Card Factory Plc · LSE:CARD
Card Factory — H1 FY26 Earnings Presentation
26 slides from Card Factory's earnings presentation, Sep 30, 2025
Slide 1: Creating celebrations for all life's moments
Creating celebrations for all life's moments Card Factory plc FY26 Interim Results 30 September 2025
Slide 2: Agenda
Agenda Introduction Darcy Willson-Rymer Financial Performance & Outlook Matthias Seeger Strategy Update Darcy Willson-Rymer Summary Darcy Willson-Rymer Q&A Darcy Willson-Rymer & Matthias Seeger 2
Slide 3: Section 1
Section 1 Darcy Willson-Rymer, CEO 3
Slide 4: HY26 overview
HY26 overview Resilient first half performance with good topline growth £247.6m Revenue • Effective execution of strategy while successfully containing impact of H1 headwinds. • Core stores business continues to perform positively against a challenging retail backdrop. +5.9% • Recently acquired busi
Slide 5: Section 2
Section 2 Matthias Seeger, CFO 5
Slide 6: HY26 financial highlights
HY26 financial highlights Revenue Adj. PBT £247.6m £13.2m Resilient +6% top line growth (HY25: £233.8m) (HY25: £14.5m) +£13.8m -£1.3m Strong underlying cash generation and disciplined capital allocation Interim Dividend Containing inflation through benefits of 1.3 pence (HY25: 1.2 pence) ‘Simplify a
Slide 7: Resilient revenue growth driven by effective execution of strategy
Resilient revenue growth driven by effective execution of strategy +5.9% year-on-year growth Partnerships Online inc. Stores inc. M&A Total cardfactory sales growth of +5.9%, robust +2.7 ppts GP Closure +4.2 ppts -1.0 ppts stores performance and contribution from 247.6 strategic acquisitions: 233.8
Slide 8: Robust Stores growth against softer Q2 footfall
Robust Stores growth against softer Q2 footfall HY24 HY25 HY26 Sales £209m £221m £228m # of Stores 1,043 1,073 1,103 % Like-for-Like (LFL) 10.5% 3.7% 1.5% % of gift & celebration essentials 51.4% 52.5% 53.4% Average Basket Value (ABV) £4.40 £4.75 £4.95 • Robust store-based growth of +2.9% based on n
Slide 9: Inflationary headwinds contained by 'Simplify and Scale' programme
Inflationary headwinds contained by ‘Simplify and Scale’ programme Growth in Stores Adjusted PBT down compared to HY25: and Partnerships • Strong underlying progress with both Stores and Partnerships sales growth. • H1 dynamics of inflation and investment with partial offset from ‘Simplify and Scale
Slide 10: Containing inflationary headwinds
Containing inflationary headwinds Significant inflationary headwinds continue through FY26 ‘Simplify and Scale’ • 4.4% cost price inflation in H1 with a similar rate of inflation Structured multi-year programme expected in H2, mainly due to increases from NLW and NI. • Total inflationary headwind of
Slide 11: H2 vs H1 Sales and PBT
H2 vs H1 Sales and PBT Seasonal profile of revenue and profit delivery in Sales line with last year: PBT • Phasing of inflationary headwinds and investment H1 has disproportionate impact on first half. H2 • Operational leverage delivers significantly higher profit margins in H2. FY25 FY26 FY25 FY26
Slide 12: Strong free cash flow generation over last 12 months
Strong free cash flow generation over last 12 months £37.9m underlying free cash flow Strong underlying free cash flow of £m £37.9m in last 12 months 22.5 78.9 • Free cash conversion of 78% in last 12 74.9 months based on adjusted earnings. • Leverage at 31 July 2025 of 1.0x. 2.5 • Surplus cash of £
Slide 13: cardfactory's approach to generating attractive returns for our shareholders
cardfactory’s approach to generating attractive returns for our shareholders Capital Allocation Policy Business Targets Key Drivers Maintain a strong Mid-single digit % sales Store LFL New Store Online/ growth growth Partnerships balance sheet growth per annum Mid-to-high single digit Simplify & Sca
Slide 14: Attractive shareholder returns
Attractive shareholder returns Interim dividend Interim • 1.3 pence per share / £4.6 million payable in December 2025 versus 1.2 pence per share last year. Dividend • Based on expected full-year dividend and a 3x dividend cover ratio on 1.3 pence per Adjusted EPS. share Share purchase programme • In
Slide 15: Funky Pigeon acquisition and FY26 guidance
Funky Pigeon acquisition and FY26 guidance Acquisition of Funky Pigeon FY26 Guidance • Completed on 14th August 2025. • For FY26 expect: • £24.1m purchase price. • c3% increase in sales reflecting 5 ½ • Funded by extending the Group’s months of Funky Pigeon trade. existing debt facilities by £35m (£
Slide 16: FY26 Outlook: Continued growth
FY26 Outlook: Continued growth Resilient performance across the first half of FY26 with sales growth in stores despite softer market footfall. • Good performance from recent acquisitions, with sales in line with expectations and accretive contribution to bottom line. • Strong plans in place to deliv
Slide 17: Section 3
Section 3 Darcy Willson-Rymer, CEO 17
Slide 18: Building blocks of growth
Building blocks of growth targeting revenue Vision: To be a leading global celebrations group with extensive UK and Republic of Ireland footprint and growing international presence. Core Business Building Blocks of Growth UK & Republic of Ireland UK & Republic of Ireland UK, Republic of Ireland and
Slide 19: Increasing our share of the UK and Republic of Ireland celebrations market
Increasing our share of the UK and Republic of Ireland celebrations market Market leading range Optimising store space Focus on newness to respond to changing consumer trends • 49% newness across H1. Innovation across all categories • Launched new, in-house designed premium card range. Stronger alig
Slide 20: Reaching more customers
Reaching more customers Driving growth across UK and international channels and markets Capital light growth through strategic Highly profitable store estate partnerships • 1,100 store milestone passed. • Aldi offer expanded to cover seasonal card in HY26 across Mother’s Day and Father’s Day, as wel
Slide 21: Funky Pigeon acquisition: Unlocking digital growth
Funky Pigeon acquisition: Unlocking digital growth Card & Celebration attached & party gift focus focus • Accelerates strong presence in high growth channel for cards. • Foundation to build an extended online value driven celebration offer. • Strengthens market position and capability in online “car
Slide 22: Funky Pigeon acquisition: Near-term priorities
Funky Pigeon acquisition: Near-term priorities • Work to unlock annual synergy benefits of more than £5 million underway including: • Reconfiguring cardfactory manufacturing facility in Yorkshire and Funky Pigeon fulfilment facility in Guernsey. • Strategic planning to take full advantage of Funky P
Slide 23: Section 4
Section 4 Darcy Willson-Rymer 23
Slide 24: H2 trading & preparations for peak trading period
H2 trading & preparations for peak trading period Expanded H2 trading plan • Strong trading plans in place with volume driving promotions and celebrations focused trading activity. • Significantly expanded Halloween range. • ‘Set to Celebrate’ programme rolled out to stores, to enhance customer expe
Slide 25: HY26 in summary
HY26 in summary Resilient topline performance • Core stores business continues to perform positively. • Effective execution of strategy driving growth. • Acquired businesses contributing positively. Simplify and Scale programme successfully containing inflation • Structured, multi-year programme con
Slide 26: Section 5
Section 5 Darcy Willson-Rymer, CEO Matthias Seeger, CFO 26