Last checked at 20 Jan 2016 07:00
20 January 2016
WH SMITH PLC
Trading Update
Good performance across the Group
| Like-for-like sales for 20 weeks to 16 January 2016 | Total sales for 20 weeks to 16 January 2016 |
Travel revenue
|
5% |
12% |
High Street revenue*
| Flat | (1)% |
Group revenue | 2% | 4% |
*Like-for-like sales in High Street were up 2% for the 5 week period to 2 January 2016
Commenting on today's announcement, Stephen Clarke, Group Chief Executive said:
"The Group delivered a good performance over the 20 week period.
"In High Street, we had good like-for-like sales growth over the key Christmas period, driven by the 'colour therapy' phenomenon, our seasonal offer and strong promotions in stationery. In Travel, we continue to benefit from the impact of our growth initiatives and the improvement in passenger numbers.
"As a result of the strong sales performance in High Street over the 5 week Christmas period, we expect profit growth for the year to be slightly ahead of plan.
"This performance would not be possible without the hard work of all our colleagues across the business and I am grateful for their continued support.
"Looking forward, profitable growth and cash generation will remain central to our plans allowing us to invest in new opportunities for the future."
Trading update
The Group delivered a good performance in the period with like-for-like sales up 2% and total sales up 4% for the 20 weeks.
In Travel, like-for-like sales were up 5% with total sales up 12%. We have continued to see good trading across all of our key channels and gross margin continues to grow in line with plan, driven by category mix management. Our UK and international store opening programme is on track.
In High Street, like-for-like sales were flat with total sales down 1% over the 20 weeks, driven by like-for-like sales of 2% over the 5 week Christmas period to 2 January 2016. This Christmas performance reflects successful promotions in our stationery and seasonal categories and continued good sales of 'colour therapy' in books. Gross margin was up c.100bps and our cost efficiency programme remains on target.
The Group continues to be highly cash generative with a strong balance sheet.
Enquiries:
WH Smith PLC
Nicola Hillman Media Relations 020 7406 6350
Mark Boyle Investor Relations 020 7406 6320
Brunswick
Fiona Micallef-Eynaud / Cerith Evans 020 7404 5959
Advance Notice of Interim ResultsWH Smith PLC will announce its Interim Results 2016 on Thursday 14 April 2016.