Likewise Group (AIM:LIKE) said it now expects underlying profit before tax for the year ending 31 December to come in materially ahead of current market expectations, at not less than £5.0 million, up from £3.1 million in 2025.
The AIM-listed flooring distributor reported total group revenue up 15.4% to £89.9 million for the six months to 30 June, against £77.9 million a year earlier, with gross margin improving 0.8 percentage points to 32.1%.
Underlying profit before tax rose 79.5% to £1.32 million, while underlying profit from operations climbed 34.4% to £2.25 million; the board flagged a £0.2 million hit from fuel prices that peaked roughly 33% above budget due to Middle East-related shipping disruption.
Likewise has been expanding distribution capacity to support that growth, opening a new Leeds hub for palletised goods and extending its Newport facility, and in August completed the freehold purchase of a 60,000 sq ft Corby hub for £9.57 million, due to become operational in January 2027.
The board has also agreed heads of terms on a 47,000 sq ft Manchester facility to support its A&A business and North West operations, part of a push toward a revamped £300 million revenue target having nearly reached its original £200 million goal.
Cash generated from operating activities was £4.11 million, with cash and equivalents at £3.65 million at period end, before a post-period fundraising that raised gross proceeds of £32.5 million.
The board raised the interim dividend 20% to 0.165p per share, payable 13 November, implying a total 2026 dividend of 0.495p.
Third-quarter sales rose 29.1% between 1 July and 25 September, with year-to-date sales up 20.7%.
"The Group has performed strongly throughout the first half and then accelerated into the summer and early Autumn. As a result, we now expect to deliver results for the full year materially ahead of market expectations," said chief executive Tony Brewer.