Interim Results

Airea PLC

29 September 2026

 

29 September 2026

AIREA plc

(“AIREA”, the “Group” or the “Company”)

Interim results for the six months ended 30 June 2026

Strong first half performance with major manufacturing investment fully operational

AIREA plc (AIM: AIEA), the UK design-led specialist flooring company, manufacturing innovative and sustainable solutions for UK and international markets, today announces its interim results for the six months ended 30 June 2026 (the ‘Period’).

Financial summary

• Group revenue increased by 10.2% to £10.8m (2025: £9.8m)
• Operating profit increased to £0.5m (2025: £0.3m)
• Profit before tax increased to £0.2m (2025: £0.04m loss)
• Earnings per share increased to 0.57p (2025: ((0.54p))
• EBITDA increased to £0.9m (2025: £0.7m)
• Net cash increased to £0.4m (2025: £nil)

Operational highlights

• Major manufacturing investment fully operational
• Strong sales performance in the UK and ROI with year-on-year growth of 10.2%
• Recovery in international markets delivering year-on-year growth of 9.9%
• Group sales volume growth of 7.4%
• Further enhancement of carbon-neutral range with successful launch of surface story® and refresh of arctic®

Martin Toogood, Non-Executive Chairman of AIREA plc, commented:

“The Group has delivered an encouraging trading performance in the first half of the year. Group sales increased by 10.2% above the prior year, with UK and ROI sales 10.2% ahead and international sales recovering to deliver growth of 9.9%.

“The Group has experienced positive trading in the third quarter and the order book remains healthy.  The business continues to focus on innovation with further new product launches expected over the remainder of the second half.

“The Board is delighted to report that the major transformational investment in the Group’s manufacturing facility is now fully operational and production is expected to scale up in the coming months. The facility is also expected to further enhance the Group’s sustainability credentials by utilising energy more efficiently. The additional capacity will also provide the Group with a solid platform for growth and enable it to capitalise on future market opportunities.

“While global market conditions remain uncertain and challenging, the Board has continued confidence that its recent investments will provide greater stability to the Group and support the delivery of sustained profitable growth.”

- Ends –

For further information please contact:

AIREA plc Médéric Payne, Chief Executive Officer Conleth Campbell, Chief Financial Officer	Tel: [phone]
Singer Capital Markets (Nominated Adviser and Sole Broker) Peter Steel / Anastassiya Eley	Tel: [phone]
Northstar Communications (Financial Media and PR) Sarah Hollins	Tel: [phone]

Notes to Editors

AIREA plc is a UK design-led specialist flooring company, manufacturing innovative and sustainable solutions for UK and international markets. 

Through its established Burmatex® brand, the Group designs and supplies high-performance carpet tiles and planks for commercial environments, including education, leisure, commercial, hospitality, and public sectors.

Operating from its facility in West Yorkshire, AIREA combines in-house design and product development with UK manufacturing capabilities. The Group’s major manufacturing investment is best-in-class and now fully operational, providing increased capacity and a scalable platform to support future growth.

Sustainability is central to the Group’s product development strategy, supported by its eco2matters® framework and an expanding portfolio of lower-carbon and carbon-neutral flooring solutions.

Airea was admitted to trading on AIM of the London Stock Exchange on 12 December 2007.

For further information, please visit: https://aireaplc.com/.

Chief Executive Officer’s Statement

Introduction

I am pleased to report the Group’s interim results for the six months ended 30 June 2026. Group sales for the Period were 10.2% ahead of the prior year. The UK and ROI delivered another strong performance, while sales in our international markets recovered strongly despite ongoing economic and geopolitical uncertainty.

The Group’s major transformational investment in its new manufacturing facility is now fully operational. This investment substantially increases capacity and incorporates automated processes using the latest cutting-edge Artificial Intelligence imagery and inspection technology, positioning the facility amongst the best in class. This strategic investment will optimise the facility’s potential, future-proof the business and enhance shareholder returns. Decommissioning of the existing facility will commence in the fourth quarter of 2026.

Results

Revenue for the Period was 10.2% ahead year on year at £10.8m (2025: £9.8m). The UK and ROI delivered another strong performance, with sales at the end of the Period 10.2% ahead of the prior year. Sales in the Group’s international markets performed well, ending the Period 9.9% above the prior year.

Operating profit increased to £0.5m (2025: £0.3m). After charging net finance costs of £0.3m (2025: £0.3m), profit before tax increased to £0.2m (2025: loss of £0.04m). Taxation credit was £0.02m (2025: £0.2m charge), resulting in the Group reporting a profit of £0.2m (2025: loss of £0.2m) with basic earnings per share at 0.57p (2025: (0.54p)).

Operating cash flows before movements in working capital were £0.9m (2025: £0.8m). Working capital movements increased in the period to £0.1m (2025: £1.0m decrease), the prior year movement relating to a reduction of £1.0m in deposits that had been paid at the end of 2024 to suppliers of key components for the new manufacturing facility. As in previous years, following the normal busy summer trading period, the second half of the year is expected to see a reduction in inventory levels. Capital expenditure decreased to £1.1m (2025: £2.5m) as the major investment in the Group’s manufacturing facility neared completion.

Net cash (cash less loans and borrowings) at the end of the Period was £0.4m (2025: £nil). In January 2026, the Group renewed its banking facilities which included secured short-term funding in the form of a supply chain finance facility to the value of £3.2m. As at 30 June 2026, the Group had utilised £0.1m of this facility with interest payable at 2.1% above the Bank of England base rate. The Group has access to further liquidity of £1.0m via its unutilised banking facility (2025: £1.0m).

The deficit on the defined benefit pension scheme continues to decrease and was £2.5m (2025: £4.5m deficit) at the end of the Period. The Group has continued to adhere to its recovery plan commitments that were formally agreed with The Pensions Regulator. The commitments included contributions of £0.3m from the Group, paid in both July 2024 and July 2025, followed by monthly contributions of £62,500 from August 2025. The trustees continue to review the scheme’s investments with the objective of further mitigating its long-term risk profile.

Current Trading and Outlook

The Board is encouraged with the positive trading in the third quarter, despite geopolitical uncertainty. The Group is closely monitoring the ongoing tensions in the Middle East, although its Dubai showroom continues to operate with minimal disruption.

With the major new transformational manufacturing facility now fully operational, the Group is focused on increasing volume throughput to meet customer demand. Delivering growth through this investment remains a fundamental part of the Group’s ongoing strategy, enabling it to expand into new markets with a more sustainable and innovative product range.

The Board is aware of the challenges affecting the wider commercial flooring market. These have had no adverse impact on the Group and may present opportunities to strengthen its market position in the future.

The Group will also maintain its focus on cash preservation and will therefore not be proposing an interim dividend at this time (2025: £nil).

The Board expects the current trading to continue through the remainder of the year and remains confident in the Group’s long-term prospects and ability to deliver sustainable long-term value for our shareholders.

Médéric Payne

Chief Executive Officer

29 September 2026

Consolidated Income Statement
6 months ended 30 June 2026
	Unaudited 6 months ended  30 June 2026		Unaudited 6 months ended 30 June 2025	Audited 12 months ended 31 December 2025
	£’000		£’000	£’000
Revenue	10,793		9,817	21,447
Operating costs	(10,308)		(9,366)	(20,474)
Other operating income	-		178	180
Underlying operating profit	485		629	1,153
Non-recurring items	-		(346)	(237)
Operating profit	485		283	916
Finance income	7		-	1
Finance costs	(288)		(327)	(706)
Profit/(loss) before taxation	204		(44)	211
Taxation	17		(163)	771
Profit/(loss) attributable to shareholders of the Group	221		(207)	982
Earnings per share (basic and diluted) for the Group	0.57p		(0.54p)	2.54p

Consolidated Statement of Comprehensive Income

6 months ended 30 June 2026

	Unaudited	Unaudited	Audited
	6 months	6 months	12 months
	ended	ended	ended
	30 June	30 June	31 December
	2026	2025	2025
	£’000	£’000	£’000
Profit/(loss) attributable to shareholders of the Group	221	(207)	982
Items that will not be reclassified to profit or loss Remeasurement of the net defined benefit liability	446	(250)	942
Related deferred taxation	(205)	63	(389)
	241	(187)	553
Items that will be reclassified subsequently to profit or loss when specific conditions are met Revaluation of property	–	–	86
Related deferred taxation	–	–	(21)
	–	–	65
Total other comprehensive income/(loss)	241	(187)	618
Total comprehensive income/(loss) attributable to shareholders of the Group	462	(394)	1,600

Consolidated Balance Sheet
as at 30 June 2026
	Unaudited 30 June 2026		Unaudited 30 June 2025	Audited 31 December 2025
	£’000		£’000	£’000
Non-current assets
Property, plant and equipment	13,561		10,659	12,733
Intangible assets	80		35	97
Right-of-use asset	1,562		1,663	1,593
Deferred tax asset	696		963	826
	15,899		13,320	15,249
Current assets
Investment property held for resale	-		4,100	-
Inventories	6,616		6,651	5,465
Trade and other receivables	3,434		2,906	2,722
Cash and cash equivalents	739		1,839	2,012
	10,789		15,496	10,199
Total assets	26,688		28,816	25,448
Current liabilities
Trade and other payables	(4,523)		(4,429)	(2,733)
Lease liabilities	(130)		(190)	(157)
Supply chain finance	(71)		(1,142)	-
Loans and borrowings	(230)		(413)	(323)
	(4,954)		(6,174)	(3,213)
Non-current liabilities
Deferred tax	(2,167)		(2,540)	(2,010)
Pension deficit	(2,474)		(4,546)	(3,027)
Lease liabilities	(94)		(224)	(159)
Loans and borrowings	(59)		(290)	(175)
	(4,794)		(7,600)	(5,371)
Total liabilities	(9,748)		(13,774)	(8,584)
Net assets	16,940		15,042	16,864
Equity
Called up share capital	10,339		10,339	10,339
Share premium account	504		504	504
Own shares	(932)		(991)	(932)
Share-based payment reserve	276		448	276
Capital redemption reserve	3,617		3,617	3,617
Revaluation reserve	1,860		3,448	1,860
Retained earnings	1,276		(2,323)	1,200
Total equity	16,940		15,042	16,864

Consolidated Cash Flow Statement
6 months ended 30 June 2026
	Unaudited 6 months ended 30 June 2026		Unaudited 6 months ended 30 June 2025	Audited 12 months ended 31 December 2025
	£’000		£’000	£’000
Cash flow from operating activities
Profit/(loss) for the period	221		(207)	982
Depreciation	243		229	484
Depreciation of right-of-use assets	130		143	279
Amortisation	17		12	28
Share-based payment expense/(credit)	-		131	(41)
Net finance costs	281		327	705
Tax (credit)/charge	(17)		163	(771)
Profit on disposal of investment property	-		-	(50)
Operating cash flows before movements in working capital	875		798	1,616
Increase in inventory	(1,151)		(1,796)	(610)
(Increase)/Decrease in trade and other receivables	(712)		1,429	1,613
Increase/(Decrease) in trade and other payables	1,790		1,328	(377)
Cash generated from operations	802		1,759	2,242
Contributions to defined benefit pension scheme	(375)		-	(613)
Net cash generated from operating activities	427		1,759	1,629
Cash flows from investing activities
Payments to acquire intangible fixed assets	-		-	(79)
Payments to acquire tangible fixed assets	(1,062)		(2,542)	(4,785)
Receipt from sale investment property	-		-	4,150
Interest received	7		-	1
Net cash used in investing activities	(1,055)		(2,542)	(713)
Cash flows from financing activities
Interest paid on lease liabilities	(8)		(14)	(38)
Interest paid on borrowings	(12)		(21)	(93)
Interest paid on supply chain finance	-		(2)	-
Proceeds from supply chain finance	71		1,469	-
Principal paid on lease liabilities	(101)		(115)	(199)
Equity dividends paid	(386)		(231)	(231)
Repayment of supply chain finance	-		(327)	-
Repayment of loans	(209)		(200)	(406)
Net cash (used)/generated in financing activities	(645)		559	(967)
Net decrease in cash and cash equivalents	(1,273)		(224)	(51)
Cash and cash equivalents at start of the period	2,012		2,063	2,063
Cash and cash equivalents at end of the period	739		1,839	2,012

Consolidated Statement of Changes in Equity

6 months ended 30 June 2026

Share capital	Share premium account	Own Shares	Share-based payment reserve	Capital redemption reserve	Revaluation Reserve	Retained earnings	Total equity
£’000	£’000	£’000	£’000	£’000	£’000	£’000	£’000
At 1 January 2025       10,339	504	(1,217)	317	3,617	3,448	(1,472)	15,536
Comprehensive income
for the year
Profit for the year –	–	–	–	–	–	982	982
Remeasurement of the net
defined benefit liability     –	–	–	–	–	–	553	553
Revaluation of property –	–	–	–	–	86	(21)	65
Total comprehensive income for the year –	–	–	–	–	86	1,514	1,600

Contributions by and distributions to owners

Dividend paid	– – –			– – –                      (231)				(231)
Share-based payment	– – –			(41) – –    –				(41)
Own share transfer Revaluation reserve Transfer	– –  285 – – –			– – –     (285) – – (1,674)         1,674				–        –
Total contributions by and distributions to owners	–	–	285	(41)	–	(1,674)	1,158	(272)
At 31 December 2025
and 1 January 2026      10,339		504	(932)	276	3,617	1,860	1,200	16,864
Comprehensive income for the period Profit for the period – Remeasurement of the net defined benefit liability –		– –	– –	– –	– –	– –	221 241		221 241
Total comprehensive income for the period –		–	–	–	–	–	462	462
Contributions by and distributions to owners
Dividend paid –		–	–	–	–	–	(386)	(386)
Total contributions by and distributions to owners –		–	–	–	–	–	(386)	(386)
At 30 June 2026  10,339		504	(932)	276	3,617	1,860	1,276	16,940

Notes to the Financial Statements

1. BASIS OF PREPARATION AND ACCOUNTING POLICIES

The financial information for the six months ended 30 June 2026 and the six months ended 30 June 2025 have not been audited and do not constitute full financial statements within the meaning of Section 434 of the Companies Act 2006.

The financial information relating to the year ended 31 December 2025 does not constitute full financial statements within the meaning of Section 434 of the Companies Act 2006. This information is based on the Group’s statutory accounts for that period. The statutory accounts were prepared in accordance with UK adopted International Accounting Standards and received an unqualified audit report and did not contain statements under Section 498(2) or (3) of the Companies Act 2006. These financial statements have been filed with the Registrar of Companies.

These interim financial statements have been prepared using the recognition and measurement principles of UK adopted International Accounting Standards. The accounting policies used are the same as those used in preparing the financial statements for the period ended 31 December 2025. These policies are set out in the annual report and accounts for the period ended 31 December 2025 which is available on the Company’s website at www.aireaplc.co.uk.

Further copies of this report are available from the Company Secretary at the registered office at Victoria Mills, The Green, Ossett, Wakefield, West Yorkshire WF5 0AN and are also available, along with this announcement, on the Company’s website at www.aireaplc.co.uk.

 

END