UK's Smiths News interim revenue falls 3.9% on lower print volumes

Smiths News

06/05/2026 07:09

Overview

UK news wholesaler's interim revenue fell 3.9% on lower print volumes, offset by collectables growth

Adjusted profit after tax and EPS declined from prior year, reflecting higher costs and investments

Company maintained interim dividend at 1.75p per share; free cash flow rose to £21.2 mln

Outlook

Smiths News expects FY2026 results in line with company-compiled market expectations, including adj operating profit of £37.2m

Company expects further efficiency gains and positive trading momentum in H2 2026

Smiths News sees heightened demand for collectables in H2 from Pokémon 30th anniversary and FIFA World Cup

Result Drivers

PRINT VOLUME DECLINE OFFSET - Lower newspaper and magazine volumes reduced revenue, but this was partially offset by cover price increases and higher collectables sales

COLLECTABLES AND GROWTH VERTICALS - Collectables revenue rose 13.3%, underpinned by Pokémon, and growth verticals delivered 35% revenue growth, mainly from recycling

HIGHER COSTS AND INVESTMENT - Adjusted operating profit fell due to higher National Insurance Contributions and ongoing investments in technology and the cost base

Company press release: ID:nRSF1212Da

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
GBP 515.70 mln
H1 Net Income
GBP 12.70 mln
H1 Free Cash Flow
GBP 21.20 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the consumer publishing peer group is "buy"

Wall Street's median 12-month price target for Smiths News PLC is GBp90.00, about 38.5% above its May 5 closing price of GBp65.00

The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 7 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)