Venture Life Group (VLG) H1 2024 Trading Update earnings summary

Executive summary

• Group revenues for H1 2024 were £23.5m, matching H1 2023, with strong UK brand growth.

• VLG's Brands grew 5% to £13.8m, now 59% of revenue; UK brand sales rose 14% to £9.4m.

• Customer Brands revenue declined 7% to £9.6m, reflecting normalization after a strong H1 2023.

Financial highlights

• Gross margin expected to improve by about 1ppt year-over-year, driven by higher-margin brand mix and easing supply inflation.

• Online sales via Amazon surged 50% to £2.5m compared to H1 2023.

• Free cash flow enabled net debt reduction by £3.0m to £10.7m since December 2023.

Outlook and guidance

• Revenues expected to be second-half weighted, especially from international partners.

• Strong order book with higher proportion of VLG Brands supports current revenue guidance.

• Board confident full-year performance will meet market expectations.