Earnings release
Page 1
ESSENTRA PLC ("Essentra", the "Group" or the "Company") FY25 PRE-CLOSE TRADING UPDATE Full year results in line with expectations Essentra plc, a leading global provider and manufacturer of essential components and solutions, today provides a trading update for the financial year ended 31 December 2025 ("FY25") and the fourth quarter covering the thirteen weeks ended 31 December 2025 ("Q4" or the "quarter"), ahead of the announcement of its full year results on 17 March 2026. In Q4, the Group delivered year-on-year revenue growth and improved order intake. The Board expects adjusted1 operating profit for FY25 to be in line with market expectations2. Trading performance Group revenue for FY25 is expected to grow by 2.5% on a constant currency, like-for-like3 basis. On a reported basis, including the impact of foreign exchange, Group revenue is expected to be flat year-on-year. Group revenue in Q4 increased by 4.7% on a constant currency, like-for-like3, working day-adjusted basis. Consistent with the Q3 performance, revenue growth continues to be underpinned by pricing, strategic targeting of faster-growing end- markets such as energy transformation and digital infrastructure, as well as the easing of prior year comparatives. EMEA delivered year-on-year high single digit growth in the quarter, driven by a strong relative performance in Turkey, benefiting from more resilient end-market sectors and pricing. EMEA excluding Turkey delivered moderate growth against soft prior year comparatives despite mixed market conditions. The Americas delivered low single digit growth in the quarter, driven by pricing initiatives and stable distributor end-channels. The APAC region saw a slight decline in the quarter as anticipated, due to large one-off projects in the prior year driven by market dynamics in China. As guided, Group adjusted operating margins for FY25 remain consistent with the first half of the year. Management continues to focus on delivering operational efficiencies in the near term and the Group remains well-placed to benefit as the market recovers. On 18 December 2025, the Group announced the acquisition of Device Technologies, a US-based designer, manufacturer and distributor of specialty cable protection devices. Consistent with the Group's inorganic growth strategy, this acquisition complements Essentra's existing product expertise and extends Essentra's manufactured product offering. Early integration plans are progressing as expected. The acquisition pipeline remains strong and management continue to review certain bolt- on opportunities. The Group's balance sheet and cash generation remain strong. FY25 pre-IFRS 16 net debt leverage guidance is unchanged and is expected to close within the targeted leverage range of <1.5x The Group retains headroom into 2026 to support operational and strategic value-enhancing growth initiatives. Enquiries Essentra plc Rowan Baker, Chief Financial Officer Claire Goodman, Head of Investor Relations investorrelations@essentra.com Tel: +44 (0)1908 359100 FTI Consulting Richard Mountain Ariadna Peretz FTI_essentra@fticonsulting.com Tel: +44 (0)20 3727 1340 Notes 1. The term "adjusted" is on a continuing operations basis, before amortisation of acquired intangible assets and adjusting items 2. Company compiled market expectations for 2025 adjusted operating profit is a range of £32.0m to £32.4m 3. The term "like-for-like" describes the performance of the business on a comparable basis, adjusting for the impact of acquisitions and foreign exchange
Page 2
About Essentra plc Essentra plc is a leading global provider of essential components and solutions, focusing on the manufacture and distribution of plastic injection moulded, vinyl dip moulded and metal items. Headquartered in the United Kingdom, Essentra's global network extends to 28 countries worldwide and includes c.3,000 employees, 14 manufacturing facilities, 26 distribution centres and 37 sales & service centres serving c.64,000 customers with a rapid supply of low cost but essential products for a variety of applications in industries such as equipment manufacturing, automotive, fabrication, electronics, medical and renewable energy. For further information, please visit www.essentraplc.com LEI: 5493007MOZNA03BVNE96 Cautionary forward-looking statement These results contain forward-looking statements based on current expectations and assumptions. Various known and unknown risks, uncertainties and other factors may cause actual results to differ from future results or developments expressed or implied from the forward-looking statements. Each forward-looking statement speaks only as of the date of this document. The Company accepts no obligation to revise or update these forward-looking statements publicly or adjust them to future events or developments, whether as a result of new information, future events or otherwise, except to the extent legally required