ThinkSmart reports strong first month for Infinity
- 23 November, 2010 18:15
Computer equipment financing company ThinkSmart (ASX:TSM) has announced it had an “encouraging” first month of operations under its partnership with UK electronics retailer Dixons.
The joint Infinity consumer computer product offering has allowed ThinkSmart to double volumes from its existing UK operations after the first four weeks of sales, according to ThinkSmart CEO Ned Montarello.
“We believe a 1% penetration rate into Dixons' UK consumer computing sales is achievable in our first year,” he said, “which would translate into about £15 million in sales.”
Under current exchange rates, £15 million is worth $23.9 million. ThinkSmart's Australian consumer offering has had a compound annual growth rate of 51% over the last four years.
Infinity, which is being offeredin Dixons' Currys and PC World stores, allows UK consumers to purchase computer products through fixed monthly payments.
The deal includes technical support and an antivirus subscription for a two-year term, and a 25% reimbursement at the end of the period if customers upgrade to a new Infinity contract.
TSM shares climbed 4.51% during Tuesday's trading to $0.695.