REG - Flowtech Fluidpower - Audited Preliminary FY25 Results & Outlook update
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RNS Number : 7874X Flowtech Fluidpower PLC 24 March 2026
Tuesday, 24 March 2026
Immediate Release
Flowtech Fluidpower plc
(Flowtech, Group or Company"
"Our aim is to provide our customers with power, motion & control
solutions, from a single component to integrated engineering systems and in
the most cost-effective way, harnessing the best global brands and products,
services and engineers in the market"
AIM listed Flowtech Fluidpower plc (LSE symbol: FLO) today releases audited
preliminary results for the year ended 31 December 2025.
Mike England, CEO and CFO, Russell Cash will be presenting the Annual results
presentation, an update on strategic progress and outlook via the Investor
Meet Company (IMC) platform today at 11:00 GMT.
https://www.investormeetcompany.com/flowtech-fluidpower-plc/register-investor
(https://www.investormeetcompany.com/flowtech-fluidpower-plc/register-investor)
PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 2025
The following statement provides a summary of the 2025 results. The 2025
Annual Report and Financial Statements will be published and available on the
Company's website shortly Investor Hub | Flowtech
(https://flowtech.co.uk/investor-hub) .
Key Financial Information
Financial Highlights 2025 2024 Change
Revenue £116.9m £107.3m +£9.6m
Gross profit % 39.2% 38.2% +100bps
Operating loss -£1.0m -£25.2m +£24.2m
Underlying EBITDA* £7.7m £5.9m +£1.8m
Underlying operating profit* £3.6m £2.7m +£0.9m
Net cash from operating activities £7.8m £8.7m -£0.9m
Net debt £15.2m £15.1m +£0.1m
· Further details contained o pages 10 and 24
In Year Financial Highlights
Ø Revenue increased by 9.0% for the period. Excluding the impact of
the Thorite, Allswage and Thomas Group acquisitions like-for-like revenues
were down by £3.0m (3.0%), reflecting continued challenging markets
Ø H2 saw like-for-like revenue growth of 7.6%, significantly
offsetting the 11.9% reduction in H1, driven mainly by self-help measures,
focusing on our four stated sales growth levers of: (1) new digital platform,
(2) product & service expansion, (3) engineering projects ,and (4)
inorganic opportunities
Ø Gross profit margin remained strong over the period, with further
gross margin gains of 100bps in the year, reflecting disciplines introduced
over recent years
Ø Underlying EBITDA of £7.7m represents a 30.5% increase from the
prior year, with increased momentum in H2 showing through (H1 25 £3.5m, H2 25
£4.2m). The comparatives in FY24 were H1 £4.7m and H2 £1.2m.
Ø Net debt increased by £0.1m to £15.2m at the year-end; this
represents a £3.3m reduction from the position at the end of H1 25
-Debt levels have remained stable in the year reflecting our restructuring
activity and necessary capital investment in the business. Looking forward, we
expect the combination of further progress in our stated growth initiatives,
lower capital investments, and ongoing discipline over working capital to
result in stronger cash conversion and a significant improvement in our
leverage position.
In Year Non-Financial Highlights
Ø As we exited 2025, we transitioned from a "business transformation
phase" into the "grow and build phase" of our value creation plan, as set out
on the arrival of Mike England as CEO in 2023
-The Board believes that work performed over recent years including the
integration of many separate businesses into One Flowtech, embedding the core
foundations and necessary commercial, operational and technology improvements
has enabled the scalable and efficient platform for growth that exists today.
Ø We entered 2026 with a stronger sales pipeline and orderbook,
stable gross margins and positive momentum in several areas including:
-The launch of our new website in August and which is showing improved trends
in traffic and new customer gains
-The introduction of new supplier agreements and associated product range
expansion
-Strong contribution from our three recently acquired businesses in terms of
both revenue growth and positive EBITDA. (Thorite (August 2024), Allswage
(March 2025), Thomas (May 2025).
Post Period End Highlights
Ø We were delighted to announce the acquisition of Q Plus which
completed on 12 February. The Q Plus performance and the integration process
since completion has been in line with our expectations. As part of this the
Company raised c.£9 million after costs, via a Placing. Proceeds have been
used to fund the cash consideration of the acquisition, Q Plus B.V, to reduce
debt to allow us increased financial flexibility, and for Group working
capital purposes. We were delighted that the Placing was strongly supported by
both existing and several new institutional investors and retail investors.
Current Trading and Outlook
Ø Current trading is in line with our full year expectations
Ø Our order book and sales pipeline are demonstrating solid momentum
and builds confidence beyond Q1 26 - focus on higher growth sectors such as
defence, waterways & flood defence, data centres, and transportation
continues
Ø The new digital platform is performing well, with month-on-month
improvements showing positive signs
Ø Management focus on managing the quantum of capital investment and
all aspects of working capital - confident that our cash conversion in FY26
will be much stronger than recent years
Ø Q Plus performance and the ongoing integration process is in line
with expectations.
Roger McDowell, Non-Executive Chair said:
"Whilst 2025 did not live up to our initial expectations and we were
disappointed with the final outturn this was largely due to continued volatile
external markets. I am, however, pleased to say that we exited the year with
positive momentum. Our investment in a new digital platform is a cornerstone
of Flowtech's growth strategy providing the scalable foundation required to
support future expansion. The Board views this investment as essential to
building a more resilient, data-led, and sustainably growing international
business.
"In addition, over the last two years, we have completed a wide-ranging
programme of operational transformation that will help underpin our
performance. During the period, our more recent acquisitions performed well
and, post year end, we were also delighted to announce that Q Plus (a Benelux
based business) has joined the Group.
"Whilst trading conditions continue to remain difficult to predict,
particularly with the impact of recent events in the Middle East, we are now
confident that Flowtech is well positioned to maximise the opportunities
available.''
Annual General Meeting (AGM)
The AGM will be held on 19 June 2026 at 10am. The Company is facilitating an
online AGM experience via the Investor Meet Company platform, details of which
are contained in the Notice of Meeting. Those joining the meeting remotely
will have the opportunity to join the meeting from any remote location and to
listen to the proceedings of the meeting. The webcast will also be available
on the website after the event.
To read some examples of our projects within our key sectors, see below:
Case Study: Data Centre South Wales:
https://flowtech.co.uk/case-studies/data-centre-south-wales
(https://flowtech.co.uk/case-studies/data-centre-south-wales)
Case Study: Merchant Square Bridge Design:
https://flowtech.co.uk/case-studies/merchant-square-bridge-design
(https://flowtech.co.uk/case-studies/merchant-square-bridge-design)
Case Study: Fruit Harvesting Machine:
https://flowtech.co.uk/case-studies/fruit-harvesting-machine
(https://flowtech.co.uk/case-studies/fruit-harvesting-machine)
Case Study: Food-Grade Packaging Machine:
https://www.thorite.co.uk/article/2023-june-resolving-packaging-nightmares-with-electric-automation
(https://www.thorite.co.uk/article/2023-june-resolving-packaging-nightmares-with-electric-automation)
Flowtech Fluidpower plc
Preliminary results for the year ended 31 December 2025
Statement by the Chair, Roger McDowell
"Digital investment and future growth"
A Year of Progress
Whilst not being satisfied with the overall financial performance in 2025, we
have a renewed determination to deliver a marked improvement in 2026 and
believe we have now built the infrastructure to enable growth. Over the past
year, building on 2024, the Board has overseen a comprehensive programme of
change, including the implementation of a refreshed strategy, the integration
of multiple businesses into One Flowtech, and the strengthening of the Group's
commercial, operational, and technological foundations.
These actions have materially improved the resilience, efficiency, and
scalability of the business, whilst providing more protection against
challenging market conditions in the future.
2025 was a year of meaningful progress and transition for Flowtech. The Group
has largely completed its Business Transformation phase and enters 2026
positioned to move into the next stage of its strategic development and
growth.
While trading conditions remained challenging throughout 2025, particularly in
the UK, the Group delivered a steady improvement in performance, with momentum
building in the second half of the year. This improvement reflected
disciplined execution of management's self-help initiatives, tighter cost
control, and a sustained focus on working capital. The Board was satisfied by
the strengthening of the sales pipeline and orderbook by the end of 2025
alongside stable gross margins, continued reductions in overheads and improved
customer service metrics.
The Group's financial performance improved during the year. EBITDA increased
by more than 30% compared with 2024, with a stronger second-half performance
reversing the Group's typical seasonal weighting. Net debt at year end was
broadly stable, reflecting the necessary investment made to complete the
transformation programme. The Board expects that improved cash conversion,
lower capital expenditure and continued operational discipline will support a
reduction in leverage over time.
The Board continues to view disciplined M&A as a core component of the
Group's growth strategy. The acquisitions of Thorite, Allswage and Thomas
Group have integrated well and contributed to the Group's financial
performance during the year. Additionally, in January 2026, the Group
announced the acquisition of Q Plus in the Netherlands, an earnings-enhancing
transaction that is expected to approximately double the size of the Benelux
business and thereby strengthen Flowtech's European footprint.
Governance and Digital Enablement
The Board recognises that long-term value creation is underpinned by strong
governance, a positive culture and disciplined investment in strategic
capabilities. These areas received increased focus during 2025 as the Group
progressed through a period of significant change.
A key area of Board oversight has been the Group's investment in a new digital
platform. This investment represents a foundation for Flowtech's future
growth, rather than just a standalone technology initiative. The platform
provides a single, scalable digital architecture to replace multiple legacy
systems, improve data quality and enhance operational control. It also
underpins the Group's omni-channel strategy, enabling improved customer
access, product visibility and service consistency across regions.
Importantly, the Board views the digital platform as critical to supporting
scalable growth without a commensurate increase in cost, strengthening working
capital management, and enabling more informed decision-making through
improved insight and reporting. While further rollout and optimisation remain
ongoing, the successful launch in the UK during 2025 represents a significant
milestone in modernising the Group's operating model.
People, Culture and ESG
Alongside digital investment, people and culture remained a core Board
priority. Progress was made in building a more cohesive One Flowtech culture
through improved internal communication, greater consistency in policies and
employment practices, and the introduction of Group-wide wellbeing and
employee benefits programmes. Health & Safety continued to receive focused
Board attention, supported by leadership engagement, training and consistent
standards across the Group.
The Board also recognises the increasing importance of environmental and
social responsibility. During the year, the Group focused on establishing
stronger ESG foundations, including improved data capture, responsible
sourcing practices and network optimisation to reduce operational
inefficiencies and environmental impact. While progress has been made, the
Board acknowledges that ESG capability will continue to develop as the Group
enters its growth phase.
Looking ahead
I would like to thank my fellow Board members for their hard work during this
important period, and, also to highlight the commitment and resilience of
Flowtech's colleagues across the Group. I would equally thank our customers,
suppliers and shareholders for their continued support.
While the external environment remains uncertain and challenging the Board
continues to take a prudent view of the near-term outlook, Flowtech enters
2026 with improving momentum, a stronger operating platform and a clear
strategy for sustainable, responsible and digitally enabled growth.
Flowtech Fluidpower plc
Preliminary results for the year ended 31 December 2025
Review by the CEO, Mike England
"At the end of 2025, we were pleased to report that we have transitioned from
the 'business transformation phase' into the 'grow and build phase' of our
value creation plan."
Reflections
Since Q2 2023, we have been going through a transformative period as a Group,
with a refreshed strategy, integrating multiple businesses into One Flowtech,
and embedding the commercial, operational and technological foundations
required to support scalable growth.
The progress over the past two years has established a more efficient and
resilient platform, with the majority of transformation activity now been
completed in 2025. Work remains in scaling the new web platform across all
regions, further simplifying the technology landscape and continuing to embed
the refreshed operating model and One Flowtech culture.
I would like to thank colleagues from across the Group for their commitment
during this period of change, and our customers and suppliers for their
continued support.
Self-help initiatives drove second-half momentum
Despite continued market headwinds, the Group delivered a steady improvement
in performance during the year, with momentum strengthening in the second
half. This reflected disciplined execution of self-help growth initiatives and
a continued focus on cost and cash control.
Flowtech finished 2025 with a stronger sales pipeline and orderbook, stable
gross margins, lower overheads and improved working capital. Progress was
evident across all four self-help initiatives:
· Digital Platform Ecosystem - new UK website launched in August,
along with a broader stack of improvements including web eCommerce, Product
Information Management (PIM) and Customer Data Platform (CDP), delivering
improved traffic and customer acquisition
· Product range - new supplier agreements enabled targeted range
expansion
· Engineering - group engineering orderbook increased by over 20%
year-on-year
· Acquisitions - Thorite, Allswage and Thomas Group delivered
revenue growth and positive EBITDA contributions
Excluding acquisitions, operating overheads reduced by 6% and working capital
by 11% in 2025. Gross margins improved by 100bps, cementing and building on
the progress made over recent years.
Improving profitability and balance sheet trajectory
Revenue for the year was £116.9m, up £9.6m (+8.9%). Excluding acquisitions,
like-for-like revenue declined by £3.0m (3.0%), reflecting the previously
reported reduction in H1 2025, partly offset by a return to growth in H2 2025
(+7.6% like-for-like).
Underlying EBITDA increased to £7.7m, up 30.5% year-on-year. Performance was
impacted by the deferral of several large projects from Q4 2025 into Q1 2026,
temporary sales softness following the UK Budget, and short-term gross margin
pressure in Q4.
Underlying EBITDA strengthened through the year, with £3.5m generated in H1
2025 and £4.2m in H2 2025, reversing the Group's typical seasonal weighting
and demonstrating improving momentum by the end of 2025.
Net debt at year end was£15.2m (2024: £15.1m), representing a £3.3m
reduction from H1 2025. Restructuring activity and capital investment of
approximately £11m across 2024 and 2025 constrained near-term deleveraging.
Looking ahead, lower capital expenditure, continued working capital discipline
and improving trading from the Group's growth initiatives are expected to
support stronger cash conversion and reduced leverage.
Regional performance
Great Britain
Strong second-half momentum was delivered across all channels, including
Product Distribution, Thorite, Engineering Solutions and Major Projects. Sales
growth improved and the engineering orderbook continued to build.
The new website continues to perform well. New supplier agreements supported
range expansion, with an SMC exit run-rate of approximately £2m incremental
sales. Recently acquired businesses exited the year at a combined run-rate of
approximately £20m revenue and £2m EBITDA.
Island of Ireland
Performance improved in the second half as volumes returned within the
crushing and screening OEM customer base, reflecting early signs of market
stabilisation. Capacity at the Dungannon Hydraulic Hose Assembly facility was
increased in Q4 2025 in response to a strengthening orderbook.
Benelux
Benelux underwent a significant transformation under a refreshed leadership
team during 2025. Multiple businesses were successfully integrated into One
Flowtech, including the consolidation of two operations into a new facility in
Rotterdam and the expansion of distribution capabilities in Deventer.
While the transformation resulted in some temporary service disruption,
performance stabilised into Q4 2025. The region ended 2025 in a materially
stronger position, with organic growth momentum improving and inorganic growth
plans advancing with the acquisition of Q Plus in January 2026, doubling the
revenue for this region and creating a market leading £18m specialist
pneumatics capability.
Delivering the transformation
Key transformation milestones achieved in 2025 included:
Digital
· Launch of a new web platform (which is just one component of a
wider ecosystem) to replace fragmented legacy systems with a scalable and
unified architecture
M&A and integration
· Allswage UK (March 2025) - hose assembly equipment and testing
· Thomas Group (May 2025) - engine parts, filtration and fuel
technology
· Thorite - turnaround completed, returned to profitability
Engineering and major projects
· Waterford Rice Bridge £3.9m - MICA delivery and support
· Narrow Water Bridge £3.9m - hydraulic and control systems
Supplier relationships
· Appointed SMC's first UK wholesale distribution partner
· Restoration of HPC / Kaiser relationship
· Introduction of new brands including Piab, Gast and Graco
Network optimisation
· New and relocated sites across the UK and Benelux, including
Rotterdam consolidation
· Exit of Peel Road site and consolidation into main Skelmersdale
fulfilment centre
People and service
· Progress on One Flowtech culture, employee benefits, wellbeing
and Health & Safety
· Service levels maintained at 99.8% on-time-to-promise and 97%
stock availability on core ranges
Environmental responsibility
Flowtech's environmental focus in 2025 was on establishing the foundations
required to reduce the Group's environmental impact in a structured and
measurable way. This includes:
Net Zero Road Map & Emissions
· after establishing a baseline in 2024, we are now well on our way
to our 2030 target, with a year-on-year reduction in 2025 of 35.4%
Network Optimisation
· prioritised network optimisation and site consolidation,
including the exit of the Peel Road site and consolidation into Skelmersdale,
reducing duplication of space, transport movements and energy usage
Smart Waste Plan
· continued to invest in inventory optimisation and improved
forecasting to reduce waste and obsolescence
Eco-Smart Sourcing
· collaborated with key suppliers to increase the availability of
more energy-efficient and lower-impact products for customers
Further work is underway to enhance environmental data quality and define
clear reduction targets, which will be reported as these frameworks mature.
People, health and safety
The safety, wellbeing and engagement of colleagues remains a core priority. In
2025, the Group made strong progress in:
· Health & Safety - embedding consistent Health & Safety
standards across the business, supported by leadership focus, training and
improved reporting from all sites, including new acquisitions
· Wellbeing - launching an integrated Wellbeing Strategy, created a
Wellbeing Committee and launched new and enhanced benefits programme across
the Group
· Gender & Equality - continued progress towards alignment of
employee terms and conditions, supporting fairness and consistency across One
Flowtech
· Community & Engagement - strengthening internal
communications and engagement as part of the One Flowtech cultural programme
These initiatives supported improved engagement and resilience during a year
of significant operational change. Health & Safety performance and
employee engagement will remain key focus areas in 2026.
Governance and risk management
The Board recognises the importance of strong governance, particularly during
periods of transformation and growth. In 2025:
· Accountability - Management discipline around cost control,
capital allocation and working capital management was strengthened
· Risk Management - integration governance and acquisition
discipline were applied consistently across M&A activity, ensuring value
creation and risk management
· Operational Integrity - the operating model and decision-making
framework were further embedded across One Flowtech centred around the need of
our customers
The Board continues to review governance structures to ensure they remain
appropriate as the Group enters its next phase of growth.
Acquisition of Q Plus
In January 2026, Flowtech announced the acquisition of Q Plus, a leading Dutch
specialist in pneumatics, automation, compressed air and vacuum solutions. The
acquisition is expected to approximately double the size of the Group's
Benelux business and is earnings enhancing.
Q Plus strengthens Flowtech's European footprint and aligns fully with the
Group's growth strategy. The Board welcomes Q Plus colleagues to the Group.
Looking Ahead
A question asked to many businesses is the use of AI. Currently, at Flowtech
AI represents a relatively small, targeted part of our IT investment. Having
said this AI is assisting with improving product data quality, search and
discovery, customer insight analysis, and reducing manual effort in data and
engineering work. We are exploring more advanced AI capabilities, but only
once the data, systems and governance are ready and we can demonstrate that AI
can remove cost, improve productivity, and support growth. Our immediate
priority is getting real value from AI in the core of the business, not racing
ahead of our foundations.
Despite improving momentum and a strong orderbook, UK and EU market conditions
remain challenging and are not expected to improve materially in the near term
with continued uncertainty given ongoing global conflicts, political and
macro-economic disruption. In addition, increases in the National Minimum Wage
in the UK are expected to place further pressure on costs in 2026. The Group
therefore maintains a prudent outlook until clearer signs of market recovery
emerge.
External markets aside, I look forward with optimism in seeing the
transformative phase of the last two years, now enabling Flowtech to
accelerate its performance, and with the One Flowtech approach being further
embedded in 2026, unlocking the full potential of the Group.
Flowtech Fluidpower plc
Preliminary results for the year ended 31 December 2025
Financial Review by CFO, Russell Cash
"We have sought to exercise tight control over all aspects of our cost base
and working capital which has been key in enabling us to deliver a blend of
restructuring and investment activity without any material increase in Debt.
As the pace of change eases, we look forward to a much bigger proportion of
what we expect to be increased profits translating to positive cashflow."
Group Trading Performance at a Glance
Operational Review 2025 2024 Change
£m £m £m%
Group revenue* 116.9 107.3 9.0%
Gross profit* 45.9 41.0 11.9%
Gross profit % 39.2% 38.2% 100bps
Distribution expenses (4.4) (4.2) (0.2)
Administrative expenses before separately disclosed items (37.9) (34.2) (3.7)
Underlying operating overheads (42.2) (38.3) (3.9)
Add back Central costs 5.9 6.0 (0.1)
Underlying segment operating overheads (36.4) (32.3) (4.0)
Underlying Depreciation and Amortisation 4.1 3.3
Underlying segment operating profit 9.5 8.7 0.8
Less Central costs (5.9) (6.0) 0.1
Underlying operating profit 3.6 2.7 1.0
Less separately disclosed items (4.6) (27.9) 23.3
Operating (loss) (1.0) (25.2) 24.2
Financing costs (2.0) (1.9) (0.1)
Loss before tax (3.0) (27.1) 24.1
Tax (0.4) 0.7 (1.1)
Loss after tax (3.3) (26.4) 23.1
Underlying EBITDA 7.7 5.9 1.8
(*) Underlying operating profit is used as an alternative performance measure
to assess the trading performance of the business and is operating profit
before separately disclosed items which are amortisation and impairment of
acquired intangibles, impairment of goodwill, negative goodwill, impairment of
right of use assets, share-based payments, and restructuring costs. The £4.1m
differential between underlying operating profit and underlying EBITDA relates
to £4.1m in respect of depreciation and amortisation charges
Underlying profit performance
In FY25 underlying EBITDA totalled £7.7m, significantly in excess of the
prior year comparative of £5.9m and a stepping stone towards our ambition of
achieving mid-teen EBITDA margins. It was encouraging that we delivered a
stronger performance in the second half of the year resulting in underlying
EBITDA of £4.2m, £3.0m more than the second half of FY24. This has been
achieved against a background of continued challenging market conditions with
performance supported by the impact made by recently acquired businesses,
notably Thorite.
Revenue
Revenue in FY25 increased by 9.0% to £116.9m (FY24: £107.3m). Excluding the
contributions from the 2024/25 acquisitions FY25 revenue was £99.5m, 3% below
the prior year like-for-like comparative. If we look at the split between the
two halves of the year it is pleasing to see H2 outperforming the prior year
comparative by 7.6%; this served to offset much of the first half adverse
variance of 11.9%.
Gross profit
FY25 saw a further 100bps increase in our GP% and builds on progress made in
previous years. Management of gross margin remains an area of focus, and we
expect to maintain the position we have reached over coming years; mix factors
in particular if a higher proportion of turnover transitions to Major Projects
could mean that, over time, we may see further relatively modest improvements.
Operating overheads
Excluding the impact of acquisitions underlying operating overheads have
reduced by £0.6m (1.6%); this has been achieved against the background of
sustained inflationary pressures including the increases in minimum wage and
employer national insurance contributions, factors which are clearly outside
of our control. The principal reason for this is the management of our
headcount where we have seen headcount fall to 538 from 560 excluding
acquisitions.
Central costs
A summary of central costs is provided below: 2025 2024
£000 £000
Management costs 2,369 2,376
Accounting & finance 850 939
Project & IT costs 1,106 1,132
PLC costs 588 572
Other central operating costs 956 1,021
5,868 6,040
Management costs include the employment costs of the Executive Officers, Group
Leadership Team members excluding those that have specific segment
responsibilities. Cost increases in this area have been offset by headcount
reductions.
Accounting and finance cover the salary costs of central finance and internal
audit function. PLC costs capture the salaries of Non- Executive Directors and
professional fees associated with our PLC status. Other areas of cost relate
to our project management and central health and safety teams.
The overall reduction in costs is the result of ongoing cost saving
initiatives within the business, many of which began in FY24, and we are
feeling the full benefit in FY25.
Separately disclosed items
Separately disclosed items within administrative expenses: 2025 2024
£000 £000
Amortisation of acquired intangibles 655 820
Impairment of goodwill - 25,070
Depreciation of old website YTD 197 241
Impairment of right of use assets 1,318 81
Impairment of intangible assets - 284
Impairment of fixed assets 429 246
Negative goodwill (170) (2,205)
Share option costs 531 729
Write off lease liability (29) -
Acquisition cost 226 41
Restructuring cost 1,477 2,581
4,634 27,888
Impairment of right of use assets and fixed assets
The calculations which underpin the annual impairment review of the assets of
the business are based on a number of key assumptions, notably revenue growth
rates and the discount rate applied. An impairment charge of £1,747k has been
posted in respect of the Benelux region, of which £1,318k has been taken
against right of use assets and £429k has been taken against fixed assets.
Restructuring costs
The key components of restructuring are £0.6m in respect of salary costs of
personnel who have left the business as part of our ongoing organisational
design. In addition, £0.4m was incurred in relation to the closure of sites
within the UK and Benelux.
Our geographical segments at a glance
Great Britain (GB) Benelux Island of Ireland
2025 2024 2025 2024 2025 2024
Audited Audited Audited Audited Audited Audited
£000 £000 £000 £000 £000 £000
Revenue (£000) 86,625 75,914 9,473 9,999 20,817 21,370
Gross profit (£000) 33,506 30,872 4,142 4,211 9,093 5,933
Gross profit margin 38.7% 38.8% 43.7% 42.1% 39.5% 34.5%
Underlying operating costs (£000) 27,230 23,626 3,829 3,848 5,301 4,850
Underlying operating profit (£000) 6,275 5,808 313 363 2,923 2,521
Underlying operating margin 7.2% 7.6% 3.3% 3.6% 14.0% 11.8%
Underlying profit before tax 5,767 5,481 255 357 2,900 2,496
Great Britain
Revenue includes £17.4m in respect of recently acquired businesses in FY25
and £4.7m in FY24. After taking account of this on a like-for-like basis
revenue reduced by £1.8m. The acquired businesses have a lower Gross Margin
which contributed to the fall overall. The recently acquired businesses
provided a significant positive contribution to the FY25 result with an
aggregate exit run rate of £2m EBITDA. Overall, it is pleasing to see a
£467k improvement in the segment profitability.
Benelux
The impact of a 5.3% reduction in turnover has been largely offset by a 160bps
improvement in Gross Margins. Operating expenses have been well controlled
ensuring a similar operating profit was achieved. Market conditions were
challenging throughout the year and this, combined with some disruption
related to a move of premises, did have an impact on performance.
Island of Ireland
A 3.4% reduction in turnover was offset by a 500bps increase in Gross Margin
leading to gross profit increasing by £852k. Inflation had an impact on
operating expenses, but this cost was offset overall and the underlying
operating margin increased to 14% from 11.8% in FY24.
Net Debt
Trading cash flow is Operating profit excluding non-cash items such as
Depreciation, Amortisation and share based payments.
Our Net Debt position (excluding lease liabilities) has had a small increase
from £15.1m to £15.2m. Trading cash flow has improved to £6.1m (FY24:
£3.1m) reflecting higher underlying levels of EBITDA and a reduction in
restructuring activity. Working capital continues to be actively managed; in
FY25 the overall reduction of £2.1m results from a £2.9m like-for-like
reduction offset by a £0.8m increase in balances associated with the acquired
businesses. These two things combined have funded the aggregate cost of all
other cash outflows and limited the increase in Bank debt to £0.1m.
FY24 and FY25 combined have resulted in £6.6m of capital expenditure and
£3.9m of restructuring costs. We expect both categories of spend to reduce
materially in FY26 and beyond which should lead to a healthy proportion of
EBITDA translating to debt reduction.
Acquisitions
The acquisition of Thorite in August 2024 has been followed by two smaller
acquisitions in FY25, Allswage in March and Thomas Group in May. If the three
businesses are taken in aggregate, we acquired in the region of £16m of
revenue for very modest consideration as demonstrated by the negative goodwill
associated with the Thorite and Allswage transactions. It is extremely
pleasing to see that as we exited 2025 the run rate of these businesses was
approximately £20m revenue with a significant profit contribution.
Summary
The positive increase in profitability in FY25 is pleasing against the
background of continued challenging market conditions. We have sought to
exercise tight control over all aspects of our cost base and working capital
which has been key in enabling us to deliver a blend of restructuring and
investment activity without any material increase in Debt. As the pace of
change eases, we look forward to a much bigger proportion of what we expect to
be increased profits translating to positive cashflow.
One of the highlights in FY25 has been the progress achieved and momentum
built with the acquisitions made in FY24 and FY25. These businesses were
acquired for minimal consideration, and we end FY25 with the businesses
combined delivering a run rate of approximately £20m of revenue and
significant profit.
I am also delighted that we have secured the acquisition of Q Plus in February
2026 and as part of this secured new equity investment into the balance sheet.
Consolidated Income Statement
For the year ended 31 December
2025 2024
£000
£000
Continuing operations
Revenue 116,915 107,282
Cost of sales (71,045) (66,267)
Gross profit 45,870 41,015
Distribution expenses (4,360) (4,169)
Administrative expenses before separately disclosed items: (37,867) (34,196)
- Separately disclosed items (4,634) (27,888)
Total administrative expenses (42,501) (62,084)
Operating loss (991) (25,238)
Financial expenses (1,961) (1,839)
Loss from continuing operations before tax (2,952) (27,077)
Taxation (366) 671
Loss from continuing operations (3,318) (26,406)
Loss for the year attributable to:
Owners of the parent (3,318) (26,406)
(3,318) (26,406)
Earnings per share
Basic earnings per share - continuing operations (5.24p) (42.23p)
Consolidated Statement of Comprehensive Income
2025 2024
£000
£000
Loss for the year (3,318) (26,406)
Other comprehensive income / (expense)
Items that will be reclassified subsequently to profit or loss
- Exchange differences on translating foreign operations 410 (359)
Total comprehensive loss for the year (2,908) (26,765)
Total comprehensive loss for the year attributable to: (2,908) (26,765)
Owners of the parent
(2,908) (26,765)
Consolidated Statement of Financial Position
2025 2024
£000
£000
Assets
Non-current assets
Goodwill 14,996 14,996
Other intangible assets 5,271 3,776
Right-of-use assets 6,769 4,806
Property, plant and equipment 6,637 7,546
Total non-current assets 33,673 31,124
Current assets
Inventories 29,156 29,263
Trade and other receivables 25,809 22,740
Prepayments 1,587 1,052
Cash and cash equivalents 4,734 1,839
Total current assets 61,286 54,894
Liabilities
Current liabilities
Lease liabilities 2,378 1,694
Trade and other payables 26,583 20,866
Tax payable 98 228
Total current liabilities 29,059 22,788
Net current assets 32,227 32,106
Non-current liabilities
Interest-bearing borrowings 19,972 16,913
Lease liabilities 6,203 3,743
Provisions 50 179
Deferred tax liabilities 448 791
Total non-current liabilities 26,673 21,626
Net assets 39,227 41,604
Equity directly attributable to owners of the Parent
Share capital 31,637 31,637
Share premium - 61,662
Other distributable reserves 61,662 -
Other reserves 187 187
Shares owned by the Employee Benefit Trust (54) (54)
Merger reserve 293 293
Merger relief reserve 3,646 3,646
Currency translation reserve 74 (336)
Retained losses (58,218) (55,431)
Total equity attributable to the owners of the Parent 39,227 41,604
Consolidated Statement of Changes in Equity
Share capital £000 Share Other Shares Merger Merger Currency translation Retained Total
premium
reserve
owned by the EBT
reserve
relief reserve
losses
equity
£000
£000
£000
£000
reserve
£000
£000
£000
£000
Other distributable reserves
Balance at 1 January 2024 30,746 60,959 - 187 (124) 293 3,646 23 (28,331) 67,399
Loss for the year - - - - - - - - (26,406) (26,406)
Other comprehensive income - - - - - - - (359) - (359)
Total comprehensive income for the year - - - - - - - (359) (26,406) (26,755)
Transactions with owners -
Share-based payment charge - - - - - - - - 730 730
Issue of share capital 891 703 - - (200) - - - - 1,394
Share options settled - - - 270 - - - (41) 229
Dividends paid - - - - - - - - (1,383) (1,383)
Total transactions with owners 891 703 - - 70 - - - (694) 970
Balance at 31 December 2024 31,637 61,662 - 187 (54) 293 3,646 (336) (55,431) 41,604
Balance at 1 January 2025 31,637 61,662 - 187 (54) 293 3,646 (336) (55,431) 41,604
Loss for the year - - - - - - - - (3,318) (3,318)
Other comprehensive income - - - - - - - 410 - 410
Total comprehensive income for the year - - - - - - - 410 (3,318) (2,908)
Transactions with owners
Transfer between reserves (61,662) 61,662
Share-based payment charge - - - - - - 531 531
Total transactions with owners - (61,662) 61,662 - - - - - 531 531
Balance at 31 December 2025 31,637 - 61,662 187 (54) 293 3,646 74 (58,218) 39,227
Consolidated Statement of Cash Flows
2025 2024
£000
£000
Cash flow from operating activities
Net cash from operating activities 7,780 8,706
Cash flow from investing activities
Payment for acquisition (100) (832)
Repayment of Credit facility from acquisition (280) (1,694)
Acquisition of property, plant and equipment (1,214) (1,547)
Acquisition of intangible assets (2,192) (1,764)
Proceeds from sale of property, plant and equipment - 31
Net cash used in investing activities (3,786) (5,806)
Cash flows from financing activities
Net proceeds from issue of share capital - 1,393
Repayment of lease liabilities (2,137) (1,663)
Drawdown / (Repayment) of bank loan 3,000 (3,000)
Interest on lease liabilities (336) (117)
Other interest (1,625) (1,725)
Additional credit facility recognised on acquisition (30) -
Proceeds from sale of shares held by the EBT - 270
Dividends paid - (1,383)
Net cash used in financing activities (1,128) (6,225)
Net change in cash and cash equivalents 2,866 (3,325)
Cash and cash equivalents at start of year 1,839 5,184
Exchange differences on cash and cash equivalents 29 (20)
Cash and cash equivalents at end of year 4,734 1,839
Net Debt 15,238 15,074
Flowtech Fluidpower plc
Preliminary results for the year ended 31 December 2025
Notes to the Consolidated Financial Information
1. General information
The principal activity of Flowtech Fluidpower plc (the 'Company') and its
subsidiaries (together, the 'Group') is the distribution of engineering
components and assemblies, concentrating on the fluid power industry. The
Company is a public limited company, incorporated and domiciled in the United
Kingdom. The address of its registered office is Bollin House, Bollin Walk,
Wilmslow, SK9 1DP. The registered number is 09010518.
News updates, regulatory news, and financial statements can be viewed and
downloaded from the Group's website, flowtech.co.uk (https://flowtech.co.uk/)
. Copies can also be requested from: The Company Secretary, Flowtech
Fluidpower plc, Bollin House, Bollin Walk, Wilmslow, SK9 1DP. Email:
investorrelations@flowtech.co.uk (mailto:investorrelations@flowtech.co.uk) .
2. Accounting policies
Basis of preparation
The consolidated financial statements of the Group have been prepared in
accordance with UK adopted international accounting standards and the
Companies Act 2006. The Company financial statements have been prepared in
accordance with Financial Reporting Standard 101 'Reduced disclosure
framework' (FRS 101). The consolidated financial statements have been prepared
on a going concern basis and prepared on the historical cost basis. The
consolidated financial statements are presented in sterling and have been
rounded to the nearest thousand (£'000). The functional currency of the
Company is sterling.
The preparation of financial information in conformity with UK-adopted
international accounting standards requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities at the
date of the financial statements and the reported amounts of revenues and
expenses during the reporting period. Although these estimates are based on
management's best knowledge of the amount, event or actions, actual events
ultimately may differ from those estimates.
The accounting policies, unless otherwise stated, been applied consistently to
all periods presented in the consolidated financial statements.
Annual Report 2025
The Annual Report and Financial Statements for the year ended 31 December 2025
will be published shortly and will become available on the Company's investor
hub and also sent to shareholders. Reports And Key Documents | Investor Hub
| Flowtech (https://flowtech.co.uk/investor-hub/reports-and-key-documents)
The financial information set out in this announcement does not constitute the
Company's statutory accounts for the years ended 31 December 2025 and 2024.
The financial information for the year ended 31 December 2024 is derived from
the statutory accounts for that year which have been delivered to the
Registrar of Companies. The financial information for the year ended 31
December 2025 is derived from the audited statutory accounts for the year
ended 31 December 2025 which were approved by the Board on 23 March 2026 and
will be delivered to the Registrar of Companies following the Company's Annual
General Meeting.
The auditor's reported on each of those accounts: their report was
unqualified, did not draw attention to any matters by way of emphasis and did
not contain a statement under s498(2) or (3) of the Companies Act 2006.
Going concern
The financial statements are prepared on a going concern basis which the
Directors believe to be appropriate for the following reasons:
· The Group made a £1.0m operating loss in 2025 (2024: £25.2m),
and after adding back separately disclosed items, this represents an
underlying operating profit of £3.6m (2024: £2.7m)
· The Group is expecting to see increased profitability in 2026
· The Group maintains a strong relationship with its bankers. Given
that the business was loss making in 2024, and in 2025 it was necessary to
agree a relaxation of certain of the banking covenants which covers the period
up to December 2025. The Group expects to remain compliant with all covenants
throughout 2026 and beyond under base case and severe downside scenarios.
· Post year end the Group underwent the process of raising equity
through issuing new shares, around £3m of the funds raised will be allocated
to reducing the Net Debt of the business.
· At the end of 2025, the Group's Net Debt was £15.2 million
(£9.8 million within the aggregate banking facilities which include a £5.0
million overdraft facility). Whilst the overdraft facility has been in place
for many years it is technically repayable on demand, The forecasts and the
sensitivities subsequently applied show no reliance on the facility during the
going concern assessment period.
3. Operating Divisions
The Group monitors and reports business performance based on these three
segments:
Great Britain:
Supply of both hydraulic and pneumatic consumables, along with the delivery of
specialist engineering solutions, services and systems. We operate through a
network of distributors and resellers as well as working directly with a broad
range of original equipment manufacturers across all industry sectors
Ireland:
Supply of specialist technical hydraulic components and systems predominantly
into original equipment manufacturers and end-user channels to all industry
sectors and supported by supply agreements direct to a broad range of
manufacturer brands.
Benelux:
Supply of bespoke hydraulic and pneumatic component and systems to
manufacturers of specialised industrial and mobile hydraulic original
equipment manufacturers and a wide range of industrial end users.
Segment information for the reporting periods are as follows:
For the year ended 31 December 2025 Benelux Total continuing operations
£000
Great Britain £000 Central costs
£000
£000 Ireland
£000
Income statement - continuing operations:
Total revenue 86,625 9,473 20,817 - 116,915
Underlying operating result (*) 6,275 313 2,923 (5,868) 3,643
Financial expenses (507) (58) (23) (1,373) (1,961)
Underlying segment result 5,768 255 2,900 (7,241) 1,682
Separately disclosed items (1,434) (2,030) (202) (967) (4,633)
Profit/(loss) before tax 4,334 (1,775) 2,698 (8,208) (2,951)
Specific disclosure items
Depreciation and impairment on owned plant, property and equipment 1,341 80 99 1 1,521
Depreciation on right of use assets 1,450 327 156 133 2,066
Accelerated depreciation of old website 197 - - - 197
Write off lease liability 29 - - - 29
Negative goodwill (170) - - - (170)
Impairment of right of use assets - 1,318 - - 1,318
Impairment of fixed assets - 429 - - 429
Amortisation 1,132 - - - 1,132
Reconciliation of underlying operating result
Underlying operating result (*) 6,275 313 2,923 (5,868) 3,643
Separately disclosed items (1,434) (2,030) (202) (968) (4,634)
Operating (loss)/profit 4,841 (1,717) 2,721 (6,836) (991)
(*) Underlying operating result is continuing operations' operating profit
before separately disclosed items
For the year ended 31 December 2024 Total continuing operations
£000
Great Britain Central costs
£000
£000 Benelux Ireland
£000 £000
Income statement - continuing operations:
Total revenue 75,913 9,999 21,370 - 107,282
Underlying operating result (*) 5,806 363 2,521 (6,040) 2,650
Financial expenses (325) (6) (23) (1,482) (1,836)
Underlying segment result 5,481 357 2,498 (7,522) 814
Separately disclosed items (21,715) (3,823) (218) (2,133) (27,888)
Profit/(loss) before tax (16,234) (3,466) 2,278 (9,655) (27,077)
Specific disclosure items
Depreciation and impairment on owned plant, property and equipment
1,375 70 96 1 1,542
Depreciation on right of use assets 1,109 112 165 146 1,532
Accelerated depreciation of old website 241 - - - 241
Impairment of right of use assets 61 20 - - 81
Negative goodwill (2,205) - - - (2,205)
Impairment of goodwill 22,005 3,065 - - 25,070
Impairment of intangible assets 284 - - 284
Impairment of fixed assets - 246 - - 246
Amortisation 877 73 99 - 1,049
Reconciliation of underlying operating result
Underlying operating result (*) 5,806 363 2,521 (6,040) 2,650
Separately disclosed items (21,714) (3,823) (218) (2,133) (27,888)
Operating (loss)/profit (15,908) (3,460) 2,303 (8,173) (25,238)
(*) Underlying operating result is continuing operations' operating profit
before separately disclosed items
4. Operating loss
The following items have been included in arriving at the operating loss for
continuing operations:
2025 2024
£000 £000
Depreciation of property, plant and equipment under right-of-use assets 2,066 1,532
Depreciation and impairment of tangible assets 1,521 1,788
Amortisation of intangible assets - website 678 241
Amortisation of intangible assets - customer relationships and brands 655 820
Impairment of intangible assets - 284
Impairment of goodwill - 25,070
Impairment of fixed assets 429 -
Impairment of right of use assets 1,318 81
Impairment loss/(gain) on trade receivables (73) 10
Profit on foreign currency transactions (170) (151)
Repairs and maintenance expenditure on plant and equipment 191 16
5. Earnings per share
Basic earnings per share is calculated by dividing the earnings attributable
to ordinary Shareholders by the weighted average number of ordinary shares
during the year.
For diluted earnings per share the weighted average number of ordinary shares
in issue is adjusted to assume conversion of all dilutive potential ordinary
shares. The dilutive shares are those share options granted to employees where
the exercise price is less than the average market price of the Company's
ordinary shares during the year. For diluted loss per share the weighted
average number of ordinary shares in issue is not adjusted since its impact
would be anti-dilutive.
Year ended 31 December 2025 Year ended 31 December 2024
Loss Weighted average number of shares Loss Loss Weighted average number of shares Earnings
after tax
per share
after tax
per share
£000
Pence
£000
Pence
Basic and diluted earnings per share
Continuing operations (3,318) 63,275 (5.24p) (26,406) 62,526 (42.23p)
6. Net cash from operating activities
2025 2024
£000 £000
Reconciliation of (loss)/profit before taxation to net cash flows from
operations
Loss from continuing operations before tax (2,952) (27,077)
Depreciation and impairment of property, plant and equipment 1,521 1,537
Depreciation on right of use assets (IFRS 16) 2,066 1,526
Impairment of right of use assets (IFRS 16) 1,318 82
Write off of right of use liability (IFRS 16) (29) -
Finance costs 1,961 1,839
Loss on sale of plant and equipment (6) -
Amortisation of intangible assets 1,329 1,289
Impairment of fixed assets 429 246
Impairment of Intangible asset - 284
Negative goodwill (170) (2,205)
Impairment of goodwill - 25,070
Cash settled share options - (45)
Equity settled share-based payment charge 531 729
Exchange differences on non-cash balances 120 (128)
Operating cash inflow before changes in working capital and provisions 6,118 3,147
Change in trade and other receivables (3,617) 3,310
Change in stocks 769 4,864
Change in trade and other payables 5,058 (1,562)
Change in provisions (129) (239)
Cash generated from operations 8,199 9,520
Tax paid (419) (814)
Net cash generated from operating activities 7,780 8,706
7. Acquisitions & Disposals
Allswage Limited
In March 2025, the Group acquired the Trade and assets of Allswage Limited, a
UK based supplier of pneumatics and hydraulics that were in administration.
The total consideration was £50,000. The value of assets and liabilities
recognised as on acquisition are as follows:
Fair Value
£000
Inventories 197
Intangible assets 177
Other Payables (147)
Total 227
Amount settled in cash (50)
Less assets acquired 227
Negative Goodwill on acquisition 177
Fair values
The fair values included in the table above are provisional and subject to
management estimations at the reporting date.
Intangible assets
The intangible assets recognised within the Group relate to the Allswage Brand
at £22,000 and the Customer list at £154,000.
Allswage's contribution to Group results
The Allswage branch generated sales of £1,816,000 and an underlying profit
before tax of £222,000; after accounting for £28,000 amortisation of
acquired intangibles and £111,000 of central recharges the actual result is a
profit before tax of £69,000 between the 11 March 2025 and 31 December 2025.
The central recharge cost is calculated as a proportion of total central
costs; there has not been any incremental increase in central costs as a
result of the acquisition.
Thomas Group Limited
In May 2025, the Group acquired the Trade and assets of Thomas Group Limited,
a UK based service provider and global distributor of branded engine,
filtration and fuel-technology products. The total consideration was £50,000.
The value of assets and liabilities recognised as on acquisition are as
follows:
Fair Value
£000
Trade Debtors 188
Inventories 259
Intangible assets 130
Fixed assets 127
Prepayments 11
Trade Creditors (304)
Other Payables (72)
Borrowings (310)
Total 21
Amount settled in cash 50
Less assets acquired 29
Goodwill written off through P&L (29)
Fair values
The fair values included in the table above are provisional and subject to
management estimations at the reporting date.
Intangible assets
The intangible assets recognised within the Group relate to the Thomas Group
Brand at £16,000 and the Customer list at £114,000.
Thomas Group's contribution to Group results
The Thomas Group branch generated sales of £1,158,000 and an underlying loss
before tax of £92,000; after accounting for £16,000 amortisation of acquired
intangibles, £12,000 of costs associated with the acquisition and £138,000
of central recharges the actual result is a loss before tax of £269,000
between the 1 May 2025 and 31 December 2025. The central recharge cost is
calculated as a proportion of total central costs; there has not been any
incremental increase in central costs as a result of the acquisition.
Subsequent events
On 12 February 2026 the Group completed the acquisition of 100% of the issued
share capital of Q-Plus B.V. and its subsidiaries, a Netherlands-based
distributor and service provider of pneumatic and compressed air solutions.
The total consideration of €5.9 million comprises €4.1 million cash, a
€1.25 million vendor loan and contingent consideration of up to €0.5
million, together with the repayment of approximately €2.0 million of
intercompany debt on completion. The cash element was funded from the Group's
equity placing and retail offer completed in February 2026. Net of related
costs the Group raised c.£9.0 million as a result of the equity placing. The
excess proceeds will be used to pay down the Group debt.
8. Goodwill
2025 2024
£000 £000
Cost
Balance at 1 January 63,164 63,164
Balance at 31 December 63,164 63,164
Impairment
At 1 January 48,168 23,098
Impairment charge - 25,070
At 31 December 48,168 48,168
Carrying amount at 31 December 14,996 14,996
DEFINITIONS
The Group uses a number of alternative performance measures ("APMs") in
addition to those measures reported in accordance with IFRS. The APMs are
useful to assess the underlying performance of the Group by excluding any
one-off, non-operating and non-cash items. Items excluded in this way are
grouped under separately disclosed items on the face of the income
statement. In doing so, the APMs provide comparability and consistency of
trading performance between periods.
The APMs are used to manage and budget for the Group's performance, and for
determining the performance rewards for Executive Directors and that of other
management throughout the business. The APMs are also used in presentations
to investors to communicate the underlying performance of the Group.
The APMs are described in detail and reconciled to IFRS measures in the table
below; further details will be contained in the notes accompanying the 2025
Annual Report and Financial Statements to be published shortly.
Underlying Operating Profit
Underlying Operating Profit is the measure used by the Directors to assess
trading performance of the Group. In the context of presenting the
performance of the Group's segments, this measure is referred to as Underlying
segment result or underlying operating result, as appropriate. The
reconciliation of this APM to the Operating profit in the Consolidated income
statement is shown below:
2025 2024
£000 £000
Underlying operating profit (result) 3,643 2,650
Less Separately disclosed items:
- Acquisition costs (225) (41)
- Amortisation of acquired intangibles (655) (820)
- Accelerated depreciation of old website (197) (241)
- Impairment of fixed assets (429) (246)
- Impairment of goodwill - (25,070)
-Impairment of intangible asset - (284)
- Impairment of leased assets (1,318) (81)
- Share-based payment costs (531) (729)
- Write off lease liability 24 -
'- Negative goodwill 170 2,205
- Restructuring (1,477) (2,581)
Operating loss (991) (25,238)
Underlying EBITDA
Underlying EBITDA is another measure used by the Directors to assess trading
performance of the Group.
The below reconciliation reconciles to Underlying Operating profit:
2025 2024
£000 £000
Underlying EBITDA (result) 7,711 5,941
Less Depreciation and Amortisation
- Amortisation of new website (481) (228)
- Depreciation of fixed assets (1,521) (1,537)
- Depreciation of ROU Assets (2,066) (1,526)
(4,068) (3,291)
Underlying Operating profit 3,633 2,650
Underlying operating overheads
Underlying operating overheads is total of distribution costs and
administrative costs before separately disclosed items. The APM has been
introduced this year to spotlight the management of overheads attributable to
"business as usual" trading activity in the current inflationary
environment.
Lines in Income statement 2025 2024
£000 £000
Administrative expenses before separately disclosed items 37,867 34,196
Distribution expenses 4,360 4,169
Total 42,227 38,365
Net Debt
Net Debt is Bank Debt less the value of cash and cash equivalents. It excludes
lease liabilities under IFRS 16. Bank Debt is the value of Barclays RCF
facility of £20m and any utilised value of £5m overdraft facility, less any
unamortised value of loan arrangement fee.
Net Debt is a key APM used by the Directors to monitor the indebtedness of the
Group.
2025 2024
£000 £000
Cash and Cash equivalents 4,734 1,839
Interest bearing borrowings (19,972) (16,913)
Net Debt (15,238) (15,074)
Working Capital
Working Capital is inventories, trade and other receivables and prepayments
less trade and other payables. The APM is used to monitor the working capital
levels across the Group, with a view to manage the indebtedness of the Group
within the desired levels. The calculation for Working Capital is shown
below.
2025 2024
£000 £000
Inventories 29,156 29,263
Trade and other receivables 25,809 22,740
Prepayments 1,587 1,053
Trade and other payables (26,583) (20,866)
Working capital 29,969 32,190
FORWARD-LOOKING STATEMENTS
This document contains certain forward-looking statements which reflect the
knowledge and information available to the Company during the preparation and
up to the publication of this document. By their very nature, these statements
depend upon circumstances and relate to events that may occur in the future
thereby involving a degree of uncertainty. Therefore, nothing in this document
should be construed as a profit forecast by the Company.
The information contained within this announcement is deemed by the Company to
constitute inside information stipulated under the Market Abuse Regulation
(EU) No. 596/2014 as it forms part of UK domestic law by virtue of the
European Union (Withdrawal) Act 2018. Upon the publication of this
announcement via the Regulatory Information Service, this inside information
is now considered to be in the public domain.
FURTHER ENQUIRIES TO:
Flowtech Fluidpower plc
Mike England, Chief Executive Officer
Russell Cash, Chief Financial Officer & Company Secretary
Tel: +44 (0) 1695 52759
Email: investorrelations@flowtech.co.uk
(mailto:investorrelations@flowtech.co.uk)
Panmure Liberum (Nominated Adviser and Joint Broker)
Nicholas How, Managing Director, Investment Banking
William King, Assistant Director, Investment Banking
Tel: +44 (0) 20 3100 2000
Singer Capital Markets (Joint Broker)
Sara Hale, Head of Investment Banking
James Todd, Associate, Investment Banking
Tel: +44 (0) 207 496 3000
TooleyStreet Communications (IR and media relations)
Fiona Tooley
Tel: +44 (0) 7785 703523 or Email: fiona@tooleystreet.com
(mailto:fiona@tooleystreet.com)
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