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Dixons Carphone's Andrew Harrison returns to Carphone Warehouse to lead turnaround

Dixons Carphone is working to address the challenges in its UK mobile business after issuing a profit warning

Dixons Carphone Plc (LON:DC.) said Andrew Harrison will step down as deputy chief executive to return to the helm of struggling subsidiary Carphone Warehouse.

Harrison, who was chief executive of Carphone before its £3.8bn merger with Dixons in 2014, will become chairman of the business to help lead its turnaround.

READ: Dixons Carphone still good value to “more adventurous funds”, says City broker

“I am extremely proud of what we have achieved through the merger of Dixons Carphone over the last three years,” Harrison said in a statement on Thursday.

“With the ongoing changes in the mobile market, I now want to focus my attention more sharply on Carphone Warehouse, a business that has been close to my heart for over 20 years, as we enter the next stage of its development."

Dixons Carphone’s mobile phone division has come under pressure as UK consumers have been holding onto their handsets for longer rather than updating to the latest releases as a weaker pound pushes prices higher and puts a strain on household incomes.

In August, the group warned that it expects its full year profit to drop due to challenges in its UK mobile business.

READ: Dixons Carphone shares fall after RBC cuts rating and target price on UK mobile concerns

Chief executive Sebastian James said in Thursday’s statement: “We are aware that this part of our business, while retaining a high degree of appeal and relevance to customers, operates in a market where customer behaviour is changing.”

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