Dick Smith store sales were close to flat in the first half of the financial year but the company’s plan to refresh its image to a “modern consumer electronics” player saw “strong” growth in the laptop and tablet category.
The company said it had also significantly improved its gaming category with interactive areas in new format stores and performed solidly in the mobile phone space.
Consumer electronics sales grew 2.3 percent from $710 million in the previous corresponding period to $726 million, while earnings before interest and tax declined 36 percent to $17.6 million.
Australian Dick Smith stores achieved comparable sales growth of 6.5 percent for the half.
The Woolworths-owned national electronics retailer said the drop in earnings was a “significant improvement” on last year's drop.
But results still failed to meet expectations due to the requirement for strong price investment, and significant price deflation in consumer electronics products generally.
Dick Smith was in the process of transitioning into a modern consumer electronics store, it said, with 55 percent of Australian Dick Smith stores sporting the new format.
Work had also commenced in New Zealand, and the Tandy store brand would be retired next year.
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