Genuit Group reports 'resilient trading' and market share gains
Genuit Group, the UK's largest provider of water, climate, and ventilation products for the building sector, said it had delivered a resilient trading performance during challenging market conditions.
In a trading update, Genuit said it had seen a moderation in market volumes, driven by purchasing uncertainty relating to the November Budget.
In the four months ended October 2025, revenue increased by 7.1 per cent compared with the prior year on a reported basis and 3.7 per cent on a like-for-like basis.
Group revenue for the 10 months ended October 31 2025 was £511.1 million, which was 8.4 per cent higher than the prior year on a reported basis and 5.1 per cent higher than prior year on like-for-like basis.
The two recent acquisitions of Monodraught (CMS) and Davidson Holdings (SBS) completed in September are expected to contribute around £13m of revenue in the fourth quarter of 2025, the statement said.
In a statement for investors issued on Monday morning, Joe Vorih, the chief executive, said Genuit had continued to make market share gains and delivered increasing margins.
He added: "We have also made strong strategic progress with the acquisitions of Monodraught and Davidson Holdings. Looking ahead, we expect the market to remain subdued for the remainder of 2025 and into next year due to the economic and political backdrop.
Mr Vorih continued: "We are continuing to drive productivity and operational improvements through the deployment of the Genuit Business System, to help mitigate the impact of market conditions.
"We are hopeful that the UK Government Budget in November will confirm policies that are supportive of our industry.
"We are well-positioned to supply a material increase in construction activity given the right conditions."
Commenting on outlook, the trading statement said: “Reflecting this moderation in market volumes since the H1 (first half) results, the group now expects Underlying Operating Profit to be in the range of £92 million to £95 million.”
"The group continues to expect underlying operating margins to increase sequentially in H2 (the second half of) 2025 as a result of price increases, productivity gains from the Genuit Business System and other cost efficiencies.
“Notwithstanding near-term trends, Genuit is well placed to benefit from eventual market recovery and the structural growth drivers to which the group is exposed.”
Genuit said it remains focused on outperforming the broader market by targeting higher growth segments that are exposed to the structural drivers of sustainability.
It said it will continue to increase margins through the Genuit Business System and by further developing its mergers and acquisitions pipeline.
The company will report its full year results for the 12 months ending 31 December 2025 in March 2026.