UK. WH Smith (Singapore) has captured the key news, books and stationery concession at Singapore Changi Airport terminals 1 to 4. The contract covers ten units across the terminals, three each in T1, T2 and T3, with a further store in the new T4. Changi Airport Group confirmed the award of what it termed the “pan-airport” concession.
The contract runs for three years with the option to extend for a further two at Changi Airport Group’s discretion. The airport sought a news & books partner through a Direct Marketing Exercise launched last June, as reported.
In other news, WH Smith’s like-for-like sales within its Travel division were up +5% in the 21 weeks to 21 January 2017, with total sales up +10%.
Of the total sales, 3% relates to foreign exchange benefits.
Group Chief Executive Stephen Clarke said the division’s good sales growth was driven by “ongoing investment in the business and continued growth in passenger numbers – particularly in our airport stores over the Christmas holiday period”.
In a trading update, WHSmith said it had continued to see good sales growth across all its key channels while its gross margin continues to grow in line with plans, driven by category mix management. The company said its store opening programme both in the UK and internationally was on track.
Total group sales were up +2%, with like-for-like sales rising +1%. WHSmith’s High Street division did not fare as well as Travel, with like-for-like sales down -3% and total sales falling -4%.
“As a result of the performance in Travel we expect Group profit growth for the year to be slightly ahead of plan,” said Clarke.
“Looking ahead, 2017 is a significant year for us as we celebrate the 225th anniversary of our first store opening in 1792. While there is some uncertainty in the broader economic environment, we remain confident that the Group is well positioned for the year ahead as we continue to focus on profitable growth, cash generation and investing in new opportunities.”
