Norcros: Increased Profits And Significant Strategic Progress

Norcros plc ("Norcros" or the "Group"), the number one branded bathroom products business in the UK and Ireland, today announces its interim results for the 27 weeks ended 5 October 2025.

Financial summary

Highlights

• Underlying operating profit up 7.4% to £21.9m (2024: £20.4m)  
  
  
• Market share gains driving 0.8% LFL CC revenue growth
  
  
• After a slower start, LFL CC Group revenue was +2.8% for the last 18 weeks of the period
  
  
• Operating margins up 70bps to 11.9% with UK H1 operating margin improved +120bps to 14.8%
  
  
• Underlying profit before tax up 9.4% to £18.7m (2024: £17.1m)
  
  
• EPS (diluted and underlying) up 11.0% to 16.2p (2024: £14.6p)
  
  
• Underlying return on capital employed (ROCE) up 150bps to 18.1%
  
  
• Interim dividend increased by 0.2p to 3.7p per share
  
  
• Excellent cash conversion of 107% - leverage at 0.6x underlying EBITDA at the period end⁶
  
  
• Significant strategic progress:
  
  o  Portfolio Development
  
  § Acquisition of Fibo Holding AS ("Fibo") in Norway, completed shortly after the period end, strategically compelling and materially earnings accretive in the first full year of ownership
  
  § Successful closure of Johnson Tiles SA manufacturing at the end of June completes the exit of the Group's tile manufacturing operations
  
  o  Organic Growth - cross-selling, new products and service levels driving share gains
  
  o  Operational Excellence - scale and targeted investment driving efficiency gains
  
  o  ESG - ahead of 2028 SBTI plan (33% targeted reduction in carbon emissions)

Outlook

• The Board expects full year underlying operating profit to be in line with the revised market expectations⁷, following the acquisition of Fibo, and for the Group to make further progress towards our medium term strategic targets 

Thomas Willcocks, CEO, commented:

"Norcros has again demonstrated the strength and resilience of our design led, branded bathroom products model. In a weak market we have delivered a good first half trading performance, with our strategic initiatives delivering further market share and operating margin progression.

During the first half we completed the exit of the Group's tile manufacturing activities, following the closure of Johnson Tiles SA manufacturing, and shortly after the period end, we completed the materially earnings accretive acquisition of the Fibo business in Norway. These steps are significant milestones towards becoming a higher growth, capital-light, market-leading bathroom business.

The Board remains confident that our leading brands, strong financial position and strategic delivery will continue to strengthen the Group's positioning and deliver market share and operating margin gains. We expect full year underlying operating profit to be in line with revised market expectations⁶, following the acquisition of Fibo, and which show continued progress towards our medium-term strategic targets." 

¹ Discontinued Johnson Tiles SA is not included in the income statement in either the current or prior year figures, which is consistent throughout this release

² LFL (like for like) adjusted from a 27 to 26 week period pro-rating and Johnson Tiles UK which was sold in the prior year

³ Definitions and reconciliations of alternative performance measures are provided in note 3

⁴ Net debt is on an underlying basis and is the net of cash, capitalised costs of raising finance and total borrowings. IFRS 16 lease commitments are not included

⁵ The operating loss in the prior period is post the non-cash cost of £21.4m relating to the disposal of Johnson Tiles UK

⁶ Post the period end and acquisition of Fibo, proforma leverage is expected to be c.1.6x

⁷ Norcros compiled analyst forecast consensus for underlying operating profit for the year to 5 April 2026, as at 20 November 2025, is £47.2m to £48.7m

Source : Norcros

Image : Norcros

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