Dixons Carphone shrugs off big loss as boss maps turnaround plans

Electricals retailer Dixons Carphone on Wednesday revealed it has suffered a huge first-half loss, but new boss Alex Baldock remained bullish as he outlined his turnaround plans.

Baldock, who joined in April, said the firm “is now on the path to sustainable success”.

That’s despite the firm being hit by a number of one-off costs in the six months to October 27, some of which were linked to a cyber-attack on the data of millions of customers.

The chain — formed out of the merger of Dixons and Carphone Warehouse in 2014 — has also been grappling with Brits upgrading their mobile phones less frequently.

Comparable revenues rose 2% compared with the year before but the business swung to a total statutory loss of £440 million, as opposed to a profit of £54 million.

Shares fell 15.65p, or more than 10%, to 135.35p.

Baldock, who joined from Shop Direct where credit is a big part of the offering, unveiled new shake-up plans today. He expects to give customers more credit options and will slash costs by £200 million.

The boss also revealed 30,000 staff will be given at least £1000 in shares each over the next three years.