Ig Design Group Plc · LSE:IGR

Ig Design — FY2025 Earnings Presentation

20 slides from Ig Design's earnings presentation, Jul 29, 2025

  1. Slide 1: 2025 Full Year Results

    2025 Full Year Results 29 July 2025 1

  2. Slide 2: Introduction

    Introduction • A strong focus on minimising the financial impact of the well documented external challenges • Successful divestment of DG Americas creating a simpler, more profitable and cash-generative Group • Clear opportunities ahead - sustainable growth in revenue and margin expected over coming

  3. Slide 3: FY2025 Summary

    FY2025 Summary • Revenue declined by 9% to $729.3m (FY2024: $800.1m) • Adjusted operating profit of $5.2m (FY2024: $31.1m) with margins down 320bps to 1% (FY2024: 4%) • Continued growth of SmartwrapTM • Year-end net cash position of $84.4m (FY2024: $95.2m), with a higher average cash position mainta

  4. Slide 4: DG Americas FY2025 results & successful divestment

    DG Americas FY2025 results & successful divestment 4

  5. Slide 5: DG Americas

    DG Americas DG Americas 2025 2024 Change $m $m Turnover 439.5 500.3 (12)% now successfully divested Adjusted Operating (Loss)/Profit (15.5) 6.8 (329)% Margin (3.5)% 1.4% (490)bps 60% of Group Revenue Revenue declined 12% Operational • Market softness and competitive US retail • Further site consolid

  6. Slide 6: DGA divestment

    DGA divestment In January, a customer bankruptcy impacted FY2025 profitability: • DGA’s fourth largest customer entered bankruptcy • Triggered a recognition of a significant non-cash impairment ($54.2 million) • Led to an end-to-end review of the business, including the categories operated in • Obje

  7. Slide 7: FY2025 Group results

    FY2025 Group results 7

  8. Slide 8: DG International

    DG International DG International 2025 $m 2024 $m Change A profitable, cash-generative business Turnover 289.8 299.8 (3)% Adjusted Operating Profit 28.1 32.3 (13)% Margin 10% 11% (110)bps Revenue declined 3% • Pricing (-$10m): competitive retail environment in Europe of Group Revenue 40% • Volume (-

  9. Slide 9: Group Revenue

    Revenue 2025 2024 Change Group Revenue $m $m % DG Americas 439.5 500.3 (12)% DG International 289.8 299.8 (3)% Total 729.3 800.1 (9)% DG International 9

  10. Slide 10: Adjusted Operating Profit

    Adjusted Operating Profit Adjusting Operating 2025 2024 Change Profit/(Loss) $m $m DG Americas (15.5) 6.8 (329)% DG International 28.1 32.3 (13)% Elims / Central costs (7.4) (8.0) - Total 5.2 31.1 (83)% DG International • DG Americas decline in profit due to lost sales volume, customer insolvencies

  11. Slide 11: Financial Summary

    Financial Summary Adjusted Reported 2025 2024 Change 2025 2024 $m $m $m $m Revenue 729.3 800.1 (9)% 729.3 800.1 Gross profit 106.9 142.1 (25)% 100.9 141.6 Gross margin 14.7% 17.8% (310)bps 13.8% 17.7% Overheads (101.7) (111.0) 8% (154.5) (112.6) Operating profit /(loss) 5.2 31.1 (83)% (53.6) 29.0 Op

  12. Slide 12: Cash Flow

    Cash Flow 2025 2024 • Working capital normalised versus $m $m significant release from lower Adjusted EBITDA 31.7 61.1 inventory levels in prior year Add back share-based payment charge 0.9 1.5 • Adjusting items include Movements in working capital (7.6) 26.7 restructuring outflows offset by propert

  13. Slide 13: The Future

    The Future 13

  14. Slide 14: The Group Today

    The Group Today Strong heritage, long-established & stable relationships, well-structured categories and product ranges across the UK, Europe and Australia Innovative product design Over 730 employees and development Over 22,000 SKUs Responsible Over 550 million units Market insight sourcing and man

  15. Slide 15: Proforma Group

    Proforma Group Pro forma (Group ex. DGA) FY2025 FY2024 FY2023 Revenue 289.7 299.7 297.4 Adjusted operating profit 20.7 24.3 13.1 Adjusted operating margin 7.1% 8.1% 4.4% FY2026 profit headwinds • Pricing pressures from competitive market • Tariff impact on continuing UK sales into the US • Continued

  16. Slide 16: Reinstating Guidance

    Reinstating Guidance* FY2026 FY2027-28 Opportunities for growth through expansion of: Revenue $270m-$280m +0-5% p.a. (beyond this guidance) Channels Adjusted Operating 3-4% 4-5% Customers & Margin geography Cash $40m-$45m +$6-8m p.a. Product Capital allocation • Organic growth – selective investment

  17. Slide 17: Outlook

    Outlook • Following the divestment, the Group will now be a simpler, more profitable and cash-generative business • Orderbook remains strong at 87% of budgeted revenues • Short-term challenges for the continuing Group • Medium-term sustainable growth in revenue and margin expected, delivering on opp

  18. Slide 18: Investment Case

    Investment Case 1. A strong, stable business at the core We can now focus on developing DG International 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 partnersh

  19. Slide 19: Appendix

    Appendix 19

  20. Slide 20: Future Financing

    Future Financing Successfully negotiated new financing facilities which are better value and easier to manage • 3-year deal with HSBC and NatWest • £40m Recourse Receivables Finance Facility • No central overdraft facility • Interest charge on financed receivables, calculated at the applicable curre

IG Design Group — FY2025 Earnings Presentation on 6ix