TheWorks.co.uk (WRKS) Q2 2026 TU earnings summary

Executive summary

• Total sales for H1 FY26 were £123.8m, a 0.3% decrease year-over-year, with like-for-like sales up 0.3%.

• Store like-for-like sales rose 4%, outperforming the broader market, driven by strategic initiatives and improved operations.

• Online sales, less than 10% of total, declined 36% due to operational issues with a new fulfilment partner.

• Net two new stores opened in H1, with a target of five net new stores for FY26.

Financial highlights

• Product margin improved by 300bps compared to H1 FY25.

• Cost savings from central staff and distribution centre efficiencies contributed to offsetting cost pressures.

• Net debt improved to £5.3m from £8.5m in H1 FY25, reflecting better working capital management.

Outlook and guidance

• On track to meet FY26 profit guidance, with pre-IFRS 16 Adjusted EBITDA expected at £11.0m.

• Focus remains on optimising store sales and maintaining margin growth amid subdued consumer confidence.