Diploma PLC (DPMAY) Q4 2026 Guidance Call Transcript

Operator

Good morning, and welcome to the Diploma Trading Update Conference Call. I will now hand the call over to CEO, Johnny Thomson. Please go ahead.

Jonathan Thomson
CEO & Director

Thank you. Good morning, everyone. Thank you for joining us at late notice. I really appreciate that. Wilson and I are here together in our pajamas in the U.S. And hopefully, by now, you will have seen that we issued an upgrade to our trading expectations for the year. Half 1 has been very strong, and we’re confident in our momentum into the second half too.

So for the year now, our organic growth guidance has increased from 6% to 9%. Acquisitions for now remain at 3%. Our margins are up from 22.5% to 25% for the year, and this equates broadly to a 13% increase to consensus operating profit. A little bit of color. Peerless continues to trade very well. The positive market dynamics are sustainable, and we’re winning share. Half 1 is looking incredibly strong again.

And as we previously said, it will moderate a little in the second half against the strong comparator, but we will land into very good revenue and profit growth. I’m really pleased with progress elsewhere. The group’s growth, excluding Peerless, is running at high single digits, well above our model. Some of the controls businesses, IS Group and Clarendon don’t often get