Dixons Group admits sales slowdown

17 November 2004 – Hemel Hempstead (UK): Dixons Group has updated analysts on its recent trading period in light of a slowdown in sales growth.

Although retail sales for the 28 week period to 13 November were 9 per cent ahead of the same period last year, gross margin percentage points were 0.7 per cent lower.

Dixons Group CEO John Clare said: "Business performance in the year to date has been satisfactory. However the rate of sales growth has slowed in recent weeks and we are cautious about the outlook for the consumer expenditure on high-ticket discretionary purchases across the balance of the year, particularly in the UK.

"As always, performance for the whole year will be significantly affected by trading over the important Christmas trading period. We are confident in our plans for Christmas and we are prepared for an aggressive trading environment," he added.