Key summary:
- Adjusted EBITDA hit £40.5m, up 6 per cent, with revenue rising 4 per cent to £231.1m.
- Acquisitions of Typhoo Tea and Clearly Drinks doubled Drinks & Wellness revenues and added £40m in annualised non-vape sales.
- FY26 has started well; Supreme expects continued profit and cash generation, with room for further M&A.
Supreme plc has reported a record year of trading, with adjusted EBITDA rising 6 per cent to £40.5 million and gross profit surging by 16 per cent to £73.7 million, as the fast-moving consumer goods group benefited from strategic acquisitions and strong demand across its expanding product range.
The AIM-listed firm, best known for its vaping portfolio, saw full-year revenues for the 12 months to 31 March 2025 increase 4 per cent to £231.1 million. The growth was fuelled by strong sales of its own and third-party vaping products as well as the first full-year contributions from its acquisitions of Clearly Drinks and Typhoo Tea, which doubled sales in the Drinks & Wellness segment to £48.8 million.
“I am pleased to report another strong performance from Supreme, which has seen the business extend its sector reach through a number of highly complementary acquisitions,” CEO Sandy Chadha said.
“With our recent acquisitions … now fully integrated into the business, our team is fully focused on leveraging both cross and up-sell opportunities alongside developing an exciting range of new products to deliver to market.”
Strong margins and manufacturing gains
Gross margin improved from 29 per cent to 32 per cent, driven by increased manufacturing scale and efficiencies following the integration of Clearly Drinks. The group also completed major enhancements to its in-house manufacturing capacity and relocated to a new purpose-built head office and operational hub in Manchester’s Trafford Park.
Despite higher investment activity, including £25.6 million spent on acquisitions, Supreme remained in a positive adjusted net cash position of £1.2 million, though down significantly from £11.6 million the previous year. Net debt rose to £12.3 million, largely reflecting the acquisition-led expansion.
Diversification drives growth
The company’s push to diversify beyond vaping gained pace in FY25, with its two major acquisitions adding an estimated £40 million in annualised non-vape revenue. Chadha said the group is “firmly committed to further expanding our product set,” with future growth to come from both organic initiatives and further M&A.
Adjusted profit before tax dipped slightly to £30.2 million from £30.7 million, though statutory profit before tax rose 3 per cent to £30.9 million. Adjusted earnings per share grew 3 per cent to 21.6p.
The board has proposed a final dividend of 3.4p per share, bringing the total payout for the year to 5.2p – a 10 per cent increase year-on-year.
Positive outlook for FY26
Supreme said it had made a “positive start” to FY26 and expects another profitable and highly cash-generative year, trading in line with analyst forecasts of £236 million in revenue and £36.5 million in adjusted EBITDA.
The group plans to continue investing in product innovation, cross-selling across categories, and targeted acquisitions to maximise its broad distribution network.
Supreme supplies products across three operating divisions: Vaping, Drinks & Wellness, and Electricals. The company's capabilities span from product development and manufacturing through to its extensive retail distribution network and direct to consumer capabilities.
In addition to distributing globally-recognised brands such as Duracell, Energizer and Panasonic, and supplying lighting products exclusively under the Energizer, Eveready, Black & Decker and JCB licences across 45 countries, Supreme has also built a strong portfolio of in-house brands, most notably 88Vape.
The company has a growing footprint in Sports Nutrition & Wellness via its principal Sci-MX brand, and has recently expanded into the soft drinks and hot beverages markets with the acquisitions of Typhoo Tea and Clearly Drinks.