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Highlights

  • Currys launches a new GBP 50 million (USD 65 million) share buyback alongside a cash dividend of about GBP 25 million.

  • UK & Ireland like-for-like revenue up 3% and Nordics like-for-like revenue up 2% in the first four months of the year.

  • Triennial pension review reduces actuarial deficit to GBP 134 million from GBP 403 million in 2022, lowering future contributions.

Currys PLC (LSE:CURY) has announced the launch of a new GBP 50 million (USD 65 million) share buyback programme, commencing immediately, as the Group reported a steady start to the 2025/26 financial year.

Trading Performance
In the UK & Ireland, like-for-like revenue increased 3% over the first four months of the year. Growth was supported by market share gains and double-digit sales expansion in newer categories and B2B operations. Higher demand was recorded in gaming, AI computing, large domestic appliances, coffee machines, and cooling products. These gains were partially offset by lower sales in TVs, tablets, and air fryers.

Recurring Services revenue grew, with credit adoption rising 190 basis points to 23.3%. iD Mobile subscriptions increased 22% year-on-year, surpassing 2.3 million customers. Gross margins in the region remained stable, with operating leverage from higher sales offsetting cost increases.

In the Nordics, like-for-like revenue rose 2%, driven by sales in AI computing and newer product areas such as robotic lawnmowers and vacuums. Elkjøp’s kitchen brand Epoq recorded significant momentum. Profitability improved as gross profit expanded across all countries and operating costs were tightly managed, countering inflationary pressures.

Pension Review
Currys has completed its triennial pension review, reporting an actuarial deficit of GBP 134 million as of March 31, 2025, compared with GBP 403 million three years earlier. The Group will contribute GBP 82 million in the current year, followed by reduced annual contributions of GBP 13 million through March 2031, compared with GBP 78 million previously scheduled until 2028.

Capital Allocation and Shareholder Returns
The company confirmed the immediate launch of a GBP 50 million share buyback programme, consistent with its capital allocation framework. Together with a previously announced cash dividend of approximately GBP 25 million, shareholder returns are expected to total around GBP 75 million this year.

Currys ended fiscal 2024/25 with net cash of GBP 184 million. After this year’s pension contributions, net cash is forecast to remain at or above GBP 100 million at year-end.

Guidance and Outlook
Trading in the first four months has been in line with expectations. The Group is targeting continued growth in higher-margin, recurring revenue services, including plans to grow iD Mobile to at least 2.5 million subscribers before year-end.

Guidance for the current financial year includes capital expenditure of approximately GBP 95 million, interest expense of GBP 65 million, and exceptional cash outflows of about GBP 30 million. Currys reiterated its longer-term target of achieving at least a 3% adjusted EBIT margin in both the UK & Ireland and Nordics, while maintaining disciplined capital allocation and consistent shareholder distributions.