Electricals group DSGi is preparing for its spring showdown with Best Buy bolstered by an “excellent” Christmas performance.

The Currys and PC World-owner expects full-year profits to come in at the top end of expectations after the core UK and Ireland electricals division generated an 8% uplift in like-for-likes over Christmas.

Analysts said the performance, including record-breaking sales in categories such as TVs and white goods, was a vindication of the chief executive John Browett’s renewal and transformation plan.

Although he expects 2010 to be tough, Browett said the improved performance demonstrated that “self-help action is beginning to bear fruit” and said the opportunity for more such measures gave him confidence, regardless of general economic conditions or any government change.

Browett said that remodelled stores had generated “consistent gross profit uplifts”. Although it was difficult to tell the extent to which the VAT change may have pulled some sales forward, he said trading had been consistent over the 12 week period to January 9.

Oriel analyst Ramona Tipnis said: “The benefits of the store renewal and transformation programme suggest Currys and PC World together are rapidly becoming the electrical retailer of choice in the UK.”

Best Buy Europe, which will open its first big-box stores in this country in the spring in partnership with Carphone Warehouse, also reported a “very good quarter”, when like-for-likes rose 5.5%.

Anglo-French electricals group Kesa posted a 0.3% decline in group like-for-likes between November 1 and January 8. UK chain Comet reported a 3.9% fall in like-for-likes. The retailer said: “The pressure on gross margins was unchanged from that seen in the first half of the year.”