Likewise Group (LON:LIKE) has delivered a strong AGM statement, with the latest research note from Zeus highlighting continued revenue momentum as the flooring distributor moves towards the second half of 2026.
According to Zeus, like-for-like revenue in the year to date to 16 June 2026 was up 17.0% year-on-year. Trading in June was even stronger, with month-to-date like-for-like revenue up 20.8% year-on-year. That marks an acceleration from 19.1% growth in May and 16.5% year-to-date growth at the end of that month.
The performance stands out because Zeus notes that the UK consumer backdrop remains weak and macro uncertainty is still affecting the wider market. Even so, the board remains confident of achieving market expectations for FY26. Zeus has left its forecasts unchanged, with FY26 revenue estimated at £174.1m and adjusted profit before tax expected to reach £4.0m.
Research Analysts Andy Hanson and Charlie Cullen wrote: “With peers continuing to report weak demand, Likewise’s ability to sustain and indeed accelerate its growth trajectory cements its position, in our view, as the flooring sector’s emerging winner.”
Highlights from the latest Zeus research note
- Like-for-like revenue was up 17.0% year-on-year in the year to date to 16 June 2026.
- June month-to-date like-for-like revenue was up 20.8% year-on-year.
- June trading showed an acceleration from 19.1% growth in May.
- Zeus’ FY26 revenue forecast remains unchanged at £174.1m.
- Zeus’ FY26 adjusted profit before tax forecast remains unchanged at £4.0m.
- FY26 adjusted EBITDA is forecast at £11.6m.
- FY26 adjusted EBIT is forecast at £5.5m.
- FY26 adjusted EPS is forecast at 1.2p.
- FY26 dividend is forecast at 0.4p per share.
- Net debt, excluding leases, is forecast at £10.7m for FY26.
- Operational projects in Glasgow, Leeds, Derby, Newport and the East Midlands are on schedule.
- Capacity investment is expected to support revenues in excess of Likewise’s £250m target.
- The board is developing a five-year strategy focused on continued expansion and improved operating margins.
Operational expansion remains on track
A key part of the update is Likewise’s investment in operational capacity. Zeus says all five expansion projects, in Glasgow, Leeds, Derby, Newport and the East Midlands, are on schedule. These projects are expected to provide significantly more capacity in the second half of 2026 and into FY27.
This matters because Likewise is working towards a revenue target of more than £250m. Zeus states that the current investment programme should provide capacity in excess of that target, underlining management’s confidence in the company’s ability to continue pursuing opportunities across the UK flooring distribution market.
The board is also discussing further investment to capitalise on the group’s growth opportunities. At the same time, its developing five-year strategy places emphasis on improved operating margins as well as continued expansion.
Forecasts remain unchanged, despite stronger trading
Zeus highlights that current revenue performance is running well ahead of its FY26 revenue growth forecast of 6.7%. However, the broker has taken a cautious approach by leaving its estimates unchanged. The reason is continued uncertainty around consumer confidence, end demand, input costs and fuel costs.
This balanced stance is important. Zeus is not assuming that recent growth automatically removes the risks in the wider market. Instead, the note recognises that the first five and a half months of the year have been strong, while also acknowledging that the second half of the year remains harder to predict.
Valuation context
Zeus says Likewise is trading on 0.6x forward sales, which it describes as cheap for the level of growth and the market share the group is capturing. The broker also notes that operating margins are currently being held back by rapid investment in the platform, sales and marketing. However, Zeus expects margins to improve as the business matures.
For general readers, the main point is that Likewise is growing strongly while also investing in the infrastructure needed to support a larger business. The company’s expansion projects are designed to create additional capacity, while the five-year strategy is expected to focus on growth and margin improvement.
Final Thoughts
The latest research note from Zeus presents Likewise as a business continuing to gain momentum in a difficult market. Strong like-for-like revenue growth, expansion projects that remain on schedule and confidence in FY26 market expectations all support a positive reading of the AGM statement. While Zeus is keeping its forecasts unchanged for now, the note makes clear that Likewise’s revenue momentum is continuing into the second half of 2026.
