REG - Macfarlane Group PLC - AGM Trading Update

MacfarlaneAnnouncement

Today 07:00

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RNS Number : 8691D  Macfarlane Group PLC  12 May 2026

12 May 2026

Macfarlane Group PLC

("Macfarlane" or the "Group")

AGM trading update

Full Year Expectations Unchanged

Macfarlane Group PLC (LSE: MACF), the protective packaging specialist, will
today hold its Annual General Meeting ("AGM") at which Aleen Gulvanessian,
Chair, will provide a Trading Update covering 2026 to date.

·    Trading is in line with market expectations for the full year to 31
December 2026.

·    Group revenue in Q1 2026 was marginally ahead of the same period in
2025 with organic growth achieved by both our Distribution and Manufacturing
Operations. Revenue at Pitreavie was impacted by the restriction in production
capacity, with the £1.2m investment in replacement equipment becoming fully
operational in Q2 2026.

·    Group profit in Q1 2026 was in line with our expectations but, as
anticipated, behind the same period in 2025 due to the temporary outsourcing
of manufacturing at Pitreavie and restructuring actions taken in Distribution.

·    The Group's performance is expected to improve in H2 2026 as we build
on the organic revenue growth momentum, benefit from the new equipment at
Pitreavie and maintain strong control over operating costs.

·    Management is taking actions to mitigate the significant inflationary
impact on input prices and logistics costs caused by events in the Middle
East.

·    Net bank debt at 31 March 2026 was £16.7m compared to £16.2m at 31
December 2025. The Group continues to operate well within its £40m bank
facilities and related covenants, which are committed until November 2028.

·    Subject to the renewal of authority to purchase shares at today's
AGM, the Group intends to extend the timescale to complete its £4.0m share
buyback programme, announced in May 2025, through to the end of 2026 with
£2.6m spent to 31 March 2026.

Aleen Gulvanessian will further comment:

"Following a difficult year in 2025, our main focus for 2026 has been to
commence the process of profit recovery.  It is encouraging therefore that
the Group's performance in the first quarter of 2026 has been in line with
expectations.  We welcome the early signs of organic revenue growth in our
Distribution business, the resilience in our Manufacturing businesses and the
investment in Pitreavie which will enable that business to restore
profitability in 2026.

The impact of events in the Middle East will present market challenges not
anticipated at the start of the year.  However, the management team is taking
appropriate actions to address these challenges and achieve progress in 2026."

 

 Further enquiries:  Macfarlane Group                                                           Tel: 0141 333 9666
                     Aleen Gulvanessian        Chair
                     Peter Atkinson                  Chief Executive
                     Ivor Gray                             Finance
                     Director

                     Spreng Thomson
                     Callum Spreng                                                              Mob: 07803 970103

Legal Entity Identifier (LEI):  213800LVRYDERSJAAZ73

Notes to Editors:

·    Macfarlane Group PLC has been listed on the Main Market of the London
Stock Exchange (LSE: MACF) since 1973 with over 75 years' experience in the UK
packaging industry.

·    Through its two divisions, Macfarlane Group services a broad range of
business customers, supplying them with high quality protective packaging
products which help customers reduce supply chain costs, improve operational
efficiencies and sustainability and enhance their brand presentation. The
divisions are:

o Packaging Distribution - Macfarlane Packaging Distribution is the leading UK
distributor of a comprehensive range of protective packaging products; and

o Manufacturing Operations - Macfarlane Design and Manufacture is a UK market
leader in the design and production of protective packaging for high value and
fragile products.

·    Headquartered in Glasgow, Scotland, Macfarlane Group employs over
1,200 people at 42 sites, principally in the UK, as well as in Ireland,
Germany and the Netherlands.

·    Macfarlane Group supplies more than 20,000 customers, principally in
the UK and Europe.

·    In partnership with over 2,000 suppliers, Macfarlane Group
distributes and manufactures to a wide range of sectors, including: logistics;
electronics; defence; medical; automotive; aerospace; retail e-commerce; and
food.

 

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