WHSmith sales surged 28% in its full year, driven by strong consumer demand during the summer period.
The retailer heralded “strong summer trading” as more people headed off on holiday, which helped its travel sales jump 42% in its full year to 31 August.
It said its rail business had been “resilient” in the face of ongoing strike action.
Travel like-for-likes rose 27% year on year, with UK sales up 30%.
Yet, the cost-of-living crisis continues to squeeze passenger spending as they cut back on expensive travel, putting pressure on the sector.
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By contrast, WHSmith’s high street business plateaued over the year with sales down 1%, or up 1% on a like-for-like basis. It continues to “focus on cost efficiencies and the return on space” across its high street stores.
Earlier this summer, WHSmith CEO Carl Cowling revealed that it will not be opening any more high street stores in the UK.
He the BBC: “We’ve got a very healthy high street business in the UK. But we’ve got no ambitions to grow that.”
In travel, the retailer said it had delivered strong average transaction value growth, boosted by its enhanced food offer as well as broadening its categories in areas such as health and beauty and technology.
Store expansion is fueling further growth in travel, with WHSmith opening 20 new stores in its UK travel business over the year. It expects to open a further 15 UK travel stores in its new financial year and an additional 65 overseas.
The chain is on course to hit the upgraded profit expectations for the year, which it outlined at the end of May.
According to analyst forecasts, WHSmith is expected to hit profit before tax of £143m for the full year.
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