WH Smith cautions on travel, but more InMotion stores planned
The books and stationery seller, which has over 1700 stores, said that unpredictability, coupled with costs linked to a bond issue earlier this year, will impact the levels of income in the period to August 2022.
Analysts had pencilled in profits of between £70 million and £135 million. The shares lost 99.5p to 1532.5p.
But the FTSE 250 company, led by Carl Cowling, reiterated its belief that revenues will return to pre-Covid levels in the next two to year three years.
Sales in the eight weeks to August 28 were at 71% of the levels recorded during the same period in 2019, before the coronavirus outbreak.
High street stores had a stronger performance that travel branches. In the stores at stations and airports the group has seen a gradual recovery in sales as lockdown restrictions have eased.
The outcome for the financial year ended is set to be ahead slightly ahead of expectations.
The company today announced a further four InMotion shops are planned in the UK. That is its US tech-focused brand being introduced here.
Elsewhere today spirits maker Pernod Ricard, behind brands including Jameson, said annual sales rose 4.5% on a reported basis, with organic growth of 9.7%.
