Acquisition update and H1 2026 trading update

Rosebank Industries PLC

21 July 2026

21 July 2026

ROSEBANK INDUSTRIES PLC

         ("ROSEBANK" OR THE "COMPANY" OR THE "GROUP")

ACQUISITION UPDATE FOLLOWING THE COMPLETION OF MW COMPONENTS AND CPM; H1 2026 TRADING UPDATE; FULL YEAR EXPECTATIONS UPGRADED

Rosebank announces the following acquisition and trading update for the six month period from  1 January to 30 June 2026 ("the Period"), including the positive performance of CPM and MW Components, following their acquisitions on 12 May 2026 and 28 May 2026 respectively.

MW Components

MW Components performed strongly in the first half of the year, with each of the three businesses growing ahead of our pre-acquisition expectations. Strong order intake has continued in the initial ownership period, and when combined with decisive cost and operational actions, gives us confidence that MW Components will exceed current market expectations for 2026.

Key actions to improve performance have already been taken in our short period of ownership, in line with our pre-acquisition plan. These actions create the foundation for achieving stated targets and include:

·  The start of the legal restructure of MW Components into three separate stand-alone businesses: Fasteners; Springs; and Precision Components, in line with the management structure already implemented. This is expected to be completed in the third quarter of 2026

·    The agreement of strategic plans with the management of the three separate businesses that align with Rosebank's stated shareholder returns

·    The closure of the MW Components head office, which will result in a full year central cost reduction of at least $15 million

·   The announcement of three factory closures, two in Springs and one in Precision Components, with further optimisation opportunities identified

·   The approval of an initial $30 million capital expenditure, with appropriate paybacks, that will both increase capacity and improve efficiency in the businesses. This includes approximately $14 million in the Fasteners Addison facility

CPM

Since taking ownership the performance of CPM has been as expected, which includes Aftermarket revenue growing consistently at approximately 7% in the Period compared to last year. The order backlog, current pipeline and strong order intake seen in the early weeks of ownership for both the Aftermarket and Machines businesses gives us confidence that CPM is on track to meet market expectations for 2026.

Key actions to improve the performance of CPM have been commenced, which include:

·    CPM's organisation structure being simplified, including all Aftermarket activities being placed under a unified leadership structure

·    The acquisition of CPM's aftermarket distributor in the UK and Ireland being completed for €26 million, in line with an ongoing strategy to grow CPM's aftermarket business

·   An initial phase of restructuring head office and divisional costs, which will result in a full year cost reduction of at least $10 million

·   The commencement of a restructuring plan in the former Process Solutions division, including the potential disposal of a sub-division, multiple site consolidations, and the remaining businesses in this division being merged into the Industrial Solutions division

·    The recruitment of a new CEO, who will join the business on 1 October 2026

ECI

ECI is trading in line with full year 2026 expectations.

Revenue in the Period was 4% lower than the same period last year, including exiting low margin revenue in line with our acquisition plan, which to date has contributed 3% of the year on year decline.

Appliance & HVAC ("A&H") revenue was 13% lower than the same period last year, which included the large majority of the exited low margin revenue in the Period and is consistent with what has been seen and communicated in A&H end markets. This has temporarily masked some of the improvements in this business.

Encouragingly, the higher margin Electrification and Industrial ("E&I") businesses benefitted from revenue growth of 9% in the Period compared to the same period last year, with particularly strong growth in the Industrial Tech end markets that ECI serves.

All tariffs incurred have been fully recovered by ECI in the Period.

ECI adjusted operating margin was 16.1% in the Period, 1.0 percentage point higher than the same period last year, continuing to build on the momentum seen in our ownership. Improvement plans announced last year are being accelerated.

Outlook

Adjusted operating profit and EPS for the Group are expected to be ahead of Company compiled analysts' consensus¹ for 2026.

In addition, and encouragingly, the strong trading performance being seen in all three MW Components businesses and the recent strong order intake seen in CPM gives us confidence that the Group will continue to outperform into 2027.

Fast and effective early actions have been taken in each of the businesses we own, giving us confidence that we will achieve our strategy in delivering the intended returns for each of these three investments. 

Rosebank Industries plc Interim Results will be announced on 3 September 2026.

Simon Peckham, Chief Executive of Rosebank Industries plc, today said:

"All three of our businesses are improving their performance as a result of actions taken since their acquisition. Whilst we have had to cope with well understood headwinds in the Appliance business of ECI, we are confident in our plans for each of the three businesses and look forward to the months to come."

ENDS

Notes:

1.     Company compiled consensus Rosebank Group adjusted operating profit for 2026 of $294 million and 2027 of $452 million

Enquiries:

Rosebank Industries plc:

Simon Peckham                               Chief Executive

Matthew Richards                           Group Finance Director

Investor Relations:

Chris Dyett                                          +44 (0) 7974 974 690, ir@rosebankindustries.com

Montfort Communications:

Nick Miles                                           +44 (0) 7739 701 634, miles@montfort.london

Charlotte McMullen                          +44 (0) 7921 881 800, mcmullen@montfort.london

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