PC World dragging down Dixons’ sales
The financial gloom shows no sign of lifting at the Dixons Stores Group, which has reported a 6% fall in sales year-on-year.
The computing arm of the business is performing particularly poorly. UK computing sales were down 17% on the same quarter in 2008, although Dixons claims group revenues remain “slightly” ahead of expectations.
Business sales in PC have been hit particularly hard, according to the company.
The company also claims its ongoing refit of Dixons stores is partially responsible for the poor sales. More than 100 of the company’s stores have now been spruced up, with a further 60-80 refits in the pipeline.
Dixons claims the store facelifts are helping to boost sales. “Given the challenging environment, this is an encouraging start to the year,” group chief executive John Browett claims. “Our Nordic business is performing strongly, the UK transformation continues on plan with the refurbished stores continuing to outperform and the Italian turnaround is starting to deliver.”
Nevertheless, Browett says the company remains “cautious about the economic outlook”.