Shares in Currys (CURY) are down 20% year-to-date, so the technology products retailer needs to maintain its full-year guidance and deliver a solid trading update with its first-half results, due on 14 December, if the equity is to regain some spark.

Operating against a difficult consumer backdrop, the focus will be on like-for-like sales trends at the FTSE 250 TV, washing machine and laptop seller.

Investors will also be hoping for confirmation of continued gross margin improvements as well as delivery against cost savings targets.

On 7 September, Currys reported a solid start to the financial year to April 2024. Although UK & Ireland like-for-like sales were down 2% in the 17 weeks to 26 August, revenue trends improved in July and August while sales in the challenged Nordic region ‘improved slightly’ during the period.

Significantly, Currys is selling its Greece and Cyprus retail business which trades as Kotsovolos to Public Power Corporation for net proceeds of £156 million.

The disposal will enable Currys to laser in on the UK & Ireland and the Nordics, while simultaneously strengthening the balance sheet giving chief executive Alex Baldock more headroom to grow the business.

Liberum Capital points out that with the shares trading at a low valuation ‘it cannot be ruled out that Currys could be subject to approaches from interested parties’.

Mike Ashley’s Frasers (FRAS) has already built a 12.7% stake through shares and derivatives, which the broker argues is ‘a potentially substantive, but not blocking, stake’.

UK UPDATES OVER THE NEXT 7 DAYS

FULL YEAR RESULTS

December 11: Associated British Foods

December 12: RWS Holdings, Chemring

FIRST HALF RESULTS

December 8: Berkeley

December 11: Begbies Traynor

December 12: Vianet

December 13: Cohort

December 14: Currys

TRADING ANNOUNCEMENTS

December 14: Balfour Beatty

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