Dixons Carphone plans for lean times

Dixons Carphone, Britain’s largest electricals and mobile phone retailer, is planning for tougher times after the group beat forecasts with a 19% rise in first-half profit.

The company has had a strong run of earnings so far in 2016, but its shares have fallen 30%, reflecting its exposure to high-cost, big ticket goods and perceived vulnerability to any drop in consumer spending.

Its shares had risen ahead of the results and were up initially yesterday before dropping sharply. Dixons Carphone was the highest faller in London yesterday, with a 5.8% drop.