Carphone reported annual earnings up 59 percent, while Dixons' profit increased 76 percent.

Last month the two firms agreed an all-share merger to create Dixons Carphone, worth 3.6 billion pounds ($6.1 billion)at Wednesday's closing prices, seeking to tap-in to an increasing convergence of smartphones and consumer electronics in people's lives.

However, the May 15 deal announcement prompted a 10 percent fall in Dixons' share price and an 8 percent slide in Carphone's.

Analysts said they were disappointed with targeted annual cost savings and synergies of at least 80 million pounds by 2017-18, while some expressed concern about a possible top-heavy management structure and what they perceived to be the defensive nature of the deal with both firms facing increasing online competition.

Shares in both firms have rallied since, up 3 percent over the last month.

The deal, which would create a business with turnover of about 12 billion pounds, 2,900 stores and 45,000 staff, is scheduled to complete in the third quarter of 2014, with the combined group likely to enter Britain's FTSE 100 index of leading companies.

The firms said the merger was progressing in line with the anticipated timetable.

On Wednesday the deal received the unconditional approval of the European Commission.

Carphone made headline earnings per share of 18.4 pence for the year to March 29.

That compares to company guidance of 17-20 pence and 11.6 pence made in the 2012-13 year.

Carphone's main CPW business made pro-forma earnings before interest and tax (EBIT) of 151 million pounds versus guidance of 145-155 million pounds.

The group is paying a final dividend of 4 pence, making 6 pence for the year, up 20 percent.

Dixons, home to the Currys and PC World chains in Britain, Elkjop in Nordic countries and Kotsovolos in Greece, said on Thursday it made an underlying profit before tax of 166.2 million pounds in the year to April 30.

That compares to company guidance of about 160 million pounds and 94.5 million pounds made in the 2012-13 year.

Dixons said the new financial year had started well, with an uplift in TV sales driven by the World Cup and early glimmers of a consumer recovery.

(Reporting by Karolin Schaps, editing by Louise Heavens)

Stocks treated in this article : Dixons Retail PLC, Carphone Warehouse Group PLC