Cake Box (CBOX) H1 2026 earnings summary

Executive summary

• Group revenues grew 53.5% year-over-year to £28.8m, driven by strong organic growth, new store openings, digital enhancements, and the maiden contribution from Ambala.

• Underlying EBITDA increased 33.3% to £4.6m, supported by operational efficiencies, digital sales growth, and Ambala's £0.4m contribution.

• Store network expanded to 284 locations, including Cake Box and Ambala stores, with 11 new stores opened in H1.

• Digital sales and customer engagement metrics showed robust growth, with online sales up 25.9% and a 29% increase in the subscription database.

• Integration of Ambala progressing well, with streamlined production, supply chain improvements, and refreshed branding.

Financial highlights

• Group sales up 53.5% year-over-year to £28.8m; Cake Box segment sales up 18.9% to £22.3m.

• Underlying EBITDA rose to £4.6m (up 33.3%); underlying profit before tax at £2.7m–£2.93m, impacted by higher interest costs.

• Free cash flow was £0.8m; net debt at period end was £11.6m, reflecting acquisition funding and capex.

• Dividend per share increased 5.9% to 3.6p.

• Gross profit rose 58.0% to £15.9m; group gross margin increased to 55.4%.

Outlook and guidance

• H2 FY26 revenues and profits expected to exceed H1, following seasonal trends and strong start to the second half.

• On track to open 25 new Cake Box and 10 Ambala franchise stores by year-end, targeting 35 new stores in FY26.

• Digital sales momentum continues, with October online sales up 17.4% year-over-year.

• Focused on advancing digital transformation and growing customer loyalty through targeted marketing and loyalty programs.

• Confident in delivering year-on-year growth in line with market expectations despite a challenging consumer environment.