|
IG Design Group PLC shares jumped on Wednesday as it said it expects being at the upper end of previous guidance and above current market consensus for the full financial year. Shares in IG Design Group jumped 27% to 60.62 pence on Wednesday afternoon in London. The Buckinghamshire, England-based celebration products and gift packaging firm said trading for the nine months to the end of 2025, including the Christmas period, was in line with expectations. The firm now expects revenue between $280 million and $285 million for the financial year to the end of March, with final quarter revenue in line with the prior year. It also guides for the adjusted operating margin to be at the higher end of expectations at around 4%. ‘Together with interest income above current market expectations, this is expected to result in adjusted profit exceeding current market expectations,’ IG Design said. It previously guided for revenue between $270 million and $280 million, with an adjusted operating margin between 3% and 4%. The firm put the current market consensus at revenue of $275 million, adjusted operating profit of $9.7 million and adjusted profit of $7.6 million. IG Design added that cash performance during the year has been ‘particularly strong’, as it expects full-year net cash between $55 million and $60 million. This would be ahead of current market expectations of $42 million and the firm’s previous guidance of $40 million to $45 million. ‘This outperformance reflects disciplined cash and working capital management across the continuing group following the disposal of DG Americas. In addition, the sale of a surplus UK warehouse has been provisionally agreed and is expected to close by year end, further strengthening the cash position,’ IG Design said. Looking further ahead, the firm said its outlook remains consistent with prior guidance. It expects the underlying business to deliver annual revenue growth between 0% and 5%, an adjusted operating margin of 4% to 5% and sustainable cash generation between $6 million and $8 million per year. IG Design said the chief executive officer recruitment process remains in progress, and noted that Stewart Gilliland ‘remains committed’ to the interim executive chair role until an appointment has been finalised. The firm also noted that it plans to adopt sterling as its presentation currency for financial statements in future. Copyright 2026 Alliance News Ltd. All Rights Reserved.
|
