Dick Smith sales beat guidance

Retailer's full-year pro forma sales exceed expectations from prospectus.

Electronics retailer Dick Smith (DSH) has posted full-year pro forma sales ahead of its prospectus guidance on the back of a stronger-than-expected fourth quarter.

The retailer unveiled unaudited pro forma sales of $1.228 billion in the year to June 29, slightly ahead of the $1.226 billion it forecast before listing on the ASX in December.

Dick Smith said the results were underpinned by a strong improvement in Australian sales, with fourth-quarter pro forma sales increasing by more than 15% and like-for-like sales growth coming to 4%.

"This improvement reflects the growth in our store network and ‘can do’ trading mentality," Dick Smith said.

"This was achieved despite encountering challenging trading conditions, including further deterioration in Australian consumer sentiment, which has declined steadily since issuing the prospectus."

Dick Smith shares were issued as part of its initial public offering at $2.20 but have remained below that level for some time since, closing last week at $1.93.

Dick Smith will release its official full-year results on August 19.

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