6/5/2009 11:01:00 AM
Carphone Warehouse sets date for demerger as profits soar to £550m
Carphone Warehouse will spin off its TalkTalk business by July 2010, after what it called ‘a significant year of achievement’.
The company has reported a seven fold profit surge to £550m, from £73m one year earlier, due to a one-off gain of £608m on the 50% disposal of its retail business.
It reported its results for the year ended 31 March today (5 June).
Carphone’s retail arm opened 180 stores during the year, and closed or relocated 132, giving net store additions of 48. The total store base was 2,459 at the year end.
Carphone’s revenue fell to £1.39bn from £1.42bn one year earlier. It made a pre-tax loss of £72m, but it made a profit of £133m if items such as the Best Buy deal are included.
Revenues in its TalkTalk business fell by 2.7% in the year to 31 March.
The retailer recently announced a £236m deal to buy the UK arm of Italian broadband company Tiscali.
The results follow a good night for Carphone at the Mobile Industry Awards, where it won Retailer of the Year, and CEO Andrew Harrison won Person of the Year.