Schroders Plc · LSE:SDR
Schroders — Schroder UK Mid Cap Fund — FY2025 Earnings Presentation
40 slides from Schroders's earnings presentation, Jan 13, 2026
Slide 1: Annual results to September 2025
Schroder UK Mid Cap Fund plc Annual results to September 2025 13 January 2026 Jean Roche, CFA, Fund Manager Marketing material
Slide 2: Managing the trust since 2003
Schroder UK Mid Cap Fund plc Managing the trust since 2003 Jean Roche Lead Fund Manager Andy Brough Co-Manager 2 Source: Schroders. Jean Roche managed since 27 September 2016; Andy Brough since 30 April 2003.
Slide 3: Outperformance indicators in the year ended 30 September 2025
Schroder UK Mid Cap Fund plc Outperformance indicators in the year ended 30 September 2025 Benchmark* NAV/Share Share Price +6.7% return return +10.8% Relative* +18.0% Relative* +4.1% +11.3% Past performance is not a guide to future performance and may not be repeated. The value of investments and t
Slide 4: Inflation-beating dividend growth
Schroder UK Mid Cap Fund plc SCP Dividend 2004 to 2025 CAGR* 12.2% Times bigger (x) 11.2 Inflation-beating dividend growth Pint of beer price Pint of milk price 3.5% 4.3% 2.1 2.4 House Prices 3.2% 1.9 Annual total dividends (pence per share) Pence £m Global Brexit Covid War War 24 Financial Crisis v
Slide 5: The UK economy is only half the story
Schroder UK Mid Cap Fund plc The UK economy is only half the story Revenue exposure of the FTSE 250 ex Investment Trusts index, % 46% Company ➢ Around half of revenues are ex UK on average revenues from the UK ➢ Permits flexibility in portfolio allocation Company revenues from 54% overseas Source: S
Slide 6: Long-term, FTSE 250 ex IT has outperformed most developed market indices
Schroder UK Mid Cap Fund plc Long-term, FTSE 250 ex IT has outperformed most developed market indices and kept up with the S&P 500 FTSE 250 ex Investment Trusts vs Large developed markets, Total Return, % S&P 800 500 700 FTSE 250 exIT1 600 500 400 FTSE 300 100 200 EURO 100 50 0 FTSE 100 S&P 500 COMP
Slide 7: Performance attribution
Schroder UK Mid Cap Fund plc The ingredients: Performance attribution – 12 months to 30 September 2025 Past performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amounts
Slide 8: Notable purchases and sales in FY2025
Schroder UK Mid Cap Fund plc Notable purchases and sales in FY2025 New holdings The opportunity Complete sales Rationale Undervalued leader in sports apparel with interesting Babcock International 100 Promotion to the FTSE 100 opportunities in luxury and internationally Return of prior successful CE
Slide 9: Sector positioning
Schroder UK Mid Cap Fund plc Sector positioning As at 31 December 2025 Portfolio Benchmark1 Underweight Overweight Industrials 27.4% 20.7% 6.7% Health Care 4.5% 1.6% 3.0% Consumer Discretionary 22.4% 19.8% 2.7% Cash 2.2% 0.0% 2.2% Technology 5.1% 4.3% 0.8% Telecommunications 1.2% 1.1% 0.1% Utilities
Slide 10: Outperformance on 1 and 10-year basis
Schroder UK Mid Cap Fund plc Outperformance on 1, 3 and 10-year basis Past performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested. Exchange ra
Slide 11: UK Mid caps stand out relative to UK large caps and global opportunity set
Schroder UK Mid Cap Fund plc UK Mid caps stand out relative to UK large caps and the global opportunity set… FTSE 250 trades on just 12x earnings, which is surprising, relative to both history and forecast (>15%) earnings growth 12m fwd P/E multiple. MSCI Regions. Dates for the last 20 years 24 Inte
Slide 12: …and specifically, to the global SMID universe
Schroder UK Mid Cap Fund plc …..and specifically, to the global SMID universe MSCI SMID indices 12m forward P/E1 22 Interquartile Range Median Current 10th - 90th percentile 20 19.6 18 17.6 17.2 17.1 16 15.5 14.8 14 14.2 13.4 12 10 8 USA Small Mid World Small EM Asia Small Mid AC World Small Mid Jap
Slide 13: FTSE 250's attractive total shareholder yield
Schroder UK Mid Cap Fund plc FTSE 250's attractive total shareholder yield – eye catching at 5%... 15% 14% Dividends Gross Buybacks 13% 12.6% 12% 11% 10% 9% 7.5% 8% 6.5% 7% 5.9% 5.5% 5.5% 6% 5.2% 5.1% 5.1% 5.0% 5.0% 4.8% 4.4% 4.4% 5% 3.7% 4% 2.9% 2.7% 2.5% 3% 2% 1% 0% S&P 500 STOXX 600 Energy FTSE e
Slide 14: UK now the world's share buyback capital
Schroder UK Mid Cap Fund plc Driven partly by rising share buybacks – UK now the world’s share buyback capital Proportion of large companies who bought back at least 1% of their shares over the previous 12 months 60% UK 50% 40% US Japan 30% Europe ex 20% UK 10% EM 0% Jun-15 Jun-16 Jun-17 Jun-18 Jun-
Slide 15: Share buybacks a notable feature of portfolio holdings
Schroder UK Mid Cap Fund plc Share buybacks a notable feature of portfolio holdings Examples of companies in portfolio undertaking significant buy backs The stocks shown above are for illustrative purposes only and are not to be considered a recommendation to buy or sell. Source: Schroders, from 30
Slide 16: M&A is an enduring feature and significant premia underline the valuation opportunity
Schroder UK Mid Cap Fund plc M&A is an enduring feature and significant premia underline the valuation opportunity Value of completed acquisitions as % of index starting market cap 16% 14% 12% 10% 8% 6% 4% 2% 0% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 202
Slide 17: Fund summary
Schroder UK Mid Cap Fund plc Fund summary Key numbers¹: Past performance is not a guide to future performance and may not be repeated. The value of Net Assets: £252.4m investments and the income from them may go down as well as up and investors may not get back the amount originally invested. Exchan
Slide 18: Strong absolute and relative returns in FY2025
Schroder UK Mid Cap Fund plc Strong absolute and relative returns in FY2025 NAV/Share Share Price +10.8% +18.0% Relative1 Relative1 +4.1% +11.3% …discount narrowing has boosted …ahead of benchmark share price return Past Performance is not a guide to future performance and may not be repeated. Sourc
Slide 19: The Mid CEO podcast, showcasing Mid Cap successes
Schroder UK Mid Cap Fund plc The Mid 250 CEO podcast, showcasing Mid Cap successes Recent podcasts How did a business that sells IT infrastructure and services behind the scenes become a UK 'multi-bagger'? Fund managers Jean Roche and James Goodman chat to Mike Norris, CEO of Computacenter 11/12/202
Slide 20: Calendar year performance
Schroder UK Mid Cap Fund plc Calendar year performance Past performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amount originally invested. Exchange rate changes may c
Slide 21: Risk considerations
Schroder UK Mid Cap Fund plc Risk considerations – Concentration risk: The Company may be concentrated in a limited number of geographical regions, industry sectors, markets and/or individual positions. This may result in large changes in the value of the company, both up or down. – Counterparty ris
Slide 22: Important information
Important information MSCI index: Source: MSCI. The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information is inte
Slide 23: Important information
Important information Marketing material This information is a marketing communication. For help in understanding any terms used, please visit address https://www.schroders.com/en-gb/uk/individual/glossary/ The material is not intended to provide, and should not be relied on for, accounting, legal o
Slide 24: Appendix
Appendix Schroder UK Mid Cap Fund plc
Slide 25: Why invest in Mid 250?
Schroder UK Mid Cap Fund plc: Why invest in Mid 250? We know it as the Heineken Index Constantly refreshed by A wealth of companies Consistent well-covered IPOs, takeouts, promotions operating in high growth dividend payouts; buybacks and relegations niches an increasing feature 100 A very different
Slide 26: Categorising our investment universe
Schroder UK Mid Cap Fund plc Categorising our investment universe How we characterise stocks… …resulting in a portfolio of Characteristics of Characteristics of Characteristics of Unique stocks Flex stocks Stocks to avoid – Industry undergoing – Market position/pricing – Industry overcapacity change
Slide 27: Example of a Unique stock
Example of a Unique stock Unique Cranswick Flex Share price (indexed to 100) Characteristics we look for Cranswick ticking the boxes 160 Strong market position/pricing power Difficult to do this well, but Cranswick consistently does 150 140 Very strong business franchise Supplying the full gamut of
Slide 28: Example of a Flex stock
Example of a Flex stock Unique Grafton Flex Characteristics we look for Grafton ticking the boxes Share price (indexed to 100) Characteristics we look Industry undergoing for change Grafton Top Group ticking 3 UK merchants have flat the boxes asset growth and asset sales to declining 160 150 Industr
Slide 29: Investment process: The selling part
Schroder UK Mid Cap Fund plc Investment process : The selling part Promotion to the FTSE 100 Increases Frequent or in industry expensive capacity acquisitions 100 Corp governance, key people Investment lost, or sustainability Sell thesis played out challenges discipline Company Quality of acquired a
Slide 30: Portfolio positioning
Schroder UK Mid Cap Fund plc Portfolio positioning As at 31 December 2025 Top 20 overweight holdings Active weight Its business Stock concentration % Cranswick 2.5% Food manufacturer and supplier Top 10 holdings 29.9% Dunelm Group 2.3% Homewares retailer Top 20 holdings 52.9% SSP Group 2.3% Food and
Slide 31: What is the UK consumer spending on now?
What is the UK consumer spending on now? Peering into the basket: Household essentials Detailed monthly retail sales value (Feb 2020=100) 230 210 190 195 170 150 149 149 130 132 128 110 111 111 111 90 103 70 50 30 10 Feb-20 Aug-20 Feb-21 Aug-21 Feb-22 Aug-22 Feb-23 Aug-23 Feb-24 Aug-24 Feb-25 Aug-25
Slide 32: Hunting for 'multi-baggers' – how the UK beat the US
Hunting for ‘multi-baggers’ – how the UK beat the US Some of these multi-baggers help to explain the Mid 250’s strong track record UK USA Total stocks 816 vs. Total stocks 5,083 No. of stocks No. of stocks 31 185 with 21x return with 21x return Used Bloomberg to screen for companies that – Returned
Slide 33: UK multi-baggers Class of 2024: Who were they?
UK multi-baggers Class of 2024: Who were they? A selection of the UK’s 31 ‘multi-baggers’ in the 21 years to 22 November 2024 (>15% CAGR), all past or present holdings in Schroder UK Mid Cap Plc For illustrative purposes only and should not be viewed as a recommendation to buy or sell. Schroders has
Slide 34: UK gets slightly more attention
UK gets slightly more attention Opportunity remains with only brief lulls in negative sentiment towards UK Net % of Fund Manager Survey investors overweight Monthly change in investor positioning (by asset class) UK equities Fund Manager Survey investors are net 24% underweight UK This chart shows D
Slide 35: Gearing evolution
Schroder UK Mid Cap Fund plc Gearing evolution, % 14.0 12.0 10.0 8.0 6.0 4.0 2.0 0.0 (2.0) (4.0) (6.0) (8.0) 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 For illustrative purposes only and are not a recommendation to buy or sell Source: Schroders, for 10 years
Slide 36: Discount to NAV has narrowed following outperformance and strategic initiatives
Schroder UK Mid Cap Fund plc Discount to NAV has narrowed following outperformance and strategic initiatives Past performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the a
Slide 37: Team engagements
Schroder UK Mid Cap Fund plc: team engagements We are active: Examples of our 1-1 portfolio company engagements in 2025 Company Climate & Environment Human Capital Management Governance and Oversight Source: Schroders, December 2025. Logos are the property of the companies shown. For illustrative pu
Slide 38: UK is attractive on a total shareholder yield basis
UK is attractive on a total shareholder yield return basis versus other major markets Total shareholder yields from key markets (%) Other assets (%) 6% 5% 4% 3% 2% 1% 0% FTSE 100 FTSE 250 STOXX 600 S&P 500 UK 10 year gilts Instant access savings Dividends Gross buybacks Past performance is not a gui
Slide 39: Schroder UK Mid Cap Fund Managers
Jean Roche Fund Manager – Lead manager of the Schroder UK Mid Cap Fund Plc since January 2021, co-manager since September 2016 – Member of the UK’s Takeover Panel Schroder UK – Joined Schroders in 2016 as UK Equity small and mid cap fund manager Mid Cap Fund – Analyst/fund manager at Hargreave Hale
Slide 40: Take aways
Schroder UK Mid Cap Fund plc Take aways Mid 250 has Schroder UK mid cap plc Our process and Valuation backdrop for outperformed most has outperformed the philosophy is consistent UK mid caps is highly global developed FTSE Mid 250 ex IT index and proven over more supportive in both the short and tha
Schroder UK Mid Cap Fund — FY2025 Earnings Presentation on 6ix