Slide 1: Final results
Final results March 2026 1
Slide 2: Stable demand, new foundry line comes on-stream
Stable demand, new foundry line comes on-stream A stable landscape: A tough landscape: • Volumes flat (L4L) at 40,000 tonnes • Volumes down 21% (L4L) to es • Subdued heavy truck demand (c. 20% below norm) • Operating profit £4.8m (FY24 - £ • Geopolitical and macroeconomic uncertainties continue • He
Slide 3: Key points from the year
Key points from the year • Sales volumes varied Q on Q; up 1.2% overall to 41,500 (including Ductile) • European market remained flat – increases pushed out • US market down - tariff uncertainty • Machine shop profitability continues • Strong demand at Ductile Castings from broader customer base – p
Slide 4: Capacity investment near to commissioning stage
Capacity investment near to commissioning stage • 12,000 tonnes foundry capacity • Provides capacity to quote for more diversified work • 10,500 sales capacity (estimated) • Increases our size offering • First new foundry line since 2000 • Enhanced sustainability credentials • Improved efficiency ww
Slide 5: European heavy truck registrations
European heavy truck registrations European heavy truck registrations (calendar year) 400,000 350,000 • 71% of revenue (FY25 - 75%) Units registered 300,000 • 2023 peak of 344k trucks • Normalisation of demand Volvo estimate Volvo estimate 250,000 200,000 • Volvo estimate for 2026: 310k (up 5,000 fr
Slide 6: Quarterly sales tonnes
Quarterly sales tonnes Quarterly sales weight (tonnes) – excluding Castings Ductile 16,000 15,288 14,000 13,607 13,311 12,000 12,658 12,636 12,329 11,879 11,843 11,275 10,997 10,000 10,569 10,275 9,953 9,524 9,026 8,000 8,498 6,000 4,000 2,000 0 Q1 -2.5% Q2 +4.5% Q3 -5.8% Q4 +2.9% FY18 FY19 FY20 FY2
Slide 7: Volume based revenue reduction
Volume based revenue reduction Revenue bridge (£m) 180.0 2.2 • Sales weight variable but slightly up overall 179.0 (0.3) 178.0 177.0 177.0 • Reflects flat heavy truck market 176.0 175.0 • Slight reduction in mix of machined parts (4.1) 174.0 (1.0) 173.2 173.0 • Energy surcharges reducing 172.0 171.0
Slide 8: Steady demand and improving margins
Steady demand and improving margins £m (unless stated) FY25 FY26 • Week economic back-drop in Europe Revenue 177.0 173.2 • Heavy truck volumes stable, but low Operating profit1 4.8 10.0 Operating margin 2.7% 5.8% • Improved efficiency at stable volumes EPS 9.60p 17.36p • Operating profit doubled Ret
Slide 9: Segmental result per tonne
Profit per tonne sold Profit and segmental profit per sales tonne 450 60,000 55,000 400 • Improved efficiency 350 50,000 Segmental result per tonne 45,000 300 • Highest levels of 3 Sales tonnes 40,000 250 35,000 similar volume years 200 30,000 150 25,000 • Positive machining 100 20,000 impact contin
Slide 10: Progressive ordinary dividend policy continues
Progressive ordinary dividend policy continues Ordinary dividend declared per share 20.00 10% Supplementary 9.3% 18.00 9% dividends: 16.00 7.5% 8% 14.00 6.9% 7% • 2016 – 30p 6.4% Pence per share 12.00 5.6% 6% 10.00 4.7% 4.7% 4.3% 4.7% 5.0% 5.0% 5.0% 5% • 2019 – 15p 4.3% 3.8% 8.00 3.5% 4% 6.00 2.9% 2
Slide 11: Solid foundry performance on low volumes
Solid foundry performance on low volumes £m (unless stated) FY25 FY26 Gross revenue 197.9 190.7 Less: inter-group revenue (22.4) (19.0) • External revenue down 2.2% External revenue 175.5 171.7 • Volume up 1.2% Foundry sales weight (tonnes) 41,000 41,500 • Selling price impacted by: Average selling
Slide 12: Another good machining performance
Another good machining performance £m (unless stated) FY25 FY26 Gross revenue 32.2 30.6 • Gross revenue down 5% Less: inter-group revenue (30.7) (29.1) • Low external revenue – group focussed External revenue 1.5 1.5 • Cost control - strong margin growth Segmental result 2.0 2.4 Segmental margin on
Slide 13: Summary cash flow statement
Summary cash flow statement £m FY25 FY26 • Increased profit levels PBT net of tax payments 4.6 8.8 Depreciation 8.9 8.3 • Working capital reduction • Inventory reduction during FY26 Working capital movement (1.5) 6.7 Capex (net) (19.7) (13.8) • High levels of investment (£8m on new Free cash flow (7
Slide 14: Strong sustainability credentials
Strong sustainability credentials • ‘Green Iron’ producer, unlike some of • Process recycler Europe • Second solar panel project operational • Zero scope 1 and 2 emissions on location- based measure • Considering further solar installation • Working on scope 3 • Energy efficient plant e.g. cooling p
Slide 15: Automation investment
Automation investment • £13.5m investment in automation Automated feedline cells FY25 • First investment in 2016 FY24 FY23 • 65 robotic handling and processing cells FY22 FY21 • Production efficiency FY20 FY19 • Typical payback in 2 – 3 years FY18 FY17 • Exploring use of AI FY16 • Metal treatment •
Slide 16: Top commercial vehicle customer revenue mix
Top 4 commercial vehicle customer revenue mix FY11 FY16 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 Customer A 23% 25% 29% 28% 28% 23% 25% 27% 28% 27% B 11% 13% 13% 13% 14% 15% 15% 17% 17% 18% Commercial vehicle C 1% 4% 10% 9% 10% 12% 11% 11% 10% 11% 71% (FY25 - 76%) D 10% 9% 10% 9% 7% 7% 9% 9% 7% 7% To
Slide 17: Outlook
Outlook • Truck market • Capital investment • Demand normalised in short-term • New foundry complete • European market increases to come? • Machine replacement programme • Light duty truck electrification • Automation / multi-manning • Energy efficient / recycling solutions • Other sector opportunit
Slide 18: Well positioned for growth
Well positioned for growth Strong balance sheet providing the platform for growth Balance sheet platform Opportunities Cash levels Invest to drive production efficiencies No debt New foundry opens doors to new business (diversification) Pension buy-in to buy-out Ductile Castings broadens range offer
Slide 19: Appendix
Appendix 19
Slide 20: Timeline
Timeline 1835 Foundry production commences in Walsall 1907 Castings Limited incorporated 1957 Move to current Brownhills location 1960 Floated on Birmingham stock market 1991 Foundry capacity increased through acquisition of William Lee Limited 1996 Machining started in group through acquisition of
Slide 21: The Castings group
The Castings group Castings PLC William Lee Limited Castings Ductile Ltd CNC Speedwell Ltd Foundry – founded 1835 Foundry – acquired 1991 Foundry – acquired 2024 Machinist – acquired 1996 Capacity* Employees# Capacity* Employees Capacity Employees Capacity Employees 30,000 381# 52,000 405# 7,000 56#
Slide 22: Established, long-standing customer base
Established, long-standing customer base www.castings.plc.uk 22
Slide 23: Revenue and PBIT
0 20 40 60 80 100 120 140 160 180 200 220 240 FY90 FY91 FY92 FY93 FY94 FY95 FY96 FY97 FY98 FY99 FY00 FY01 FY02 Revenue Revenue and PBIT FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 PBIT (excluding exceptionals) FY12 FY13 FY14 FY15 FY16 PBIT% (RHS) FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 ww
Slide 24: Track record of strong cash generation
Track record of strong cash generation 40 35 Wm Lee CNC 30 25 20 15 10 5 0 FY90 FY91 FY92 FY93 FY94 FY95 FY96 FY97 FY98 FY99 FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 Dividend (supplementary) Net capex Pensi
Slide 25: Strategy
Strategy Deliver long term sustainable revenues and higher average margins through the following strategic priorities: Reinvestment for innovation and efficiency Increase OEM market share • Innovative design processes • Collaborative, dedicated customer teams • Reinvestment in automation • Increase
Slide 26: Business Model
Business Model Design collaboration & our people Value for stakeholders • Experienced teams • Technical knowledge Customers • Close customer relationships • Flexibility, cost-effective, quality • Latest design simulation • Capability for diverse range • Long term security Foundry production • High v
Slide 27: Recent investments
Recent investments • Robotic handling and processing (started 2016) • Warehouse management system (started 2017) • Bespoke FIFO system in Brownhills • £1m+ investment • Heat treatment plant for alloyed parts (commissioned 2020) • £0.6m investment • Disa moulding line upgrade (completed December 2021