Currys (CURY) H1 2025 earnings summary

Executive summary

• Group revenue rose 1% year-over-year to £3,918m, with adjusted EBIT up 52% to £41m and adjusted EPS improving from -1.1p to 0.6p.

• Free cash flow surged to £50m from £4m, and net cash position improved to £107m from net debt of £129m.

• UK & Ireland delivered 5% like-for-like and 6% reported revenue growth, with market share gains and strong B2B, mobile, and AI product sales.

• Nordics saw market share and gross margin gains despite a 2% like-for-like and 3–5% reported revenue decline, with adjusted EBIT up 50%.

• Strategic focus on services, B2B, and iD Mobile, with subscriber growth and top decile customer satisfaction.

Financial highlights

• Adjusted EBIT up 52% to £41m; adjusted EPS at 0.6p; free cash flow at £50m; net cash at £107m.

• Pension deficit reduced to £143m; capital expenditure for the period was £22m.

• UK & Ireland adjusted EBIT up 53% to £23m; Nordics adjusted EBIT up 50% to £18m.

• Adjusted EBIT margin: UK & Ireland at 1.0% (up 30bps), Nordics at 1.1% (up 40bps).

• Operating cash flow rose 11% to £61m; net debt/EBITDA at (0.31)x; fixed charge cover at 1.87x.

Outlook and guidance

• No change to profit and cash guidance; trading since period end in line with expectations.

• CapEx guidance reduced to £80m (from £90m); interest expense expected at £70m.

• Board intends to recommence shareholder returns by July 2025, subject to trading conditions.

• UK government policy changes to add £30m–£32m in annual costs, with mitigation plans for about half.

• Long-term EBIT margin target remains at least 3%; cash tax paid to reduce below £10m by 2026/27.