HMV trading update ahead of expectations

For the 16 weeks ended 26 April 2008 Group total sales were up 11.9%, including like for like growth of 10.1%. The company says that gross margins were well managed and in line with previous guidance and the positive performance from Next Generation stores provides the basis for further roll-out.

Regarding the 52 weeks ended 26 April 2008, the management says it is confident that Group profits before tax and exceptional costs will be towards the upper end of market expectations.

Commenting, Chief Executive Simon Fox said,"As we complete the first full year of our three-year turnaround plan, we are ahead of where we expected to be. We have made good progress driving forward our strategic initiatives to increase efficiency, revitalise our core business and establish new channels to market. We still have much to do, but I am confident that the Group is well positioned for the next phase of our transformation."