Dixons has reported UK & Ireland like-for-like sales were down 3% in the full year and down 7% in its second half but said its business is performing ahead of the market.
For the 52 weeks to April 20, underlying group total and like-for-like sales were down 2% and for the 28 weeks to April 30, they were both down 4%.
The Nordics was the only territory with positive like-for-likes, up 8% in the full year.
The electricals giant said its underlying group pre-tax profit is expected to be approximately £85m, in line with previous guidance.
It said its pure play ecommerce sales were down 9% while multichannel internet sales were up by 12% across the group for the full year.
60 megastores are now open across the group with average annual sales of £20m. It said new format stores are delivering consistent gross profit uplifts across the group.
Chief executive John Browett said: “Market conditions have been challenging in many of our markets this year. Our businesses have responded to our customers needs enabling them to improve their market positions, particularly in the UK, Nordics, Greece and Italy. Our focus on value, choice and particularly on service have been at the heart of this delivery.
“With challenging economic headwinds continuing for many of our customers, we remain cautious on the outlook for the year ahead. Having had a strong World Cup performance as well as the exclusivity of the iPad last year, we have tough comparables ahead. However, through our Renewal & Transformation plans, our businesses are well placed to emerge from the current weak consumer environments ahead of our competitors.”
“Having made further good progress on the Renewal & Transformation plan, we continue to deliver significant improvements for our customers, notably this year through the launch of our service brand Knowhow, but also through our improved shopping trip and refitting of stores, particularly in the UK. We will continue to lead the market in delivering a better shopping trip for customers and stronger business performance for shareholders.”
Dixons delivered £50m of cost savings in the full year, and launched its customer services brand Knowhow.
Group gross margins were flat in the second half, and in the full year up 0.1%.
Year end net debt is expected to be approximately £220m.