Cost savings help Smiths News deliver ‘solid’ results

Smiths News has kept delivering newspapers, magazines, and “solid” financial results.

Chief executive Jonathan Bunting said the business was “making progress in line with our plans and our growth initiatives [are] continuing to have positive momentum”.

It expects its adjusted operating profit for the year to August to be “at least in line with market expectations of £38.2m”.

Operational savings have contributed £5.6m, while there has been small revenue growth of 1.1% – although this includes an extra week’s trading in a 53-week financial year.

Bunting said: “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.”

Its share price has doubled over the past two years to reach a six-year high. Last night’s close of 57p valued the Swindon-based wholesaler at £140m.

Smiths News will publish its full financial results next month.