Ultimate Products (ULTP) Trading Update summary

Trading performance and financial outlook

• Group revenues rose 3% year-on-year for February–May 2025, but sales shifted to lower margin categories, keeping gross margin flat and adjusted EBITDA unchanged at £3.6m.

• Over £4m of customer orders were deferred from Q4 FY25 to Q1 FY26, impacting near-term revenue.

• FY25 revenue is expected to be about 4% lower than last year, with adjusted EBITDA forecast at £12.5m, below the consensus of £14.3m.

• FY26 is projected to start slowly, with the order book down 7.5% year-on-year and revenue expected to be lower than FY25.

Operational initiatives and strategic focus

• Recent years saw improvements in branding, product development, and operations, including automation and AI.

• Current focus is on enhancing the sales function, with initiatives underway to improve systems and processes.

• Leadership remains confident in long-term prospects despite challenging macroeconomic conditions and weak consumer sentiment.

Company background and market presence

• Owns leading homeware brands, including Salter and Beldray, with products in nearly 80% of UK households.

• Sells to over 300 retailers across 38 countries, specializing in five product categories.

• Employs over 370 staff, with headquarters in Oldham, UK, and offices in China and France.