Accrol Group Holdings plc Half-Year Trading Update

22 November 2023

Accrol Group Holdings plc

(“Accrol, the “Group” or the “Company”)


Strong performance with margins and volume continuing to grow

Accrol (AIM: ACRL), the UK’s leading independent tissue converter, announces the following trading update ahead of its Half Year Results for the six months ended 31 October 2023 (“H1 FY24” or the “Period”), which are scheduled to be released in late January 2024.

The Board is pleased to report that the Group performed strongly in H1 FY24:

·     Volume growth continued throughout the Period;

·     Margins returned to pre-pandemic levels, quicker than forecast, with the Board now expecting Adjusted EBITDA1 for FY24 of at least £21m;

·     Adjusted net debt2 at 31 October 2023 was £25.5m (H1 FY23 £30.5m), as a result of strong cash generation, driven by the operational efficiencies of the business. The Board now anticipates that adjusted net debt will be close to 1x EBITDA by the full year end.

The Group continues to demonstrate its strong market position, building on its strong customer base and market-leading products, and is well positioned to deliver further growth.

Gareth Jenkins, Chief Executive Officer of Accrol, said:

“We are clearly very pleased with this performance. We continue to deliver by having great quality and value products which meet every consumer’s budget. Our strong relationship with the retailers and our robust supply model are ensuring we can continue to deliver a strong set of results in a changing market environment.”

1Adjusted EBITDA is defined as profit before finance costs, tax, depreciation, amortisation, separately disclosed items and share based payments
2Adjusted net debt excludes operating type leases recognised on the balance sheet in accordance with IFRS 16

Market expectations as at 21 November 2023 for FY24 (Shore Capital & Zeus): revenue of £205m, adjusted EBITDA of £20.5m, adjusted profit before tax of £10.8m and net debt of £20.1m.

For further information, please contact: 
Accrol Group Holdings plc
Dan Wright, Executive ChairmanVia Belvedere Communications
Gareth Jenkins, Chief Executive Officer
Chris Welsh, Chief Financial Officer
Zeus (Nominated Adviser & Broker)  
Dan Bate / Jordan WarburtonTel: +44 (0) 161 831 1512
Dominic KingTel: +44 (0) 203 829 5000
Shore Capital Stockbrokers (Joint Broker)Tel: +44 (0) 20 7408 4090
Malachy McEntyre/ Mark Percy / James Thomas / Isobel Jones 
Belvedere Communications Limited
Cat ValentineTel: +44 (0) 7715 769 078
Keeley ClarkeTel: +44 (0) 7967 816 525
Back to All News All Market News

Sign up for our Stock News Highlights

Delivered to your inbox every Friday