WHSmith delivers ‘better than anticipated’ Christmas as sales recover

The retailer said group revenue recovered to 67% of pre-Covid levels during December 2020, despite the impact of store closures and reduced footfall.

Sales raked in through WHSmith’s high street stores – the majority of which remain open under the latest lockdown measures – came in at 92% of pre-Covid levels last month. 

That was the same percentage it achieved in October but represented an improvement on the 82% registered in November. 

In WHSmith’s travel division – the jewel in the group’s crown for the past few years – sales amounted to just 36% of 2019 levels in December. That marked a slowdown from the 37% it achieved in November. 

Although total sales slowed amid “significantly reduced passenger numbers”, WHSmith said it continued to drive average transaction values during the festive season.

In its financial year to date, WHSmith said group sales were less than half of last year’s total but boss Carl Cowling insisted he was “pleased” with the group’s performance over the Christmas period.

Cowling said: “Covid-19 continues to have a significant impact on the WH Smith Group; however, we are pleased with our performance over the Christmas period which was better than anticipated.

“We generated cash during November and December and ended December with a stronger cash position than anticipated with liquidity of £90m, which is materially ahead of our original plan.

“I am extremely grateful to all our colleagues around the world and, in particular, our store teams who have worked exceptionally hard throughout what has been a very challenging period.

“We remain well placed to navigate our way through this ongoing period of uncertainty and benefit from the recovery of our key markets in due course.”