Chief executive Alex Baldock has called for shops to be excluded from paying higher business rates
Currys shares soared on Thursday as the retailer defied gloom on the High Street with strong air conditioning and AI computing sales over the summer.
The electricals retailer, which has more than 700 shops, said sales rose by 3 per cent in the UK and Ireland over the 17 weeks to 30 August, compared with the same time last year.
It came as retailers including Greggs and JD Sports have warned of pressures on consumer spending over the coming months.
Chief executive Alex Baldock said: ‘It’s been a good start to the year, with encouraging performance across the group.’
Shares soared by 18 per cent as the retailer announced an immediate £50million share buyback.
Air conditioning units and electrical fans were among products to do well as Britain experienced its warmest summer since records began in 1884.
New ranges, including ‘beauty tech’ such as LED face masks and pet technology like monitors and automatic feeders, also did well.
And the group continued to see strong sales for gaming, AI computing and coffee machine products.
But sales of televisions, tablets and air fryers dropped.
Sales in its Nordic region, which has been a pain point for the group previously, were also up 2 per cent.
Annual profits are on track to grow by 5 per cent to £170million, the retailer confirmed.
Julie Palmer, partner at Begbies Traynor said: ‘Currys continues to generate significant momentum, with the announcement today that it is launching a £50million share buyback only adding to the sense of confidence now emanating from the business.
‘Revenues have not increased dramatically, but Currys has posted a solid rise in sales that would be the envy of many high-street staples in the current climate.’
Currys boss Baldock delivered the bullish update just days after warning retail industry’s role as the ‘engine room of the economy’ was under threat by tax rises.
He added his name to a chorus of high-profile bosses calling on Labour to re-think its proposals to reform hated business rates.
Under the changes, thousands of larger shops will end up paying more on the property tax, in a move intended to snare the warehouses used by online giants.
In a letter to the Chancellor last week, Baldock called for shops to be excluded from paying higher rates.
He said: ‘Big retailers anchoring our high streets are the ones generating the visits that in turn drive footfall to smaller stores. All will suffer.’
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