PZ Cussons (LSE:PZC) reported solid annual results and kept its dividend flat at 3.6p per share as it worked on a plan to simplify the business.
Adjusted operating profit fell by 5.8% to £54.9 million for the year ended 31 May 2025, as revenue grew 8% on a like-for-like basis despite a 2.7% decline in reported revenue to £513.8 million due to foreign exchange impacts.
Statutory profit before tax was £6.5 million, swinging back into the black from a £95.9 million loss in the prior year, while adjusted profit before tax declined 8.1%.
Chief executive Jonathan Myers said: “FY25 has been a year of continued progress against our strategy. We have delivered good momentum across most of our portfolio, driven by our renewed focus on more competitive brand activation, strengthened innovation and successful commercial partnerships.”
Myers added: “We are also delivering on the plan to simplify and transform our business. In June we announced the sale of our 50% stake in PZ Wilmar, for $70 million, materially strengthening our financial position.”
Gross debt was trimmed from £166.6 million to £157.1 million as free cash flow of £42.3 million was reported.
The company said in June that it will retain the St.Tropez brand and implement a new operating model.
“With the strategic actions and operational improvements delivered through 2025, we are confident in the long-term potential for PZ Cussons,” said Myers.
Trading in the three and a half months of the new year has been in line with board expectations, with LFL revenue growth to the end of September expected to be 10%, driven by growth of 39% in Africa and 7% in Asia Pacific, partly offset by Europe & Americas falling 2%.
The shares rose 2.6% to 68p in early trading on Wednesday.