Sales at Argos fell 8.1% on a like-for-like basis for its first quarter to May 29 after a drop in TV and video gaming sales.
Total sales for the period dropped 5.2% to £889m as consumer uncertainty impacted revenues for the retailer.
TV and gaming sales account for nearly two thirds of the sales decline however Argos said growth continued in computers, white goods and toys.
Internet growth remained buoyant and now represents 32% of Argos’ sales. The iPhone app it launched in May has also achieved 250,000 downloads in its first week.
Chief executive for parent group Home Retail Group Terry Duddy said: “Economic conditions remain both challenging and uncertain, with this quarter proving difficult in terms of consumers’ willingness to spend. The comparable period last year also contained some strong sales growth and share gains in certain product categories, particularly in consumer electronics at Argos.”
Homebase performed better in the quarter with warmer weather contributing to an improved like-for-like sales dip of 1.4%. Total sales were also down 1.4% to £459m.
This compared to double digit growth at the chain in the same period last year.