Ig Design Group Plc · LSE:IGR
Ig Design — Design Group — FY2026 Earnings Presentation
28 slides from Ig Design's earnings presentation, Jun 16, 2026
Slide 1: Full Year Results 2026
2026 Full Year Results 16 June 2026 Presenters Stewart Gilliland, Interim Executive Chair Rohan Cummings, Chief Financial Officer
Slide 2: FY2026 Summary
FY2026 Summary Strong delivery, strategic progress and positive outlook TRADING AHEAD OF CONTINUED CONFIDENT OF EXPECTATIONS MOMENTUM ON DELIVERY STRATEGY • Successful disposal of DG • Strengthened leadership • Revenue, profit and cash Americas following appointment of ahead of expectations new CEO
Slide 3: The Group Today
The Group Today A smaller, streamlined, profitable and cash-generative Group with a strong balance sheet 3,800+ Leveraging longstanding customer relationships with winning retailers Innovative product design & development 550m+ Units sold annually Responsible, sustainable 700+ Market insight sourcin
Slide 4: What we promised
What we promised Tracking our delivery against commitments WHAT WE SAID WE WOULD DO WHAT WE HAVE DONE A solution to the US complexities that were Sale of the loss-making US business at the 1 impacting the wider group right time to mitigate further financial and operational impact Less operational co
Slide 5: Financial Review
Financial Review 5
Slide 6: What we promised - financials
What we promised - financials Results delivered ahead of guidance FY2026 FY2026 FY2026 Guidance Delivery Delivery $ $ £ Revenue $270m-$280m $291.8m £217.9m Adjusted Operating 3-4% 4.4% 4.4% Margin Cash $40m-$45m $72.2m £54.6m Revenue and profit translated at relevant monthly average exchange rates;
Slide 7: What we promised - financials
What we promised - financials Tracking our delivery against commitments WHAT WE HAVE DELIVERED IN WHAT WE SAID WE WOULD DO THE PERIOD 1 Improve profitability and margins Adjusted operating margin 4.4% ahead of market expectations Strengthen cash generation and balance 2 Adjusted cash generated from
Slide 8: Group Revenue
FY2026 FY2025 Change Revenue £m £m % Group Revenue DG Europe 102.9 101.1 2 DG UK 82.0 93.3 (12) DG Australia 33.5 31.6 6 Resilient performance despite market headwinds Eliminations (0.5) (0.6) Total 217.9 225.4 (3) Volume drivers ↓ £7.0m softer demand ↑ £7.9m strategic initiatives • Revenue declined
Slide 9: Adjusted Operating Profit
Adjusting Operating FY2026 FY2025 FY2026 FY2025 Profit/(loss) £m £m margin margin DG Europe 11.5 14.4 11.2% 14.3% Adjusted Operating Profit DG UK DG Australia 3.1 1.8 5.6 1.6 3.8% 5.2% 5.9% 5.2% Headwinds in revenue, with emerging cost efficiencies Central & Eliminations (6.8) (5.6) Total 9.6 16.0 4
Slide 10: Design Group Europe
Design Group Europe Design, Source & Manufacture Celebrate & Create products across three sites in the Netherlands and Poland Customers FY2026 FY2025 Change £m £m % Revenue 102.9 101.1 2 Adjusted operating profit 11.5 14.4 (20) Adjusted operating margin 11.2% 14.3% (310)bps FINANCIALS STRATEGY Value
Slide 11: Design Group UK
Design Group UK Design, Source & Manufacture Celebrate & Create products across sites in Wales, Newport Pagnell Customers and the Far East FY2026 FY2025 Change £m £m % Revenue 82.0 93.3 (12) Adjusted operating profit 3.1 5.6 (44) Adjusted operating margin 3.8% 5.9% (210)bps FINANCIALS STRATEGY Value
Slide 12: Design Group Australia
Design Group Australia Design, Source & Distribute Celebrate & Create products in Australia Customers FY2026 FY2025 Change £m £m % Revenue 33.5 31.6 6 Adjusted operating profit 1.8 1.6 8 Adjusted operating margin 5.2 5.2 -bps FINANCIALS STRATEGY Value & mass Independents Product FY2026 delivery Reve
Slide 13: Financial Summary
Financial Summary Adjusted Reported FY2026 FY2025 Change FY2026 FY2025 £m £m £m £m Revenue 217.9 225.4 (3)% 217.9 225.4 Gross profit 41.9 49.5 (15)% 41.1 48.4 Gross margin 19.2% 22.0% (280)bps 18.9% 21.5% Overheads (32.3) (33.5) 4% (33.6) (38.1) Operating profit 9.6 16.0 (40)% 7.5 10.3 Operating pro
Slide 14: Cash flow
Cash flow Strong cash generation driven by working capital normalisation FY2026 FY2025 £m £m Adjusted EBITDA 18.4 23.4 • Net cash inflow of £16.2m 0.8 0.6 (continuing Group) significant year- Add back share-based payment charge on-year improvement Movements in working capital 7.2 (8.3) Adjusted cash
Slide 15: Strategy and Looking Ahead
Strategy and Looking Ahead 15
Slide 16: Drivers of long-term growth
Drivers of long-term growth Clear strategic plan CUSTOMER & PRODUCT COMMERCIAL PREMIUMISATION CHANNEL DIVERSIFICATION CAPABILITY EXPANSION • Upgrading products • Expanding into • Enhancing • Strengthening through thoughtful higher-margin customer reach commercial and redesign & improved categories a
Slide 17: Capital Allocation
Capital Allocation A disciplined capital allocation framework aligned to shareholder value creation Sustainable growth through 1 Growth Selective, bolt-on M&A organic investment 2 Progressive dividend Progressive, sustainable dividend policy, targeting 3x cover 3 Return excess capital Share buybacks
Slide 18: Glenart Acquisition
Glenart Acquisition Complementary and earnings accretive OVERVIEW STRATEGIC RATIONALE Glenart (South Africa) Earnings accretive • April 2026 acquisition • Immediately earnings enhancing • Celebrate category manufacturer • Supports profitability and returns • Strong position in crackers • Highly comp
Slide 19: Outlook
Outlook Entering the next phase with confidence POSITIONING GUIDANCE MARKET & OUTLOOK xx FY2027-28 • Streamlined, more focused 0-5% growth • Guidance unchanged Revenue and cash generative p.a. business • Cognisant of • Strong customer macroeconomic relationships and resilient environment Adjusted op
Slide 20: Appendix
Appendix 20
Slide 21: Investment case
Investment case 1. A strong, stable business at the core Focus on developing the business from a stable platform, leveraging our strengths: We create long- We continuously We are diversified We are We have a standing innovate by product and environmentally financially robust partnerships geography f
Slide 22: Case Study - diversification
Case Study - diversification Home décor and wall art ASP* €4.29 • Home décor / wall art INNOVATION • Growth area in FY2026 with further opportunity into the future • Expansion into new product STRATEGY categories SUCCESS • Premiumisation through higher price-point MARGIN • Higher average selling pri
Slide 23: Case Study - premiumisation
Case Study - premiumisation ASP* c€200 Free Standing Display Units • Free standing display units (FSDUs) INNOVATION • Growth area in FY2026 • Expansion into new product categories STRATEGY SUCCESS • Premiumisation through licensing MARGIN • Higher average selling price GROWTH • Sales growth +22% vs
Slide 24: Case Study - diversification
Case Study - diversification Hinkler distribution ASP* A$3.18 • State of the art warehousing facility INNOVATION attracted new partnership STRATEGY • Expansion into new product categories SUCCESS • Diversification of supply base • Sales growth +A$1m vs FY2025 MARGIN • Utilises operational capacity G
Slide 25: Sustainability
Sustainability Drives competitive advantage, with SBTi validation underpinning a credible path to net zero Sustainability as TARGETS & SBTI a Strategic Driver DELIVERY VALIDATION • First-time Scope 3 measurement • Drive long-term value for • SBTi targets validated in strengthens data and shareholder
Slide 26: Central costs
Adjusting Operating FY2026 FY2025 Central costs Profit £m £m Central & Eliminations (6.8) (5.6) Structural cost reduction supporting performance in the year ahead IMPACT IN THE STRONG COST NON-RECURRING PERIOD CONTROL Increase year-on-year due to A significant portion of the Underlying cost control
Slide 27: Balance sheet
Balance sheet Strong balance sheet with high liquidity and lower risk 31 March 2026 FINANCING £m Fixed assets 28.6 30.0 Committed financing facilities since July Right-of-use assets 2025 Lease liabilities (33.6) Working capital 36.9 • 3-year deal with HSBC and NatWest Net cash 54.6 • £40m recourse r
Slide 28: Tax
Tax Effective tax rate shaped by geographic mix, one-off items and non-recognition of UK tax CORPORATE TAX RATE BY COUNTRY TAX RATES • Statutory corporate tax rates of Group territories: 16.5% - 30% • Core markets in the UK and Netherlands have statutory rates of 25% and 25.8% respectively • The ave