(Reuters) – British electricals retailer Currys cut its annual profit outlook on Thursday after reporting a half-year loss, weighed down by its international markets as a deepening cost-of-living crisis forces customers to cut down on spending.
The company, which operates in the UK, Ireland and the Nordic region among other markets, said it now expected 2023 fiscal year profit before tax to be between 100 million pounds and 125 million pounds ($123.86 million-$154.83 million), down from the 130 million-150 million pound range guided in July.
The profit warning from Currys comes as consumers in Europe, particularly in Britain, are feeling the pinch of surging energy and food bills, and businesses across sectors grapple with tight margins in the wake of soaring inflation.
Currys Chief Executive Officer Alex Baldock said in a statement that the company’s international business saw a difficult first half, with margins falling sharply as domestic competitors with excess stocks gave away heavy discounts.
The Acton, London-based group said adjusted pre-tax loss was 17 million pounds in the six months ended Oct. 29, compared to a profit of 48 million pounds a year earlier.
($1 = 0.8074 pounds)
(Reporting by Aby Jose Koilparambil in Bengaluru; Editing by Subhranshu Sahu)
