Lords Group Trading Plc · LSE:LORD
Lords Group Trading — FY2025 Earnings Presentation
29 slides from Lords Group Trading's earnings presentation, May 20, 2026
Slide 1: Continued strategic progress with increased diversification and operational leverage
20 May 2026 Continued strategic progress with increased diversification and operational leverage 1
Slide 2: Agenda
Agenda Highlights Shanker Patel, CEO Financial review Stuart Kilpatrick, CFO Business review Shanker Patel Outlook Shanker Patel Q&A 2
Slide 3: Investment case
Investment case Differentiated Resilient core Structural Digital platform Operating leverage Stronger balance investment markets growth drivers established embedded sheet opportunity RMI driven demand Renewables and product CMO accelerates Incremental revenue Capacity to invest Uniquely placed Group
Slide 4: FY25 Highlights
FY25 Highlights Resilience in a tough market with financial progress ▪ Record revenue of £472.8m, up 8.3% with positive LFL growth (+ 0.7%) despite subdued end markets ▪ Merchanting LFL +3.1% reflecting market share gains and disciplined pricing ▪ Plumbing & Heating margins improved by 60bps driven
Slide 5: Financial Review
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Slide 6: Financial Summary
Financial Summary FY25 FY24 Change ▪ Revenue growth delivered in subdued market supplemented by new branches and acquisitions Revenue £472.8m £436.7m +8.3% ▪ Gross margin stable at 19.7% (FY24: 19.5%) Gross profit £93.0m £85.2m +9.2% demonstrating pricing discipline and mix Adjusted EBITDA1 £21.0m £
Slide 7: Revenue bridge FY24 – FY25
Revenue bridge FY24 – FY25 ▪ LFL growth of 0.7% ▪ Acquisition growth from CMO (June 2025 and Ultimate Renewables (Oct 2024) ▪ New branches added £7.7m 7
Slide 8: Proactive management of cost inflation
Proactive management of cost inflation Acquisitions ▪ CMO (7 months of trading) and new branches added £7.0m Strong focus on discretionary costs ▪ ER’s NIC / NMW added £0.7m and led to inflated supplier costs ▪ LFL increase of 1.7% ▪ LFL FTE headcount 4% lower at 31 December 2025 8
Slide 9: Merchanting: Resilient trading; well invested for future growth
Merchanting: Resilient trading; well invested for future growth FY25 FY24 Change Revenue £227.1m £214.3m +6.0% Gross profit £59.1m £57.3m +3.1% Property gains £1.4m £1.8m (22.2)% Operating expenses £48.0m £44.7m +7.4% Adjusted EBITDA1 £12.5m £14.4m (13.2)% ▪ Revenue up 6.0%; LFL +3.1% indicating mar
Slide 10: Plumbing & Heating: Margin-led strategy delivering resilience
Plumbing & Heating: Margin-led strategy delivering resilience FY25 FY24 Change Revenue £219.9m £222.4m (1.1)% Gross profit £28.8m £27.9m +3.2% Gross margin 13.1% 12.5% +60bps Operating expenses £20.3m £19.9m +2.0% Adjusted EBITDA1 £8.5m £8.0m +6.3% ▪ Revenue flat in broadly flat UK boiler market – m
Slide 11: Digital: building a scalable Group platform
Digital: building a scalable Group platform FY25 Revenue £25.8m Gross profit £5.1m Gross margin 19.8% Operating expenses £5.1m Adjusted EBITDA1 - ▪ CMO acquired in June 2025 providing a national CMO LFL Sales scalable digital platform ▪ FY revenue of £25.8m with EBITDA positive in H2 ▪ £1m of annual
Slide 12: Cash Flow
Cash Flow ▪ Net debt1 reduced by £19.0m to £13.4m ▪ Operating cash - £12.0m ▪ Sale/leaseback - £11.4m (proceeds of £12.8m, net of gain of £1.4m) ▪ Less £4.4m of M&A and dividends ▪ Operating cash conversion of 317% (FY24: 71%) ▪ Adjusting items before tax (appendix 3) of £8.0m (FY24: £6.4m) ▪ Non-ca
Slide 13: Balance Sheet & Refinancing
Balance Sheet & Refinancing £m FY25 FY24 Substantially strengthened balance sheet and liquidity Tangible assets 9.6 14.1 ▪ Net debt reduced to £13.4m - £19.0m reduction Inventory 51.3 49.3 ▪ Net debt / OCE reduced to 39.4% from 61.1% Trade receivables 54.8 61.9 ▪ Sale/leaseback enhanced flexibility
Slide 14: Business Review
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Slide 15: Consistent strategy positioned for growth
Consistent strategy positioned for growth Our strategy is a combination of margin accretive organic growth and selective M&A ▪ Organic growth ▪ Three new branches delivered £8.0m of additional revenue ▪ Selective M&A ▪ Acquired CMO in June 2025 15
Slide 16: Strategic progress - Merchanting
Strategic progress - Merchanting New branch openings George Lines – Civils & Landscaping – Revenue £39m ▪ 5th George Lines civils branch opened in Aylesford, near Maidstone, Kent (1.5 acre site) AW Lumb – Distribution / Dry lining – Revenue £51m ▪ 3rd branch opened in Mansfield, Notts (2.5 acre site
Slide 17: Merchanting Strategy
Merchanting Strategy Selective Geographical Development ▪ 4 new branches opened in last 15 months Product and Service Offering ▪ Dual brand sites offer specialist products alongside merchant range ▪ Branch autonomy facilitates differentiated product range and customer service Tight cost control and
Slide 18: Strategic progress - Plumbing & Heating
Strategic progress - Plumbing & Heating ▪ Took decisive action to improve gross margin from April 2025 Distribution - £170m ▪ Gross margin increased by 60 bps in FY25 to 13.1% ▪ UK boiler market flat at 1.35m units ▪ Market share marginally lower at 10.2% (FY24: 10.8%) Trade Counters - £38m ▪ Strate
Slide 19: Plumbing & Heating strategy
Plumbing & Heating strategy ▪ Maximise efficiency of wholesale business model ▪ Post strategic review, reduce from seven Distribution Centres to four Glasgow Scotland and North of England Tamworth Midlands, Wales, up to North Yorks Erith, Kent South East, Suffolk Bristol South West, South Central ▪
Slide 20: Digital
Digital ▪ UK’s leading online-only retailer, CMO, acquired on 6 June 2025 at an attractive entry point with clear turnaround upside ▪ Supply chain challenges restricted trading prior to acquisition ▪ Key progress in FY25 ▪ Restored operational performance and profitability in H2 FY25 ▪ Re-establishe
Slide 21: Digital – building a scalable national platform
Digital – building a scalable national platform National reach without proportional capital investment ▪ Extends customer access beyond branch footprint ▪ Enables scalable growth with limited incremental infrastructure ▪ Over 30,000 orders delivered within 5 miles of a Lords branch Enhancing custome
Slide 22: Outlook
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Slide 23: Outlook
Outlook Clear priorities for FY 26 ▪ Driving like-for-like sales growth in Merchanting ▪ Enhancing P&H margins through mix and efficiency ▪ Scaling CMO and embedding digital capability across the Group ▪ Maintaining disciplined capital allocation, cost control, pricing discipline and working capital
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Slide 25: Disclaimer
Disclaimer This presentation has been prepared by Lords Group Trading plc (the "Company") solely for information and does not purport to contain all the information that may be necessary or desirable to fully and accurately evaluate the Company or its business prospects. For the purposes of this not
Slide 26: Appendices
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Slide 27: Appendix 1 – Alternative Performance Measures
Appendix 1 – Alternative Performance Measures 2025 2024 2025 2024 £m £m £m £m Operating profit 1.1 4.3 Loss before taxation (5.2) (2.6) Amortisation of acquired Unwind of discount (0.1) 0.3 3.4 3.3 intangibles Amortisation of acquired intangibles 3.4 3.3 Impairment of ROU assets 3.2 1.5 Impairment o
Slide 28: Appendix 2 – Income Statement
Appendix 2 – Income Statement 2025 2024 Adjusting Adjusting £m Underlying items Total Underlying items Total Revenue 472.8 – 472.8 436.7 – 436.7 Cost of sales (379.8) – (379.8) (351.5) – (351.5) Gross profit 93.0 – 93.0 85.2 – 85.2 Operating expenses (73.4) (1.5) (74.9) (64.6) (1.3) (65.9) Property
Slide 29: Appendix 3 – Adjusting Items Statement
Appendix 3 – Adjusting Items Statement 2025 2024 £m £m Exceptional items: Restructuring costs 0.5 0.9 Business combination charge / (income) 0.8 (0.4) 1.3 0.5 Share based payments 0.2 0.8 Amortisation related to business combinations 3.3 3.6 Impairment of ROU assets 3.2 1.5 Adjusting items before ta