Rising traveller numbers gave WH Smith a third quarter boost as the retailer reported its first increase in group sales for six years.

The stationer and newsagent, which tries to drive sales growth from its travel sites and increased profits from its high street operations, reported overall sales growth of 1 per cent and flat like-for-like sales for the 13 weeks to May 30.

On the high street, where WH Smith has 604 outlets, overall and like-for-like sales fell 4 per cent, but margin improvement and cost-savings were achieving as planned, the company said in a short statement yesterday.

The 725 units it runs in airports and train stations posted an 8 per cent jump in sales, with like-for-likes up 4 per cent.

“Our ‘Food to Go’ range, the rollout of which was completed last summer, continues to be well received by our customers,” said the company, adding that gross margins had improved and its new store opening programme was “progressing well”.

“We will continue to focus on profitable growth and cash generation while investing in new opportunities in both travel and high street that position us well for the future. We remain confident in the outcome for the full year,” it said.

David Jeary, an analyst at Canaccord Genuity, said the sales performance showed the business was “crossing a threshold” after years of flat or declining group sales. He said its travel business was benefiting from a store rollout programme and from strong travel numbers, particularly in airports.

The last time WH Smith posted a rise in group sales was in June 2009, when it reported a 1 per cent rise.

Investec analyst Kate Calvert said the results showed “good momentum in its travel business ahead of the important summer trading period”.

Shares rose 4.62 per cent to £16.09 by lunchtime trading in London.

– (Copyright The Financial Times Limited 2015)