Top Performing sectors drive Currys’ Sales as AI Tech and Gaming Offset Rising Cost Pressures
On 18 December 2025, Currys reported a sharper sales rebound than many expected. The UK tech retailer saw revenue grow to about £4.2 billion, and profits more than doubled in the first half of its 2025/26 year. But this growth did not come from all products. The big lifts came from the Performing Sectors like AI-ready computers and gaming tech. These areas pulled in customers who were ready to spend, even as many shoppers stayed careful with money.
Currys has nearly 300 stores in the UK and Ireland. There, the strongest sales were in computing gear with built-in AI features and fresh games that pushed upgrades. This mix helped offset rising costs and a cautious spending mood. The result is a sales story worth watching.
AI-Powered Devices: Performing Sectors
Currys’ interim update on 18 December 2025 shows hardware demand shifting fast. Consumers now buy devices that can run on-device AI. Older machines struggle with new workloads. That forces many shoppers to upgrade sooner. Premium laptops and desktops with AI chips carry higher price tags. That helps Currys keep margins even as unit volumes face pressure.
The company lists a broad AI laptops on its site, showing how the offer has been pulled forward to meet demand. Analysts and some investors model this change using an AI tool to forecast replacement timing and ASP trends.
On-device AI also changes buying decisions. Buyers now evaluate CPU architecture, neural engine capability, and memory bandwidth. These are technical attributes that raise the bar for resale and second-hand markets. The result is a forced upgrade cycle for higher-end computing. That cycle is less prone to discounting than older replacement patterns.
Gaming Hardware Emerges as a Reliable Revenue Engine
Gaming remains a dependable revenue stream for Currys. Recent product launches and big title releases lifted accessory and console sales. Gamers buy GPUs, monitors, and controllers in clusters. That raises the average basket value. PC gamers also upgrade more frequently because new games need better hardware. Currys’ trading update notes that gaming and premium computing were clear winners in peak trading. This helped group revenue climb even while other categories softened.
Esports and streaming culture add a tailwind. Creators and competitive players demand peripherals and capture gear. That demand filters into brick-and-mortar stores, where consumers test and convert on high-value items. Currys benefits from omnichannel interaction, where online interest turns into in-store purchases for complex, high-cost gaming systems.
Premium Mix Helps Offset Rising Cost Pressures
Costs remain a clear challenge. Higher employer contributions and wage rises increase in-store expenses. Logistics and energy costs add to margin pressure. Currys’ results on 18 December 2025 show a marked improvement in profitability despite these headwinds. That improvement comes from selling higher-margin products.
Premium AI laptops and gaming rigs raise the average selling price. Fewer loss-leading promotions were needed for these categories. The mix shift thus cushions the impact of rising operating costs.
Inventory management matters too. Currys’ ability to secure stock for peak periods reduced clearance risk. Strong supplier relationships for AI-enabled devices helped maintain availability when rivals faced shortages. That lift in availability means less forced discounting and steadier margins.
Weak Categories That are Holding Back Overall Growth
Not all categories contributed equally. Basic home appliances and many TV segments remained soft. Buyers delayed purchases of non-essential, big-ticket items. That kept parts of the revenue mix subdued. White goods and standard televisions saw muted upgrade cycles. The gap between “need-to-have” and “nice-to-have” products widened. This divergence limits headline growth even as select categories expand.
Refurbished devices and trade-in programmes are moderating the dip in some older categories. But conversions in these segments are slower and often yield lower margins. The structural uplift in AI and gaming, therefore, needs to persist to fully offset weaknesses elsewhere.
Store Experience and Expert Sales Matter More in the AI Era
Complex purchases favor in-person guidance. Shoppers want clarity on compatibility, software support, and future-proofing. Currys’ store network and tech advisors help make those complicated comparisons easier. In-store demos convert interest into sales for advanced AI features and high-end gaming setups. Currys’ omni-channel model means customers can research online and buy in person. That flow helps on average conversion rates for premium categories.
Expert staff also reduces return rates. Proper configuration and advice mitigate post-purchase disappointment. That lowers after-sales costs and protects warranty margins. In an age where hardware specialization matters, the retail experience becomes a competitive asset.
How Currys’ Strategy Differs From Other UK Retailers?
Currys is leaning into category leadership rather than competing solely on price. The retailer prioritizes stock for growth sectors and limits promotional erosion in those lines. That contrasts with rivals who rely heavily on discounting to move volume.
Currys’ focus on higher-value computing and gaming creates a clearer route to margin recovery. The company also returned capital to shareholders with a share buyback, signaling confidence in the business model.
This strategy is not without risk. If consumer confidence shrinks sharply, premium purchases could retract faster than basic goods. Still, the mix shift gives Currys a buffer that pure volume lacks.
What does this mean for Curry’s Outlook in 2026?
Outlook depends on two moving parts. First, demand for on-device AI and gaming upgrades must remain healthy into 2026. Second, macro costs and consumer confidence must not deteriorate. Analysts expect further profit growth for the full year, supported by improved stock availability and stronger peak trading.
Currys’ guidance remains positive, but management flags potential pressure from UK cost rises. The company’s performance in the next financial year will hinge on sustaining the premium mix while keeping operating costs in check. These themes were central to the 18 December 2025 update.
Investor and Consumer Takeaways
Currys’ recent trading shows that sector focus can reshape retail results. AI-ready computers and gaming hardware now drive higher revenue and better margins in the performing sectors. The retail experience and product availability matter as much as price. Consumers should expect more targeted offers on premium tech.
Investors should watch mix metrics, ASP, premium penetration, and gaming accessory growth as key indicators of continued outperformance. Currys has momentum, but staying ahead of tech cycles and managing cost pressures will be crucial in 2026.
Frequently Asked Questions (FAQs)
AI laptops run faster and support new features. Many old devices cannot handle AI tasks. This pushes customers to upgrade in 2025, even with higher prices.
Gaming demand remains steady in the UK. New games need stronger hardware. Many players upgrade consoles, PCs, and accessories during 2025, supporting sales across major retailers.
Currys manages rising costs by selling more premium products. Higher prices per item help balance wages and energy expenses, according to company updates released in December 2025.
Disclaimer
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
