Luceco plc (LUCE) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning, everybody. Thank you for attending the Luceco PLC results presentation for 2025. Our highlights. Revenue was up 12%. Operating profit up almost 17%. Adjusted operating margin up half a percentage point. Our net debt ratio 1.2 times down from 1.6%. Our full-year dividend of 6p, which is up 20% on last year, and our adjusted EPS of 15p, also up by 20% on last year. Okay, the further highlight slide. Like-for-like revenue growth of 2% in the first half and actually close to 7% in the second half, which has accelerated further in Q1 of this year. This is despite subdued activity in our core overall markets. Approximately two-thirds of last year's organic growth was from the EV charging category as a result of ongoing market share gains in a structurally growing segment. EV charger cells were up 85% in the year and it is continuing to be strong this year. Operating profit margin was up to 12.5%, which is a half a percent increase on last year, which was a further half a point increase on the previous year. Hence, operating profit 17% higher, giving us a three-year operating profit compound average growth rate north of 15%. There was very strong cash generation of 30 million. Since 2019, our free cash flow has totaled 140 million on 1.5 billion pounds of sales, which equates to a free cash flow percentage of sales of approximately 9.5%. We have achieved this in parallel with strong economic growth. As per our strategy, we can use some of the cash from this core business to invest in M&A, and our two most recent deals, i.e. D-Line and CM&D, are both performing excellently, with the integration work of which will be completed by the end of this year. Thank you, John, and good morning, everybody. Let me start with a quick review of our income statement. Our reve...