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RS Group shares jump 9% on dividend hike and £100m buyback despite weaker profits

Company Fundamentals
20 May 2026
Proactive Investors
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Bullish
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RS Group PLC shares rose about 9% after the company announced a 2% increase in its full-year dividend to 22.9p per share and launched a £100 million share buyback program. Despite a 1% drop in revenue to £2.88 billion and a 3% decline in adjusted operating profit to £265 million for the year ending March 2026, strong cash flow and reduced net debt to £329 million helped offset weaker profit performance. The company reported improved gross margins and exceeded its cash conversion target, signaling financial resilience amid challenging industrial markets. RS Group also reaffirmed its medium-term growth targets, aiming to grow revenue at twice the market rate and maintain strong operating margins and returns on capital.

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