UK's Croda H1 sales rise on Consumer Care growth
UK's Croda H1 sales rise on Consumer Care growth
Overview
UK specialty chemicals maker's H1 sales rose 4.6% organically, led by Consumer Care growth
Adjusted operating profit for H1 increased 6.7% organically, with margin up to 17.7%
Company maintained interim dividend and kept full-year 2026 outlook unchanged
Outlook
Croda expects FY26 group organic sales growth within its 3-6% range
Company anticipates a further increase in group adjusted operating margin in FY26
Croda expects a negative currency impact of about £4 mln on FY26 operating profit if rates stay at June 2026 levels
Result Drivers
CONSUMER CARE DEMAND - Strong growth in Consumer Care, especially Beauty Actives and Home Care, drove group sales and profit, per co
TRANSFORMATION EFFICIENCIES - Adjusted operating profit rose due to transformation programme benefits and cost efficiencies, per co
INNOVATION-LED SALES MIX - Increased sales of New and Protected Products and positive price/mix supported margin improvement, per co
Company press release: ID:nRSb0554Oa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Sales | Slight Beat* | GBP 880.50 mln | GBP 879.42 mln (2 Analysts) |
H1 Adjusted Operating Profit | Slight Miss* | GBP 155.80 mln | GBP 157 mln (1 Analyst) |
H1 Pretax Profit | Miss | GBP 107.40 mln | GBP 147 mln (1 Analyst) |
H1 Dividend |
| GBP 0.48 |
|
H1 Operating Profit |
| GBP 115.50 mln |
|
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the specialty chemicals peer group is "buy"
Wall Street's median 12-month price target for Croda International PLC is GBp3,450.00, about 17.9% above its July 27 closing price of GBp2,925.00
The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 17 three months ago
Reuters Recommended Reads
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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)