WH Smith Ireland reports weaker profits as turnover rises
Retailer, which paid €2.5m dividend to parent last year, records 14% rise in revenues
Turnover for the books, newspapers and stationary retailer rose to €26.9 million from €24 million
The Irish subsidiary of WH Smith, which operates bookstores at Dublin and Shannon airports, as well as a concession outlet at Arnotts department store, paid a €2.5 million dividend to its parent late last year after it recorded a 14 per cent rise in revenues.
However, WH Smith Ireland also reported a sharp fall in pretax profits as the cost of sales jumped 20 per cent.
Files recently lodged with the Companies Registration Office show the retailer generated pretax profits of €1.1 million for the 12 months ending August 2016, as againt €1.8 million a year earlier.
Turnover for the books, newspapers and stationary retailer rose to €26.9 million from €24 million as the cost of sales climbed to €14 million from €11.7 million.
Staff-related costs also increased, rising to €2.8 million from €2.6 million as employee numbers grew from 87 to 107.
Accumulated profits totalled €4.8 million at the end of the reporting period, versus €4.1 million a year earlier.
The company’s parent, which is listed in London, operates more than 1,300 stores in total.
Sales at its travel division, which comprises outlets at airports, railway and motorway service stations as well as in hospitals and workplaces, increased 10 per cent to the end of last August, helped in part by currency movements as the company operates more than 190 shops outside of Britain.
WH Smith reported its first rise in group like-for-like sales in 12 years last October with the improvement coming primarily from robust sales by the travel business.