WH Smith sales drop as funny books are no joke

The joke was wearing thin on Wednesday at WH Smith as sales of parody books including Five on Brexit Island slowed over Christmas.

The retailer said the decline in “spoof humour titles” and “no new, big publishing trends” pushed down same-store sales on the High Street by 4%, while margins on its wares were not as robust as it expected in the 20 weeks to January 20.

Although the decline was in line with the City’s forecasts, shares were down 4.7% to 2031.9p this morning.

In stark contrast, however, same-store sales in airports, train stations and hospitals were up 3%. Its travel business now accounts for almost two-thirds of its earnings in a bid to become less reliant on volatile High Street stores. The stationery and book retailer is opening two more shops at Heathrow and Gatwick airports this year.

Chief executive Stephen Clarke is pinning his hopes on cook Jamie Oliver and presenter David Walliams’s most recent books to lift sales.

“We see some uncertainty in the market, but the company is well positioned for the year,” said Clarke.

Overall sales were flat year-on-year, while same-store sales edged down 1%.