This announcement contains
inside information
2 October 2024
Smiths News
PLC
("Smiths
News", "the Company" or "the Group")
Post Close Trading
Statement
Smiths News (LSE: SNWS), the leading
distributor of newspapers, magazines and ancillary services to
retailers across the UK, is pleased to report a resilient trading
performance during the second half of the 53-week period ended 31
August 2024 ("FY2024" or the "Period"). Adjusted Operating Profit
for FY2024 is expected to be at least in line with market
expectations* of £38.2m, reflecting a solid performance.
Moderate revenue growth of
1.1% was supported
by additional sales volumes attributed to the men's UEFA European
Championships, cover price inflation, ongoing traction from organic
growth initiatives, and the additional week of trading in
FY2024.
Management has continued to focus on
operational efficiencies, delivering cost savings of £5.6m in line
with budgets, and growth initiatives are delivering an increasing
contribution to profit, in line with expectations.
As announced in May 2024, the
Group's Refinancing Agreement removed the previous dividend and
distribution cap of £10 million per year, and the Group will
therefore be implementing its revised capital allocation policy in
respect of the dividend, maintaining 2x cover. The final dividend
is expected to be paid in February 2025, further details will be
provided in the full year results announcement.
The Company will report further on
its performance and strategic progress in our full year results,
which will be published on Tuesday 5 November 2024.
*Company compiled analyst consensus can be found on Smiths
News' website: Analyst
consensus
Jonathan Bunting, Chief Executive Officer,
commented:
"I
am pleased with the Group's performance across the second half of
the year as we continued to deliver on our core strategy, providing
our customers and industry partners with an excellent level of
service.
"With the business making progress in line with our plans and
our growth initiatives continuing to have positive momentum, I look
forward to providing a more detailed update at the Company's full
year results in November."
For
further information, please contact:
|
Smiths News PLC
Jonathan Bunting, Chief Executive
Officer
Paul Baker, Chief Financial
Officer
www.smithsnews.co.uk
|
via Vigo
Consulting
|
|
Vigo
Consulting
Jeremy Garcia / Fiona Hetherington /
Verity Snow
smithsnews@vigoconsulting.com
|
Tel: +44
(0) 20 7390 0230
|
About Smiths News
For over 200 years, Smiths News has
been delivering newspapers to retailers across the UK. It
distributes newspapers and magazines on behalf of the major
national and regional publishers, delivering to approximately
22,500 customers across England and Wales on a daily basis. The
speed of turnaround and the density of Smiths News' coverage is
critical to one of the world's fastest physical supply
chains.
For more information, please
visit: www.smithsnews.co.uk
Person responsible for arranging release of this
announcement:
Stuart Marriner, General Counsel
& Company Secretary
Smiths News plc, Rowan House, Cherry
Orchard North, Kembrey Park, Swindon SN2 8UH
Email: cosec@smithsnews.co.uk