Slide 1: Annual Results FY26
Annual Results FY26 8 September 2026
Slide 2: FY26 Review
FY26 Review Clo Moriarty CEO
Slide 3: Highlights: A Solid Year
HIGHLIGHTS: A SOLID YEAR +3.1% 52.5% 7.9% +2.4ppts FY25: 52.4% FY25: 7.8% Total Sales Gross Market Customer Growth Margin Share1 Satisfaction2 £211m 76.8p £155m 45.5p FY25: £211m FY25: 76.8p FY25: £127m FY25: 44.5p Profit Before Diluted Free Cash Ordinary Div. Tax EPS Flow3 per Share 1 GlobalData UK
Slide 4: We continued to put our customers first...and they noticed
WE CONTINUED TO PUT OUR CUSTOMERS FIRST...AND THEY NOTICED FY26 CSAT1 +6ppts CSAT up 2.4ppts improvement from an already high base +3ppts +2.4ppts • Stores: • Revitalised operating model • Self-checkout rollout • Improved walkways -1ppts • Click & Collect: Store Click & Collect Home Delivery Total •
Slide 5: A Year of Amazing Products
A YEAR OF AMAZING PRODUCTS
Slide 6: Greater Reach and a Better Experience
GREATER REACH AND A BETTER EXPERIENCE Store rollout and refreshes Digital connectivity Better, more efficient service Conversion %1 Average Order Value £1 £97 +51% +42% 4.3% £69 2.9% Digtial exc. App App Digital exc. App App • App launched driving conversion • Self checkout rollout continues • New o
Slide 7: Financial Review
Financial Review Karen Witts CFO
Slide 8: Financial Summary
FINANCIAL SUMMARY FY26 FY25 YoY Sales £1,825.5m £1,771.0m +3.1% Gross margin 52.5% 52.4% +10 bps Net operating cost % sales1 40.2% 39.9% +30 bps Profit before tax £211.0m £211.0m - PBT margin % 11.6% 11.9% (30 bps) Diluted earnings per share 76.8p 76.8p - FY26 FY25 YoY Free cash flow2 £154.8m £127.4
Slide 9: Sales
SALES • Solid growth of 3.1%, despite a challenging macroeconomic backdrop Store-enabled • Store-enabled like-for-like1 sales up 0.8% LFL +0.8% £1,825m • Down c.2% when C&C and in-store tablet sales excluded £1,771m • Digital participation2 up +2ppts to 42%, reflecting the continued benefits of inve
Slide 10: Gross Margin
GROSS MARGIN • Overall strong gross margin of 52.5%, up 10bps year-on- year • Margin expansion reflects the continued resilience of our business model and sourcing strength • Full-year benefitted from a consistent FX tailwind throughout the year • Higher promotional participation was a headwind, par
Slide 11: Net Operating Costs
NET OPERATING COSTS • Volume-driven costs increased in proportion to digital sales; primarily performance marketing and distribution £10m £23m • Inflation c.3% of the cost base; wage inflation persisted, moderating in Q4 (£15m) £19m (£10m) • Investment in space growth, includes new stores and annual
Slide 12: PBT, Interest, Tax and EPS
PBT, INTEREST, TAX AND EPS • PBT of £211m flat year-on-year, FY26 FY25 representing a margin of 11.6% Financial income and expenses (£13.9m) (£11.0m) • Operating profit growth offset by Profit before tax £211.0m £211.0m increased financing costs Tax (£55.5m) (£54.7m) Effective tax rate 26.3% 25.9% •
Slide 13: Cash
CASH FY26 FY25 • Free cash flow of £155m, up from Operating profit £224.9m £222.0m £127m in the prior year Depreciation & amortisation1 £88.5m £83.4m Working capital inflow / (outflow) £9.1m (£0.5m) • Working capital inflow of £9m, Share-based payments expense £5.9m £5.5m driven by inventory reducti
Slide 14: Dividends
DIVIDENDS Dividend history (pence per share) 100.0 • Continued application of our capital allocation policy 82.0 79.5 77.0 78.5 70.5 60.0 65.0 40.0 35.0 35.0 • Final dividend of 28.5p declared, 37.0 25.0 32.0 taking total ordinary dividend for 26.0 26.5 the year to 45.5p, up 2.2% 40.0 42.0 43.5 44.5
Slide 15: Summary
SUMMARY • Delivered a solid performance, with further sales growth and increase in market share • Profit before tax flat year-on-year at £211m • Strong cash generation, with free cash flow conversion of 69% • Ordinary dividend increased to 45.5p per share, alongside a 25p special dividend paid in Ap
Slide 16: Winning Hearts & Homes
‘Winning Hearts & Homes’ Become the Deliver seamless Transform homeware omnichannel our capabilities specialist experiences to drive with something that customers sustainable for everyone love growth Customer Obsession
Slide 17: Appendix
Appendix
Slide 18: Income Statement
INCOME STATEMENT FY26 FY25 YoY Revenue £1,825.5m £1,771.0m £54.5m Cost of sales (£866.5m) (£842.7m) (£23.8m) Gross profit £959.0m £928.3m £30.7m Gross margin % 52.5% 52.4% +10 bps Net operating costs1 (£734.1m) (£706.3m) (£27.8m) Operating profit £224.9m £222.0m £2.9m Net financial expenses (£13.9m)
Slide 19: Balance Sheet
BALANCE SHEET FY26 FY25 27 June 2026 28 June 2025 Right-of-use assets £246.1m £221.1m Other non-current assets £229.8m £222.2m Inventories £212.1m £226.3m Cash £22.4m £30.0m Other current assets £46.4m £41.9m Total assets £756.8m £741.5m Lease liabilities (£268.5m) (£247.5m) Bank loans (£115.4m) (£1
Slide 20: 5-Year Financial Summary
5-YEAR FINANCIAL SUMMARY FY22 FY23 FY24 FY25 FY26 (53 weeks) (52 weeks) (52 weeks) (52 weeks) (52 weeks) Total sales £1,581.4m £1,638.8m £1,706.5m £1,771.0m £1,825.5m Total sales growth 18.4% 3.6% 4.1% 3.8% 3.1% Gross margin % 51.2% 50.1% 51.8% 52.4% 52.5% Profit before tax £212.8m £192.7m £205.4m £
Slide 21: 10-Year Dividend History
10-YEAR DIVIDEND HISTORY FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 Ordinary dividend per share Interim 6.5p 7.0p 7.5p - 12.0p 14.0p 15.0p 16.0p 16.5p 17.0p Final 19.5p 19.5p 20.5p - 23.0p 26.0p 27.0p 27.5p 28.0p 28.5p Total 26.0p 26.5p 28.0p - 35.0p 40.0p 42.0p 43.5p 44.5p 45.5p Special Divi
Slide 22: Being Good & Circular
BEING GOOD & CIRCULAR Reducing our impact on the Planet, engaging in our Communities, and ensuring our People feel at home Our home Our home in A home for the Planet Communities our People • 58% reduction in Scope 1 intensity • £2m milestone reached in • 90bps increase in our ‘role-model emissions f