- RS Group
- 20 May 2026 09:48:35
Source: Sharecast
Revenues were 1% lower at £2.88bn over the 12 months to 31 March, with like-for-like sales broadly flat, in what the company labelled as "challenging markets", though the second half saw momentum build across all regions with good growth in Asia Pacific and North America, while EMEA returned to growth.
Adjusted pre-tax profit fell 1% to £246m, with the adjusted operating profit margin falling to 9.2% from 9.4% due to cost inflation and investments. However, margins reached 9.7% in the second half.
Despite the subdued headline performance, the company hailed its strong balance sheet, with net debt falling to £329m from £364m, taking its net debt-to-adjusted EBITDA ratio to 1.0 from 1.1. The firm also raised its dividend by 2% to 14.2p per share.
"Two years of positive underlying progress, combined with disciplined cost control and a clear plan, increases our confidence in delivering our medium-term financial targets and sustainable returns," said chief executive Simon Pryce.
"Excellent cash generation and a very strong balance sheet gives us more than sufficient capacity to execute our organic investment programme enhanced by value creative acquisitions. In line with our disciplined approach to capital structure and allocation we are therefore also launching today a £100 million share buyback programme."
Looking ahead, RS said that industry indicators are "trending positively" and momentum should improve further in FY27 with most of the company's major markets now back to low-single-digit growth.
The stock was up 10% at 660.5p by 0946 BST.
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