Slower growth for Elkjøp Group – big cuts in Phonehouse head office staff

      Comments Off on Slower growth for Elkjøp Group – big cuts in Phonehouse head office staff

Elkjøp Group’s revenue growth has slowed down.

Still, the market shares are increasing.

”We have a very strong business in the Nordics and feel confident that the projects we are undertaking will drive continued good performance in the year ahead and into the future,” says Sebastian James, CEO of owner Dixons Carphone.

On his agenda is the Phonehouse-integration where the new joint Swedish head office means a lot of the Phone House staff has left the company.

”By the autumn, in the UK, Ireland and Sweden, we will have moved our head offices, begun moving our logistics and our repair centres, built integrated management teams and opened almost 280 new mobile stores. This is tricky to achieve – to say the least – and I would like to record my thanks to the teams for making it look so comparatively easy,” comments Sebastian James in Dixons Carphone’s latest trading statement over the financial quarter ending 30 April.

He says Elkjøp Group gained market share in all key markets in the Nordics.

”Q4 like-for-like revenue growth was slower than previous quarters due to the impact of the weaker oil price on the Norwegian economy and its currency, as well as a softer consumer backdrop in Finland.”

Phone House’s and Elgiganten’s respective headquarters are now located at the same place. Swedish CEO Niclas Eriksson tells it24 that they’ve just moved into the new office in Akalla.

Now it will be 139 in the head office, previously Elgiganten had a total of 64 people – and Phone House 170. Some positions became redundant, but Elgiganten Sweden have moved large portions of Phone House’s services to the logistic centre in Jönköping, but only one person chose to follow.

 

Like-for-like revenue1

Q4

H2

FY

UK & Ireland 13% 10% 8%
Nordics 1% 3% 4%
Southern Europe 8% 2% -5%
Total Group 9% 8% 6%