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UK and North America contribute to healthy first-half growth in WHSmith Travel revenue and profits
Travel division revenues climbed +6% year-on-year to £712 million (US$945 million) in the first half at leading travel retailer WHSmith.
UK. Leading travel retailer WHSmith today announced results for the six-months ended 28 February with Travel division revenues climbing +6% year-on-year to £712 million (US$945 million). Within this, Travel UK revenues grew +7%, North America +5% and Rest of the World + 15%.
Travel division trading profit leapt by +12% to £56 million (US$74 million), with the biggest contribution from the UK at £40 million (+8%). North America trading profit was £15 million.
Headline Group profit before tax and non-underlying items reached £45 million (US$60 million), slightly behind the figure in the same period last year.
WHSmith said it has a store pipeline of over 90 stores won and yet to open in Travel, including over 70 in North America. More than 60 stores are set to open during this financial year.
As reported, the group agreed the sale of UK High Street business on 28 March.
Group Chief Executive Carl Cowling commented: “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.
“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.
“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.” 
