Revenue and Profit Growth
Group revenues grew 6% to GBP 1.8bn; underlying operating profit increased 18% to GBP 50m; underlying operating margin expanded by 30 basis points. Reported operating profit was GBP 62.6m (includes ~GBP 11m non‑underlying items). Group H1 EPS flipped to a profit of 1.1p (vs a loss prior year).
Clear Free Cash Flow and CapEx Targets
Management running the business as a 'cash‑first' model and reaffirmed FY26 pre‑dividend/pre‑buyback free cash flow target of >GBP 100m. Half‑year CapEx was GBP 93m; full year CapEx guidance is below GBP 200m (~5% of sales normalized).
Disciplined Balance Sheet and Returns
Leverage (net debt / EBITDA) stable at 2.2x. Management expects to step up return on capital employed beyond last year’s 18.7%, noting a 70 basis point improvement in the 12 months to end‑March. Share buyback program underway (c. GBP 57m deployed for ~32m shares / ~4% of capital; cash outflow on buyback ~GBP 43m by half‑year).
Continental Europe Improvement and Action Plan
Continental Europe operating losses reduced 32% to GBP 9m; operating margin improved 70 basis points. Management is executing structural fixes (contract renegotiations, office consolidation, labor optimisation) and targets >3% operating margin for the region this year, with further medium‑term margin upside expected.
North America Momentum and Minority Interest Reduction
North America expanded airport footprint (c. 30 → c. 60 airports since 2022) and delivered strong sales and EBIT uplift. Non‑customer‑facing roles reduced by 11% year‑on‑year and minority interest charge in North America fell 40% in the half, improving conversion of EBIT to net income.
Asia / EEME strategic progress and rollouts
Asia & Middle East delivered the group's strongest like‑for‑like sales in H1 at +9% (prior to late H1 disruption). Acquisitions in Australia (ARE) and Indonesia (TG) are tracking ahead of plan; first Travel Club Lounge opened in Bangkok; India EATS aggregation (TFS) now capturing more margin through lounges and third‑party integrations.