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Carphone credits upturn to iPhone, other smartphones

updated 02:25 pm EST, Fri November 27, 2009

Carphone Warehouse sees bright future

Carphone Warehouse today raised its profit estimates for its fiscal year based on the surprise success of its smartphone business (subscription required). Its earnings for its first fiscal half-year before tax and other factors jumped sharply from 65 million ($107.2 million) a year ago to 103 million ($169.9 million) and is attributed directly to the success of its smartphone sales, particularly touchscreen devices. Its sales of the iPhone were considered a strong factor, as were sales of BlackBerry devices and Nokia's Nseries.

Among conventional phones, only LG's New Chocolate phones as well as some Sony Ericsson models were given credit for helping the company's income. The results are such that Carphone expects the trend to continue, particularly during the holiday period when sales normally increase.

"I think Christmas has started earlier... which is very encouraging," the retailer's CFO Roger Taylor told the Wall Street Journal.

The UK store is increasingly focused on its phone business as it intends to separate itself once again from its stake in Best Buy Europe as well as Internet provider Talk Talk.

Carphone has usually remained silent on its exact sales numbers of devices like the iPhone but has often seen sales results similar to carrier stores like O2's, including strong preorders and brief sellouts. Aside from Carphone outlets, Phones4U is the only other third-party reseller cleared to officially sell iPhones in the country.



By Electronista Staff
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