Argos hit by dip in electrical sales

Sales at Argos have been hit by a fall in demand for electrical goods, particularly TVs, computers and tablets, owner Home Retail Group said.

Like-for-like sales in the three months to the end of May were £846m ($1.3bn: €1.16bn), down 3.9% from a year earlier.

The group had previously warned sales were likely to decline over the period.

Sales at Homebase were £438m, up 5.4%, partly due to stock clearance sales resulting from store closures.

"The performance at Argos in the quarter was broadly in line with both our expectations and previous guidance, with sales being adversely impacted by market declines in key electrical and seasonal product categories," said Home Retail Group chief John Walden.

"We continue to expect that sales will be challenging during the first half [of the financial year] at Argos, but we look forward to a stronger second half.

"Homebase has made a good start to the year."