This excerpt taken from the BBY 8-K filed Jan 19, 2010.
Whilst we are cautious about the economic environment in the year ahead, Best Buy Europe is well positioned operationally for further growth in the UK, Europe and the US. We also look forward to the launch of the first Big Box stores.
We also remain confident in TalkTalk Groups ability to execute well, to integrate Tiscali, to grow its broadband customer base and to continue to generate significant and growing operating free cash flow.
This excerpt taken from the BBY 8-K filed Nov 27, 2009.
The Groups strong half year progress, in profitability in both TalkTalk Group and Best Buy Europe means we are increasing guidance for Headline EPS for the current financial year to March 2010, to between 14.0p and 15.0p, the mid-point of this range being above the current analyst consensus.
In each business, the cash flow progress is encouraging. Within TalkTalk Group we now expect operating free cash flow of approximately £120m, even after an additional £10m of capital expenditure over and above previous guidance, as we expand our unbundled footprint by another 300 exchanges.
We maintain our guidance for annualised synergies following the acquisition of Tiscali UK of between £40m and £50m in the financial year to March 2011. These synergies will come principally from migrating customers onto our lower cost network, the integration of network backhaul, exchange infrastructure, billing and customer management systems, and back office operations.
Within Best Buy Europe we maintain our guidance for full year operating free cash flow of £50m, after all Big Box investment. We also now expect our share of net income for the full year to be at the top end of the existing £30m to £40m guidance range.
Our guidance for Best Buy branded Big Box store openings remains unchanged. We remain fully on track to open our first stores in Spring 2010 and we are making good progress in finalising further store openings. In the US, Best Buy Mobile continues its very strong development and we remain confident in our guidance for a material increase in its profit contribution in the current financial year.
This excerpt taken from the BBY 8-K filed Jun 5, 2009.
We said earlier this year that, while we did not see an early end to the economic pressures, we did not see further deterioration and, as far as we can see, that remains the case. On this basis, in April, we guided for the current financial year to March 2010, and we upgraded that guidance earlier this month when we announced TalkTalk Groups Tiscali acquisition. We are today reiterating this upgraded guidance.
We expect to generate over £150m of Group operating free cash flow, a substantial increase year-on-year, and we expect the Tiscali UK acquisition to enhance Group Headline EPS by around 10%.
At the divisional level, we expect TalkTalk Group to deliver over £100m of operating free cash flow. We also expect the Tiscali UK acquisition to enable TalkTalk Group to realise annualised synergies of between £40m and £50m by March 2011, principally from the areas of customer migration, network integration and simplification, and billing integration.
Within Best Buy Europe, we expect to maintain the current level of revenues and connections, and expect the cost saving programme we have undertaken to offset the gross margin decline we have experienced in the last six months. We will be investing in our Big Box roll-out plans during the forthcoming year, whilst also expecting significant growth in our profits from Best Buy Mobile in the US. We therefore retain our expectation for the Groups share of profits (after interest and tax) from this division to be between £30m and £40m, and for operating free cash flow, after all Big Box investment, to be around £50m. Our first Big Box stores are scheduled to launch in the UK next spring.
This excerpt taken from the BBY 8-K filed Nov 18, 2008.
The immediate consumer outlook remains very uncertain. In the short term, Best Buy Europe is well positioned relative to its competitors, with an excellent line-up of exclusive products as we approach Christmas. So far this year, we have outperformed our expectations in subscription connections, but underperformed in pre-pay. As the Christmas marketplace has proportionately a much higher pre-pay share, predicting the outcome of the next six weeks of sales is very difficult. Further out, the development of our big box consumer electronics format is an exciting new growth avenue for the business.
The TalkTalk Group is well positioned in a market that is now highly penetrated, offering clear value to customers from a highly efficient network infrastructure. We are meeting customers growing demands for value and flexibility as household budgets come under pressure, as our new propositions announced today demonstrate.
The next 12 months are likely to represent the most challenging economic climate we have ever operated in. With little debt and £900m of facilities, the Group is very well positioned to withstand the financial turmoil. We believe our review of the Group structure will result in shareholders being able to assess more clearly the value of the Groups assets. My focus will be on supporting our customers, protecting our employees and using our resources to position ourselves in the best way for the recovery when it finally comes.