WH Smith Plc issues a profit warning and lowers its outlook, citing weaker trading linked to the war in the Middle East. The company says the conflict affects shopper numbers at its travel-focused locations, including airport stores, where passenger footfall in the US has fallen. WH Smith operates a network of shops across airports, railway stations and hospitals, with outlets in multiple countries, and it reports that the downturn in trading conditions is weighing on sales and expected profits.
In response, WH Smith sets out plans to raise capital of about £100m. The retailer says the proceeds are intended to strengthen its balance sheet, reduce debt, invest in technology, and support its operations. The company also signals operational changes, including closing stores it considers unprofitable, as part of efforts to improve performance under current market conditions.
The announcements reflect a reassessment of near-term earnings and liquidity needs, driven by reduced customer demand at key travel sites during the conflict’s fallout.
