Likewise Group (LIKE) H1 2025 earnings summary

Executive summary

• H1 2025 revenue rose 10.2% to £77.95m despite challenging market conditions and unusually hot late-spring and summer weather.

• Underlying PBT increased 120% to £0.74m, supported by higher sales and operational gearing; performance remained on track with FY 2025 market expectations.

• Growth was virtually all volume, with like-for-like sales up 10.2% through end-August.

Financial highlights

• Revenue was £77.95m versus £70.75m in H1 2024; gross profit was £24.39m versus £21.97m.

• Underlying EBITDA rose 21.0% to £4.4m and underlying operating profit increased 38.4% to £1.67m.

• Reported operating profit was £1.17m versus £0.58m; reported PBT was £0.23m versus a £0.32m loss.

• Gross margin improved 0.2% to 31.3%; operating cash generation was £5.20m versus £2.88m in H1 2024.

Outlook and guidance

• September started well; management cited confidence heading into the traditionally busy autumn selling period and remained on track to meet FY 2025 market expectations.

• The Board is considering a five-year organic growth plan targeting sales above £250m, beyond the earlier £200m objective, while retaining flexibility for other opportunities.

• Newport’s planned distribution hub is expected to be operational in Q2 2026; capacity investment is intended to increase cutting capacity by over 40% and support sales well above £200m.

• The interim dividend increase implies a 2025 total dividend of ~0.4p per share, under a progressive policy broadly aligned with earnings.