CVS Group (CVSG) Q4 2026 TU earnings summary

Executive summary

• Full year revenue grew 5.9% to £712.8m, with like-for-like sales up 2.1% year-over-year despite a softer UK economic environment.

• Adjusted EBITDA margin remained stable at ~20%, with FY26 expected at £141.5m, in line with market consensus.

• Australian operations expanded significantly, now contributing 11% of group revenue and 16% of group EBITDA before central costs, with 57 sites operating and a strong pipeline for further acquisitions.

• A £50 million share buyback program was announced and is underway, reflecting confidence in future growth and undervaluation.

Financial highlights

• Net debt at year-end was approximately £200 million, with leverage at 1.63x, well below the 2x maximum target.

• Adjusted EBITDA rose to £141.5m from £134.6m year-over-year, with margin held steady at 19.9%.

• Operating cash conversion exceeded 70%, supporting both organic and inorganic growth.

• £36.4m invested in capital expenditure, about 5% of revenue, with CapEx expected to be around £30 million per annum.

• Six acquisitions in Australia (14 sites) completed for £45 million initial consideration; two more signed and a minority interest buyout completed.

Outlook and guidance

• Confident in returning to 4%-8% like-for-like growth, with higher price increases implemented post-CMA decision.

• Margin guidance remains at 19%-23%, with current performance at ~20% despite inflation.

• Robust pipeline for further acquisitions in Australia and plans to resume accretive UK acquisitions.

• Board confident in delivering medium- and long-term shareholder value growth.

• Full-year results to be announced in September, with further details on performance and dividend.