WHSmith reports strong financial results for the year ending August 31, 2024.
- Group profit before tax sees a 16% increase to £166 million.
- The travel division’s trading profit surges by 22% to £202 million.
- High street operations witness a 9% decline in trading profits.
- Plans underway to expand with over 90 new stores globally.
WHSmith has announced robust financial outcomes for the fiscal year concluding on August 31, 2024, highlighting a noteworthy 16% rise in group profit before tax, reaching £166 million. Overall, group revenue increased by 7% to £1.92 billion, underscoring the company’s effective strategies, particularly in its travel sector both domestically and internationally.
The travel segment demonstrated significant growth, with trading profit climbing 22% to £202 million and revenue rising 11% to £1.47 billion. Within the UK, trading profit from the travel division increased by 25% to £126 million, while North America experienced a 12% rise and other global markets recorded a 38% increase.
In contrast, WHSmith’s high street operations faced challenges, with a 9% drop in trading profits to £39 million and a 4% decline in sales to £452 million. Despite this, the results were consistent with expectations, reflecting ongoing market pressures in the high street retail space.
Looking forward, WHSmith is preparing to further its growth trajectory with plans to open over 90 new stores worldwide, including 60 in North America. In the coming year, 40 net new stores are anticipated. CEO Carl Cowling conveys optimism, stating, ‘The new financial year has started well. While there is some economic uncertainty, we are confident that 2025 will be another year of good progress for the group.’
Cowling also highlighted the company’s success in securing new business at major US airports, including Dallas, Denver, and Washington Dulles, and identified as the preferred bidder for 15 additional stores across two significant US airports. The rollout of WHSmith’s one-stop-shop format in the UK continues to drive profitability, positioning the company well for future expansion.
Despite high street challenges, WHSmith remains confident in its strategy and growth prospects.
