DC..L Regulatory News (DC.)

29 April 2014

Embargoed until 7am

Carphone Warehouse Group plc

Q4 2013-14 Trading Update (13 weeks ended 29 March 2014)

 Narrowing CPW Headline pro forma EBIT range

and reiterating full year Headline EPS guidance1

· Q4 like-for-like revenue up 2.3%, reflecting continued strong UK performance

· Strong operating cash generation in line with full year guidance

· 4G momentum driving incremental ARPU

· 31 CPW-operated Samsung stores now open

· Narrowing Headline pro forma EBIT range to £145m-£155m for CPW (previously £140m-£160m) and reiterating Group Headline EPS guidance for the full year (17.0p-20.0p)1

Andrew Harrison, CEO said:

"We continued to show good momentum, with further growth in like-for-like revenues, against strong comparatives. The mobile market continues to see a fall in prepay connections; but this has been compensated by an increase in 4G penetration, with higher levels of data take-up at a pricing premium, and consequential growth in customer ARPU. Our executional focus remains strong, with our tablet-based sales tool, 'Pin Point', continuing to drive customer satisfaction and conversion, to the benefit of customers, network operators and ourselves. We are also making good progress in our partnership and Connected World Services strategy and have now opened 31 Samsung stores in 7 countries, with approximately 30 more stores to be opened in the first phase. We are reiterating our Headline EPS guidance and narrowing our Headline pro forma EBIT range1."

1 The directors of Carphone Warehouse Group plc confirm that the profit guidance for the year ended 29 March 2014 remains valid. The

directors further confirm that the profit guidance has been properly compiled on the basis of the assumptions stated and that the basis of accounting used is consistent with the company's accounting policies.

CPW

Q4 like-for-like revenue growth was 2.3%, maintaining the momentum seen during our Christmas quarter, despite strong comparatives. Overall connections were down 10.1%, reflecting continued weakness in the prepay market (down an estimated 20-25%). However, our sustained focus on higher-value postpay connections led to further UK market share gains in this category.

In Europe, we remain focused on replicating the UK's operational excellence across other markets and increasing our relevance and scale through partnerships. In the Netherlands we are making good progress with the roll-out of our store-within-a-store format in partnership with Media-Markt Saturn. Discussions continue with Metro Group in Germany, where we anticipate opening stores over the coming months, and with other potential partners across other territories.

Across the Group we are gaining further momentum in driving data-rich 4G services, seeing significantly higher levels of data take-up compared to the prior period and continuing to see a pricing differential for these additional data services.

Connected World Services

To date we have opened 31 Samsung stores in 7 countries with approximately 30 more stores to be opened across Europe in phase one.

We have been building an exciting pipeline of potential partners during the quarter and expect to make further announcements in due course.

Virgin Mobile France (46% joint venture)

Continued competitive activity in the French market resulted in the postpay base of 1.3m customers being marginally down (net loss of 17,000 postpay customers in the quarter) with revenue down in Q4 as anticipated (-8.6%). Virgin Mobile France remains focused on improving the quality of its base, continuing to make good progress with the Full MVNO migration, with 77% of customers on the Full MVNO platform as at the year-end and significantly more by value. Virgin Mobile France launched a new 4G proposition in April with both SFR and Bouygues Telecom, our third network partner, providing opportunities to access new parts of the market.

Management conference call

There will be a conference call for investors and analysts at 9.00am this morning. The call will also be broadcast on our website, www.cpwplc.com.

Dial-in details

Passcode: 9082561

UK/International: +44 (0) 203 427 1918

USA: +1 646 254 3364

A replay will be available until midnight, 6 May 2014.

Passcode: 9082561

UK/International: +44 (0) 203 427 0598

USA: +1 347 366 9565

For further information

For analyst and institutional enquiries

Kate Ferry, Investor Relations Director +44 (0) 77 489 33206

Kerry Becker, Investor Relations Manager +44 (0) 77 489 10861

For media enquiries

Anthony Carlisle (Citigate Dewe Rogerson) +44 (0) 79 736 11888 / +44 (0) 207 638 9571

Elizabeth Holloway, Head of PR, CPW +44 (0) 74 435 81015 / +44 (0) 208 617 2019

Further operating and financial information