ProCook Reports Record Annual Revenue and Strong Q4 Growth, Outperforming Market Expectations

Profitability and cash: solid foundations with a couple of caveats

Management expects EBITDA for FY26 to be slightly ahead of market expectations, which were £11.7 million according to company-compiled consensus. EBITDA is a measure of profit before interest, tax, depreciation and amortisation, often used as a proxy for operating cash generation.

Operating profit is anticipated to be in line with expectations (consensus £4.8 million). That reflects the dilutive impact of new stores before they mature and pre-opening costs – normal growing pains when you are rolling out quickly. Profit before tax (PBT, consensus £2.3 million) is also expected to be in line after “significant FX volatility”, which has clearly been a headwind.

On the balance sheet, ProCook ended the year with £4.4 million of net cash, up from £1.0 million last year and ahead of expectations, despite £5.3 million of investment capex into new stores. Total available liquidity stands at £20.4 million, and the revolving credit facility has been increased to £15 million and extended to April 2029. That is ample firepower to fund the rollout and technology programme without over-stretching.

Strategy in action: stores, brand and tech

• Store rollout – 13 openings in FY26 (net 12 after one planned closure) across the UK, taking the estate to 78. Eight are now in the new format.
• Brand and acquisition – sustained investment in paid media is growing awareness and adding customers at pace.
• Content engine – the Delicious magazine content library gives ProCook a deep well of recipes and imagery to fuel engagement and search visibility.
• Technology uplift – a two-year programme launched in February to support growth, increase agility and capture AI benefits. Specific costs and milestones are not disclosed.

All of this lines up with the medium-term ambition set out by the CEO: 100 stores, £100 million revenue and a 10% operating margin. Today’s numbers suggest that path is credible if the company maintains execution quality and the consumer backdrop holds steady.

Why this update matters for investors

The positives I see

• Market share gains – outperforming the UK kitchenware market by 13 points in Q4 and 20 points for the year is the stand-out datapoint. It implies the proposition and pricing are resonating.
• Balanced growth engines – double-digit growth in both retail and ecommerce, with strong customer acquisition, reduces reliance on any single channel.
• Cash discipline – higher net cash after a year of heavy store investment shows good working capital control.
• Clear runway – liquidity of £20.4 million and a larger, longer RCF underpin the store pipeline and tech upgrades.

The watch-outs

• Rollout dilution – management flags that new stores are dilutive before maturity. If the cadence stays high, margin expansion could be slower than headline sales growth.
• FX sensitivity – “significant FX volatility” dented PBT. With direct sourcing and global supply chains, currency management remains an execution risk.
• Macro backdrop – the company is “mindful” of geopolitical and economic uncertainty. Should demand soften, LFL momentum could cool.

Quarter-by-quarter context

The trading step-up has been consistent. FY26 quarterly revenue progressed from £12.8 million in Q1 to £21.3 million in Q2, £32.8 million in Q3 and £18.5 million in Q4. Growth rates were 13.7%, 25.1%, 28.0% and 19.2% respectively. LFL growth followed suit, moving from 2.0% in Q1 to 12.2% in Q2, 17.2% in Q3 and 9.9% in Q4. That is a healthier trajectory than FY25, where full-year revenue growth was 11.0% and LFL was 4.9%.

Outlook and next milestone

Management sounds confident about continuing to win share, while staying realistic about macro risks. The next scheduled event is the FY26 annual results on 24 June 2026, when we should get the audited numbers and more detail on margins, the technology programme and the FY27 store plan.

Key definitions

• Like-for-like (LFL) revenue – compares sales from stores and the core website that were trading for at least one full financial year, excluding openings and closures.
• EBITDA – earnings before interest, tax, depreciation and amortisation.
• PBT – profit before tax.

Josh’s take

This is a strong update. ProCook is growing faster than the market online and in-store, while keeping cash healthy and investing for the next leg. The only dampeners are rollout dilution and FX noise, both manageable if execution stays tight. If the company keeps converting customer acquisition into repeat purchases, those medium-term targets of 100 stores, £100 million revenue and a 10% operating margin look very achievable.