WH Smith has revealed a drop in High Street sales amid talks of selling 500 of its UK shops. Its High Street sales fell 6% in the 21 weeks to January 25, covering the key Christmas period, down 3% on the previous year.

British retailer WH Smith Plc’s potential sale of its high street business risks triggering an event of default on its debt, according to the convertible bond desk at Jefferies.

The news comes just days after the company confirmed discussions about potentially selling off its high street stores to concentrate on its larger travel operation.

WHSmith has been slashing costs in the high street stores to improve profitability as it grapples with the shift to online shopping, which has affected the number of customers visiting stores. The high street arm’s underlying annual profits after the Covid-19 pandemic fell from about £60mn to £32mn in the year to August 2024.

Retailer WH Smith has revealed sales at its high street estate remain under pressure just days after the group confirmed talks to sell the 500-strong chain. The firm said total high street sales dropped 6% in the 21 weeks to January 25,

WH Smith has reported “strong momentum” in its travel business after sales in the division rose 6% on a like-for-like basis in the 21 weeks to 25 January. This figure included a 7% rise in the UK travel estate and 3% in North America.