Shares in Currys PLC (LSE:CURY) have more than halved since the start of last year, even though it has upgraded guidance twice this year.
In May it said a better-than-expected performance in the UK and Ireland, particularly over the last two months, led it to expect adjusted profit before tax is of between £110mln to £120mln for the year, even though sales had fallen 7%.
It also guided to £100mln of net debt, the bottom end of expectations, which analysts at Liberum said should reassure the market.
Although the performance of its Nordics business continued to cause problems, the broker believes there are “some positive signs.”
Analyst Aarin Chiekrie at Hargreaves Lansdown noted that consumer electronics and computing sales have lagged as consumers struggle to justify quite so much discretionary spending during a cost-of-living crisis, while the Nordic regions, the second largest segment for the group, has seen "extremely tough" conditions.
With cost efficiencies and margin improvements helping to drive profits higher, he said investors will be keen to hear if the momentum has continued into the new financial year.