NWF Group plc
NWF Group plc: half year results for the six months ended 30 November 2024
NWF Group plc (‘NWF’ or ‘the Group’), a specialist distributor, today announces its half year results for the six months ended
30 November 2024.
| Financial highlights | H1 2024 | H1 2023 | % |
| Revenue | £454.3m | £472.9m | (3.9) |
| Headline operating profit1 | £5.0m | £4.0m | 25.0 |
| Headline profit before taxation1 | £3.6m | £3.4m | 5.9 |
| Diluted headline earnings per share1 | 5.5p | 5.1p | 7.8 |
| Interim dividend per share | 1.0p | 1.0p | – |
| Net cash2 | £11.4m | £13.3m | (14.3) |
| Statutory results | |||
| Operating profit | £3.6m | £4.6m | (21.7) |
| Profit before taxation | £2.1m | £3.8m | (44.7) |
| Diluted earnings per share | 3.2p | 5.5p | (41.8) |
| Net debt (including IFRS 16 lease liabilities) | £39.1m | £14.3m | >100 |
1 Headline operating profit excludes exceptional items (see note 4) and amortisation of acquired intangibles. Headline profit before taxation excludes exceptional items, amortisation of acquired intangibles and the net finance cost in respect of the Group’s defined benefit pension scheme. Diluted headline earnings per share also takes into account the taxation effect thereon.
2 Net cash excluding IFRS 16 lease liabilities.
Group highlights
- Strong first half performance in line with the Board’s expectations.
- Year-on-year growth in headline operating profit and headline profit before tax reflecting good performances in Fuels and Feeds, which offsets a slower first half performance in Food.
- Positive cash generation resulting in a robust cash position, totalling £11.4 million at the half year end; this underpins the well progressed pipeline of acquisition opportunities in Fuels.
- The Board’s full year trading expectations remain unchanged ahead of the seasonally more significant second half.
Business highlights
Fuels – Headline operating profit of £1.7 million (H1 2023: £0.7 million). Volumes were consistent with the prior year, but performance benefitted from improved margins and a lower cost base reflecting strong cost management action taken early in the period.
Food – Headline operating profit of £2.5 million (H1 2023: £2.9 million). Stock levels increased as the Lymedale warehouse became fully operational and transitioned to optimal capacity. Performance lagged the prior year reflecting the start-up costs of Lymedale.
Feeds – Headline operating profit of £0.8 million (H1 2023: £0.4 million). Volumes ahead of the prior year and the overall market. The milk price has steadily increased since September supporting continued feed usage whilst raw material prices have been stable.
Chris Belsham, Chief Executive Officer, NWF Group plc, commented:
“The Group has delivered a positive first half and we are trading in line with our expectations for the year as a whole. We are pleased with the improved performance in both Fuels and Feeds which has offset the short-term weaker performance in Food as we continued the stock build in the Lymedale warehouse.
“Our pipeline of target acquisitions in Fuels is strong as we continue to consolidate the fragmented fuels distribution market. We have also continued to progress our key performance initiatives, aimed at enhancing our commercial approach and operational efficiency across the Group.
“Supported by our strong financial position, our outlook is unchanged and we remain confident in NWF’s growth potential and prospects.“