Rs Group Plc · LSE:RS1
Rs — FY2025/26 Earnings Presentation
39 slides from Rs's earnings presentation, May 20, 2026
Slide 1: Full Year Results 2025/26
FULL YEAR RESULTS 2025/26 20 May 2026
Slide 2: Disclaimer
Disclaimer This presentation contains certain statements, There are a number of factors, which may be statistics and projections that are or may be beyond the control of RS Group plc, which could forward looking. The accuracy and completeness of cause actual results and developments to differ all su
Slide 3: Good progress, building momentum
Good progress, building momentum Simon Pryce Chief Executive Officer 3 RS Group plc – 2025/26 Full Year Results
Slide 4: Disciplined strategic execution… …building momentum
Disciplined strategic execution… 2025/26 FINANCIAL HIGHLIGHTS 1. Resilient financial performance Revenue £2,881m LFL broadly flat 2. Adj. operating 9.2% Strategic and operational investment delivering profit margin LFL broadly stable GROWTH DRIVERS 3. RS PRO +5% Continuing to outperform LFL revenue
Slide 5: Delivering the second year of our strategic plan
Delivering the second year of our strategic plan… Strategic investment Progress on our strategic action plan Customers Operational Experience excellence Products Services and and solutions suppliers Capital expenditure Operating investment DC investment …beginning to realise benefits 5 RS Group plc
Slide 6: Markets subdued, improved trajectory
Markets subdued, improved trajectory… PMI1 vs LFL revenue growth Monthly PMI by key market 55 40% 40% 54 95 95 Industrial PMI (RS Weighted) 53 30% RS Group LFL revenue growth % 30% RS Group LFL revenue growth 85 85 52 RS Group weighted PMI Market expansion 20% 20% 75 75 51 50 65 65 10% 10% 49 55 55
Slide 7: Strategy driving outperformance
Strategy driving outperformance… Market share performance Digital Suppliers Outperforming Google search in EMEA 1 Gaining share within majority of suppliers’ high-service distribution channels3 Demand RS EMEA revenue growth % EMEA & AMERICAS SUPPLIER DATA 10% SUPPLIERS PROVIDED 65 REPRESENTED REVENU
Slide 8: Resilient performance
Resilient performance Kate Ringrose Chief Financial Officer 8 RS Group plc – 2025/26 Full Year Results
Slide 9: Resilient financial performance in challenging markets
Resilient financial performance in challenging markets… Revenue Adjusted operating Adjusted profit Adjusted basic earnings (£m) (0%) LFL profit (£m) (4)% LFL before tax (£m) (2)% LFL per share (p) (2)% LFL 2,904 Margins 9.4% 9.2% 248 246 2,881 274 39.1 38.7 265 24/25 25/26 24/25 25/26 24/25 25/26 24
Slide 10: Agile pricing action benefiting revenue
Agile pricing action benefiting revenue… Revenue (£m) …offsetting volume decline 10 RS Group plc – 2025/26 Full Year Results
Slide 11: Disciplined cost management
Disciplined cost management… Adjusted operating costs (£m) Ongoing cost base 1 2 …offsetting inflation and strategic investment Notes: 1. 2024/25 included £13m of one-off benefits and (£17m) restructuring and integration costs. 2. 2025/26 includes a £3m benefit relating to the sale of part of Distre
Slide 12: Stable operating profit margin
Stable operating profit margin… Adjusted operating profit margin (%) …cost savings mitigating volume reduction 12 RS Group plc – 2025/26 Full Year Results
Slide 13: EMEA: Stable performance with building H2 momentum
EMEA: Stable performance with building H2 momentum… Like-for-like revenue down 1% Like-for-like – Revenue momentum in H2, supported by agile pricing 2025/26 2024/25 Change change – Economic weakness; PMIs returned to expansion territory in Q4 Revenue £1,803m £1,777m 1% (1)% – Strategic focus Corpora
Slide 14: Americas: US & Canada growth
Americas: US & Canada growth… Like-for-like revenue down 2% Like-for-like – US & Canada (73% of region’s revenue) +3% LFL revenue 2025/26 2024/25 Change change acceleration in H2 Revenue £855m £907m (6)% (2)% – Economic and political uncertainty in Mexico, compounded by H2 lapping strong comparators
Slide 15: Asia Pacific: Solid growth and better margins
Asia Pacific: Solid growth and better margins… Like-for-like revenue up 5% Like-for-like – Revenue growth from both pricing and volume 2025/26 2024/25 Change change – Growth in all markets; accelerating in H2 Revenue £223m £219m 2% 5% – Digital LFL +4%; services and solutions LFL +3% (eProcurement L
Slide 16: Strong cash generation
Strong cash generation… Adjusted free Working capital / Inventory turn Adjusted free cash flow of £202m cash flow (£m) revenue (%) (x) – Higher cash from operations, offset by higher capital 2.7 2.7 214 202 23.9 23.9 investment, tax and other cash items Ongoing disciplined working capital management
Slide 17: Executing capital allocation policy
Executing capital allocation policy… 1 ORGANIC INVESTMENT 2 INORGANIC INVESTMENT 3 RETURNS TO SHAREHOLDERS ▪ Operating investment within ▪ Market environment creating ▪ Progressive dividend policy £35m – £45m guided range inorganic opportunities ▪ Return surplus capital to ▪ Capital expenditure c. £
Slide 18: Modelling considerations for full year 2026/27
Modelling considerations for full year 2026/27 ▪ Gross margin expected to be stable at 2025/26 level; targeted pricing actions and brand mix ▪ 2026/27 adjusted operating cost considerations1 • Cost inflation of c. 3% • Variable costs 6% of revenue • Organic investment moving top end of range (£35m –
Slide 19: Strategic progress
Strategic progress Simon Pryce Chief Executive Officer 19 RS Group plc – 2025/26 Full Year Results
Slide 20: Customer facing investment moving into activation
Customer facing investment moving into activation … FY26 Strategic investment FY27 Strategic investment Customers Customers Operational Experience Operational Experience excellence excellence Products Products Services and Services and and and solutions solutions suppliers suppliers Capital expendit
Slide 21: Unified customer platforms
Unified customer platforms… Operational Strategic objective excellence Focus on higher value customers through harnessing data, effective strategic engagement and optimising cost to serve FY26 PLAN PROGRESS FY27 FOCUS Development phase complete Move to activation phase • Unified global customer data
Slide 22: Upgraded digital experience
Upgraded digital experience… Customers Strategic objective Strengthen and tailor our customer experience to provide a digitally-enabled, seamless omnichannel service relevant for our customers’ needs FY26 PLAN PROGRESS FY27 FOCUS • Activating web front end upgrades ‒ AI-enabled website search and ne
Slide 23: Improved product and pricing capability
Improved product and pricing capability… Experience Strategic objective Seamless, mutually value creative supplier experience with appropriate and data driven breadth, depth & range curation FY26 PLAN PROGRESS FY27 FOCUS • Product Management Solution moves to activation – Optimise our Product Manage
Slide 24: Enhancing and scaling our digital solutions
Enhancing and scaling our digital solutions… Products and Strategic objective suppliers Deliver valued, scalable solutions to build greater strategic engagement and drive product pull- through FY26 PLAN PROGRESS FY27 FOCUS • Scaled digital procurement solutions – Launch new Purchasing Manager soluti
Slide 25: Further infrastructure optimisation
Further infrastructure optimisation … Solutions and Strategic objective services Deliver efficient physical, digital and process infrastructure, improved operating leverage and marginal drop-through FY26 PLAN PROGRESS FY27 FOCUS Physical Physical Operational • Distrelec DC exit ‒ Relocation of Irela
Slide 26: Value creative M&A
Value creative M&A… COMPLETE PROGRESSING WELL Acquired June 2023 Acquired April 2024 Acquired March 2026 Geographic Product and service Product extension Geographic Product and service Product extension Geographic Product and service Product extension Operating leverage Operating leverage Operating
Slide 27: Good momentum
Good momentum… 1. Sequential improvement, back in growth MEDIUM-TERM TARGETS 2. REVENUE GROWTH Differentiated proposition, continued share gains 2X MARKET 3. Strategic investment on track and delivering MID-TEEN OPERATING PROFIT MARGIN 4. Disciplined capital deployment >80% CASH CONVERSION RATE 5. A
Slide 28: Questions?
Questions? 28 RS Group plc – 2025/26 Full Year Results
Slide 29: Appendix
Appendix 29 RS Group plc – 2024/25 Full Year Results
Slide 30: Guidance points
Guidance points Foreign USD EUR Other • Fewer trading days decrease exchange 2026/27 revenue by c. £8 million 2025/26 average exchange rates 1.341 1.157 considerations sensitivity Annualised adjusted profit before tax sensitivity to a 1 • Net capital expenditure forecast cent movement versus GBP £0.
Slide 31: Income statement
Income statement Like-for-like £m 2025/26 2024/25 Change change Revenue 2,881 2,904 (1)% (0)% Gross profit 1,250 1,243 1% 0% Gross margin 43.4% 42.8% 0.6 pts 0.4 pts Operating profit 239 233 2% Adjusted operating profit 265 274 (3)% (4)% Adjusted operating profit margin 9.2% 9.4% (0.2) pts (0.4) pts
Slide 32: Operating profit summary
Operating profit summary £m 2025/26 2024/25 EMEA 196.1 200.5 Americas 77.3 81.6 Asia Pacific 6.8 6.1 Region operating profit 280.2 288.2 Central costs (15.2) (14.0) Adjusted operating profit 265.0 274.2 Amortisation of acquired intangibles (20.2) (37.3) Impairment of technology assets (14.9) - Acqui
Slide 33: Cash flow
Cash flow £m 2025/26 2024/25 Operating profit 239 233 Add back depreciation and amortisation 80 85 EBITDA 319 318 Add back impairments and loss on disposal of non-current assets 15 13 Movement in working capital 15 18 Defined benefit retirement contributions in excess of charge (5) (11) Movement in
Slide 34: Net debt position
Net debt position ▪ Lease liabilities of £55 million (2024/25: £57 million) £m 2025/26 2024/25 ▪ Headroom to Group’s banking covenants of net debt to adjusted EBITDA less than 3.25 times and EBITA to interest Net debt at 1 April (364) (418) of greater than 3 times Adjusted free cash flow 202 214 – N
Slide 35: Financial key performance indicators
Financial key performance indicators Like-for-like 2025/26 2024/25 Change Change Like-for-like revenue change (0)% (2)% Adjusted operating profit conversion 21.2% 22.1% (0.9) pts Adjusted operating profit margin 9.2% 9.4% (0.2) pts (0.4) pts Adjusted basic earnings per share 38.7p 39.1p (1)% (2)% Re
Slide 36: ESG is a key enabler of our strategy
ESG is a key enabler of our strategy… …aligned to our strategic action plan 36 RS Group plc – 2025/26 Full Year Results
Slide 37: Non-financial key performance indicators
Non-financial key performance indicators Customer People Health and safety 45.2 75 38% 0.35 Net Promoter Score Employee engagement Percentage of female senior leaders All Accidents (Group, rolling 12-month (per 200,000 hours) Transactional) Environment 2.0 5,850 1.67 88% Carbon intensity Carbon emis
Slide 38: A stronger team
A stronger team… Operational Strategic objective excellence Create an inclusive and engaging environment where everyone is proud and excited to come to work and can perform at their best, develop and thrive FY26 PLAN PROGRESS FY27 FOCUS • Further strengthened leadership team Operational ‒ 2 appointm
Slide 39: Basis of preparation
Basis of preparation Unless otherwise stated ▪ Figures have been prepared using UK-adopted international accounting standards. ▪ Adjusted excludes amortisation and impairment of intangible assets arising on acquisition of businesses, acquisition-related items, substantial reorganisation costs, subst