Embarrassing admission

Dixons Carphone admits sales fell after reporting a rise

Currys PC World Dixons

Group sales were lower, not higher

Dixons Carphone blamed a “clerical error” after being forced to admit that it had reported growth in sales when it should have said that sales fell.

In its trading update for the 10 weeks to the 4 January the high street electrical chain announced that group sales had risen 2%, sending the shares to a day high of just under 151p.

Six hours later it was forced to admit that it should have published a 2% sales fall.

In a statement, the firm said: “Due to a clerical error, the previous version of the announcement showed group reported sales growth as “2%”, the correct growth is now shown as “-2%”.

“All other details including group local currency and like-for-like sales growth remain unchanged.”

The news hit the company’s shares which rose 4% when the market thought the company’s figures were good news. After the statement at 1.40pm they up just 2.3%, though the market was generally lower on fears over the China virus.

After the original statement, John Moore, senior investment manager at Brewin Dolphin, said: “Dixons Carphone continues to bolster its credentials as a survivor. Its electricals and online businesses are delivering growth in a particularly weak UK retail environment.”

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