And again. I may or may not be clutching my cup of coffee and giggling wildly at the news they’re losing money over us.
LONDON (Reuters) – Carphone Warehouse declared itself “a victim of our own success” as the cost of dealing with a flood of customers for its broadband service offer forced it to trim profit guidance.
Shares in the independent mobile retailer and provider of telecoms services fell 2.8 percent to 324-1/4 pence by 8:45 a.m. on Wednesday after it said it expected to post a pretax profit of 110 million pounds for the year to March 2007, down from an earlier guidance of 120 million.
It cited higher-than-anticipated costs at its fledgling broadband business, expected to rise to 70 million pounds this year from an original guidance of 50 million.
Carphone (CPW.L: Quote, Profile, Research) said the higher costs stemmed from demand for its broadband offer, which had forced it to hire more customer service staff and buy wholesale broadband capacity from rival BT (BT.L: Quote, Profile, Research) for customers who had already signed up for its service.
powered by performancing firefox