Carphone Warehouse fights through struggling market

Company reports Best Buy Europe business hitting ?773 million, up six percent
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Talk Talk owner The Carphone Warehouse has reported a steady first quarter despite the global mobile market’s striking slump in recent times.

The London-headquartered business today reported an annual revenue increase of 6 per cent in the quarter for its Best Buy Europe business, hitting £773 million in sales. These gains were flattered by the weak pound, with growth sitting at 0.7 per cent on a constant currency basis.

The group’s interim report did not disclose profit or profit projections, though reported a slight quarterly loss in TalkTalk revenues, down 2% to £340m.

“Both our businesses have continued to make good progress, despite the economic climate,” said CEO Charles Dunstone, “and we are able to re-iterate all the financial guidance we have given for the full year.

Dunstone added that the company grew by 47,000 broadband users, with its customer spend increasing 5 per cent.

“Best Buy Europe, the retail and distribution business in which we have a 50% share, has also performed well, in line with our expectations, with connections up 3% year-on-year, reflecting continued growth of market share in a subdued European marketplace,” he said.

ABI Research reported in June that the global mobile market saw a 12 per cent decline in the first quarter, with an estimated 35 million fewer units were shipped across the globe.