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Genuit Group PLC on Tuesday reported doubled profit in the first half of 2025 and said it is trading in line with market expectations so far in the second half, but warned that the business environment remains challenging and market volumes are not expected to increase this year. Genuit shares were down 8.0% to 355.0 pence, the worst performer in the FTSE 250 index, itself marginally higher. Jefferies cut its price target on Genuit shares to 501p from 526p, though the investment bank retained a ’buy’ rating on the stock. Genuit is a Leeds, England-based provider of water, climate and ventilation systems for buildings and infrastructure. Pretax profit rose to £31.7 million in the six months that ended June 30, more than doubled from £15.3 million a year before. Genuit had taken a £12.4 million impairment in goodwill in the first half of 2024, resulting in the big jump in statutory profit. Underlying pretax profit was £38.8, up 3.2% from £37.6 million a year before. Underlying operating profit was £44.6 million, up 2.3% from £43.6 billion, despite Genuit’s profit margin by this measure narrowing to 15.0% from 16.0%. Revenue rose by 9.3% to £297.8 million from £272.4 million. Earnings per share were 9.6 pence, nearly tripled from 3.4p a year before. Genuit declared an interim dividend of 4.2 pence, up 2.4% from 4.1p a year before. Looking ahead, Genuit Chief Executive Officer Joe Vorih said the company expects underlying operating profit for 2025 to be in line with market consensus, which it put at £93.0 million to £97.7 million. This would be up from £92.2 million in 2024. Genuit also expects its underlying profit margin to improve in the second half of the year, thanks to price increases, productivity gains from Genuit Business System projects, and cost efficiencies in Water Management Solutions. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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