Travis Perkins (TPK) investor relations material

Executive summary

• Group revenue for H1 2026 was £2,258 million, down 1.8% year-over-year, mainly due to subdued activity, lower volumes, and the prior year disposal of Staircraft.

• Adjusted operating profit rose 6.3% to £67 million, driven by gross margin expansion and disciplined cost management.

• Profit after tax increased 15.4% to £30 million compared to H1 2025.

• Net cash before leases stood at £55 million, a significant improvement from £103 million net debt last year.

• New management team fully established, driving operational improvements.

Financial highlights

• Gross margin improved by 100 basis points to 27.4% year-over-year.

• Adjusted earnings per share increased 13.5% to 15.1p.

• Interim dividend per share reduced to 4.0p from 4.5p last year.

• Net debt/adjusted EBITDA improved to 1.9x, within the target range of 1.5x-2.0x.

• Free cash flow for H1 was £72 million.

Outlook and guidance

• Market conditions expected to remain challenging in H2 2026, with similar trading performance anticipated.

• Effective tax rate for the year expected at 28% on UK profits.

• Base capital expenditure guidance for the year is £60-70 million.

• Property profits for the full year expected to be around £5 million.

• Focus remains on operational improvements and cost control.