Coldplay hits right note for HMV

THE recent release of Coldplay's X&Y album has boosted sales at music and books group HMV, which has also taken 'significant' advance orders for the latest JK Rowling blockbuster, Harry Potter and the Half-Blood Prince.

First-week sales of X&Y were the second-highest in UK chart history and helped HMV halve the rate of decline in underlying sales. They were still down by 1% in the seven weeks to 18 June but that is an improvement on the 2.2% fall the previous quarter.

Profits for the year to end-April rose by almost 10% to £136.2m before tax and exceptionals on sales up 3.8% at £1.9bn. The total dividend is raised by 17.2% to 6.8p.

Chief executive Alan Giles said: 'These results once more demonstrate the resilience of the group's specialist retail formats in highly competitive conditions.'

HMV, which also owns the Waterstone's books chain, said market share performance had been strong across the board.

Trading conditions remain tough and the outlook uncertain but expansion will continue this year with another 25 HMV stores planned. Waterstone's will open 10 new stores. It opened seven last year, including its 20,000 square foot 'destination store' on Oxford Street.

The group opened eight new stores in Japan, taking its chain there to 50.