Travel stores to the fore at WH Smith

L Airport and train station shops now the largest part of the venerable firm

The group has 611 high street stores, having closed three over the financial year. It plans to continue focusing on growth in its fast-growing travel business, with 15 UK units opened in the past financial year.

Nicholas Hyett, equity analyst at Hargreaves Lansdown, said: “WH Smith’s traditional town centre business has been struggling for years, as online competition heats up and high street footfall sinks.

“In response the company focused on building up the travel business in stations and airports, while managing the decline of the high street estate. The transition has been managed deftly, with the high street sustaining profits despite falling sales, and the group is now not only present in practically every major UK travel hub, but operating in airports around the world.”

He added: “Overall, we like WH Smith’s direction of travel. Falling sales on the high street will inevitably hit profits eventually, but continued success in travel should mean that’s a smaller headwind going forwards.” Nick Bubb, the independent retailing analyst, said the results were “predictably good”, citing the 7 per cent hike in pre-tax profit to £140m, as well as a 10 per cent rise in earnings per share to 103.6p.