Rockwood Strategic Plc
(“RKW or the “Company”)
Interim results for the six months to 30 September 2025
Rockwood Strategic Plc (LSE: RKW) is pleased to announce its unaudited results for the six months ended 30 September 2025 (the “Period”).
Highlights for the period:
- Net Asset Value (NAV) Total Return in the period of 12.5%1 to 279.91p/share which compares to rises in the FTSE Small Cap (ex-ITs) Index of 12.1% and the FTSE AIM All-Share Index of 14.8%. Total shareholder Return in the Period was 11.5%1.
- NAV Total Return performance in the year to 30 September 2025 of 10.8% which compares to the FTSE Small Cap (ex-ITs) Index of 2.3% and the FTSE AIM All-Share Index of 5.8%. The Total Shareholder Return in the same one-year period was 10.6%1.
- NAV Total Return performance in the three years to 30 September 2025 of 93.9%1 which compares to a rise in the FTSE Small Cap (ex-ITs) Index of 31.2% and a decline in the FTSE AIM All-Share Index of -2.9%. The Total Shareholder Return in the same three-year period was 99.7%1.
- No. 1 UK Small Companies fund over the last 3 and 5 years by Net Asset Value Total Return and Total Shareholder Return (‘TSR’) per the association of Investment Companies (UK domiciled) to the end of the period.
- New shares issued via our block listing programme at a small premium to Net Asset Value, growing the share count by 24% and, alongside performance, growing NAV to £134.8m. NAV has now grown 267% in the last three years, building scale and widening our practicable investment universe.
- Net cash of £9.8m at the end of the Period (representing 7.3% of NAV).
- Three new investments were made across a range of industry sectors. Treatt Plc, an ingredients manufacturer, subsequently received a takeover offer from a PE backed trade buyer. This was blocked by another trade competitor who have taken a strategic stake. Tribal Group Plc, provider of education software & services, rapidly rose 53% post our initial purchase. We are still building the holding in the third company. A modest ‘bridge’ financing was supported at Pennant International Plc.
- One investment was realised: Galliford Try Plc, generating a 48.2% IRR and 2.4x money multiple. Initially purchased in Q2 2022 our investment thesis has been delivered over three years via a material valuation re-rating of the equity and excellent turnaround of the company’s operating performance. Joined the FTSE All-share index and FTSE Small Companies Index.
1 These are considered to be APMs.
Noel Lamb, Chairman of Rockwood Strategic Plc, commented:
“I am pleased to report another six months of NAV growth in excess of our target returns. Despite sustained negativity in the U.K., Rockwood Strategic continues to build support with an exceptional 24% growth in our total shares issued to new investors. Increased scale has led to inclusion in the FTSE All-share and FTSE Small Companies Indices and performance has yet again been externally recognised, as the strategy won Citywire’s Investment Trust of the Year 2025 Award for ‘Best UK Smallers’ and The 2025 Quoted Data Awards ‘Best for Small Cap’.”
Richard Staveley, Fund Manager, Harwood Capital, commented:
“The ingredients to support a sustained recovery in UK small company markets are gradually emerging. Valuations are attractive. Pension fund selling appears exhausted. The direction of interest rates is down. In 2025 FTSE 100 shares have on average significantly outperformed US shares, refuting pessimistic narratives about our domestic market. However, the final ingredient remains outstanding in our view; government support to reverse smaller company investor outflows, creating a virtuous circle for UK public markets. If next week’s budget doesn’t include any, then a gift will be handed to the next Chancellor. In any event, we believe our differentiated strategy will continue to deliver.”