Smiths News PLC (LSE:SNWS) has said overall trading so far in its current financial year is in line with market expectations.
Revenues in its core business are ahead of historical trends, supported by cover price increases, the UK’s largest newspaper and magazine wholesaler said in a trading update issued ahead of today’s AGM.
The company said it continues to manage inflation, while efficiency savings and cost controls are on track, it added, as it expressed confidence in its profit and cash generation.
Smiths News reported “significant progress” on long-term publisher contract renewals, with 46% of newspaper and magazine revenues now secured through to 2029.
In the update, Smiths News CEO Jonathan Bunting said: "We have entered 2023 with confidence that our plans will deliver sustained profit and cash generation. The proposed final dividend of 2.75p payable in February 2023 will reward our shareholders and demonstrate the strong cash flow generation of the business.”
Shares fell 5.42% to 52.40p in midmorning trade.