Dixons Preliminary Results (26th June 2014)

Dixons Retail (DXNS) - Profits Up!

Dixons released its preliminary Results today - with very impressive figures. The key financial highlights are set out below:

Financial highlights

• Total underlying Group sales up 3% at £7.22 billion (2012/13 £7.03 billion).
• Group gross margins down 0.2% in the full year, with an improvement in the second half.
• Total profit before tax after non-underlying items increased by 53% to £132.9 million (2012/13 profit of £86.6 million).
• Post tax non-underlying charges of £186.0 million, relating mainly to disposals of non-core operations. 
• Underlying diluted earnings per share 3.0 pence (2012/13 earnings of 2.6 pence). Basic loss per share including discontinued operations of (1.9) pence (2012/13 loss per share of (4.5) pence).

You can view the full results announcement here.

If you'd like to watch an inteview with Sebastion James (Group CEO), you can watch the video HERE.

However, in the long-term, will the proposed Carphone Warehouse merger be "diworsification" as Peter Lynch termed it? What do you think?

Photo Me International - MM Shakeout (20th June 2014)?

Is this what a Market-Makers Shakeout Looks Like?

The share price graph for Photo-Me International (PHTM) has looked very much like support would occur at the 200 day moving average. I wonder how many people (like me) had their stop loss set beneath this moving average, to allow the share price some "wriggle room"?

I also wonder whether the SP movement (on little volume - as evidenced from the graph below), caught many people thus triggering their stop losses (as mine was)!

Key Metrics (Sharescope)

The key metrics are interesting...

Of particular note are:

• Steady growth in eps over the past four years
• Increasing cash pile (past 4 years)
• Increasing operating margin (ditto)
• Cash-flow per share is more than double the normalised eps (great cash generation)!

Newsflow

One item of recent newsflow (5th June 2014) also caught my attention...

Could it be that shareholders will receive a special dividend on top of the final dividend, when the preliminary results are announced next Friday (27th June 2014)?

What do you think?

Mick (21st June 2014) - Happy Solstice!