Merchant Exchange
Radiator manufacturer Stelrad Group has reported a rise in adjusted operating profit for the first half of 2026 despite continued weakness across its key markets and a significant decline in sales volumes.
For the six months to 30 June 2026, Stelrad reported adjusted operating profit of £16.7 million, up 4.9% year-on-year. The Group attributed the increase to commercial and operational initiatives that improved profitability and helped offset weaker market conditions.
Revenue, however, fell 9.1% to £124.0 million, following a 14.6% decline in sales volumes during the period. The reduction included the impact of Stelrad’s exit from a loss-making contract, while higher selling prices provided some offset.
Despite the weaker volumes, Stelrad said it has maintained its market leadership position and remains focused on improving its cost base and operational performance.
The Group said it remains mindful of continued cost inflation and subdued demand across its end markets, but believes it is well positioned to navigate the current market environment.
Trevor Harvey, Chief Executive Officer of Stelrad Group, said: “During the period, we delivered a strong financial performance against a backdrop of ongoing economic uncertainty suppressing volumes in the Group’s key markets.
“Crucially, despite this environment, we have maintained our market leadership position and continued to optimise our cost base.
“The Board remains confident in its strategic pillars and in driving continued shareholder value. Our operational excellence initiatives, underpinned by our competitive advantages and market positioning, mean that Stelrad remains well placed to target market share gains across the geographies in which we operate.”
The Group said its focus will remain on operational efficiency, cost management and strengthening its market position as it navigates continued uncertainty across the heating and construction sectors.
