Carphone Warehouse Group plc - Interim results for the 6 months to 30 September 2010
Financial & Corporate
November 10th, 2010
• Guidance for Best Buy Europe’s full-year profit share from Best Buy Mobile US raised to £85m-£95m (previously £53m-55m)
• Headline EPS now expected to be within a 13.5p-14.0p range (previous guidance 11.5p-11.9p)
• Intending to initiate dividend policy with final dividend for 2010-11
Best Buy Europe (JV with Best Buy Co., Inc.):
• Carphone Warehouse / Phone House (CPW Europe) continues to perform strongly, with like-for-like revenue for H1 up 2.4% (Q2 up 1.6%), and a 56% uplift in H1 EBIT to £44m
• Significant out-performance from Best Buy Mobile US, with H1 profit share of £43m and full year guidance range raised to £85m-£95m (previously £53m-£55m)
• Best Buy Mobile US connections up 25.7% year-on-year
• Additional investment planned in Best Buy UK, with full year EBIT loss now anticipated at £50m-£55m (previously £40m-£45m)
• Continued year-on-year improvement in operating free cash flow
Virgin Mobile France (JV with Virgin Group):
• 88% year-on-year revenue growth, reflecting Tele2 acquisition and strong organic growth
• H1 share of Headline profit £6m - guidance for the full year unchanged at £5m
• Net adds now expected at 50,000-100,000 (previously 100,000-150,000)
• Tele2 integration broadly complete
Carphone Warehouse Group plc:
• Year-on-year increase in Group Headline EPS from 1.5p to 5.5p
• Intending to move to a regular dividend policy, targeting a final dividend for 2010-11 of c.4.5p per share, to be paid in August 2011
• Full year upgrade of EPS range to 13.5p-14.0p (previously 11.5p-11.9p)