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Carphone Warehouse 2010/11 interim results: US driven growth - Venture Insights

Report Overview

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Carphone Warehouse 2010/11 interim results: US driven growth

PublisherEnders Analysis.
Publish Date November 7, 2010
Sector Fixed Line (Internet and Voice), Mobile and Wireless Technology, Technology.
Company Carphone Warehouse.

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CPW’s European handset business had a steady quarter, with growth dipping slightly on the previous quarter but still in line with full year guidance. Smartphone sales are surging, and CPW is orientating its business towards them, but their impact is not unambiguously positive in Europe.

The US handset business continued to enjoy strong growth, with this side of their business benefitting strongly from smartphone growth, and this outperformance led the company to increase its full year EBIT guidance.

The UK big box’ roll-out is continuing, but no sales figures or indications have been given, and the full year operating loss guidance has been increased, eating up some (but not all) of the outperformance from the US. There appears to still be much experimentation involved at this stage, and even more uncertainty about the eventual success or failure of this new business.