Victrex plc (LON:VCT), an innovative world leader in high performance polymers, delivering sustainable products which enable environmental and societal benefit across Aerospace, Automotive, Electronics, Energy & Industrial and Medical, has announced ots interim results (unaudited) for the 6 months ended 31 March 2026.
| H1 2026 | H1 2025 | % change (reported) | % change(constant currency1) | |
| Group sales volume | 2,137 tonnes | 2,018 tonnes | +6% | N/A |
| Group revenue | £147.1m | £145.9m | +1% | +2% |
| Gross profit | £61.3m | £64.3m | -5% | -2% |
| Gross margin (GM) | 41.7% | 44.1% | -240bps | N/A |
| Underlying profit before tax (PBT)1 | £19.0m | £23.2m | -18% | -14% |
| Reported (loss)/profit before tax | (£44.0)m | £17.2m | -356% | -398% |
| Underlying EPS1 | 17.2p | 22.6p | -24% | N/A |
| Basic (loss) per share/EPS | (37.0p) | 17.4p | -313% | N/A |
| Dividend per share | 13.42p | 13.42p | flat | N/A |
| Net debt | £45.4m | £40.7m | +12% | N/A |
H1 2026 PERFORMANCE
| · | Revenue up 1% driven by volume growth of 6%, offset by sales mix, pricing and currency | |
| – | H1 Group revenue up 1% at £147.1m, with Group sales volumes of 2,137 tonnes (H1 2025: 2,018 tonnes) driven by Sustainable Solutions; strong Q2 2026 with Group revenue up 7% | |
| – | Average selling price (ASP) stable vs H2 2025 and down 4% on prior year at £69/kg (H1 2025: £72/kg) | |
| · | Underlying PBT down 18% at £19.0m reflecting sales mix, price and currency | |
| – | H1 2026 underlying PBT down 18% at £19.0m (H1 2025: £23.2m) 14% down in constant currency | |
| – | Underlying operating cash conversion1 of 109% (H1 2025: 128%) | |
| – | Interim dividend maintained at 13.42p/share | |
| · | Reported loss of £44m after £63m of exceptional items | |
| – | £60.6m non-cash impairment of China manufacturing facility; however, the Group remains committed to this facility in our fastest growing region | |
| · | Profit Improvement Plan progressing well; early benefits in H2 2026 and £10m full year savings in FY 2027 | |
| – | Headcount being reduced by c10%, primarily in central functions | |
| – | New operating model, with refreshed high performance leadership team established | |
| – | Portfolio simplification progressing, targeting a more balanced mix of short and long term programmes; potential additional non-cash charge in H2 2026 of up to £10m | |
| · | Net debt/underlying EBITDA1 0.65x (H1 2025: 0.51x) | |
| · | Strategy update at Capital Markets Day in September 2026: ‘Unlocking Victrex’s potential’ | |
| – | Fixing the Foundations | |
| – | Driving improved execution | |
| – | Focus on addressable market and new application opportunities for VICTREXTM PEEK | |
| – | Introduction to refreshed leadership team | |
| – | Roadmap to driving significant improvement in profitability over the medium term | |
Dr James Routh, Chief Executive Officer of Victrex, commented:
“After a slow start in Q1, we regained momentum in our second quarter, led by our Sustainable Solutions division. Whilst volume growth was 6% in H1 2026, underlying PBT of £19.0m was lower, as previously guided, driven by sales mix, pricing and currency.
During my first four months leading Victrex I have been greatly impressed by our strong, differentiated products and solutions, and well invested assets. However, despite the passion and innovation amongst our people, we have not adapted quickly enough to changed market conditions and we must now relentlessly focus on improving our execution. The rapid action we have taken to address these issues, through implementing the Profit Improvement Plan and establishing a high-performance leadership team, will help to drive our next phase of sustainable growth.
Our Profit Improvement Plan is on track for some early benefits at the end of FY 2026, with full year savings of at least £10m in FY 2027. We are simplifying our business, including reducing around 10% of roles, primarily in central functions. Whilst this will support us in the short-term, making Victrex a simpler, more differentiated and more customer focused business is essential to return us to sustainable profit growth.
Our value proposition remains robust and we will host a Capital Markets Day in September 2026 to set out how we are addressing our challenges including improving execution, as well as our medium term ambitions.
Overall, our growth opportunities remain strong across a broad range of end markets and geographies. With a clear and differentiated value proposition, unmatched expertise in PEEK and world class applications know-how, we are focused on driving significant improvement in profitability over the medium term.”
FY 2026 OUTLOOK:
“The Group has made a solid start to the second half, though we are mindful of the potential implications for global demand and energy costs given the ongoing events in the Middle East. On a full year basis, the Board expects FY 2026 underlying PBT to be in the range of £42m-£44m.”
Notes:
1 Alternative performance measures are defined in note 14.
A presentation for analysts and investors will be held at 09.00am (UK time) this morning at JP Morgan, 1 John Carpenter Street, London, EC4Y 0JP. A copy of the presentation can be downloaded from our corporate website at www.victrexplc.com under the Investors / Results & Presentations tab from 08:00am (UK time) this morning. A dial in facility will be available, which can be accessed by registering on the following link: Victrex Interim results Registration Page!
