Diploma PLC (DPLM) Q3 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning everyone. Thanks for joining us. I'm here as usual with our CFO, Wilson Ng. I'll say a few words on quarter three and then we'll move as usual to Q&A. It's been another great quarter for us. 15% organic growth continuing the momentum from the first half of the year. The sector trends are broadly the same as they were in the first half. Controls Very strong, broad-based growth, IS Group, Clarendon, Peerless, Windy, still growing double digits, taking good market share in fast-growing end markets. Life Sciences, conversely, markets are tougher. We're going through a little bit of product life cycle refresh. I'm really, really pleased with what we're doing in Life Sciences, what the team are doing, but We will expect low single-digit growth for the year. Seals, we've seen some acceleration in quarter three. We're expecting a good quarter four, two, not celebrating. International is a bit better. Apache and North American Seals still doing very well. So look, overall, we're really happy with the quality, with the performance of the portfolio. Peerless continues to perform fantastically, taking share in really good market conditions. Growth is moderating in the second half, as we expected, against very big comps. And that will continue to moderate into next year until we return to the track record of high single-digit, 10-ish percent growth. We're managing margin down modestly, and we'll continue to see good profit growth going forward. Very, very pleased with the rest of the portfolio. Organic growth now up at 10% for the year, excluding peerless. We spoke in May about CDM, an acquisition we've now completed. $170 million deal, $80 odd million of revenue. It's a great interconnect business for us, platform for them in the U.S. An attractive exposure to the U...