Carphone Warehouse earnings jump ahead of Dixons merger

Reuters - UK Focus

LONDON, June 26 (Reuters) - Carphone Warehouse (LSE: CPW.L - news) ,Europe's biggest independent mobile phone retailer, metforecasts with a 59 percent rise in annual earnings as itprepares to merge with Dixons Retail (Other OTC: DSITF - news) .

Last month Carphone agreed an all-share merger with Dixons,Europe's No. 2 electricals retailer, with the two firms seekingto capitalise on an increasing convergence of smartphones andconsumer electronics in people's lives.

Carphone said on Thursday it made headline earnings pershare of 18.4 pence for the year to March 29.

That compares to company guidance of 17-20 pence and 11.6pence made in the 2012-13 year.

Carphone's main CPW business made pro-forma earnings beforeinterest and tax (EBIT) of 151 million pounds versus guidance of145-155 million pounds.

The group, which said the merger was progressing in linewith the anticipated timetable, is paying a final dividend of 4pence, making 6 pence for the year, up 20 percent. (Reporting by James Davey; editing by Kate Holton)

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