Currys PLC (LSE:CURY) shares recently reached their highest level since 2021 following the company’s rejection of a 67p per share cash offer from activist investor Elliott last spring, with the price now trading well above Elliott's opportunistic offer.
The electrical goods and technology retailer’s May trading update included another upgrade to its financial forecasts and the return of dividends.
Like-for-like sales growth of 2% was guided for the year to April 2025, with the UK and Ireland market driving growth with a 4% increase, while the Nordic region remains flat.
Adjusted pre-tax profit is forecast to rise by more than a third to around £162 million. Currys expects further growth to £174 million in the following financial year.
Free cash flow is expected to be strong, with a net cash position of £180 million, which led the company to promise a resumption of dividend payments.
Currys completed the sale of its Kotsovolos business in Greece in April 2024, generating net proceeds of £156 million, which were used to reduce debt, and the group is expected to focus on further profit improvements over time to manage its lease liabilities and pension obligations.