W H Smith reports 28% increase in group revenue in pre-close trading update

High street retailer W H Smith has reported a 28% increase in group revenue compared to 2022, driven by the Travel business, which was up 42%. 

In a Pre-Close trading update ahead of publication of the full-year results to 31st August 2023, the retailer showed “strong summer trading” with the full year “in line with expectations”.  

W H Smith said the Travel businesses “continued to benefit from the recovery in passenger numbers across all our key travel markets”. UK Travel stores were up 36% compared to 2022, with North America up 31% and Rest of the World up 98%.  

In the UK, the hospital channel is “performing well”, while the rail channel “has been resilient in view of the ongoing industrial action impacting rail”. During the year, W H Smith opened 20 new stores, including eight new stores in hospitals. It anticipates opening over 15 new stores in the financial year ending August 2024. 

The retailer also opened 43 stores in North America in the past year, and has had further recent significant tender wins, including four stores at San Diego airport. In the Rest of the World, W H Smith has opened an additional 30 stores and has won further new business, including new stores at Budapest and Madrid airports. 

While Travel is soaring however, High Street revenues were down 1% compared to last year. W H Smith said this side of the business “has performed well and in line with expectations” and the strategy “remains unchanged as we continue to focus on cost efficiencies and the return on space”. 

The preliminary results for the year ending 31st August 2023 will be announced on Thursday 9th November.