Half-year Report
Summary by AI BETAClose X
16 September 2026
CT Automotive Group PLC
(“CT Automotive” or the “Group”)
Interim results for the six months ended 30 June 2026
CT Automotive, a leading designer, developer and supplier of interior components to the global automotive industry, today announces its results for the half year ended 30 June 2026 ("H1 26").
Simon Phillips, Chief Executive Officer of CT Automotive, commented:
"Revenue grew strongly in H1 26 driven by market demand and as we continued to convert our contract wins into production. The launch of significant new capability in Mexico has strengthened our position as a near-shoring partner for customers seeking to reduce their exposure to trade tariffs and to the disruption of global supply chains caused by ongoing geopolitical instability.
The additional costs we incurred in H1 26 reflect our decision to protect customer production lines during a period of significant supply chain disruption, together with the cost of launching new programmes at speed to meet demanding customer timelines.
Since our last trading update, issued on Tuesday 4 August 2026, a key customer has contested standard contractual cost increase mechanisms in our business awards designed to protect both parties against FX movements and typically used across the automotive industry to adjust for the impact of inflation. Whilst we are confident that we will reach a successful outcome, discussions are ongoing and more complex due to the key customer currently being in Chapter 11 in the US. Accordingly, we have reduced our H1 26 revenue previously announced by $0.4 million, as some of the cost increase mechanisms related to production in H1 26.
As a result of the negotiations we now consider FY26 Adj PBT to be in a range between $4.9 million and $9.4 million, a range the Board will seek to narrow based on the progress and conclusion of these discussions. FY26 revenue, supported by strong demand, is not expected to be negatively impacted.
MetisEI, our proprietary factory operating system, is transforming how we run the business. Live visibility of the factory floor is giving our management teams the operational control needed to reduce indirect costs and improve efficiency."
Financial highlights
|
|
H1 26 |
H1 25 (Restated) |
|
H1 25 (Reported) |
|
|
|
$m |
$m |
% Change |
$m |
% Change |
|
Revenue |
61.7 |
54.1 |
14% |
54.1 |
14% |
|
Gross profit |
16.4 |
16.5 |
(1%) |
16.5 |
(1%) |
|
Gross profit margin |
27% |
31% |
|
30.5% |
|
|
Adj. EBITDA* |
4.4 |
7.0 |
(38%) |
8.4 |
(48%) |
|
Adj. EBITDA margin |
7% |
13% |
|
15.6% |
|
|
Adj. profit before taxation* |
1.6 |
3.8 |
(57%) |
4.2 |
(62%) |
|
Adj. profit before taxation* margin |
3% |
7% |
|
7.8% |
|
|
Profit before taxation*** |
1.6 |
3.4 |
(55%) |
3.4 |
(55%) |
|
Earnings per share |
2.1c |
4.7c |
(55%) |
4.6c |
(54%) |
|
Net debt** |
12.2 |
13.0 |
(6%) |
12.1 |
0% |
* Adjusted for non-recurring and non-underlying items as explained in Note 4 and Note 13 of the consolidated condensed financial statements
** Net debt excludes IFRS 16 lease liabilities
*** The business does not calculate taxation at the half year
H1 26 financial highlights
● Revenue increased by 14% to $61.7 million (H1 25: $54.1 million restated), driven by strong customer demand and the successful launch of new programmes at the Group's Mexico facility.
● Production revenue announced in our trading update on 4 August included anticipated price increases from April 2026 based on contractual FX and industry standard cost-pass through escalation mechanisms in our business nominations awards with one of our major customers. In recent weeks, the customer has engaged with the Group regarding the quantum of the escalation clauses and, whilst CT Automotive is confident of a positive outcome, discussions with this customer remain ongoing. Accordingly, CT Automotive has adopted a prudent approach and has reduced the quantum of the revenue attributed to the cost increase mechanism related to production in H1 26 by $0.4 million to $61.7 million.
● Gross profit is in line with prior year with increased revenue performance offsetting margin degradation as a result of a tightening in our working capital and the inefficiencies which resulted, largely linked to challenges we have been facing with our key customer.
● Administrative expenses increased by $1.8 million in H1 26 in comparison to H1 25 to $12.5 million (H1 25: $10.7m restated). The period carries a $313k write-off of VAT claim balances relating to 2022 and an underlying increase of $1.5 million, reflecting the higher cost base in Mexico required to support the increase in revenue.
● As a result, adjusted profit before tax was $1.6 million (H1 25: $3.8 million).
● The Group has secured six new contract wins in 2026 with annualised revenue of approx. $6.0 million once fully operational. The sales team is in advanced discussions on a number of further opportunities expected to be awarded in 2026.
Current trading and outlook
● The Board expects strong demand to continue in H2 26, and revenue for FY 26 to remain broadly unchanged with increased sales performance offsetting the uncertainty surrounding the price negotiations with our key customer.
● Net debt is expected to increase at FY26 year end in comparison to FY25 to accommodate ongoing delays in VAT recovery in Mexico and delayed payments being received from a key customer. The increase in our net debt is supported by additional facilities at favourable rates.
● Despite contractual mechanisms to pass through inflationary cost increases, in recent weeks, the customer has engaged with the Group regarding the quantum of the escalation clauses.
● The outcome of discussions with one of our key customers could have a material impact on our financial results for FY26. Following further communication with the key customer this week, and taking into account performance of the business in July and August, the Board concluded in the evening of 15 September that adjusted profit before tax is now expected to be in a range of $4.9 million to $9.4 million for FY26. The delta reflects $2.9 million of price increases which we are pursuing in full and a further $1.6 million of inefficiencies, post 15 September 2026, caused by the tightening of working capital largely related to this key customer. We will update the market as discussions conclude but we do not expect either extreme of the range to be the final outcome.
¹ Immediately prior to this announcement, the Company believes that market expectations for the year ended 31 December 2026 were for revenue of $123.5 million and adjusted profit before tax of $10.2 million.
Investor presentation
The Company will hold an investor presentation to discuss the interim results, followed by a Q&A session, on 16 September 2026 at 3.00 pm BST. To attend, please register with Investor Meet Company via https://www.investormeetcompany.com/ct-automotive-group-plc/register-investor
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Enquiries: |
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Notes to editors
CT Automotive designs, develops and manufactures bespoke automotive interior finishes (for example, dashboard panels and fascia finishes) and kinematic assemblies (for example, air registers, arm rests, deployable cup holders and storage systems), together with associated tooling, for the world's leading automotive original equipment manufacturers ("OEMs") and global Tier One suppliers.
The Group is headquartered in the UK, with production facilities in Shenzhen and Ganzhou, China, and additional manufacturing facilities in Mexico and Türkiye, supported by distribution and assembly operations across Europe, Asia and the US. The Group's low-cost design and administrative centre is in India.
CT Automotive's operating model supports a price leadership strategy, supplying high-quality parts at a lower overall landed cost than competitors. This has helped the Group build a high-quality portfolio of OEM customers, both directly and via Tier One suppliers including Forvia and Marelli. End customers include volume manufacturers such as Nissan, Ford, GM and Volkswagen Audi Group, and premium brands such as Bentley and Lamborghini. The Group also supplies components for PHEV and BEV platforms, including to Rivian and a major US EV OEM.
The Group currently supplies component types across more than 64 models for 21 OEMs and is one of very few new entrants to a market characterised by high barriers to entry.
Use of alternative performance measures
This announcement includes alternative performance measures which the Directors consider provide readers with a clearer understanding of the Group's underlying trading performance. These measures exclude non-recurring items, being one-off, non-trading items separately identified in order to draw them to the attention of the reader. Further detail is provided in Notes 13 and 4 to the consolidated condensed interim financial statements.
Overview
Trading volumes were strong throughout H1 26, supported by robust demand in North America and the successful ramp-up of new production programmes in Mexico. Revenue grew 14% to $61.7 million (H1 25: $54.1 million).
The ongoing conflict in the Gulf region disrupted global supply chains and increased freight, material and labour costs during the period. The continued rapid ramp up of the Mexico Facility has resulted in further inefficiencies which have been rectified but only after incurring unplanned costs in the process. Additionally the business is working with a customer in Mexico which is subject to Chapter 11 administration and is facing challenges within the organisation.
Availability of working capital, primarily due to FGI withdrawing $4.5 million of invoice financing on our key customer, and $6.2M being held in the Mexican VAT office, also had an impact on H1 26 profitability. Raw material for operations was constrained forcing CT Automotive to incur expedited freight costs ($1.1 million) and labour costs ($0.5 million). Additionally increased demurrage charges ($0.4 million) were incurred as containers remained at the port. As a result, adjusted profit before tax of $1.6 million was materially below H1 25 ($3.8 million).
The adoption of new technologies is a core pillar of our business model, and we have continued to invest in advanced robotics and automation across all of our facilities. Our factory operating system, MetisEI, is now operational in our Mexican production facility supporting our management team to improve efficiency during the complex scale up of the facility.
Trading
Production volumes in H1 26 were ahead of H1 25, particularly in Mexico, delivering an increase in production revenue of 13% to $56.5 million (H1 25: $50.1 million). Tooling revenue also increased to $5.2 million in H1 26, an improvement of 31% in comparison to H1 25 ($4.0 million).
The Group continued to invest in Engineering, Design and Development capability, enabling further vertical integration of activities previously subcontracted. A fully automated paint line has been commissioned at the Mexico facility during H1 26, the benefit of which is expected to be felt in H2 26 through reduced reliance on imported components with long lead times.
As previously announced, geopolitical instability increased freight costs and required higher stockholding on critical lines in Mexico for a period. The rapid ramp up of the Mexican facility did incur additional unplanned costs and cash constraints caused CT Automotive to incur further additional costs.
MetisEI, the Group's proprietary factory operating system, is now operational in Mexico and is expected to be rolled out across the Group's wider manufacturing footprint during H1 27. The system gives management real-time control of the factory floor, in place of retrospective reporting, and is already generating cost and waste reduction benefits.
The Group has entered into discussions with one of its major customers regarding the quantum of certain cost escalation mechanisms in place to enable the Group to recover an element of material and labour costs. The Group is confident of a positive outcome to these negotiations.
New business development
The Group has secured six new contract wins so far in 2026 with annualised revenue of $6.0 million once all are fully operational. The sales team is in advanced discussions on a number of opportunities expected to be awarded in H2 26, and the Group's RFQ and RFI pipeline remains strong with meaningful progress made developing our relationships with a number of leading OEM customers.
Manufacturing base
China
China facilities continue to operate efficiently. As operations consolidate in China, management is working to realise further efficiencies. Production is centred in our Ganzhou facility whilst Shenzhen remains our design, administration and tooling hub in the region.
Türkiye
The Türkiye facility also performed well in the period, supported by ongoing cost efficiency initiatives.
Mexico
The Mexico facility successfully launched further new programmes at speed and continued to ramp-up production, supporting revenue growth to approximately $4.9 million per month, which would be around 40% of group annualised revenue. Inefficiencies experienced during the ramp-up have largely been resolved, although some unplanned costs were incurred in the process. MetisEI is proving invaluable in identifying inefficiencies and waste in real time, enabling management to address any new issues quickly.
Our ESG strategy
Sustainability remains central to the Group's strategy of achieving growth responsibly, with careful consideration of its wider impact and global footprint. Our Corporate Social Responsibility (CSR) programme is evolving, and we are refocusing our support to initiatives in the locality of our production facilities and offices. Our focus remains on initiatives that promote healthcare and welfare, with the aim of delivering a lasting positive impact.
Our people
Our people remain the Group's most valuable asset. We invest in employees from day one through tailored professional development opportunities, with training at the core of our learning and development strategy. I would like to thank all our employees, across the globe, for their continued efforts in building an inclusive, collaborative workforce.
Financial Review
Revenue and margins
During the first half of 2026, the Group generated total revenue of $61.7m, compared to $54.1m in the same period of the prior year. The $7.6m increase in revenue against H1 25 was mainly driven by new project launches in Mexico. Both production revenue and tooling revenue increased in the period to $56.5 m (H1 25: $50.1m) and $5.2m (H1 25 4.0m) respectively.
Production revenue announced in our trading update on 4 August included anticipated price increases from April 2026 based on contractual FX and industry standard cost-pass through escalation mechanisms in our business nominations awards with one of our major customers. In recent weeks the customer has engaged with the Group regarding the quantum of the escalation clauses and, whilst CT Automotive is confident of a positive outcome, discussions with this customer remain ongoing. Accordingly, CT Automotive has adopted a prudent approach and has reduced the quantum of the revenue attributed to the cost increase mechanism related to production in H1 26 by $0.4 million.
Non-recurring items
Non-recurring redundancy costs of $0.4 million in H1 26 (H1 25: $0.4 million) were incurred in our Turkish & Chinese facilities due to improved efficiency on the factory floor. This item is separately disclosed from underlying operating costs (see Note 4).
EBITDA and Operating results
Distribution expenses increased marginally to $1.5m (H1 25: $1.4m restated). Administrative expenses increased by $1.8m to $12.5m (H1 25: $10.7m restated). The period carries a $313k write-off of VAT claim balances relating to 2022. Excluding that item, the underlying increase of $1.5m reflects the higher cost base in Mexico required to support the increase in revenue.
EBITDA before non-recurring items was $4.7 million (H1 25: $7.0 million restated). After depreciation of $1.7 million (H1 25: $2.1 million), amortisation of $0.1 million (H1 25: $nil) and non-recurring items of $0.4 million (H1 25: $0.4 million), operating profit was $2.5 million (H1 25: $4.5 million restated).
Profit from continuing operations and EPS
Profit after tax from continuing operations was $1.6 million (H1 25: $3.4 million restated). Basic earnings per share from continuing operations was 2.1 cents (H1 25: 4.7 cents restated).
Balance sheet review
Total assets increased to $93.7 million at 30 June 2026 (31 December 2025: $78.5 million), driven principally by growth in trade and other receivables to $35.9 million (31 December 2025: $29.5 million), reflecting higher Mexican VAT receivables, and inventories of $27.1 million (31 December 2025: $25.6 million), reflecting the scale-up of the Mexico facility.
Total liabilities increased to $61.9 million (31 December 2025: $48.7 million), primarily reflecting an increase in trade and other payables to $36.2 million (31 December 2025 $31.5 million) and an increase in borrowing to $18.6 million (31 December 2025 $10.3 million).
Cash flow and net debt
The impact of one of our major customers continuing in Chapter 11 administration removes circa $4.5m of receivables funding from our invoice financing facility. Combined with the increase in our Mexican VAT receivable ($2.4 million), increased stock holding levels and additional costs incurred in H1, working capital has tightened. This has been navigated in H1 26 through effective working capital management, a strong relationship with our primary lender and securing additional low-cost alternative debt facilities, while allowing the Group to continue with its planned capital expenditure ($3.2 million). In addition, lease repayments and interest amounted to $2.4 million in the period. Net debt increased in the period to $12.2 million (31 December 2025: $7.7 million). During H1 26, certain additional facilities at favourable interest rates became available to the Group allowing it to increase available debt facilities to a level the Board considers more normalised for a business of the Group's size, without material additional expense. Further facilities are being concluded in Q3 26. The Board anticipates that net debt at year end will be higher than current market forecasts.
Going Concern
The Directors have considered the ability of the Group to continue as a going concern and are satisfied that the Group has adequate resources in place for at least 12 months from the date of the approval of the H1 26 Interim Statement.
Consolidated Statement of Profit or Loss and Other Comprehensive Income
|
|
Note |
Unaudited 6 months to 30 June 2026 |
Restated Unaudited 6 months to 30 June 2025* |
Reported Unaudited 6 months to 30 June 2025 |
Audited Year to 31 December 2025 |
|
Continuing Operations: |
|
|
|
|
|
|
Revenue |
2,3 |
61,666 |
54,122 |
54,122 |
114,833 |
|
Cost of sales |
|
(45,264) |
(37,609) |
(37,609) |
(79,784) |
|
Gross profit |
|
16,402 |
16,513 |
16,513 |
35,049 |
|
Distribution expenses |
|
(1,453) |
(1,424) |
(1,424) |
(2,398) |
|
Other operating income |
|
82 |
118 |
118 |
145 |
|
Administrative expenses |
|
(12,502) |
(10,684) |
(10,373) |
(21,991) |
|
EBITDA (before non-recurring items) |
|
4,737 |
7,022 |
8,418 |
14,894 |
|
Depreciation |
|
(1,730) |
(2,124) |
(2,706) |
(3,604) |
|
Amortisation |
|
(56) |
(11) |
(11) |
(60) |
|
Non-recurring items |
4 |
(422) |
(364) |
(867) |
(425) |
|
Operating Profit |
|
2,529 |
4,523 |
4,834 |
10,805 |
|
Finance income |
|
103 |
13 |
13 |
42 |
|
Finance expenses |
|
(1,069) |
(1,090) |
(1,466) |
(1,695) |
|
Profit before tax |
|
1,563 |
3,446 |
3,381 |
9,152 |
|
Taxation (charge)/credit** |
|
(10) |
- |
- |
(726) |
|
Profit for the period from continuing operations |
|
1,553 |
3,381 |
3,446 |
8,426 |
|
Discontinued operations: |
|
|
|
|
|
|
Profit/(Loss) for the period from discontinued operations |
|
- |
- |
- |
- |
|
Profit for the period attributable to equity shareholders |
|
1,553 |
3,381 |
3,446 |
8,426 |
|
|
|
|
|
|
|
|
Profit for the period attributable to: |
|
|
|
|
|
|
Owners of the Company |
|
1,455 |
3,444 |
3,379 |
8,363 |
|
Non-Controlling Interests |
|
98 |
2 |
2 |
63 |
|
|
|
|
|
|
|
|
Other comprehensive income/(loss) |
|
|
|
|
|
|
Items that are or may be reclassified subsequently to profit or loss: |
|
|
|
|
|
|
Foreign currency translation differences - foreign operations |
|
440 |
132 |
132 |
75 |
|
Other comprehensive income/(loss) for the period, net of income tax |
|
440 |
132 |
132 |
75 |
|
Total comprehensive income/(loss) for the period |
|
1,993 |
3,578 |
3,513 |
8,501 |
|
|
|
|
|
|
|
|
From continuing operations: |
|
|
|
|
|
|
Basic earnings per share |
5 |
2.1 c |
4.7 c |
4.59 c |
11.4 c |
|
Diluted earnings per share |
5 |
2.1 c |
4.5 c |
4.44 c |
10.9 c |
|
From continuing and discontinued operations: |
|
|
|
|
|
|
Basic earnings per share |
5 |
2.1 c |
4.7 c |
4.59 c |
11.4 c |
|
Diluted earnings per share |
5 |
2.1 c |
4.5 c |
4.44 c |
10.9 c |
|
|
|
|
|
|
|
* Restatement
The H1 25 reported income statement has been restated to reflect the impact on H1 25 of the prior year adjustments reported in the audited financial statements for the year ended 31 December 2025.
** The business does not calculate taxation at the half year
Consolidated Balance Sheet
|
|
Note |
Unaudited 6 months to 30 June 2026 |
Restated Unaudited 6 months to 30 June 2025* |
Reported Unaudited 6 months to 30 June 2025 |
Audited Year to 31 December 2025 |
|
Non-current assets |
|
|
|
|
|
|
Goodwill |
|
1,260 |
1,260 |
1,260 |
1,259 |
|
Intangible assets |
|
444 |
142 |
219 |
388 |
|
Property, plant and equipment |
6 |
13,923 |
6,301 |
8,703 |
11,179 |
|
Right of use assets |
|
5,967 |
6,258 |
6,554 |
5,508 |
|
Deferred tax assets |
|
1,431 |
1,934 |
1,622 |
1,431 |
|
|
|
23,025 |
15,895 |
18,358 |
19,765 |
|
Current assets |
|
|
|
|
|
|
Inventories |
7 |
27,103 |
28,518 |
28,768 |
25,627 |
|
Tax receivable |
|
1,094 |
765 |
765 |
958 |
|
Trade and other receivables |
8 |
35,920 |
32,151 |
35,346 |
29,532 |
|
Derivative Financial Assets |
|
126 |
- |
- |
91 |
|
Cash and cash equivalents |
14 |
6,421 |
1,378 |
1,378 |
2,524 |
|
|
|
70,664 |
62,812 |
66,257 |
58,732 |
|
Total Assets |
|
93,689 |
78,707 |
84,615 |
78,497 |
|
Current liabilities |
|
|
|
|
|
|
Trade and other payables |
10 |
(36,151) |
(33,062) |
(33,464) |
(31,473) |
|
Other interest-bearing loans and borrowings |
9 |
(17,813) |
(13,956) |
(13,525) |
(9,557) |
|
Derivative financial liabilities |
|
- |
(10) |
(10) |
- |
|
Tax payables |
|
(1,140) |
(784) |
(784) |
(1,222) |
|
Lease liabilities |
9 |
(1,691) |
(2,247) |
(2,541) |
(1,839) |
|
|
|
(56,795) |
(50,059) |
(50,324) |
(44,091) |
|
Non-current liabilities |
|
|
|
|
|
|
Lease liabilities |
9 |
(4,344) |
(3,439) |
(4,553) |
(3,955) |
|
Other interest-bearing loans and borrowings |
|
(763) |
(400) |
- |
(694) |
|
|
|
(5,107) |
(3,839) |
(4,553) |
(4,649) |
|
Net assets |
|
31,787 |
24,809 |
29,738 |
29,757 |
|
Equity attributable to equity holders of the parent |
|
|
|
|
|
|
Share capital |
15 |
484 |
484 |
484 |
484 |
|
Share premium |
|
63,696 |
63,696 |
63,696 |
63,696 |
|
LTIP Reserve |
|
161 |
98 |
98 |
124 |
|
Translation reserve |
|
(135) |
(518) |
(550) |
(575) |
|
Merger reserve |
|
(35,812) |
(35,812) |
(35,812) |
(35,812) |
|
Statutory PRC Reserve |
|
1,194 |
1,194 |
- |
1,194 |
|
Accumulated Surplus / (Deficit) |
|
2,177 |
(4,196) |
1,959 |
722 |
|
Non-controlling interest |
|
22 |
(137) |
(137) |
(76) |
|
Total equity |
|
31,787 |
24,809 |
29,738 |
29,757 |
* Restatement
The H1 25 reported balance sheet has been restated to reflect the impact on H1 25 of the prior year adjustments reported in the audited financial statements for the year ended 31 December 2025.
Consolidated Statement of Changes in Equity
|
|
Share capital |
Share premium |
LTIP reserve |
Translation reserve |
Merger reserve |
Statutory PRC Reserve |
Accumulated Deficit |
Non-Controlling Interest |
Total equity |
|
|
$’000 |
$’000 |
$’000 |
$’000 |
$’000 |
$’000 |
$’000 |
$’000 |
$’000 |
|
At 1 January 2025 |
484 |
63,696 |
51 |
(650) |
(35,812) |
1,194 |
(7,641) |
(139) |
21,183 |
|
Total comprehensive income for the year: |
|
|
|
|
|
|
|
|
|
|
Profit for the year |
- |
- |
- |
- |
- |
- |
8,363 |
63 |
8,426 |
|
Transfer to PRC |
- |
- |
- |
- |
- |
- |
- |
- |
- |
|
Foreign currency translation |
- |
- |
- |
75 |
- |
- |
- |
- |
75 |
|
Total comprehensive income for the period |
- |
- |
- |
75 |
- |
- |
8,363 |
63 |
8,501 |
|
Recognition of LTIP reserve |
- |
- |
73 |
- |
- |
- |
- |
- |
73 |
|
|
- |
- |
73 |
- |
- |
- |
- |
- |
73 |
|
At 31 December 2025 |
484 |
63,696 |
124 |
(575) |
(35,812) |
1,194 |
722 |
(76) |
29,757 |
|
| |||||||||
|
As at 1 January 2026 |
484 |
63,696 |
124 |
(575) |
(35,812) |
1,194 |
722 |
(76) |
29,757 |
|
Total Comprehensive income for the period |
|
|
|
|
|
|
|
|
|
|
Profit for the period |
- |
- |
- |
- |
- |
- |
1,455 |
98 |
1,553 |
|
Foreign currency translation |
- |
- |
- |
440 |
- |
- |
- |
- |
440 |
|
Total comprehensive income for the period |
- |
- |
- |
440 |
- |
- |
1,455 |
98 |
1,993 |
|
Recognition of LTIP reserve |
- |
- |
37 |
- |
- |
- |
- |
- |
37 |
|
|
- |
- |
37 |
- |
- |
- |
- |
- |
37 |
|
Balance at 30 June 2026 |
484 |
63,696 |
161 |
(135) |
(35,812) |
1,194 |
2,177 |
22 |
31,787 |
Consolidated statement of cash flows
|
|
Unaudited 6 months to 30 June 2026 |
Restated Unaudited 6 months to 30 June 2025* |
Reported Unaudited 6 months to 30 June 2025 |
Audited Year to 31 December 2025 |
|
Cash flows from operating activities |
|
|
|
|
|
Profit from continuing operations |
1,553 |
3,446 |
3,381 |
8,426 |
|
Profit/(loss) from discontinued operations |
- |
- |
- |
- |
|
Profit for the period after tax |
1,553 |
3,446 |
3,381 |
8,426 |
|
Adjustments for: |
|
|
|
|
|
Depreciation |
1,730 |
2,124 |
2,706 |
3,604 |
|
Amortisation |
56 |
11 |
11 |
60 |
|
Share Based Charge |
- |
- |
47 |
- |
|
Loss on stock write off net of claims received |
- |
229 |
229 |
637 |
|
Provision for Inventory |
200 |
- |
- |
672 |
|
Provision for expected credit loss |
- |
- |
- |
(3) |
|
Non cash other operating income |
- |
- |
- |
(145) |
|
Charge to LTIP Reserve |
37 |
47 |
- |
73 |
|
Change in fair value of financial derivative instruments |
(35) |
- |
- |
(138) |
|
Hyperinflation impact on operating profit |
140 |
304 |
304 |
427 |
|
Net fair value losses recognised in Profit or Loss |
(43) |
3 |
3 |
(815) |
|
Interest expense |
1,069 |
1,090 |
1,466 |
1,695 |
|
Interest income |
(103) |
(13) |
(13) |
(42) |
|
VAT claim written off |
318 |
- |
- |
- |
|
Taxation charge |
10 |
- |
- |
726 |
|
(Gain) / loss on disposal of ROU asset and fixed assets |
67 |
(244) |
(244) |
(245) |
|
Operating Profit before working capital changes |
4,999 |
6,997 |
7,890 |
14,932 |
|
(Increase) / Decrease in trade and other receivables |
(6,714) |
(9,609) |
(10,125) |
(6,997) |
|
(Increase) / Decrease in inventories |
(1,675) |
(1,301) |
(1,301) |
489 |
|
Increase / (Decrease) in trade and other payables |
4,720 |
2,598 |
2,598 |
1,115 |
|
Tax (paid) |
(136) |
(119) |
(119) |
(168) |
|
Net cash generated from operating activities |
1,194 |
(1,434) |
(1,057) |
9,371 |
|
Cash flows from investing activities |
|
|
|
|
|
Purchase of intangible assets |
(112) |
(50) |
(50) |
(309) |
|
Purchase of property, plant and equipment |
(3,363) |
(1,488) |
(1,488) |
(5,778) |
|
Sale of property, plant and equipment |
149 |
3 |
3 |
56 |
|
Interest received |
103 |
13 |
13 |
42 |
|
Net cash used in investing activities |
(3,223) |
(1,522) |
(1,523) |
(5,989) |
|
Cash flows from financing activities |
|
|
|
|
|
Repayment of lease liabilities – Principal |
(1,332) |
(1,419) |
(1,419) |
(2,212) |
|
Repayment of lease liabilities - Interest |
(336) |
(435) |
(435) |
(764) |
|
Interest paid on borrowings |
(733) |
(655) |
(1,031) |
(931) |
|
Drawdown/(Repayment) of borrowings |
8,414 |
2,861 |
2,861 |
(867) |
|
Drawdown/(Repayment) of loan received from related parties |
(89) |
300 |
300 |
385 |
|
Net cash generated / (used) in financing activities |
5,924 |
652 |
276 |
(4,389) |
|
Net Increase/(Decrease) in cash and cash equivalents |
3,895 |
(2,304) |
(2,304) |
(1,007) |
|
Cash and cash equivalents at beginning of period |
2,524 |
3,628 |
3,628 |
3,628 |
|
Effect of exchange rate fluctuations on cash held |
2 |
54 |
54 |
(97) |
|
Cash and cash equivalents at end of period (see Note 14) |
6,421 |
1,378 |
1,378 |
2,524 |
Notes forming part of the consolidated unaudited financial statements
1. Accounting Policies
Introduction
The consolidated condensed interim financial statements have been prepared in accordance with International Financial Reporting Standards currently in force and in conformity with the requirements of the Companies Act 2006.
These unaudited consolidated condensed interim financial statements (hereinafter “the financial statements”) have been prepared on the basis of the same accounting policies as per the audited financial statements for the year ended 31 December 2025. The financial statements, which have been prepared in accordance with International Accounting Standard 34 (IAS 34), are unaudited and do not constitute statutory accounts within the meaning of section 434 of the Companies Act 2006. Statutory accounts for the year ended 31 December 2025 prepared in accordance with IFRS, have been filed with Companies House. The Auditors’ Report on these accounts was unqualified, did not include any matters to which the Auditors drew attention by way of emphasis without qualifying their report and did not contain any statements under section 498 of the Companies Act 2006.
The consolidated condensed interim financial statements are for the six months to 30 June 2026. The interim consolidated financial information does not include all the information and disclosures required in the annual financial statements and should be read in conjunction with the Group’s annual financial statements for the year ended 31 December 2025 which were prepared in accordance with IFRS’s and in conformity with the requirements of the Companies Act 2006.
Measurement convention
The financial statements are prepared on the historical cost basis except for the financial statements of the foreign operations in Türkiye which are subject to hyperinflationary accounting, and derivative financial instruments which are stated at fair value.
Basis of Consolidation
Subsidiaries
Subsidiaries are entities controlled by the Group. The Group controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. In assessing control, the Group takes into consideration potential voting rights that are currently exercisable. The acquisition date is the date on which control is transferred to the acquirer. The financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases.
Non-controlling Interest
Non-controlling interest represents the equity in subsidiaries that is not attributable to all shareholders of the Group.
Change in subsidiary ownership and loss of control
Changes in the Group’s interest in a subsidiary that do not result in a loss of control are accounted for as equity transactions.
Where the Group loses control of a subsidiary, the assets and liabilities are derecognised along with any related non-controlling interests and other components of equity. Any resulting gain or loss is recognised in profit or loss. Any interest retained in the former subsidiary is measured at fair value when control is lost.
Transactions eliminated on consolidation
Intra-Group balances and transactions, and any unrealised income and expenses arising from intra-Group transactions, are eliminated. Unrealised gains arising from transactions with equity-accounted investees are eliminated against the investment to the extent of the Group’s interest in the investee. Unrealised losses are eliminated in the same way as unrealised gains.
Discontinued operations
When the Group has sold or discontinued a component that represents a separate major line of business or geographical area of operations during the year, or has classified the component as held for sale, its results are presented separately, net of any profit or loss on disposal, in the statement of profit or loss and other comprehensive income, with the comparative amounts restated.
Foreign currency
Transactions in foreign currencies are translated into the respective functional currencies of Group entities at the foreign exchange rate ruling at the date of the transaction. Foreign currency monetary assets and liabilities are translated at the rates ruling at the reporting date. Exchange differences arising on the retranslation of unsettled monetary assets and liabilities are recognised immediately in profit or loss. Exchange differences arising on the retranslation of the foreign operation are recognised in other comprehensive income and accumulated in the foreign exchange reserve. The assets and liabilities of foreign operations, including goodwill and fair value adjustments arising on consolidation, are translated into the Group’s reporting currency, US Dollars, at foreign exchange rates ruling at the Balance Sheet date. The revenues and expenses of foreign operations are translated at an average rate for the year where this rate approximates to the foreign exchange rates ruling at the dates of the transactions. Exchange differences arising from this translation of foreign operations are reported as an item of other comprehensive income and accumulated in the translation reserve. When a foreign operation is disposed of, such that control is lost, the entire accumulated amount in the foreign currency translation reserve, is reclassified to profit or loss as part of the gain or loss on disposal. When the Group disposes of only part of its interest in a subsidiary that includes a foreign operation while still retaining control, the relevant proportion of the accumulated amount is reattributed to non-controlling interests. Effective from 1 January 2022, the Group has applied IAS 29, Financial Reporting in Hyperinflationary Economies, for its subsidiary in Türkiye, whose functional currency has experienced a cumulative inflation rate of more than 100% over the past three years. Assets, liabilities, the financial position and results of foreign operations in hyperinflationary economies are translated to US Dollars at the exchange rate prevailing at the reporting date. The exchange differences are recognised directly in the Statement of Profit and Loss impacting operating profit. Prior to translating the financial statements of foreign operations, the non-monetary assets and liabilities and comprehensive income (both previously stated at historic cost) are restated to account for changes in the general purchasing power of the local currencies based on the consumer price index published by the Turkish Statistical Institute. The consumer price index for the year ended 31 December 2025 and 31 December 2024 increased by 30.90% and 44.37% respectively. The consumer price index for the six months ended 30 June 2026 increased by 17.75% Monetary items are not restated because they are already expressed in terms of the monetary unit current at the end of the reporting.
Revenue
Performance obligations and timing of revenue recognition When (or as) a performance obligation is satisfied, an entity shall recognise as revenue the amount of the transaction price that is allocated to that performance obligation.
Production Revenue - Revenue from the manufacture and supply of automotive interior components (including air vents, glove compartments, consoles, trim parts and other secondary vehicle components) is recognised in accordance with IFRS 15 Revenue from Contracts with Customers. For serial production contracts, the Group’s performance obligation is the manufacture and delivery of individual units (parts) in accordance with customer specifications and releases. Each part represents a distinct good, and the performance obligation is satisfied per unit, and revenue is recognised when control of the parts transfers to the customer based on Incoterms. Given the nature of serial production with standardised contractual incoterms, judgement is limited in determining the point of control transfer. Revenue is measured at the fair value of the consideration received or receivable, net of customer discounts, returns, and/or price concessions due to long term agreements, etc.
Tooling revenue - Revenue from tooling and associated engineering services is recognised in accordance with IFRS 15 - Revenue from Contracts with Customers. Tooling arrangements typically arise when the Group designs, manufactures or sources customer-specific tools, jigs, fixtures, or moulds that enable the production of serial automotive components such as air vents, glove compartments, centre consoles and other interior parts. The group follows the completed contract method where revenue from tooling is recognised at a point in time, when control of the tool is transferred to the customer. Control is deemed to transfer when the customer has formally approved the tooling, typically evidenced by Parts Submission Warrant (PSW), other documented customer acceptance or other evidence of the commencement of serial production.
Invoicing to customers is done based on agreed milestones. Amounts received from customers before customer acceptance of the tool are recorded as contract liabilities. While customer acceptance (such as PSW approval) determines the point at which the performance obligation is satisfied, the related contract liability is recognised as revenue at the next half-yearly reporting cycle in accordance with the Group’s revenue-recognition process. These balances are released to revenue on a half-yearly basis in the period when the related performance obligation is met. Revenue excludes value added tax or other sales taxes and is after deduction of any trade discounts.
Determining the transaction price Most of the Group’s revenue is derived from fixed price contracts and therefore the amount of revenue to be earned from each contract is determined by reference to those fixed prices. There is no judgement in the allocation of the transaction price of identified performance obligations.
Property, plant and equipment
Property, plant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses.
Where parts of an item of property, plant and equipment have different useful lives, they are accounted for as separate items of property, plant and equipment.
Depreciation is charged to the profit and loss account on a straight-line basis over the estimated useful lives of each part of an item of property, plant and equipment. The estimated useful lives are as follows:
Assets under construction - Not Depreciated
Plant and equipment
Tools and dies - 2-5 years straight line
Assembly line equipment - 8-12 years straight line
Heavy production machinery - 12-15 years straight line
Furniture, fixtures and equipment - 2-5 years straight line
Motor vehicles - 2-5 years straight line
Depreciation methods, useful lives and residual values are reviewed at each balance sheet date.
Residual values of property, plant and equipment represent the estimated amount that the Group would currently obtain from disposal of the asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life. Residual values are reviewed at each balance sheet date and adjusted where appropriate. Changes in residual values are accounted for prospectively as a change in accounting estimate. Management identifies assets for disposal based on technical obsolescence, physical condition, lack of future economic benefit, or where the asset is no longer required for operations.
Intangible Assets
Research and development
Expenditure on research activities is recognised in profit or loss as an expense as incurred
Intangible assets (including software)
Expenditure on internally generated goodwill and brands is recognised in profit or loss as an expense as incurred.
Intangible assets that are acquired by the Group are stated at cost less accumulated amortisation and less accumulated impairment losses.
Amortisation
Amortisation is charged to profit or loss on a straight-line basis over the estimated useful lives of intangible assets. Intangible assets are amortised from the date they are available for use. The estimated useful lives are as follows:
Software - 2-5 years
Inventory
Inventories are stated at the lower of cost and net realisable value. Cost is based on the first-in first-out principle and includes expenditure incurred in acquiring the inventories, production or conversion costs and other costs in bringing them to their existing location and condition. In the case of manufactured inventories and work in progress, cost includes an appropriate share of overheads based on normal operating capacity.
Net realisable value is the value that would arise on sale of inventories in the normal course of business, minus a reasonable estimation of selling costs.
Non-derivative financial instruments
Financial assets and liabilities are recognised when the Group becomes party to the contractual provisions of the instrument.
Non-derivative financial instruments comprise trade and other receivables, cash and cash equivalents, loans and borrowings, and trade and other payables.
Trade and other receivables
Trade and other receivables are initially measured at their transaction price. Trade receivables and other receivables are held to collect the contractual cash flows which are solely payments of principal and interest. Therefore, these receivables are subsequently measured at amortised cost using the effective interest rate method.
Trade and other payables
Trade and other payables are recognised initially at fair value. Subsequent to initial recognition they are measured at amortised cost using the effective interest method.
Cash and cash equivalents
Cash and cash equivalents comprise cash balances and call deposits. Bank overdrafts that are repayable on demand and form an integral part of the Group’s cash management are included as a component of cash and cash equivalents for the purpose only of the cash flow statement.
Interest-bearing borrowings
Interest-bearing borrowings are recognised initially at fair value less attributable transaction costs. Subsequent to initial recognition, interest-bearing borrowings are stated at amortised cost using the effective interest method. See Note 9 for full details of classes of interest-bearing borrowings.
Effective interest rate
The ‘effective interest’ is calculated using the rate that exactly discounts estimate future cash payments or receipts (considering all contractual terms) through the expected life of the financial asset or financial liability to its carrying amount before any loss allowance.
Share based payments
Equity-settled share-based payments to employees and others providing similar services are measured at the fair value of the equity instruments at the grant date. The fair value excludes the effect of non-market-based vesting conditions. The fair value determined at the grant date of the equity-settled share-based payments is expensed on a straight-line basis over the vesting period, based on the Group’s estimate of the number of equity instruments that will eventually vest. At each reporting date, the Group revises its estimate of the number of equity instruments expected to vest as a result of the effect of non-market-based vesting conditions. The impact of the revision of the original estimates, if any, is recognised in profit or loss such that the cumulative expense reflects the revised estimate, with a corresponding adjustment to reserves.
Hyperinflation
The Group exercises significant judgement in determining the impact of the onset of hyperinflation in countries in which it operates and whether the functional currency of its subsidiaries in such countries is the currency of a hyperinflationary economy.
Various characteristics of the economic environment of each country are taken into account. These characteristics include, but are not limited to, whether:
● the general population prefers to keep its wealth in non-monetary assets or in a relatively stable foreign currency;
● prices are quoted in a relatively stable foreign currency;
● sales or purchase prices take expected losses of purchasing power during a short credit period into account;
● interest rates, wages and prices are linked to a price index; and
● the cumulative inflation rate over three years is approaching, or exceeds, 100%.
Management exercises judgement as to when a restatement of the financial statements of a Group entity becomes necessary. Following Management’s assessment, the Group’s subsidiary in Türkiye has been, and continues to be, accounted for as an entity operating in a hyperinflationary economy. The results, cash flows and financial position of Chinatool Otomotiv Sanayi Tic. Limited Sti. have been expressed in terms of the measuring units current at the reporting date.
The movement in the general price index in the reporting period was 17.75% (June 25 was 16.67% and 2025: 30.90%).
In applying IAS 29 to the financial reporting of the subsidiary incorporated in Türkiye, it is crucial to note that a deliberate judgement has been exercised in the treatment of indexation agreements that impact consolidated profit or loss. The impact is included as a finance expense in June 26 of $ 140K (June 25: 303K) and 2025 of $427k These specific agreements have been intentionally ignored in the calculations, aligning with the guidelines set forth in IAS 29, and maintains continuity with the prior year detailed calculations and commentary.
IAS 29 does note that non-monetary (Balance Sheet) items that are linked to indexation agreements have the rates stipulated within the agreements applied, rather than a general price index, although the same allowance/ exception is not provided for items of profit or loss.
2 Revenue
Disaggregation of revenue
An analysis of turnover by type is given below:
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Production revenue |
56,440 |
50,139 |
101,375 |
|
Tooling revenue |
5,226 |
3,983 |
13,458 |
|
Total revenues |
61,666 |
54,122 |
114,833 |
All revenue is derived from goods transferred at a point in time.
An analysis of turnover by geographical market is given within Note 3.
3 Segment information
Operating segments are reported in a manner consistent with internal reporting provided to the Chief Operating Decision Maker (CODM). The CODM has been identified as the management team including the Chief Executive Officer. The segmental analysis is based on the information that the management team uses internally for the purpose of evaluating the performance of operating segments and determining resource allocation between segments.
1) Tooling - Design, development and sale of tooling for the automotive industry.
2) Production - Manufacturing and distributing serial production kinematic interior parts for the automotive industry.
The Group evaluates segmental performance based on revenue and profit or loss from operations calculated in accordance with IFRS. In accordance with IFRS 8, only Tooling and Production are identified as reportable segments, with Head Office presented solely as a reconciling item.
The Group has 2 strategic divisions which are its reportable segments. The Group has the below main divisions:
Unaudited 6 months ended 30 June 2026
|
|
Tooling |
Production |
Head office |
Total |
|
Total revenue from customers |
5,226 |
56,440 |
- |
61,666 |
|
Depreciation and amortisation |
- |
(1,786) |
- |
(1,786) |
|
Finance expense |
- |
(1,069) |
- |
(1,069) |
|
Group and segment Profit/(Loss) before tax and discontinued operations |
1,499 |
4,326 |
(4,262) |
1,563 |
Unaudited 6 months ended 30 June 2025
|
|
Tooling |
Production |
Head office |
Total |
|
Total revenue from customers |
3,983 |
50,139 |
- |
54,122 |
|
Depreciation and amortisation |
- |
(2,135) |
- |
(2,135) |
|
Finance expense |
- |
(1,090) |
- |
(1,090) |
|
Group and segment Profit/(Loss) before tax and discontinued operations |
1,275 |
5,276 |
(3,105) |
3,446 |
Year ended 31 December 2025
|
|
Tooling |
Production |
Head office |
Total |
|
Total revenue from customers |
13,458 |
101,375 |
- |
114,833 |
|
Depreciation and amortisation |
- |
(3,664) |
- |
(3,664) |
|
Finance expense |
- |
(1,661) |
(34) |
(1,695) |
|
Group and segment Profit/(Loss) before tax and discontinued operations |
5,829 |
8,781 |
(5,458) |
9,152 |
External revenue by location of customers
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Europe |
10,738 |
17,720 |
28,571 |
|
North America |
31,154 |
14,481 |
44,295 |
|
Asia Pacific |
5,636 |
9,928 |
10,419 |
|
United Kingdom |
12,650 |
10,195 |
27,250 |
|
Rest of the World |
1,488 |
1,798 |
4,298 |
|
|
61,666 |
54,122 |
114,833 |
4 Non-recurring items
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Redundancy Cost |
422 |
364 |
425 |
|
Total |
422 |
364 |
425 |
Non-recurring items are items, which, due to their one-off, non-trading and non-underlying nature, have been separately classified by the Directors in order
5 Earnings per share
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
|
Number |
Number |
Number |
|
Weighted average number of equity shares |
73,597,548 |
73,597,548 |
73,597,548 |
|
|
$ |
$ |
$ |
|
Profit for the period from continuing operations |
1,553,000 |
3,446,000 |
8,426,000 |
|
|
Cents |
Cents |
Cents |
|
Basic Profit per share from continuing operations |
2.1 |
4.7 |
11.4 |
|
Diluted Profit per share from continuing operations |
2.1 |
4.5 |
10.9 |
|
Basic Profit/(Loss) per share from discontinued operations |
- |
- |
- |
|
Diluted Profit/(Loss) per share from discontinued operations |
- |
- |
- |
There are contingently issuable shares in existence (see Note 12) that can result in diluted Earnings/(Loss) per share being different from basic Earnings/(Loss) per share in 2026 and 2025.
6 Property, plant and equipment
|
|
Plant and |
Fixtures and |
Motor |
Total |
|
Cost |
|
|
|
|
|
Balance as at 1 January 2025 Restated |
12,546 |
3,048 |
112 |
15,706 |
|
Hyperinflationary adjustment |
56 |
66 |
- |
122 |
|
Additions |
5,497 |
200 |
81 |
5,778 |
|
Disposals |
(367) |
(228) |
(2) |
(597) |
|
Effect of movements in foreign exchange |
322 |
(53) |
11 |
280 |
|
Balance as at 31 December 2025 (audited) and as at 1 January 2026 |
18,054 |
3,033 |
202 |
21,289 |
|
Hyperinflationary adjustment |
557 |
293 |
- |
850 |
|
Additions |
2,793 |
174 |
214 |
3,181 |
|
Disposals |
(536) |
(98) |
- |
(634) |
|
Effect of movements in foreign exchange |
448 |
40 |
12 |
500 |
|
Balance as at 30 June 2026 (unaudited) |
21,316 |
3,442 |
428 |
25,186 |
|
Depreciation |
|
|
|
|
|
Balance at 1 January 2025 |
(7,898) |
(2,136) |
(95) |
(10,128) |
|
Hyperinflationary adjustment |
75 |
23 |
- |
97 |
|
Depreciation charge for the period |
(906) |
(340) |
(19) |
(1,265) |
|
Disposals |
302 |
210 |
9 |
521 |
|
Effect of movements in foreign exchange |
556 |
75 |
34 |
665 |
|
Balance as at 31 December 2025 (audited) and as at 1 January 2026 |
(7,871) |
(2,168) |
(71) |
(10,110) |
|
Hyperinflationary adjustment |
(438) |
(230) |
- |
(668) |
|
Depreciation charge for the period |
(556) |
(196) |
(3) |
(755) |
|
Disposals |
364 |
54 |
- |
418 |
|
Effect of movements in foreign exchange |
(133) |
(11) |
(4) |
(148) |
|
Balance as at 30 June 2026 (unaudited) |
(8,634) |
(2,551) |
(78) |
(11,263) |
|
Net book value |
|
|
|
|
|
At 31 December 2025 (audited) |
10,183 |
865 |
131 |
11,179 |
|
At 30 June 2026 (unaudited) |
12,682 |
891 |
350 |
13,923 |
7 Inventories
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Raw materials and consumables |
8,137 |
7,367 |
6,673 |
|
Work in progress |
8,096 |
9,855 |
8,236 |
|
Finished goods |
10,870 |
11,296 |
10,718 |
|
|
27,103 |
28,518 |
25,627 |
8 Trade and other receivables
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Trade receivables |
16,755 |
19,038 |
15,421 |
|
VAT Receivable |
6,123 |
3,078 |
4,060 |
|
Contract Assets |
2,032 |
139 |
2,669 |
|
Other receivables |
4,917 |
1,912 |
2,206 |
|
|
29,827 |
24,167 |
24,356 |
|
Prepayments and accrued income |
6,093 |
7,984 |
5,176 |
|
Total trade and other receivables |
35,920 |
32,151 |
29,532 |
The carrying value of trade and other receivables classified at amortised cost approximates fair value.
The Group applies the IFRS 9 simplified approach to measuring expected credit losses using a lifetime expected credit loss provision to trade receivables. The expected loss rates are based on the Group's historical credit losses. Due to the nature of the Group’s customers, historic credit losses are limited, however a small credit loss provision of $229,518 has been made at the end of period (2025: $220,229). The key assumptions used in evaluating the credit loss provision are the historical default ratio of these customers, any known liquidity risks of the customers and, based on the information available, we have assessed a range of possible outcomes.
9 Loans and borrowings
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Non-current liabilities |
|
|
|
|
Non-current portion of finance lease liabilities |
4,344 |
3,439 |
3,955 |
|
Other interest-bearing loans and borrowings |
763 |
400 |
694 |
|
|
5,107 |
3,839 |
4,649 |
|
Current liabilities |
|
|
|
|
Current portion of secured bank loans |
16,358 |
12,735 |
7,826 |
|
Current portion of secured machine mortgage |
1,109 |
831 |
1,300 |
|
Current portion of unsecured loan from related party |
346 |
390 |
431 |
|
|
17,813 |
13,956 |
9,557 |
|
Current portion of finance lease liabilities |
1,691 |
2,247 |
1,839 |
|
|
19,504 |
16,203 |
11,396 |
|
|
24,611 |
20,042 |
16,045 |
10 Trade and other payables
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Current |
|
|
|
|
Trade payables |
18,368 |
15,900 |
16,293 |
|
Non-trade payables and accrued expenses |
5,275 |
4,385 |
4,815 |
|
Employee social security and taxes |
1,796 |
1,797 |
2,361 |
|
Contract liabilities |
4,027 |
7,484 |
6,466 |
|
Other payables |
6,685 |
3,496 |
1,538 |
|
|
36,151 |
33,062 |
31,473 |
11 Related parties
The compensation of key management personnel (including the directors) is as follows:
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Key management remuneration including social security costs |
477 |
464 |
1355 |
|
Company contributions to money purchase pension plans |
0 |
3 |
15 |
|
|
477 |
467 |
1370 |
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Directors’ remuneration including social security costs |
347 |
382 |
910 |
|
Company contributions to money purchase pension plans |
0 |
3 |
7 |
|
|
347 |
385 |
917 |
Key Management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Group, including the Directors of the Company.
12 Share options
As at 30 June 2026, 1,419,946 share options were outstanding (31 December 2025: 3,452,601).
In the 6 months to 30 June 2026, CT Automotive Group PLC did not grant any share options.
Following the period end, and as announced to RNS, on 2 July 2026, the Company awarded options over a total of 2,389,033 ordinary shares.
13 Alternative performance measures
The APMs used by the Directors include:
Adjusted EBITDA – calculated as EBITDA adjusted for non-recurring items, hyperinflation, and non-cash foreign exchange translation (loss)/gain.
Adjusted EBITDA margin – calculated as adjusted EBITDA divided by revenue in the period.
Adjusted profit before tax margin – calculated as adjusted profit before tax divided by revenue in the period.
Adjusted profit before tax – calculated as profit before tax adjusted for non-recurring items, hyperinflation, and non-cash foreign exchange translation (loss)/gain.
EBITDA is calculated using Operating profit/(loss) before interest, taxes, depreciation and amortisation.
Detail of each of the non-recurring items is disclosed in Note 4.
Adjusted EBITDA and Adjusted EBITDA margin
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Adjusted EBITDA |
4,362 |
6,983 |
14,789 |
|
Adjusted and non-underlying items |
|
|
|
|
- Impact of hyperinflation |
-140 |
-303 |
-427 |
|
- Redundancy cost |
-422 |
-364 |
-425 |
|
- Non cash impact foreign exchange gain/(loss) |
515 |
342 |
532 |
|
EBITDA |
4,315 |
6,658 |
14,469 |
|
Adjusted EBITDA margin |
7.1% |
12.9% |
12.9% |
|
EBITDA margin |
7.0% |
12.3% |
12.6% |
Adjusted Profit/(Loss) Before Tax and Adjusted Profit/(Loss) Before Tax margin
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Adjusted Profit Before Tax |
1,610 |
3,771 |
9,472 |
|
Adjusted and non-underlying items |
|
|
|
|
- Impact of hyperinflation |
-140 |
-303 |
-427 |
|
- Redundancy cost |
-422 |
-364 |
-425 |
|
- Noncash impact foreign exchange gain/(loss) |
515 |
342 |
532 |
|
Profit Before Tax |
1,563 |
3,446 |
9,152 |
|
Adjusted Profit before tax margin % |
2.6% |
7.0% |
8.2% |
|
Profit before tax margin % |
2.5% |
6.4% |
8.0% |
The Directors consider Alternative Performance Measures (APMs) to better allow the readers of the accounts to understand the underlying performance of the Group. The Directors also monitor these APMs to assess financial performance throughout the period.
14 Cash and cash equivalents
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
Cash and cash equivalents for purposes of the statement of cash flows comprises: |
|
|
|
|
Cash and cash equivalents |
6,421 |
1,378 |
2,524 |
|
|
6,421 |
1,378 |
2,524 |
15 Share Capital
Allotted, called up and fully paid
|
|
Unaudited 6 months to |
Restated Unaudited 6 |
Audited Year to 31 |
|
73,597,548 (2025: 73,597,548) ordinary shares of £0.005 each |
484 |
484 |
484 |
|
Shares classified in Shareholder’s fund |
484 |
484 |
484 |
16 Subsequent events
Following period end and subsequent to the issue of the trading update on 4 August, one of the Group’s key customers engaged with the Company regarding the quantum of certain cost escalation clauses within its business nominations awards and, whilst CT Automotive is confident of a positive outcome, discussions with this customer remain ongoing. The detail of this is included within the CEO’s statement and the Financial Review reflecting the Board’s current assessment of the position.
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