Victorian Plumbing Group has reported another year of revenue and profit growth, reinforcing its position as the UK’s largest bathroom retailer and signalling further market-share gains despite a challenging consumer backdrop.
The company posted record revenues of £310m for the year to 30 September 2025, up 5% from £295.7m, outperforming the broader repair, maintenance and improvement (RMI) market. Order volumes rose 6% to 1.1 million, although average order value dipped 1% to £287, recovering in the second half.
Gross profit increased 4% to £153.2m, with margin easing slightly to 49.4% following the introduction of the Extended Producer Responsibility tax and shifts in product mix.
Victorian Plumbing delivered a 17% rise in adjusted EBITDA to £31.8m, with margins edging up to 10% as the group benefited from improved marketing efficiency. Operating profit climbed 61% to £18m, helped by the absence of last year’s exceptional warehouse and acquisition-related costs.
However, adjusted pre-tax profit slipped 6% to £21.8m, reflecting higher interest charges associated with the company’s 20-year lease on its new distribution centre. Adjusted diluted earnings per share increased 2% to 5.4p.
Cash generation remained robust, with free cash flow up 29% to £24m and operating cash conversion improving to 77%. The group ended the year with net cash of £17.7m, up from £11.2m, and proposed a 34% increase in its full-year dividend to 2.15p.
A major contribution to growth came from strategic expansion categories in trade revenue, which rose 10% to £73.8m and now accounts for nearly a quarter of total sales, and the tiles and flooring division, which increased 42% to £17.6m, supported by enhancements to the customer proposition.
Chief executive Mark Radcliffe said the company remains confident in its long-term strategy despite ongoing economic uncertainty.
“Our new state-of-the-art distribution centre enables us to fulfil orders more efficiently and supports our ambitions across trade and tiles and flooring,” Radcliffe said. “As a highly cash-generative business with a strong balance sheet, we continue to invest for long-term profitable growth.”
The completion of the warehouse transformation in December 2024 has improved fulfilment efficiency and is now underpinning the company’s expansion into these segments.
Own-brand lines also continued to dominate, representing 81% of total revenue.
Marketing costs fell to 27.3% of revenue, with online marketing decreasing to 24.6% as the group further optimised spend. These efficiencies funded increased brand marketing, helping push brand awareness to 70%, up from 66%.
The business also highlighted an encouraging early customer response to the soft launch of the reimagined MFI brand, with orders beginning through mfi.co.uk in July. The site currently holds an ‘Excellent’ Trustpilot rating of 4.7.
The group said investment in the revived brand remains disciplined, with a full launch planned for 2026. As previously guided, MFI is expected to post a loss of £2.6m–£3.4m in the current financial year.
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