The Dr. Martens Plc Board declares a final dividend of 1.70p, taking the total dividend for FY26, including the interim dividend of 0.85p, to 2.55p, in line with the FY25 dividend payment. This will be paid to shareholders on the register as at 28 August with payment on 7 October.
Other financial highlights include:
Group revenue of £764.9m (£776.3m CC), was down 2.9% reported or 1.4%CC, in line with their guidance. As planned and guided, their focus was on improving the quality of revenue by reducing clearance in DTC and off-price wholesale activity.
o Americas was the best performing region. Full Price3 DTC revenues were up 14%, with Full Price mix up 9pts. Wholesale was up 1.2% CC which included the headwind from a large off-price wholesale deal in FY25. The planned reduction in clearance to focus on Full Price resulted in revenue up 1.1% CC.
o Our EMEA markets saw good wholesale growth, up 7.6% CC, reflecting strong partner relationships and healthy order books. As previously noted, their DTC performance was impacted by increased consumer participation in clearance, resulting in a 4pts decline in Full Price DTC mix, with Full Price DTC revenue down 13%. With Full Price mix in USA and APAC markets addressed, growing Full Price mix in their largest EMEA markets is a priority for FY27. Their new market structure, with dedicated General Managers for their largest markets, is a key enabler. EMEA revenue overall declined by 1.7% or 3.7% CC.
o APAC revenue was broadly flat (down 0.3% CC) due to planned reductions in clearance activity, through both ecommerce and with select wholesale partners. As a result, the quality of revenue in APAC markets was improved, with Full Price DTC revenue up 15%, with mix up 8pts. South Korea's Full Price retail performance was particularly strong, reinforcing the market's strategic importance.
Gross margin increased by 120bps to 66.2% driven by continued tight cost control and improved Full Price mix
Continued strong control of operating costs, with non-marketing costs down 6.0%
Adjusted PBT of £55.0m was significantly up year-on-year, with 61.3% growth, and is in line with their expectations
Following the US Supreme Court judgment in February, the Group has recognised the full amount of previously incurred IEEPA‑related US4 tariff costs as an operating expense within adjusting items. This treatment removes the impact of these tariffs from underlying cost of sales and inventory balances and ensures comparability of underlying year‑on‑year performance.
Net bank debt (excluding leases) of £69.7m, down from £94.1m last year, as expected. Net debt including leases is in line with guidance at £213.5m.
