Preliminary Results 2015/16 and Strategy Update. 29th June 2016

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1 Preliminary Results 2015/16 and Strategy Update 29th June 2016

2 Seb James Group Chief Executive

3 Our growth story Synergies Core Business Core Business Opportunities Connected World Services Knowhow

4 Awards Mobile Industry Awards: Personality of the Year Shop Idol Winner: Retail Week Supply Chain Awards What Mobile Awards: Best High Street Retailer CIPD Recruitment Awards: Best online recruitment - CPW Marketing Society Awards: Customer insight ISell Mobile Awards: Team of the Year PriceRunner Awards: Best Online in Demark #1 Retail Week Power List: Extel Awards: Best IR (non-food retail) Retail Week Rising Stars Retail Week: Retailer of the Year Creative Circle Awards: Gold of Golds TV commercial Institute of Internal Communications Awards UK Search Awards: Best SEO campaign European Supply Chain Excellence Awards FD Magazine Awards: Best FTSE 100 FD British Arrows Awards: Commercial of the Year Institutional Investor Awards: Most Honoured Mobile Choice Awards: Best Online Retailer Mobile Industry Awards: Outstanding Achievement RAD HR Awards: Candidate Engagement Timewise Power Part Time List: Stock Market Awards: Best Retail & IR comms

5 2015/16 Overview Integration progressing strongly 276 UK&I SWAS Announced 3-in-1 roll-out Own the Kitchen store-in-store initiative New Carphone Warehouse web platform Carphone Warehouse Click & Collect launched Share gains in all markets Pricing at most competitive ever Customer satisfaction levels at all time highs Launched id Acquisitions of Simplifydigital and Infocare Norsk Prising Co-branding in Norway and Sweden Sprint Joint Venture launched honeybee extends contract with major US manufacturer CWS agreements signed with TalkTalk, EE and RBS

6 2015/16 Key numbers Group like-for-like revenue up 5% (UK & Ireland up 6% and Nordics up 4%) Strong profit performance: Headline PBT of 447 million (2014/15: 381 million), up over 17% Headline basic EPS 29.3p (2014/15: 25.5p) Free cash flows of 202 million (2014/15: 89 million) and year end net debt broadly flat year-on-year at 267 million Final dividend of 6.50p (2014/15: 6.00p) proposed, taking total dividends for the year to 9.75p (2014/15: 8.50p), up 15% year-on-year Sprint joint venture in the US expected to contribute $40 million - $50 million of annual EBIT to the Group by 2019/20 honeybee platform: major 3rd party deal signed with US carrier

7 Long term growth metrics UK electrical pricing Customer satisfaction Q1 CY 14 Q1 CY 15 Q1 CY % UK market shares 23.5% 24.7% 25.7% 13.7% 23.4% CPW (Postpay) Currys PC World

8 Finance Update Humphrey Singer Group Finance Director

9 Strong earnings growth m 500 YOY : + 60m ( 7m) + 2m Flat + 55m + 11m + 66m (21) UK & Ireland Nordics Southern Europe Connected World Services EBIT Net finance cost PBT Finance Update

10 Free Cash Flow m 700 Headline EBIT Dep. & amort. Working capital Capex Taxation Interest Restr. / Merger Other Free cash flow (76) 400 (221) (56) (31) (43) Finance Update

11 Balance Sheet m Opening Net debt Free cash flow Dividends Acquisitions and disposals Pension contributions Other items Closing Net debt (50) (100) (150) (260) 202 (106) (267) (200) (82) (250) (300) (35) 14 Finance Update

12 Property optimisation No. of stores 2 Jan Jun 2016 Future plan Ireland CPW Ireland Dixons UK CPW UK Dixons No. of UK Dixons stores 2 Jan Jun 2016 Future Plan - Currys PC World Currys Digital CurryPCWorld CPW Total Finance Update

13 What s happening in Hull UK & Ireland - Property

14 The numbers behind the plan Store A Store B Retained Store (A) Revenue 4.8m 2.8m 7.6m Margin 1.4m 0.9m 2.3m Rent and Rates (0.3)m (0.3)m (0.4)m Employees (0.3)m (0.3)m (0.5)m Contribution 0.8m 0.3m 1.4m Finance Update

15 Guidance Full year Headline interest c. 20m Effective Headline tax rate c.25% Capex c. 250m although dependent on speed of integration work Exceptional cash flow in 2016/17 c. 90m Pension contribution of 36m Brexit areas to consider Finance Update

16 Market Updates Seb James Group Chief Executive

17 Successful retailing Exciting stores Seamless digital experience Great service and after sales support UK & Ireland - Property

18 Store initiatives UK & Ireland - Property

19 Digital/online The Pay Monthly Journey New Carphone Warehouse website Everyday Heroes Soft credit check Extension of Click & Collect to more CPW stores Radical transparency

20 Relentless focus on service Today Last year Delivery days (ave.) Next Day Availability 72% 66% Free National Delivery 1-3 days 2-3 days 1-3 days 94% 94% Same day delivery Early bird and night owl delivery

21 Connectivity id base of over 335,000 Multiplay launched in over 270 stores Simplifydigital Leasing proposition

22 Nordic initiatives Norway pricing Jönköping extension Knowhow/Infocare B2B

23 Nordic initiatives (cont.) Co-branded stores Epoq kitchen MDA Accessories

24 Southern Europe Tough conditions but strong effective team Market share gains, strong like-for-like growth Greater focus on franchise operations Development of new smart home proposition

25 Integration

26 Technology to drive customer excitement iphone 7 Samsung S7 True wireless buds Wallpaper TV Continuum Ambient computing Virtual Reality (VIVE)

27 Knowhow and CWS Andrew Harrison Deputy Chief Executive

28 Knowhow Addressable Value Pools (Revenue) mn 2,500 2,000 1,500 1, Repairs Insurance / Extended Warranty Broadband switching Computing 2.3bn Consumer Credit Mobile devices 1.5bn Ongoing Support White goods 0.7bn Installation TV 0.5bn Energy switching Setup Installed Base and Spend on Connected Devices m units 16 Volume of devices 14 Spend on devices $bn Sources: Gartner Symposium/ITxpo, Nov bn addressable technology services market, supported by a continued increase in connected devices fragmented and poorly served today in the UK

29 Leeds trial 1: Build in-home services Launching Energy Saver and Broadband & Wi-Fi Expert Compare and switch Promoted in store and in the home 2: Own repairs Mobile and computing repairs in store Up to same day turn around at new Leeds Super clinic Aim to increase chargeable repair market share in all categories 3: Acquire a membership base Demonstrate a new model that acquires and monetises customers 30 day free phone tech support to drive sign up with up sell Tailored self help content to create stickiness Knowhow

30 CWS Leverage the specialist skills, operating processes and technology of the Dixons Carphone business to provide services to third parties looking to develop their own connected world solutions

31 Support and Services Extended contract with RBS for the provision of 3 rd party mobile phone insurance Signed a new contract with EE for the provision of 3 rd party mobile phone insurance Extended contract with TalkTalk beyond mobile services to support all customer channels and categories Ambition to be the largest provider of 3rd party mobile insurance in the UK CWS

32 Connected Retailing Successfully completed trial in the US resulting in the agreement to roll-out 500 stores Conversion significantly better and customer satisfaction scores almost double Operating 27 of Sprint s own stores in Miami and Dallas as part of our IP work stream, with current performance +30% vs targets Joint venture expected to contribute $40m-$50m of annual EBIT to the Group by 2019/20 CWS

33 Our rollout plan c.150 stores to roll-out in the next 12 months 5 region strategy to follow network investment to access the highest value customers New, optimised store format created resulting in significant savings Implemented 20 new back office systems and processes to drive greater efficiencies 17 stores now open, 7 more in July, 14 in August & 42 in September CWS

34 honeybee software MAKE HONEYBEE THE GLOBAL INDUSTRY STANDARD FOR BUILDING, DELIVERING AND MANAGING DIGITAL CUSTOMER JOURNEYS Agreement reached with Sprint to roll-out honeybee across their entire estate in the US multi-industry product specialist telecoms product multi-industry product 35 CWS

35 Summary and Q&A

36 Our growth story Synergies Core Business Core Business Opportunities Connected World Services Knowhow Price Market share Cust. satisfaction 80m synergies Property and store initiatives New categories Digital/online Multi-play Connectivity honeybee Sprint Support and services Leeds trial National rollout

37 Q&A