Elementis PLC (LSE:ELM) reported first-half 2026 results that exceeded market forecasts, with higher revenue, profit and earnings per share supported by continued momentum across both its Personal Care and Coatings businesses.
Revenue increased to $318.2 million during the period, representing organic growth of 4.7% at constant currency compared with the same period last year. The result was above both the Jefferies forecast of $317.8 million and the broader market consensus of $314.4 million, while also marking an improvement from the 2% organic growth recorded in the first quarter.
Earnings Outperform Analyst Forecasts
Adjusted EBIT reached $73.2 million, comfortably exceeding both Jefferies’ estimate and the consensus forecast of $70.6 million. Diluted adjusted earnings per share also came in ahead of expectations at 8.5 cents, compared with the Jefferies estimate of 7.8 cents.
The company said the stronger performance reflected improving demand across its core markets and continued operational execution.
Coatings and Personal Care Drive Growth
Elementis’ Personal Care division generated revenue of $109.2 million, delivering organic growth of 2.9% year over year. Adjusted EBITA for the segment rose to $41.6 million, while the operating margin improved by 30 basis points to 38.1%.
The Coatings business delivered an even stronger performance, with revenue increasing organically by 5.6% to $209.0 million. Adjusted EBITA climbed to $43.2 million, and the division’s margin expanded by 250 basis points to 20.7%.
Outlook Remains Positive
Elementis ended the first half with net debt, excluding pensions and lease liabilities, of $163.8 million, equivalent to a net debt-to-EBITDA ratio of 1.1 times.
Looking ahead, the company expects full-year 2026 adjusted EBITA to be in line with current market expectations of $135.2 million. Management said a strong third-quarter order book provides confidence in the outlook, although it continues to monitor the potential impact of the Middle East crisis on global demand, raw material costs and supply chain conditions.
Leave a Reply