WH Smith in talks to sell high street arm including branches in Lancashire
WH Smith is in talks to sell its high street arm, made up of around 500 stores inclduding two on the Fylde coast and two in Preston.
The company has been a leading high street retailer in stationery and newspapers for decades and its branches have traditionally been considered cornerstones of town centres up and down the country.
However, the retailer says its high street trading now accounts for only 15 per cent of annual group trading profit.
Over the past decade, the firm has focused on its more fruitful, travel retail business which operates from airports, train stations and hospitals.
There was shock when WH Smith closed its Blackpool branch on Bank Hey Street in 2020 during the Covid pandemic.
It currently has a town centre store on Victoria West in Cleveleys and one on St Annes Road West in St Annes, as well as Preston branches in Fishergate and the Deepdale shopping centre.
The company opened its first store as a London news vender in 1795 and then began to expand.
A company statement said: “WH Smith confirms that it is exploring potential strategic options for this profitable and cash generative part of the group, including a possible sale.
“Over the past decade, WH Smith has become a focused global travel retailer.
“The group’s travel business has over 1,200 stores across 32 countries, and three-quarters of the group’s revenue and 85% of its trading profit comes from the travel business.
“There can be no certainty that any agreement will be reached, and further updates will be provided as and when appropriate.”
The group reported underlying pre-tax profits of £166 million for the year to August 31 – up from £143 million the previous year.
But earnings remained flat at £32 million in its traditional high street business despite a 2 per cent drop in like-for-like sales thanks to cost-saving efforts.