Trading Update
Summary by AI BETAClose X
28 October 2025
IG Design Group plc
(the "Company", the "Group" or "Design Group")
Trading Update
Half-year results support confidence in delivering full-year guidance
IG Design Group plc, a leading designer, innovator and manufacturer across various celebration and creative categories, announces its post-close trading update ahead of the release of its unaudited results for the six months ended 30 September 2025 ('the period').
The Group completed the sale of DG Americas to Hilco on 30 May 2025. As previously set out, the FY2026 reported results will include two months of DG Americas' trading losses, associated transaction costs, and non-cash impairment and/or loss on disposal.
The continuing Group comprises businesses in the UK, continental Europe and Australia. These businesses have less complex models, and a strong heritage that benefit from long-established and stable relationships with the major retailers. The Group benefits from a combination of well-structured product ranges with a strong focus on design and innovation, supported by a geographically diverse market footprint, trading with 70 countries.
Financial
The Group's first-half performance reaffirms the Board's expectation that full-year revenues are in line with the previously guided range of $270-280 million. Entering the second half, the Group benefits from strong orderbook visibility at 91%, providing confidence that full-year performance will remain aligned with guidance.
The continuing Group (previously DGI) revenue for the period is expected to be c.13% lower than the prior year. This reflects the market headwinds previously communicated at the time of the full-year results, principally softer demand in the UK and the tariff impact on UK sales into the US, but also competitive pricing pressure in Europe. Additionally, c.$7 million of expected revenue has shifted into the second half of the year due to timing of shipments, primarily in Europe.
Adjusted operating profit from continuing operations for the period is anticipated to be c.$5.6 million (4.3% adjusted operating margin). The Group remains confident that full-year adjusted operating margins will be maintained within the guided range of 3-4%, supported by continued operational efficiencies, disciplined cost control, and a focus on higher-margin channels.
The Group ended the period with a net cash position of c.$2 million (HY2025: $7.4 million). Total cash outflow for the period included c.$33 million relating to DG Americas. The continuing Group cash outflow in the period improved by c.13% year-on-year which reflects progress and discipline in cash and working capital management.
Strategic and Corporate Developments
The CEO recruitment process remains underway. Stewart Gilliland remains committed to the role of Interim Executive Chair until an appointment has been finalised.
Hilco's sale process of Design Group Americas, Inc. is progressing, and the potential future net proceeds, if any, will be determined upon completion of the wind-down of the business.
Outlook
The Group enters the second half of the year with strong revenue visibility, a robust orderbook, and a net positive cash position. The Board remains confident in meeting full-year expectations and continues to prioritise opportunities that support sustainable growth in both revenue and margin over the long term.
Further details on the performance for the six months, including updated segment reporting, the disposal of DG Americas and the outlook for the remainder of the year, will be provided in the interim results which are scheduled to be published on 2 December 2025.
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For further information, please contact: |
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IG Design Group plc |
Tel: +44 (0)1525 887310 |
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Stewart Gilliland, Interim Executive Chair |
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Rohan Cummings, Chief Financial Officer |
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Canaccord Genuity Limited (Nomad and Broker) |
Tel: +44 (0)20 7523 8000 |
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Bobbie Hilliam |
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Elizabeth Halley-Stott |
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Alma Strategic Communications |
Tel: +44 (0)20 3405 0205 |
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Rebecca Sanders-Hewett |
designgroup@almastrategic.com |
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Sam Modlin |
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Will Merison |
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