Dixons brand to be revived

DSG International, which owns Currys and PC World said yesterday it would change its name back to Dixons as it returned to profit in the year to the end of May.

Europe’s second largest electricals retailer reported profits of £112.7m – up from a loss the year before of £123.6m.

Sales rose three per cent to £8.53bn as the company’s recovery plan kicked-in.

DSG said in a statement: “The Dixons name resonates strongly with suppliers, the market, and colleagues in a way that DSG international has not been able to without significant investment in the brand.”

Shareholders will have to approve the move back to the Dixons name.

DSG, which also runs UniEuro in Italy, Elkjop in Nordic countries and Kotsovolos in Greece, said the economic outlook in recession-battered Europe, was improving. Chief executive John Browett said: ‘The group is well prepared for this environment ... group profitability will continue to improve.”

The company’s plans include cutting costs and stocks, revamping stores, opening larger stores and improving customer service.

Under the shake-up more Currys and PC World stores will be put under the same roof as the larger outlets have proved a winning formula.

The firm, which more than halved its net debt during the year to £220.6m, is not paying a dividend.