AUS
NZ
UK
CA
USA
IND
Highlights
- Strix targets net debt leverage reduction to c.1.5x within 12–18 months.
- Billi division records double-digit growth, Consumer Goods returns to growth post-restructuring.
- CEO Mark Bartlett to step down on 29 May 2026 after nearly 20 years.
Strix Group PLC (LSE:KETL), a manufacturer of kettle safety controls and water heating components, released a trading update for the six months ending 30 September 2025. The Group reported revenue of GBP 64.6m, net debt of GBP 70.3m, and net debt leverage of 2.5x. These figures will serve as comparators for future reporting periods following the financial year-end change from 31 December 2025 to 31 March 2026.
Macroeconomic and geopolitical challenges, including indirect tariff impacts and a weaker USD, contributed to a slowdown in the Controls division during Q2 FY25. Conditions showed partial stabilization in Q3 FY25, with early signs of improvement emerging in Q4 FY25, supported by discussions with customers and partners at the Canton Fair. Activity in South Africa, Turkey, and the US remains slower than expected.
Controls Division: Market Activity and Product Introductions
The Controls division has introduced lower-cost and next-generation products designed to expand into additional market segments and protect intellectual property from copyist manufacturers. The division continues to see elevated activity from copyist products, prompting measures to safeguard Strix’s IP.
Billi and Consumer Goods Divisions
Billi reported double-digit growth at constant exchange rates, with its geographical rollout strategy progressing in key markets. The division’s new HQ and enlarged manufacturing facility in Australia is now operational.
The Consumer Goods division returned to growth following last year’s restructuring. Manufacturing in China for a leading global baby brand continues as planned, and additional products were launched during the period. Despite volatility in the Small Domestic Appliance market, operational and product initiatives were delivered to broaden the division’s offerings.
Debt Reduction Measures
Strix has accelerated its debt reduction program by restructuring production volumes in China, reducing inventory by c.GBP 8m, and implementing extended non-recourse debt factoring in Italy, lowering debtor balances by c.GBP 2m. The final Billi acquisition loan repayment of GBP 14m per annum will be completed on 28 November 2025, freeing funds to reduce revolving credit facility borrowings.
The Group has also cancelled the final dividend for FY24, aiming to reduce net debt leverage to c.1.5x over the next 12–18 months. Operational and capital expenditure continue to be closely managed, alongside ongoing recovery in the Controls division.
Management Change
Mark Bartlett will step down as CEO and Board Director on 29 May 2026, after nearly 20 years with Strix. Chairman Gary Lamb has initiated a search for a successor and will provide further updates as appropriate.
Share Price Snapshot
KETL was trading 2.54% lower, at GBX 34.60 per share, as of 26 November 2025.
