UK's MPAC Group H1 revenue, profit fall on pricing pressure, customer delays
UK's MPAC Group H1 revenue, profit fall on pricing pressure, customer delays
Overview
UK packaging automation provider's H1 2026 revenue fell 2.3% yr/yr to £71.0 mln
Underlying profit before tax for H1 drops to £2.1 mln from £5.6 mln; Adjusted EPS drops to 5.7p from 14.0p
Company completed sale of Lambert business, improving liquidity with £16 mln proceeds after period end
Outlook
Mpac says full-year outlook remains unchanged from June update
Company expects profit weighted to H2, with operational loading to increase
Mpac says impact of new 50% US tariffs on Canadian goods remains unclear
Result Drivers
COMPETITIVE PRICING PRESSURE - Co said heightened price competition reduced gross profit margins in H1
CUSTOMER DECISION DELAYS - Co said delays in customer decision making impacted trading margins
RESILIENT SERVICE REVENUE - Service revenue grew 7.1% yr/yr and gross margins remained robust
Company press release: ID:nRSO7196Ua
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue |
| GBP 71 mln |
|
H1 Adjusted EPS |
| GBP 5.70 |
|
H1 Adjusted Pretax Profit |
| GBP 2.10 mln |
|
H1 Pretax Loss |
| GBP 500,000 |
|
Analyst Coverage
The one available analyst rating on the shares is "strong buy"
The average consensus recommendation for the industrial machinery & equipment peer group is "buy."
Wall Street's median 12-month price target for MPAC Group PLC is GBp475.00, about 36.7% above its September 14 closing price of GBp347.50
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 7 three months ago
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(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.)