Summary: ME Group International Plc said on Monday that it remains on course to meet its previously announced full-year profit before tax forecast of between £69 million and £74 million, after trading improved following a pronounced slowdown in April that the company attributed to weaker consumer spending in some markets. The group reported a slight uptick in revenue for the six months to April 30, 2026, alongside stronger EBITDA, while profit before tax fell modestly year-on-year.
Results and guidance
Group revenue for the half-year finished April 30 rose 0.3% to £154.3 million. Earnings before interest, tax, depreciation and amortization (EBITDA) increased to £57.0 million, compared with £53.2 million in the prior-year period. Despite these gains, profit before tax declined by 3.8% to £32.7 million.
The company reiterated its full-year profit before tax expectation of £69 million to £74 million, citing a recovery in trading after the April weakness. ME Group is listed on the London Stock Exchange under the ticker MEGP, and related market references in internal materials also include MEGPM.
Drivers of the April slowdown
ME Group said that trading through the first five months of its 2026 financial year was in line with board expectations until April, when the company experienced a "significant reduction in photobooth activity in a small number of markets." The board qualified this as "an extraordinary and temporary situation," noting that laundry activity continued to grow during the period.
Chairman Sir John Lewis linked the more cautious consumer environment to weaker spending in France, saying it was "particularly" pronounced there and that spending patterns had been affected by "ongoing geopolitical uncertainty," including the conflict in the Middle East.
Signs of recovery
The company reported that trading patterns for both laundry and photobooth operations "have been returning towards more normal levels since May." It highlighted Wash.ME vending revenue growth of 11.1% year-on-year in May, and separate recoveries in photobooth and laundry revenues of 25.9% and 1.8% respectively for May compared with the prior year.
Wash.ME, the group's laundry vending division, delivered overall revenue growth of 16.3% in the period to £54.8 million and saw 499 net new machines installed. ME Group said it plans roughly 800 additional installations in the second half to reach a target of 1,300 total installations for the 2026 financial year.
The company also announced a new partnership to install and operate Wash.ME laundry machines at ASDA sites across the UK, which management described as the largest laundry agreement in the company’s history. In addition, ME Group renewed two multi-year contracts in France - a seven-year deal with national rail operator SNCF and a five-year agreement with Paris transport operator RATP - which together represent more than £9.0 million in revenue.
Dividend and management comment
The board declared an interim dividend of 3.60 pence per ordinary share, down 6.5% from 3.85 pence a year earlier. Diluted earnings per share were 6.48 pence, a decline of 3.9% from the prior-year period.
Chief executive Serge Crasnianski said, "Despite a challenging end to the period, largely driven by the ongoing Middle East conflict, I am pleased that the Group has continued to make good strategic progress as we continue to diversify and evolve the business mix, with laundry operations now contributing more than 38% of Group revenue and 54% of Group EBITDA."
Key context and implications
The results show a business that is benefiting from stronger contributions from its laundry vending operations even as it navigates a temporary pullback in photobooth activity in certain markets. Contract renewals and the ASDA partnership underpin recurring revenue, while the plan for further machine installations signals continued investment in growth of the Wash.ME division.