WH Smith PLC

Latest Results (09.01.2025):

Revenue Growth

In the preliminary results for the year ended 31 August 2024, WH Smith PLC reported a total Group revenue increase of 7%, reaching £1,918 million compared to £1,793 million in 2023. The Travel segment showed a robust performance with a total revenue increase of 11%, driven by a 12% rise in Travel UK, a 9% increase in North America, and an 18% growth in the Rest of the World.

Profit Increase

WH Smith PLC's headline Group profit before tax and non-underlying items rose by 16% to £166 million, up from £143 million in the previous year. The Travel segment contributed significantly to this growth, with a trading profit of £189 million, compared to £164 million in 2023. The High Street trading profit remained stable at £32 million.

Earnings Per Share

The company reported a headline diluted earnings per share (EPS) before non-underlying items of 89.3p, marking an 11% increase from the previous year's 80.3p. This improvement reflects the strong business performance and the company's confidence in its future prospects.

Dividend and Share Buyback

WH Smith PLC proposed a final dividend of 22.6p per share, resulting in a full-year dividend of 33.6p per share, which is a 16% increase from the prior year. Additionally, the company announced a £50 million share buyback in September 2024, highlighting its strong cash flow and balance sheet strength.

Future Outlook

Looking ahead, WH Smith PLC is well-positioned for future growth, with a new store pipeline of over 90 stores won and yet to open in the Travel segment, including approximately 60 in North America. The company expects to open a net of around 40 stores in the current financial year, indicating a positive start to the new financial year despite some economic uncertainties.