80 jobs to go at Dick Smith

Electronics retailer Dick Smith is cutting about 80 jobs as part of a drive to reduce costs. (AAP)

Eighty jobs are being cut at electronics retailer Dick Smith as it undertakes a restructure designed to save it up to $12m.

Electronics retailer Dick Smith is cutting about 80 jobs as part of a restructure that aims to rein-in costs and improve its supply chain.

The retailer is axing jobs within its support office as part of a restructure that is designed to improve the company's dealings with suppliers.

It estimates the changes will cost up to $7.9 million, but lead to savings of between $8 million and $12 million.

"We have taken the difficult decision to streamline our structure, impacting positions at the support office," chief executive Nick Abboud said in a statement on Thursday.

Mr Abboud said the company had signed a long-term contract with a new Australian and international logistics provider to help improve its supply chain.

The retailer also reaffirmed its expectations for sales growth of about 10 per cent and net profit growth of up to five per cent, excluding the one-time costs, this financial year.

Dick Smith announced the restructure plan shortly before the close of trade, with its shares finishing up five cents at $2.09.

It disappointed investors in February when it reported its first half earnings.

While the retailer returned to the black with a $25.2 million net profit, concerns about stunted sales growth in the company's New Zealand arm weighed on investors' minds,

Source AAP

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