Avon Technologies Plc (AVNBF) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning, everybody. Thank you very much for those of you that have come in person and welcome to those on the phones. I thought I'd start by thanking our employees. The speed of change across Avon has been challenging at times, but people love being part of a team that is up to something exciting. We've grown the company and EPS has doubled since 2023. We now have an exciting pipeline of new products, a solid balance sheet and more strategic options. We could only do all this with such a great team. We made excellent progress in 2025. Revenue and profitability grew rapidly. We've transformed every factory using our strengthened system. We reduced costs by closing our Californian factory. In 2025, we invested $14 million in R&D, most of it expensed, fueling a pipeline of innovative products and generating excitement amongst our customers. The order book and pipeline are both stronger than ever. We have a scalable platform facing into growing markets and we're firmly on track to exceed our revenue targets and reach our margin target range in 2026. I'll now hand over to Rich and he'll talk you through the numbers. Thank you, Josh. Good morning, everyone. So as you can see then, the headlines demonstrate another year of strong progress. As usual, all of the comparators will be on a constant currency basis. The order book at the end of 2025 has hit another record at $263 million, 16% higher than the prior year. This leaves us very well covered for FY26 across both helmets and respirators. Revenue growth of 14% dropped through to strong adjusted operating profit, up 31% at $40.3 million. And my preferred area of focus, return on invested capital, came in at 18.6% after significant progress was made reducing the average level of working capital tied up in the business....