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Pre-tax profits for the year ended 31st August at newsagent WH Smith (LON:SMWH) dropped by 4% to £134 million as high street trading profits contracted by 3%. The travel division saw its trading profits grow by 7%.
Despite this, the dividend will be raised by 12% to 54.1p and management announced plans for a new £50 million share buyback programme.
Chief executive Stephen Clarke said: “While there is some uncertainty in the economic environment, we are pleased with the start to the new year in both businesses, and will continue to focus on profitable growth, cash generation and new opportunities to profitably invest for the future. We are well positioned for the current year and beyond“.
Shares in WH Smith fell by 11.26% to 1,805p (as of 14:30 BST).