to negative sentiment for the same period last year.”

[anony mous] 29/6/2015 20:59

Oh no...looks who is here.Sold in early 40s pre-merger and now back to buy at higher prices. Lol.Hope we dont get ramping now.Time to sell I think.

[cockneyrebel] 29/6/2015 09:36

Barclays with an Overweight today

29 Jun 2015 Dixons Carphone DC. Barclays Capital Overweight 452.75 465.70 540.00 540.00 Reiterates

[tim 3] 25/6/2015 10:59

Good article thanks for posting.

Agree about AO Trouble ahead for them I suspect we all know what a minefield European expansion can be!

[gerdmuller] 04/6/2015 13:25

Yes, four brokers all positive today with target prices of 525-540p. So still looking good both short term and longer term for these.

[muscletrade] 04/6/2015 09:23

Bit Bumpy out there this morning so good to see that Citi have increased their target price from 510 to 535.

[mikepompeyfan] 04/6/2015 06:28

Loads of good news stories around today. Just one example, despite the verdict to hold rather than buy.

Questor share tip: Dixons Carphone shares have further to go
Brokers feel the shares have further to go after a strong fourth quarter sales performance

Dixons Carphone
474.8p-4½p
Questor says HOLD
MERGING electrical goods chain Dixons with mobile phone retailer Carphone Warehouse may not have sounded like a recipe for success at the time.
However, the group’s “blockbuster” fourth-quarter sales show this odd couple is flourishing, and analysts think the shares have further to go.
Dixons, which owns Currys and PC World, has faced a challenging few years as shoppers turned to the internet to purchase items.
High-street mobile phone chains such as Carphone have also come under pressure as Vodafone and its peers sought to cut out the middle man and sell their products direct to customers.
Dixons and Carphone [LON:DC] merged last August. The new company now offers customers everything from mobile phones to larger electrical goods.
Fourth-quarter, like-for-like sales accelerated to 9pc, ahead of full-year sales growth of 6pc. Dixons Carphone has estimated pre-tax profits to be slightly above previous expectations of £375m, generating earnings of about 24p per share, from sales of about £10.9bn.
The strong results are in contrast with online fridge and washing machine retailer AO World, which on Tuesday reported a loss of £2.9m, on sales of £477m.
Dixons Carphone, the UK’s largest electrical retailer with 20pc of the market, will have been helped by the demise of Phones 4 U last year.
The shares have soared by 67pc in the past 12 months and currently trade on 20 times forecast earnings, compared with rival Darty on 17 times. However, broker Investec believes the valuation doesn’t fully reflect the acceleration in the sales.

Pre-tax profits are expected to increase by about 20pc in the next two years, giving 29p in earnings per share by April 2016 and 33p by April 2017. This leaves the shares trading on 17 and 14 times earnings respectively.
Dixons Carphone has revealed promising fourth-quarter results but we’ll reserve judgment until we see the full-year numbers. Hold.

[tim 3] 03/6/2015 22:40

Wouldn't worry about todays small drop.

As I said last night it happens quite a lot with them when they report.

At the end of the day the city expected good results and they got them.

Don't forget its up about 15% in the last month alone.

[napoleon 14th] 03/6/2015 12:43

jondev:


napoleon 14th 2 Jun'15 - 20:37 - 616 of 625
With a successful growing business, "sell the news" is a passing phenomena;
I ignore it & make more money long term.

[mikepompeyfan] 03/6/2015 12:13

Often happens on the day the news comes out.

Bet it's on new highs by the time of the prelims next month.

[jondev] 03/6/2015 11:07

Good results . More buys than sells and yet price dropping like a lead balloon ??

[tim 3] 03/6/2015 08:27

Yes hard to find fault with those.

Agree about AO.

Interesting how they are expanding into Germany ,a market Dixons are reducing exposure to and also into the TV market,an area with wafer thin margins. I think they have plenty of problems ahead.

[mikepompeyfan] 03/6/2015 08:08

Compare it to AO World's statement yesterday. Chalk and cheese.
Young upstart firmly put in place.

[muscletrade] 03/6/2015 07:25

Good stuff. hard to ask for more at this time.They are doing everything they have promised to do.
Difficult to get broker upgrades as nearly all are on Buy already(although they can increase their targets), with the exception of Morgan Stanley who will need to eat humble pie after issuing their sloppy downgrade to "sell" in january.

[mikepompeyfan] 03/6/2015 07:02

'PBT expected above top end of guidance; UK & Ireland Q4 like-for-like up 13%'.

• Group pro forma Headline PBT expected to be slightly above the top end of previously guided range of £355m to £375m

• Group Q4 like-for-like revenue up 9%, full year up 6%

• Further market share gains across electricals and mobile in the UK & Ireland, Nordics and Greece

• Group gross margins were stable in the full year

• Strong balance sheet with year-end net debt expected to be ahead of guidance of £300m

• Disposal of non-core operations in Germany and The Netherlands

Great stuff.

[mikepompeyfan] 03/6/2015 06:42

It is only a Q4 trading update today.

Might hold back the really good stuff until the Prelims on 16th July.
Won't want to say too much now and have nothing left for then.

[xxx] 03/6/2015 06:29

Apart from current trading and margins, I will be looking for news on y/e cash which I expect to be a +ve surprise and hope to hear more on the mobile offer.

[tim 3] 02/6/2015 20:43

Am actually quite bullish on these.

With the merger they have made the right moves and have a great position in the market.

Just not expecting too much tomorrow.

There we go probably means they will fly now lol.

[napoleon 14th] 02/6/2015 20:37

With a successful growing business, "sell the news" is a passing phenomena;
I ignore it & make more money long term.
I hold some DC.

[tim 3] 02/6/2015 20:16

You never know with these plenty of times they drop on results day.

Cant see to many surprises though quiet time of year.

[jondev] 02/6/2015 18:41

We expect the numbers to be good