WITH overseas interests no longer circling for tech and electrical retailer Currys – for the time being at least – the high-street and retail park stalwart has witnessed an improvement in trading momentum.

The group’s chief executive Alex Baldock is upbeat, stating: “We’re planning prudently but confidently for the year ahead, on course to grow both profits and cashflow while carefully stepping back up to more normal investment levels.”

Currys, which operates 727 stores in six countries – 301 of them in the UK and Ireland where it employs 14,850 staff – has taken a bold move in pointed to AI-enabled phones and laptops fuelling future growth for the business. “We expect AI-powered technology to be the most exciting new product cycle since the tablet in 2010,” Mr Baldock declared. “With our partnerships, scale and expert colleagues to demystify AI, we’re best placed to benefit.”

Currys shares soar as overseas interests circle for tech retailer

A current bestseller for Currys is Samsung’s Galaxy S24 mobile phone, which uses AI tools to offer better photography and instant translation. More traditional products like TVs are also selling well but with bigger screens – 85 inch and more – boosted no doubt by the Euro 2024 football tournament, catching the eye of customers.

Air fryers – last year’s runaway success – continue to hold their appeal as more consumers are drawn to energy-efficient appliances and healthy eating. Action cameras and drones are also popular.

But the retail stalwart has been pretty shrewd in the way it has made a name for itself as a one-stop shop for tech repairs. Currys’ Care & Repair service – which offers protection, repair, refurbishment and recycling services – has been bolstered by the company becoming Microsoft’s first official retail repair partner in the UK. It has invested heavily in this part of the business.

Another area that is growing is its iD Mobile division, originally launched in 2015 by Carphone Warehouse. The mobile phone business is said to be growing strongly and now has 1.8 million subscribers.

No longer just the go-to store for fridge-freezers, washing machines, vacuum cleaners and small electrical appliances, Currys saw underlying pre-tax profits rise by 10% to £118 million in the year to April 27 although it reported a 2% drop in UK like-for-like sales.

Currys ‘last man standing’ in an industry which has migrated online

Interestingly, it noted that more customers financed purchases with credit, perhaps reflecting customer spending trends amid the cost of living crisis with consumer spending under pressure.

At Hargreaves Lansdown, equity analyst Guy Lawson-Johns, is positive about Currys, stating: “After a year of takeover talk in what has been a tough trading environment, meeting guidance with a 10% rise in full-year profit should be considered a good result. The continued recovery indicates potential easing of market headwinds and signal a cautious optimism for the future.”

Although headline profit at the high-street stalwart fell to £117m during the year, down from £147m following the group’s decision to offload its business in Greece, and full-year revenue dropped to £8.47 billion, down from £8.87bn from the previous year – again influenced by consumers reining in their spending – Currys is still making an impact on the UK retail scene.