WHSmith reported a jump in revenues but profit before tax inched down in its first financial update since announcing the sale of its flagging high street business.
For the six months to February 28, 2025, WHSmith reported a dip in group profit before tax to £45m, down from £46m the previous year. Total group revenues were up 3% to £951m for the period.
Total travel trading profit jumped 12% to £56m, while high street trading profit dipped to £15m – down from £22m in 2024.
Total revenue in travel jumped 6%, with travel in the UK up 7% year on year, North America up 5% and the rest of the world up 15%.
WHSmith said it had a pipeline of over 90 stores won and yet to open in its travel business, with over 70 in the US alone. The retailer said it expected to open more than 60 new stores this financial year and had won a “major contract” at a US east coast airport.
Group chief executive Carl Cowling said: “The group has had a good first half with consistent like-for-like growth across all our travel businesses and we are well-positioned for the peak summer trading period.
“Travel trading profit was up 12% at £56m, and the board is today announcing an interim dividend of 11.3p, reflecting their confidence in the future growth prospects of the group.
“Our UK travel business has had a strong half with trading profit 8% ahead of last year. In North America, we are beginning to see the benefits of our work to re-engineer our space and improve our retail offer, with like-for-like revenue growth of 3% in the period. We continue to win new space and I am delighted to announce that we have recently secured a significant contract at a major east coast airport.
“It has been an exceptionally busy period and I would like to thank our colleagues for their ongoing commitment.
“The second half of the financial year has started well and we remain on track to deliver full-year results in line with market expectations. We are mindful of the increased level of geopolitical and economic uncertainty; however, given the resilient nature of our business, we are well-positioned to benefit from the growth opportunities in global travel retail.”
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