REG - IG Design Group PLC - Trading Update

IG DesignAnnouncement

11/02/2026 07:00

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RNS Number : 4928S  IG Design Group PLC  11 February 2026

11 February 2026

IG Design Group plc

 

(the "Company", the "Group" or "Design Group")

 

Trading update

 

Revenue, profit and cash ahead of expectations

 

IG Design Group plc, a leading designer, innovator and manufacturer across
various celebration and creative categories, issues a trading update to 31
December 2025, and an update on its outlook. The trading update refers to the
continuing business of the Group only, excluding adjusting items and losses
related to the disposal of DG Americas announced in May 2025.

 

The Board is pleased to report that trading for the nine months ended 31
December 2025, including performance over the Christmas trading period, has
been in line with expectations.

 

For the full financial year ending 31 March 2026 ("FY2026"), the Board now
anticipates being at the upper end of the previously stated guidance(*) and
above current market consensus(**). FY2026 revenues are anticipated to be
c.$280-285 million, with final quarter sales expected to be in line with prior
year.  Adjusted operating margin is also expected to be at the higher end of
expectation at c.4%. Together with interest income above current market
expectations, this is expected to result in adjusted profit exceeding current
market expectations.

 

Cash performance during the year has been particularly strong, with full-year
net cash expected to be c.$55-60 million, which is c.$15-20 million ahead of
market expectations(*). This outperformance reflects disciplined cash and
working capital management across the continuing Group following the disposal
of DG Americas. In addition, the sale of a surplus UK warehouse has been
provisionally agreed and is expected to close by year end, further
strengthening the cash position.

 

Looking beyond FY2026, the Board's outlook remains consistent with prior
guidance. The underlying business is expected to deliver annual revenue growth
of 0-5%, adjusted operating margins of 4-5% and sustainable cash generation of
$6-8 million per annum. Alongside this, the Group continues to focus on its
long-term growth pillars which are expected to drive incremental value
creation beyond the underlying trading performance.

 

On 4 February 2026, the Company announced that all resolutions put to
shareholders relating to the capital reduction, to create additional
distributable reserves that would allow the Company to make future shareholder
distributions, had been approved. The Group expects to publish its FY2026
results in June 2026, which will include an update on its future capital
allocation policy.

 

The CEO recruitment process remains underway. Stewart Gilliland remains
committed to the role of Interim Executive Chair until an appointment has been
finalised.

 

The Group intends to adopt GBP as its presentation currency for consolidated
financial statements, replacing USD, effective from the FY2026 full-year
results.

 

(*) Previously stated guidance: revenue $270-280 million, adjusted operating
margin 3-4% and cash $40-45 million.

(**) Current market consensus: revenue $275 million, adjusted operating profit
$9.7 million, adjusted profit $7.6 million and cash $42 million.

 

 For further information, please contact:
 IG Design Group plc                           Tel: +44 (0)1525 887310
 Stewart Gilliland, Interim Executive Chair
 Rohan Cummings, Chief Financial Officer
 Canaccord Genuity Limited (Nomad and Broker)  Tel: +44 (0)20 7523 8000
 Bobbie Hilliam
 Elizabeth Halley-Stott
 Alma Strategic Communications                 Tel: +44 (0)20 3405 0205
 Rebecca Sanders-Hewett                        designgroup@almastrategic.com
 Sam Modlin
 Will Merison

 

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