Volution's first-half performance exceeds expectations, with strong revenue growth

LootboxPhobia · 2026-03-12T08:25:50+00:00

Volution Group plc announced its first-half results for fiscal year 2026, with revenue reaching £229 million, a 22% increase year-over-year, surpassing analyst expectations. Earnings per share grew by 19%, and the board expects to revise future earnings upward. Business performance was strong across all regions, especially in the UK and European markets.

LootboxPhobia

2026-03-12 08:25:50

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Investing.com – Volution Group plc (LON:FAN) announced on Thursday that its first half of fiscal year 2026 exceeded analyst expectations, with earnings per share 4% above market consensus.

The ventilation products manufacturer reported revenue of £229 million, up 22% year-over-year. Organic revenue growth reached 4.2%, with pricing contributing 0.6 percentage points.

Acquisitions contributed 16.4% to growth, while foreign exchange factors added 1.1%.

EBITDA was £51.6 million, a 21% increase from the same period last year, beating market consensus by 2%. EBITDA margin was 22.6%, down 10 basis points year-over-year. Earnings per share increased 19% to 18.2 pence.

The company raised dividends by 18% and maintained a strong 98% cash conversion rate. Net debt stood at £186 million, with a leverage ratio of 1.3x.

Volution’s three geographic regions all achieved organic revenue growth, within the company’s 3% to 5% target range.

The UK division saw organic revenue growth of 3.8%, driven by residential growth of 4.2%, a surge in export sales of 20.3%, and OEM business growth of 7.6%. Commercial revenue declined by 7.3%. UK profit margins increased by 60 basis points to 26.3%.

In Europe, organic revenue grew 5.3%, with Nordic region up 4.1% and Central Europe up 6.0%. The Netherlands’ ClimaRad business performed strongly, while Germany has stabilized.

Belgium and France markets remain challenging. European profit margins expanded by 120 basis points to 25.3%.

Australasia’s organic revenue grew 3.3%, with residential up 5.2% and commercial up 1.9%. The Fantech acquisition contributed 227% to the division’s growth.

In New Zealand, residential growth benefited from the 2023 acquisition of DVS. Profit margins declined by 100 basis points due to the Fantech acquisition.

The board currently expects adjusted EPS for fiscal year 2026 to be at the high end of market expectations, representing an upward revision of about 2%.

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