WH Smith (SMWH) Trading Update summary

Trading performance

• Group revenue rose 4% on a constant currency basis over 21 weeks, with Travel divisions up 8% and UK High Street in line with expectations.

• UK Travel revenue increased 7% both total and like-for-like, driven by new formats and expanded ranges.

• North America saw 6% revenue growth (constant currency), with Travel Essentials up 20% and a pipeline of about 60 new stores.

• Rest of the World revenue climbed 16% (constant currency), with strong positioning for further expansion.

• UK High Street like-for-like revenue declined 3%, but cost savings targets remain on track.

Strategic initiatives and outlook

• Continued rollout of the one-stop-shop travel essentials format in the UK, with positive results from new food and health & beauty ranges.

• North America expansion includes 8 new stores at Orlando airport and 4 at Portland, focusing on high-growth airport locations.

• Ongoing store estate optimization in North America, including closures and refurbishments to prioritize growth areas.

• £50m share buyback underway, with £17.5m spent on 1.4m shares as of January 2025.

• Confident outlook for continued growth in 2025 despite economic uncertainty.

Operational highlights

• UK Travel division outperformed passenger growth, especially in Air channel.

• North American Travel Essentials is the fastest-growing segment, with strong like-for-like and total revenue gains.

• Store pipeline in North America now totals approximately 60 new locations.

• Clean stock position maintained post-Christmas in UK High Street, supporting cost management.

• Interim results scheduled for announcement on 16 April 2025.