Currys has warned that supplies of fans and air conditioning units are running low as the UK braces for another heatwave expected next week. The electricals retailer experienced a surge in demand during the recent record-breaking heat in England, with fan sales jumping nearly 3,000% over the hottest weekend compared to the previous week, while air conditioner sales rose by 330%.
Stock levels under pressure
Alex Baldock, chief executive of Currys, said cooling products have been “flying off the shelves,” leaving the company scrambling to replenish stock. He confirmed that the retailer is “working incredibly hard to make sure we have got a healthy level of stock,” but supplies remain “pretty tight.” Baldock added, “We are benefiting from being number one in the market and if anyone is going to have it we are going to have it.”
The company operates 691 stores across the UK and Nordic region. Baldock’s comments came as Currys announced annual results showing sales rose 6% to £9.2bn in the year to 2 May, with pre-tax profits increasing 23% to £153m. Like-for-like sales in established UK stores were up 3%, outperforming a declining wider market.
Growth in new markets and World Cup boost
Currys has expanded into new product categories such as coffee machines and AI-driven laptops, while also growing its services business including repair and installation. Sales to small businesses have also increased. Baldock noted that trading since May has remained strong, partly boosted by the football World Cup, which has driven demand for large TVs, barbecues, beer pumps, and hot tubs. Sales of 90in TVs have more than doubled. “We are certainly cheering on England and Norway,” he said. “It’s good for sales.”
Inflation and supply chain challenges
Baldock described inflation as “inevitable,” citing a global shortage of silicon chips and demand from AI data centres as contributing factors. However, he said Currys has secured its supply of computers and mobile phones until at least September. The extent of price rises reaching consumers remains unclear, but Baldock said Currys is “working hard to make the most of our influence as the number one [retailer] to protect the consumer from price rises.”
Political and regulatory calls
Baldock welcomed Andy Burnham’s focus on the high street and retail as central to economic and social life. He urged the government to reverse increases to employers’ national insurance contributions introduced last year and to be cautious about potential new restrictions on employment contracts under the Employment Rights Act. He said Burnham needed to make hiring “less risky, less difficult and less expensive,” noting that the cost of employing a part-time worker at Currys had risen 30% following changes to national insurance and the minimum wage announced in the October 2024 budget.
Baldock also called for a “level playing field” with online sellers on business rates and faster removal of tax breaks on low-value imported items that benefit cut-price overseas sellers like Shein and Temu. The Treasury recently announced it would bring forward the removal of de minimis customs duty relief by six months to October 2028.
Leadership transition
The annual results were Baldock’s last before he leaves Currys to become the boss of Boots, the health and beauty retailer, in the autumn.
