MACFARLANE Group PLC will reveal that expectations for the full-year are ‘unchanged’ at the firm’s AGM today (May 13).
Chair Aleen Gulvanessian will provide a trading update covering 2025 to date. Sales in the first quarter of 2025 were 14.2% ahead of the same period in 2024, with Macfarlane noting the benefit of acquisitions, signs of organic growth momentum in distribution and a strong performance from manufacturing operations.
Profit, however, was down on the same period 12 months earlier due to lower gross margins, duplicate costs related to the consolidation of the group’s East Midlands operations, and increased property and acquisition-related costs.
Following the acquisition of The Pitreavie Group in January, Macfarlane is working with management on sales, cost and sourcing synergies.
Net bank debt at 31 March 2025 was £13 million compared to £1.9 million at 31 December 2024, after the net investment of £13.9 million for the Pitreavie acquisition.
The group will commence a share buyback programme of up to £4 million, details of which will be announced separately this week.
Aleen Gulvanessian will further comment, “Market conditions continue to be challenging, and global economic uncertainty is impacting the behaviour of some customers. However, the Group sees positive momentum in several areas, and we have a clear action plan for the remainder of the year which will enable Macfarlane to continue its progress.
“Our decision to commence buying back shares has been made following extensive dialogue with our shareholders. This reflects our capital allocation policy of investing in the business, making acquisitions, and returning capital to shareholders through dividends and, when appropriate, share buybacks.”
