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Xaar (XAR) investor relations material

Xaar H1 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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H1 2025 earnings summary12 Aug, 2025

Executive summary

  • Revenue grew 7% year-over-year to £27.2m, driven by strong printhead sales, especially in jewellery wax and new business segments, with printhead new business revenue up 96% and now 49% of H1 revenue.

  • EPS revenue declined 16% due to market headwinds and tariffs, while legacy ceramics business stabilized.

  • Strategic partnerships and product launches in EV battery coating, automotive coatings, and 3D printing are opening new market opportunities.

  • Net cash position at £5.1m as of June 30, reflecting investment in capital equipment and development.

  • Adjusted EBITDA declined 15% to £0.76m, with reported loss for the period widening to £3.1m.

Financial highlights

  • Group revenue for H1 2025 was £27.2m, up 7% year-over-year, with printhead division revenue up 20% to £19.9m and EPS revenue down 16% to £6.3m.

  • Gross margin stable at 36.5% (down 90bps year-over-year); gross profit increased to £9.9m.

  • Adjusted loss before tax was £700k; reported loss before tax at £2.8m, impacted by restructuring and fair value losses.

  • Net cash balance of £5.1m as of June 30, after £3.6m net cash outflow for capital equipment and development spend.

  • Adjusted EBITDA margin declined to 2.8% from 3.5% in H1 2024.

Outlook and guidance

  • 2025 expectations unchanged; revenue anticipated to be second-half weighted with printhead growth offsetting EPS weakness.

  • Printhead revenue anticipated to remain strong, but timing of orders uncertain due to global geopolitical environment and tariffs.

  • Medium-term focus on EV battery coating, automotive coating, and desktop 3D printing as key growth markets.

  • EPS will continue to be a drag on group growth in 2025, but pipeline rebuilding should benefit future years.

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Frequently asked questions

Xaar plc is a inkjet printing technology group. The company designs, develops, manufactures, markets, and sells printheads and associated products. Xaar plc markets and sells its products in a range of different markets, including Europe, the Middle East, Africa, Asia, and the Americas. It operates through three segments: Printhead, Product Print Systems, and Digital Imaging segments. Its products are used in 3D printing, ceramic tile decoration, coding and marking, decorative laminates, direct-to-shape, functional fluid deposition, glass printing, graphics, primary labels, packaging, and product printing, and other industries. The company was founded in 1990 and is headquartered in Cambridge, the United Kingdom.

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