WH Smith sees sales drop

27th Jan 2010 07:23

Newsagent chain WH Smith reported a drop in sales but said it remains confident in the outcome for the full year.Total group sales were down 2% with like for like (LFL) sales down 4% for the 21 weeks. In the High Street division, LFL sales for the 11 and 21 weeks were down 5% and 4% respectively, while gross margin improved as expected year on year. Excluding Entertainment, LFL sales for the 11 and 21 weeks were down 1%. In Travel, total sales were up 2% and LFL sales down 2% for the 21 weeks.'The Group delivered a good performance during the period. We made further progress in our High Street business and our Travel business continues to perform well, despite soft passenger numbers at airports,' said chief executive Kate Swann.'Although we remain cautious about consumer spending, we have planned accordingly and are confident in the outcome for the full year.'Swann also told Reuters in an interview that is has no active plans to demerge its travel arm from its high street unit.'There are absolutely no plans to do it. It is not on my list of things to do,' she told Reuters. 'However, if at some point it makes sense and we thought it would create value, then we want to leave that option open," she said. Swann was speaking after WH Smith posted a Christmas trading update in line with market expectations.'