ZIGUP (ZIG) H2 2026 earnings summary

Executive summary

• Achieved strong operational and financial progress in 2026, with revenue up 5.2% to GBP 1.86 billion and fleet growth of 5.9% to 139,400 vehicles year-over-year.

• Spain was the standout performer, with rental revenue up 16.2% and further fleet growth.

• UK&I divisions built momentum, expanding product range, winning new clients, and progressing on simplification.

• Steady state cash generation reached GBP 96 million, a significant positive inflection from the prior year.

• Exited two non-core markets to focus on areas with strong margins and returns.

Financial highlights

• Revenue rose to GBP 1.86 billion; underlying revenue (excluding vehicle sales) up 5.2%.

• Underlying EBIT (excluding disposal profits) grew 9.7% to GBP 164 million.

• EBITDA rose to GBP 503 million; net debt just under GBP 1 billion, leverage at 1.9x.

• Proposed full year dividend of GBP 0.27 per share, up 2.3% year-over-year.

• Fleet NBV rose by GBP 250 million to GBP 1.76 billion.

Outlook and guidance

• Medium-term guidance: mid-single digit underlying sales growth, margin improvement, and increasing steady-state cash.

• Spanish rental margin guidance improved to 18.5%-20.5%; UK&I EBIT margin targeted at 11%-13%.

• Confident in delivering GBP 200 million steady-state cash in FY 2028.

• GBP 20 million savings from simplification program targeted by FY 2028; GBP 10 million expected this year.

• Positive outlook with strong demand for service-led rental products and robust repair/recovery pipeline.