Inspecs Group Plc · LSE:SPEA
Inspecs — H1 2025 Earnings Presentation
33 slides from Inspecs's earnings presentation, Sep 18, 2025
Slide 1: 2025 Interim Results Presentation
2025 interim RESULTS PRESENTATION 18 SEPTEMBER 2025
Slide 2: Contents
contents SECTION 01 Overview 05 SECTION 02 Operational review 06 Operational highlights 07 Segmental - Frames and optics 08 Segmental - Manufacturing 09 Medium term targets 10 SECTION 03 Financial review 11 Financial overview 12 Group income statement 13 Underlying EBITDA bridge 14 Working capital a
Slide 3: Presenters
PRESENTER Richard peck Chief Executive Officer PRESENTER Chris Kay Chief Financial Officer INSPECS GROUP PLC | 2025 UNAUDITED INTERIM RESULTS PRESENTATION 3
Slide 4: Introduction
01 Introduction Richard Peck Group Chief Executive Officer
Slide 5: Overview
OVERVIEW - Revenue for H1 25 decreased by 3.0% to £97.6m (H1 241: £100.6m) - On a constant currency basis2 decreased by 1.3% to £99.3m - Underlying EBITDA reduced by £2.0m to £9.0m - Tariffs continue to affect our manufacturing exports to the US. Low vision division in the USA affected by reduced go
Slide 6: H1 25 Operational review
02 H1 25 Operational review Richard Peck Group Chief Executive Officer
Slide 7: Operational Highlights
Operational Highlights GROUP RESTRUCTURING OPERATIONAL SUPPLY CHAIN LMLMLM • The amalgamation of our US EFFICIENCY & SYSTEMS • Group procurement activities now operations is driving enhanced • Successful implementation of new covered 40–50% of all new SKUs sales efficiency, broader brand and ERP sys
Slide 8: Segmental Analysis Frames & Optics
Segmental Analysis Frames & Optics H1 2025 PERFORMANCE H1 2025 SUMMARY Tariffs have impacted sales in our US REVENUE GP MARGIN business, via delays in orders and increased cost prices. Postponed £91.4M 51.7% orders and weaker demand have also been caused by US Government £94.2M H1 2024 51.8% H1 2024
Slide 9: Segmental Analysis Manufacturing
Segmental Analysis Manufacturing H1 2025 PERFORMANCE H1 2025 SUMMARY Reduced throughput in the REVENUE GP MARGIN factories has led to a decrease in GP% by 630bps to 39.9% £7.9M 39.9% The Group now has 18,000sqm of £9.0M H1 2024 46.2% H1 2024 production space making it the OPERATING UNDERLYING EBITDA
Slide 10: Medium term targets to 2027
Medium term targets to 2027 Target How it will be delivered Progress to date ‒ Successful launch of new brands into new and existing sales channels 01 CAGR ORGANIC DRIVERS OF GROWTH ‒ Expansion in Key Accounts ‒ Revenue from Vietnam site in July and August up Accelerated REVENUE GROWTH ‒ Increased p
Slide 11: H1 25 financial review
03 H1 25 financial review Chris Kay Group Chief Financial Officer
Slide 12: Financial overview
Financial overview REVENUE OPERATING EXPENSES UNDERLYING EBITDA CASH GENERATED FROM OPERATIONS £97.6M £100.6M H1 2025 H1 2024 re-presented 1 £47.8M H1 2025 £9.0M H1 2025 £11.2M H1 2025 CONSTANT CURRENCY2 £99.3M £100.6M £48.4M H1 2024 re-presented 1 £11.0M H1 2024 re-presented 1 £12.5M H1 2024 re-pre
Slide 13: Group Income Statement
Group INCOME STATEMENT HEADLINE PERFORMANCE GROUP GROSS OPERATING UNDERLYING REVENUE PROFIT % EXPENSES EBITDA • Revenue £97.6m (H1 20241: £100.6m) a decrease of 3.0% • Revenue on a constant currency basis2 £99.3m (H1 20241: £100.6m) £97.6M 51.8% £47.8M £9.0M 2025 2025 2025 2025 a decrease of 1.3% •
Slide 14: Underlying EBITDA Bridge
Underlying EBITDA Bridge 12.0 11.5 Underlying EBITDA £(2.0)m 11.0 v H1 2024 (-18%) 11.0 10.5 0.7 10.0 £M 9.5 (1.5) (1.0) 0.1 9.0 9.0 (0.2) FRAMES AND 8.5 MANUFACTURING OPTICS 8.0 Frames and Optics Manufacturing Consolidation decrease in gross profit decrease in gross profit (gross profit and opex) H
Slide 15: Working capital and net debt
Working capital and net debt 30 JUNE 2025 31 DEC 2024 OVERVIEW NET DEBT £M £M • Increase in net debt includes capex of £1.1m and £0.7m paid in relation to Cash at bank 22.7 24.0 deferred consideration • Finance costs reduced by £0.4m to £1.6m, aided by the switch to Euribor Borrowings (46.3) (46.9)
Slide 16: Net debt (excl. leases) Bridge
Net debt (excl. leases) Bridge 24.0 23.6 2.4 22.9 £0.7m 22.0 Increase in net debt (excluding leases) 1.4 in the last 6 months 20.0 1.8 1.4 18.0 1.6 16.0 £M 1.9 14.0 (8.8) 1.4 12.0 0.2 (2.4) 10.0 INSPECS GROUP PLC | 2025 UNAUDITED INTERIM RESULTS PRESENTATION 16
Slide 17: Group Cash Flow
Group Cash Flow 6 MONTHS ENDED 6 MONTHS ENDED 30 JUNE 2025 30 JUNE 20241 OVERVIEW £M £M OPERATING ACTIVITIES £6.2M (H1 20241 £9.2M) Cash generated from operations 11.2 12.5 Decrease in working capital £2.4m (H1 241: decrease of £2.0m) Interest paid £1.6m (H1 241: 2.0m) Interest paid (1.6) (2.0) Cash
Slide 18: Current trading and outlook
04 Current trading and outlook Richard Peck Group Chief Executive Officer
Slide 19: Current trading and outlook
Current trading and outlook - Current trading in the first two months of H2 are slightly behind expectations, however, the growth in our order books and increased cost savings are expected to result in a stronger performance in the next four months - The Vietnam manufacturing facility is gaining mom
Slide 20: Appendix
05 Appendix
Slide 21: Vertically integrated business model and competitive edge
VERTICALLY INTEGRATED business model Vertically integrated frame design, manufacturing, marketing and distribution of branded and OEM products Eyewear Eyewear Manufacturing, design, sales Design, sales & Design, sales & Design, sales & Sales & manufacturing manufacturing & distribution distribution
Slide 22: Group Balance Sheet
Group Balance Sheet AS AT AS AT AS AT 30 JUNE 2025 30 JUNE 2024 31 DECEMBER 2024 £M £M £M Assets Non-current assets 103.6 120.1 113.6 Current assets (excluding assets held for sale) 97.8 97.3 106.6 (Cash and cash equivalents) 22.7 24.6 24.0 Assets held for sale 2.4 0.8 - Total assets 203.8 218.2 220
Slide 23: Discontinued Operations – Norville (20/20) Limited
Discontinued Operations – Norville (20/20) Limited HEADLINE PERFORMANCE DISPOSAL GROUP HELD FOR SALE • Revenue £2.4m (H1 2024: £2.4) • Expected to be sold within the next 12 months • Underlying EBITDA loss £0.7m (H1 2024: £0.9m loss) • Assets and liabilities measured at a fair value of £0.7m • Gross
Slide 24: Environmental, Social and Governance
Environmental, Social and Governance PILLARS OUR COMMITMENT OUR TARGET People We invest in our people to drive performance, inclusion, and long-term growth. • Provide 12,500 hours of training and mentorship annually, building skills that enhance By equipping teams with skills and fostering transpare
Slide 25: Brand Map
Brand Map LUXURY Leading brands within group portfolio PREMIUM MID LEVEL ENTRY Original Equipment Manufacture (OEM) • Original Design Manufacture (ODM) INSPECS GROUP PLC | 2025 UNAUDITED INTERIM RESULTS PRESENTATION 25
Slide 26: Inspecs Limited
DESIGN, BRANDS, MARKETING, DISTRIBUTION (UK) INSPECS LIMITED Founded in 1988 Winner of two Queen’s awards for International trade Head office, design studio and showroom in Bath, UK In-house Licensed Brand Management working with the UK’s leading brands Trend forecasting team travelling globally Int
Slide 27: Killine
MANUFACTURING KILLINE JOINED GROUP IN 2017 40 years experience in OEM, design and technological products. TORKAI Factory New Vietnam Factory Killine’s team of 50+ technicians and engineers from multi-national backgrounds are dedicated to being first to market with new innovations. State-of-the-art f
Slide 28: Eschenbach
DISTRIBUTION ESCHENBACH JOINED GROUP IN 2020 No.1 in Germany for prescription frames Engineering DNA and Expertise in design Strong consumer recognition– ‘Made in Germany’ Premium quality and optical engineering Award Winning designs Red Dot Award Winner 2022, 2023 and 2024 Silmo d’Or 2021 INSPECS G
Slide 29: Eschenbach Optik
DISTRIBUTION ESCHENBACH OPTIK JOINED GROUP IN 2020 Optical precision for more than 100 years with discerning design & technical know-how Vision Technology Readers & filters, magnifiers, easy and low vision aids – building on expertise in product specification and lens design (e.g. diffractive optics
Slide 30: Tura
DISTRIBUTION - USA TURA JOINED GROUP IN 2020 Founded in 1938 85 employees + 110 sales representatives Head office, design studio and showroom in New York Distribution: USA, Canada & Mexico 40,000 sq ft distribution centre in Muncy, Showroom and design space in New York. INSPECS GROUP PLC | 2025 UNAU
Slide 31: EGO Eyewear
NORDIC DISTRIBUTION + BRANDS EGO EYEWEAR JOINED GROUP IN 2021 EGO EYEWEAR design and distribute beautiful Eyewear around the world under license agreement for some of the world’s most famous and prestigious Fashion brands including Barbour, Barbour International, Joseph, Viktor & Rolf, Lyle & Scott
Slide 32: BoDe Design
GERMAN REGIONALS BODE DESIGN JOINED GROUP IN 2021 BoDe have been our long-term partner in Germany, distributing to chains and online retailers This energetic team’s focus compliments the Eschenbach business, which primarily sells to independent opticians INSPECS GROUP PLC | 2025 UNAUDITED INTERIM RE
Slide 33: Disclaimer
Disclaimer This presentation and information communicated verbally to you, may contain certain projections and other forward-looking statements, with respect to the financial condition, results of operations, businesses and prospects of INSPECS Group plc. These statements are based on current expect