Carphone Warehouse says sales up in slow trading environment


Carphone Warehouse says sales up in slow trading environment
Carphone Warehouse said sales of mobile broadband have helped support profits in a slower consumer environment in a third quarter trading statement.

Total telecoms subscriptions were up 16 per cent year-on-year, while mobile connections rose 12 per cent to 2.7 million.

Over the next year to March 2009, the company expects mobile connections to increase between eight to ten per cent and the rate of physical expansion will be more "measured" due to the softer economic environment.

The telecoms retailer also added a further 109,000 broadband customers to take its base to over 2.7 million.

The company believes the higher subscriber acquisition costs were related to a free laptop offer last year when customers signed up to Carphone Warehouse's AOL broadband service.

In addition, Carphone Warehouse said it will encourage a greater separation of its businesses, which will hit earnings by around £15 million.

Charles Dunstone, Chief Executive Officer, said: "Our performance over the last three months has been good in a slower consumer environment.

"Looking forward, we anticipate a year of considerable further progress. The broadband business is set to deliver significant further margin improvement, and provides us with excellent earnings visibility."

Carphone Warehouse said it expected pre-tax profit to reach between £215 million and 220 million for the full year. Preliminary results will be released in June.

Bookmark with:
Bookmark with: Digg Digg Bookmark with: Delicious Bookmark with: Reddit Reddit Bookmark with: StumbleUpon StumbleUpon Bookmark with: Google Google Bookmark with: Technorati Technorati Bookmark with: Netvouz Netvouz

Latest News:

Search News
News Front Page
Accountancy / Tax
Advertising / PR
Armed Forces
Aviation / Aerospace
Banking / Finance
Charities / Voluntary
Childcare / Youth
Construction / Property
Customer Services
Education / Training / Teaching
Emergency Services
Engineering / Electronics
Entertainment / TV / Theatre
Graduate Roles
HR / Recruitment
Health / Beauty
Hotel / Catering / Restaurants
IT / Internet
Insurance / Pensions
International / Overseas
Management / Business
Manufacturing / Industry
Media / New Media / Creative
Medical / Healthcare
Pharmaceutical Industry
Public Sector
Retail / Wholesale
Sales / Purchasing / Marketing
Science / Technology
Secretarial / PA / Admin
Skilled / Semi-skilled Manual
Transport / Logistics
Travel / Tourism / Leisure