PZ Cussons (PZC) H1 2026 earnings summary

Executive summary

• Delivered strong H1 FY26 performance with 9.5% like-for-like revenue growth across all regions and top brands, supported by balanced price and volume increases.

• Strengthened balance sheet through strategic review, non-core asset disposals, and improved credit metrics, including the sale of the PZ Wilmar JV.

• Increased full-year adjusted operating profit guidance to £53–57 million, reflecting robust H1 results and improved business momentum.

Financial highlights

• Group revenue rose to £269.3 million, up 9.5% like-for-like from £249.3 million year-over-year.

• Adjusted operating profit increased to £35.6 million from £27.0 million, with margin up 430bps to 13.2%.

• Adjusted profit before tax reached £29.8 million, up from £19.8 million; adjusted EPS was 4.37p, with a higher tax charge due to profit mix and Wilmar disposal.

• Free cash flow was £23.2 million; net debt reduced to £84.3 million, with leverage at 1.1x.

• Dividend per share maintained at 1.50p.

Outlook and guidance

• Full-year adjusted operating profit guidance raised to £53–57 million (previously £50–55 million), with H2 profit expected to decline year-on-year due to increased marketing spend.

• Gross cost savings of £5–10 million expected, mostly reinvested in marketing and brand-building.

• Net debt/EBITDA targeted at approximately 1x by year-end, excluding cash in Nigeria.

• Surplus asset cash proceeds of £20–25 million anticipated.

• Trading to end of January in line with expectations; continued strong LFL revenue growth anticipated.