WH SMITH'S 'ONE-STOP SHOP' TRAVEL DESTINATION PAYS OFF AS IT PLOTS MORE STORE OPENINGS

WH Smith's strategic pivot to become a "one-stop shop" for travel essentials is paying massive dividends, with the firm planning to open multiple new stores in train stations, airports, and healthcare facilities.

Carl Cowling, chief executive of WH Smith, painted a bright picture for the future when he stated that the business was now in its "strongest ever position as a global travel retailer".

Profits from the UK travel enterprise swelled by nearly a fifth, with total revenue soaring by 8% in the six months leading to February's end compared to the year before. WH Smith credits its strong trading performance to strengthening consumer travel, particularly heavy footfall in their large stores at Heathrow, Gatwick and their flagship store at Birmingham airport.

Post-March sales for the division also saw a 9% increase companred to last year. "The transformation of our UK travel business from a news, books and convenience retailer to a one-stop-shop for travel essentials is progressing very well," said WH Smith. The company expanded offerings in tech accessories, food, health, and beauty, besides using layout and promotions to nudge up average spend.

The present financial year targets remain strong as ever, with plans to establish about 110 new shops, including over 50 in North America. However, the company announced its plans to close about 60 stores as part of an effort to concentrate on better-quality premises.

"We have had a good first half and our businesses are well positioned for the peak summer trading period," shared Mr Cowling.

The group revealed a headline pre-tax profit of £32million, a decrease from £43million the previous year. Excluding one-off costs, it's pre-tax profits showed a modest increase of 2% year on year. Shareholders could find the profit figures disappointing, with WH Smith shares experiencing a drop of over 4% on Thursday morning.

2024-04-25T13:43:29Z dg43tfdfdgfd