PZ Cussons PLC (GB:PZC)
LSE:PZC
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PZ Cussons
(LSE:PZC)
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Rating:54Neutral
Price Target:
75.00 p
▲(3.73% Upside)
Action:ReiteratedDate:02/11/26
The score is held back primarily by weak underlying profitability and cash-flow quality in the financial statements. Technicals are constructive with a clear uptrend, but momentum appears stretched. Valuation is mixed (strong yield but negative P/E), while the earnings call adds moderate support from upgraded guidance and deleveraging, tempered by FX and H2 execution/phasing risks.
Positive Factors
Broad-based revenue growth
Sustained, broad-based LFL growth across all three reporting regions and multiple lead markets indicates diversified revenue drivers. This reduces single-market concentration risk, supports repeat-purchase cash flows for staples categories, and underpins durable top-line resilience over the medium term.
Negative Factors
Weak cash-flow quality
Declining free cash flow growth and a low operating cash flow to net income ratio signal constrained cash conversion from profits. This reduces capacity to fund organic growth, marketing, or dividend increases from operations alone and raises dependence on asset disposals for balance-sheet fixes.
Read all positive and negative factors
Positive Factors
Negative Factors
Broad-based revenue growth
Sustained, broad-based LFL growth across all three reporting regions and multiple lead markets indicates diversified revenue drivers. This reduces single-market concentration risk, supports repeat-purchase cash flows for staples categories, and underpins durable top-line resilience over the medium term.
Read all positive factors
PZ Cussons (PZC) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£332.66M
Dividend Yield4.82%
Average Volume (3M)1.09M
Price to Earnings (P/E)14.3
Beta (1Y)0.82
Revenue Growth-2.67%
EPS Growth89.86%
CountryUK
Employees2,600
SectorConsumer Defensive
Sector Strength42
IndustryHousehold & Personal Products
Share Statistics
EPS (TTM)0.04
Shares Outstanding428,724,950
10 Day Avg. Volume597,987
30 Day Avg. Volume1,088,669
Financial Highlights & Ratios
PEG Ratio0.70
Price to Book (P/B)1.67
Price to Sales (P/S)0.71
P/FCF Ratio22.09
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.07
Revenue Forecast (FY)£545.78M
PZ Cussons Business Overview & Revenue Model
Company Description
PZ Cussons Plc manufactures, distributes, markets, and sells baby, beauty, and hygiene products in Europe, the Americas, the Asia Pacific, and Africa. It offers toiletries, pharmaceuticals, electrical goods, fats and spreads, nutritional products,...
How the Company Makes Money
PZ Cussons makes money by selling branded fast-moving consumer goods (FMCG) across personal care, home care, and food & nutrition categories. Revenue is generated mainly from the wholesale and retail sale of products it manufactures itself (and, w...
PZ Cussons Earnings Call Summary
Earnings Call Date:Feb 11, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Sep 23, 2026
Earnings Call Sentiment Positive
The call presents a constructive and improving financial picture: double-digit-like LFL revenue growth (9.5%), materially higher adjusted operating profit, strengthened balance sheet and reduced leverage following disposals, plus clear brand and geographic wins (Sanctuary Spa, ANZ, Nigeria recovery, St.Tropez U.S.). However, there are important caveats — a portion of the H1 profit improvement was driven by FX revaluation swings, St.Tropez underperformed outside the U.S., gross margin was compressed by mix effects, and the company will intentionally reduce near-term profits in H2 to fund higher marketing investment and work through inventory/seasonality. On balance the positives (broad-based revenue growth, margin improvement, deleveraging, upgraded guidance and cash generation) outweigh the negatives, but the narrative remains guarded with execution and FX volatility risks to monitor.Positive Updates
Strong Group Revenue Growth
Group revenue GBP 269m vs GBP 249m prior year; like-for-like revenue growth 9.5% driven by broad-based growth across all 3 reporting regions, 4 lead markets (U.K., Australia, Indonesia, Nigeria) and top 10 brands.
Negative Updates
St.Tropez Underperformance Outside U.S.
Overall St.Tropez revenue declined 11% in H1 and in some markets revenue was down over 30% (inventory overhang and need to win back retail support); brand did not grow absolute H1 revenue and remains a turnaround work in progress despite +12% in the U.S.
Read all updates
Q2-2026 Updates
Positive
Negative
Strong Group Revenue Growth
Group revenue GBP 269m vs GBP 249m prior year; like-for-like revenue growth 9.5% driven by broad-based growth across all 3 reporting regions, 4 lead markets (U.K., Australia, Indonesia, Nigeria) and top 10 brands.
Read all positive updates
Company Guidance
Management raised full‑year adjusted operating profit guidance to £53–57m (from £50–55m) while reiterating FY‑26 cost‑savings of £5–10m and a progressive capital allocation policy; H1 delivered revenue £269m (+9.5% LFL), adjusted operating profit £36m (vs £27m), adjusted PBT £30m (vs £20m), adjusted EPS 4.37p, free cash flow £23m and an unchanged dividend of 1.5p. Balance‑sheet moves included £27.6m of disposal proceeds in the period, net debt down to £84m (net leverage 1.1x; on a conservative basis excluding Nigerian cash 1.4x) and a pro‑forma net debt of £48m (leverage <1x) after a further £37m Wilmar receipt; H1 also benefitted from a c.£6m FX revaluation swing (c.£2m credit this year versus c.£4m debit prior) but guidance does not assume an additional £2m FX benefit. Regional notes underpinning the guidance: Africa LFL revenue +28% with Nigeria margin around c.14% and a sustainable low–mid‑teen margin if the naira holds, APAC and EMEA momentum but marketing spend is being back‑weighted to H2 (a significant step‑up), and CapEx was £1m in H1 with normal levels expected for the full year.PZ Cussons Financial Statement Overview
Summary
Income Statement
45
Neutral
Balance Sheet
50
Neutral
Cash Flow
40
Negative
| Breakdown | TTM | May 2025 | May 2024 | May 2023 | May 2022 | May 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 533.80M | 513.80M | 527.90M | 656.30M | 592.80M | 603.30M |
| Gross Profit | 206.20M | 206.80M | 131.10M | 238.20M | 207.30M | 216.30M |
| EBITDA | 68.40M | 51.90M | -55.30M | 86.10M | 81.50M | 89.80M |
| Net Income | -4.90M | -5.80M | -57.00M | 36.40M | 47.90M | 36.90M |
Balance Sheet | ||||||
| Total Assets | 644.30M | 615.20M | 649.60M | 988.40M | 941.90M | 780.50M |
| Cash, Cash Equivalents and Short-Term Investments | 49.90M | 45.10M | 51.30M | 256.90M | 164.30M | 87.30M |
| Total Debt | 159.50M | 172.00M | 178.70M | 264.20M | 191.00M | 129.80M |
| Total Liabilities | 410.50M | 401.70M | 414.40M | 566.30M | 493.00M | 409.00M |
| Stockholders Equity | 234.80M | 219.70M | 242.30M | 395.60M | 427.00M | 352.70M |
Cash Flow | ||||||
| Free Cash Flow | 14.80M | 16.60M | 6.80M | 51.50M | 44.90M | 43.10M |
| Operating Cash Flow | 21.20M | 23.50M | 12.90M | 58.20M | 53.10M | 52.00M |
| Investing Cash Flow | 24.60M | 700.00K | 12.40M | 19.50M | -5.70M | 2.70M |
| Financing Cash Flow | -45.60M | -28.70M | -109.70M | 43.30M | 26.60M | -38.60M |
PZ Cussons Technical Analysis
Positive
72.30
Price Trends
78.52
Positive
75.43
Positive
72.70
Positive
Market Momentum
0.47
Negative
52.49
Neutral
66.44
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:PZC, the sentiment is Positive. The current price of 72.3 is below the 20-day moving average (MA) of 77.30, below the 50-day MA of 78.52, and below the 200-day MA of 72.70, indicating a bullish trend. The MACD of 0.47 indicates Negative momentum. The RSI at 52.49 is Neutral, neither overbought nor oversold. The STOCH value of 66.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:PZC.
PZ Cussons Peers Comparison
UnderperformOutperform
Sector (62)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | £151.48M | 15.51 | 21.32% | 5.97% | 6.38% | -10.55% | |
72 Outperform | £15.42M | 4.66 | 9.67% | 3.17% | 2.83% | ― | |
71 Outperform | £91.18B | 11.79 | 28.78% | 3.85% | -2.98% | -16.90% | |
66 Neutral | £243.36M | 3.91 | 30.98% | 2.12% | -0.89% | 1.30% | |
66 Neutral | £33.39B | 12.30 | 38.45% | 3.44% | -2.41% | -16.41% | |
62 Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% | |
54 Neutral | £332.66M | 14.34 | -2.16% | 4.82% | -2.67% | 89.86% |
* Consumer Defensive Sector Average
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PZ Cussons Corporate Events
Business Operations and StrategyFinancial Disclosures
PZ Cussons Lifts Profit Outlook After Strong Third Quarter Trading
Positive
Mar 24, 2026
PZ Cussons reported continued strong trading in its third quarter to 28 February 2026, with like-for-like group revenue up 6.3% and reported revenue up 5.0%, extending the positive momentum seen in the first half. Supported by further stability in...
Business Operations and StrategyExecutive/Board Changes
PZ Cussons Executives Acquire Shares Under 2020 Incentive Plan
Positive
Mar 19, 2026
PZ Cussons has disclosed routine share transactions involving senior management under its Share Incentive Plan 2020, covering ordinary shares of 1p each in the company. Chief Executive Officer Jonathan Myers, Chief Supply Chain Officer Steve Noble...
Other
PZ Cussons Chair David Tyler Buys 50,000 Shares
Positive
Mar 3, 2026
PZ Cussons’ non-executive chair, David Tyler, has purchased 50,000 ordinary shares of 1 pence each in the company on 3 March 2026 at a price of £0.795 per share. The on-market transaction on the London Stock Exchange increases TylerR...
Business Operations and StrategyExecutive/Board Changes
PZ Cussons Executives Receive Shares Under 2020 Incentive Plan
Positive
Feb 19, 2026
PZ Cussons has disclosed that three senior executives, including Chief Executive Officer Jonathan Myers, Chief Supply Chain Officer Steve Noble and Company Secretary and General Counsel Kareem Moustafa, have acquired ordinary shares under the comp...
Other
PZ Cussons Director Boosts Stake With Share Purchase
Positive
Feb 13, 2026
PZ Cussons has disclosed that non-executive director Vivek Ahuja purchased 20,000 ordinary shares in the company on 13 February 2026. The trade, executed on the London Stock Exchange at a price of about £0.91 per share, signals board-level co...
Other
PZ Cussons Chair David Tyler Buys 25,000 Shares
Positive
Feb 13, 2026
PZ Cussons has disclosed that its non-executive chair, David Tyler, purchased 25,000 ordinary shares in the company on 12 February 2026. The shares were acquired on the London Stock Exchange at a price of £0.909772 per share, a move that may ...
Business Operations and StrategyDividendsFinancial Disclosures
PZ Cussons sets renewed strategy with double-digit returns target
Positive
Feb 11, 2026
PZ Cussons has outlined a renewed group strategy at a capital markets event in London, highlighting a sharper focus on building portfolios of locally loved brands across four lead markets spanning developed and emerging economies. Management prese...
Business Operations and StrategyDividendsFinancial DisclosuresM&A Transactions
PZ Cussons lifts profit guidance after broad-based first-half growth
Positive
Feb 11, 2026
PZ Cussons reported a strong first-half performance for the six months to 29 November 2025, with like-for-like revenue up 9.5% and growth across all four lead markets of the UK, Australia and New Zealand, Nigeria and Indonesia. Revenue rose 8% to ...
Executive/Board Changes
PZ Cussons Confirms Timetable for Board Departure of Sarah Pollard
Neutral
Jan 22, 2026
PZ Cussons has announced a change to its board, confirming that Sarah Pollard will step down as a director on 13 February 2026 and remain with the business until 20 March 2026 to support an orderly transition. The move signals a period of leadersh...
Business Operations and StrategyExecutive/Board Changes
PZ Cussons Executives Increase Stakes Through Share Incentive Plan
Positive
Jan 20, 2026
PZ Cussons has disclosed that several senior executives, including Chief Executive Officer Jonathan Myers, Chief Financial Officer Sarah Pollard, Chief Supply Chain Officer Steve Noble and Company Secretary and General Counsel Kareem Moustafa, hav...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.