Group Revenues Drop Despite Rising Pre-Tax Profits

  • Currys reports a 19% increase in pre-tax profits
  • Group revenues dropped 2% to £10.14bn
  • UK and Ireland sales grew 61%
  • International sales generated 46% of total sales
  • Cost inflation, increased business rates, and taxes impacted the business
  • Currys proposes a full-year dividend of 2.15p
  • Targeting a 3% adjusted EBIT margin by 2023/24

Currys has reported a 19% increase in pre-tax profits, reaching £186m for the year ended 30 April 2022. However, group revenues dropped 2% to £10.14bn and declined 3% on a like-for-like basis. The company’s UK and Ireland sales grew by 61%, while international sales accounted for 46% of total sales and 59% of adjusted profits. Despite these positive figures, Currys has warned that its outlook for consumer spending is uncertain due to factors such as cost inflation, increased business rates, and taxes. The company is targeting a 3% adjusted EBIT margin by 2023/24.

Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about Currys’ financial performance, including profits, sales growth, and plans for the future. It also includes quotes from the group chief executive, which adds credibility to the report.
Noise Level: 3
Noise Justification: The article provides relevant information about Currys’ financial performance and future outlook, with a focus on profit growth, sales figures, and plans for the future. It also includes quotes from the CEO. However, it does not delve into broader economic trends or societal impacts of the company’s actions.
Financial Relevance: Yes
Financial Markets Impacted: Currys’ financial performance impacts the retail sector and may affect its stock price
Financial Rating Justification: The article discusses Currys’ financial performance, including profits, sales growth, and outlook for future profits, which are relevant to investors and the company’s stock value.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.

Reported publicly: www.retailsector.co.uk