H1 2026 Trading Update

Portmeirion Group PLC

28 July 2026

 

28 July 2026

Portmeirion Group PLC

(the "Group")

H1 2026 Trading Update

H1 performance in line with Board expectations

Balance sheet strengthened; new leadership team in place; operational progress delivered

Portmeirion Group PLC, the global homeware brands group, today issues a trading update in respect of its half year ended 30^th June 2026 ("H1 2026") and provides an update on operational targets.

Michael Scheepers, Chief Executive, commented:

"We are delivering against the key milestones set out at the equity raise and moving at pace.  Our tableware brands Spode, Portmeirion and Royal Worcester delivered growth in H1 with strong momentum in the US and our international markets. Thanks to the support of shareholders, our balance sheet has been transformed. Our direction is clear, our new leadership team is in place and the decisions we are making are building a stronger, more sustainable business."

H1 TRADING IN LINE

Group Sales in H1 2026, the seasonally quieter half, are expected to be c.£36.4m, flat year-on-year at constant currency. The tableware business is up 4.1% year-on-year, with the USA returning to double digit growth.  The Group has made strong progress in Malaysia, and the Group has entered Türkiye as a new market.

Product momentum has been supported by the launch of Bloom Garden and the reintroduction of Sophie Conran Blue. Building on the success of branded social selling in Malaysia, we are launching similar initiatives in China, while bringing Amazon in-house in the USA has strengthened control over pricing, brand presentation and commercial execution.

As outlined in our transformation plan, the Group has made significant changes over the year to position the business for long-term growth. These have included proactive commercial changes in the US product offer and distribution, reduction of excess / end of line inventory, some initial margin investment in accelerating our Made in Stoke-on-Trent onshoring initiative, as well as annualisation of some upfront investment in future growth opportunities.  

The Group's net debt position was £6.2m at 30 June 2026 (FY25: net debt of £17.5m), reflecting the H1 loss, usual seasonal working capital outflow (seasonal peak in October), the net cash inflow from the successful equity raise completed during H1 and US tariff claim receipts.

SALES PERFORMANCE ANALYSIS

H1 2026	% change (constant currency)
Group Sales	-0.2%
Group Tableware	4.1%
North America	13.6%
UK	-14.4%
South Korea	-15.7%
International	37.7%

North America: US strength across independent and large groups

·    Strong growth in our US market (+17%), benefitting from the resetting of our commercial relationship with a key partner.  Our brands have performed particularly well in the independent channel, an initiative launched in H2 2025.

·    Revenue in Canada has been soft, reflecting the challenging retail market.

·    Having taken our Amazon business in-house earlier in the year, we are pleased with the early progress and are confident the business will become significantly larger than under the previous operating model.

United Kingdom: Market disruption from high profile business collapses

·    Resilient performance in our UK tableware business, with sales down 6.9% against a challenging market backdrop, including some disruption from a competitor collapse and increased levels of discounted product.

·    Encouraging customer engagement despite the challenging high-street environment, with strong interest in our new product development. Against continued sector disruption, customers are increasingly looking to Portmeirion Group as a trusted and reliable partner to help drive their category performance.

South Korea: Market reset and onboarding additional partner

·    Initiated the reset of our commercial relationship with distributors in South Korea to ensure healthy market dynamics, with short-term impact on sales (down 15.7%).

·    We have started working with a leading eCommerce partner, with encouraging early signs, providing an additional route to strengthen our brands and build momentum.

International¹: Continued strong growth

·    Growth of 37.7% aided by a renewed focused approach to international markets and the signing of new distributors, including in Türkiye and Malaysia.

·    We were pleased to see progress in markets including Malaysia, Australia and Europe.

Wax Lyrical: Profit improvement plan launched

·    Wax Lyrical, our home fragrance brand, saw sales decline 18.3%.  Now under new leadership, Wax has a profit improvement plan that should see growth and margin improvement over the coming 18 months.

·    Wax Lyrical is non-core to the Group and disposal process will be implemented in the medium-term.

2026 OPERATIONAL OBJECTIVES

Aligned to our revised strategy "Elevated", the Group set operational objectives for 2026 that are critical to the delivery of the strategic plan.  The objectives are set out below, and progress on these will be provided.

Drive Higher Returns & Fortress Balance Sheet

1.    Strengthen Balance Sheet - DELIVERED - £18.6m gross equity raise and new £36m ABL

2.    Cash in from US tariff claim - DELIVERED - 98% of $3m claim repaid June 2026

3.    Reduce excess inventory - IN PROGRESS -  £4m reduction in 2026; £1.8m achieved in H1

4.    Reduce complexity - IN PROGRESS -  SKU reduction by 20% in 2026

Focused Expansion

5.    Licencing - IN PROGRESS - 3 new licence deals to be signed

6.    2027 Royal Worcester brand relaunch - IN PROGRESS

7.    China market entry - IN PROGRESS - Social selling in China launched in June 2026

8.    Enter 3 new territories to support international expansion - IN PROGRESS

Excellence Everywhere

9.    Senior Leadership hires and organisation realignment - DELIVERED  June 2026

10.  Single eCommerce platform for core UK and US markets - DELIVERED April 2026

11.  Made in Stoke-on-Trent - IN PROGRESS - % of seconds in Stoke factory reduced by 1000bp in  2026

12.  Improve Stoke factory economics - IN PROGRESS - cost per piece down, despite raw material and labour cost inflation

STRENGTHENED LEADERSHIP TEAM

Following the significant strengthening of the leadership team during the last 12 months, the Group made two further appointments at the end of H1.  Jane Mason joined as UK and Europe Director and Hayley Baddiley as Group Marketing Director, hence completing the senior leadership team.

With the senior leadership in place, the Group organisational structure has been reshaped and simplified, with full commercial responsibility sitting with the Directors in each region.  This new structure will allow faster decision making, with clearer market ownership and increased commercial accountability.

OUTLOOK

The first half of 2026 has performed in line with Board expectations, and our full year expectations remain unchanged for revenue growth of 3-5% including negative F/X impact and adjusted PBT losses lower than for FY25.

Energy costs remain a material headwind for the industry, with the Group hedged to 31 March 2027. In May, the Government announced a £120m support package for the UK ceramics sector, although further details, including eligibility and timing, have yet to be published. Separately, calls to extend the British Industry Supercharger scheme to the ceramics sector were debated in Parliament on 6 July. At this stage, there is no clarity on the benefit of either initiative for the Group.

We are excited about the future and the opportunities created through our 'Elevated' strategy. We are fast tracking key new global product launches under our Spode and Portmeirion brands.  We will ensure we have the right strategic relationships, distribution model, and customers in every market, to maximise the long-term potential of our brands and enhance their brand relevance and profile.

The Group will publish interim results in September 2026.

¹ International consists of over 50 separate markets excluding USA, UK, and South Korea

ENQUIRIES:

Portmeirion Group PLC
Michael Scheepers, Chief Executive	[phone]
Jonathan Hill, Group Finance Director	[phone]
Houston (PR advisers)
Kate Hoare	[phone]	[e-mail]
Charlie Barker	[phone]
Shore Capital (Nominated Adviser and Broker)	[phone]
Patrick Castle	Corporate Advisory
Lucy Bowden Malachy McEntyre Isobel Jones	Corporate Broking

NOTES TO EDITOR:

Portmeirion Group PLC is a global homeware brands group based in Stoke-on-Trent, England. The Group owns six unrivalled heritage and contemporary brands: Spode, Portmeirion, Royal Worcester, Wax Lyrical, and Nambé. The Group serves markets across the world, with global demand driven by diversified international markets including the key geographies of North America, UK, and South Korea.

 

END