Spirax posts mid‑single‑digit organic growth, maintains FY outlook

13th May 2026 07:25

(Sharecast News) - Steam management systems manufacturer Spirax Group said on Wednesday that it had delivered mid‑single‑digit organic revenue growth and an improvement in adjusted operating margins in the first four months of the year, prompting it to reiterate full‑year guidance despite a persistently weak industrial production backdrop.

Spirax said trading continued to run ahead of global IP, which remained subdued at 1.4% in the first quarter and particularly soft across key European markets. Excluding China, IP was 1.5%, with the full‑year forecast of 1.9% unchanged and weighted to the second half. Spirax added that macroeconomic uncertainty remained elevated, with the ongoing Middle East conflict, tariff developments and higher energy costs continuing to weigh on industrial activity.

The FTSE 100-listed company said its Steam Thermal Solutions unit saw growth ahead of IP across all regions, supported by sustained strength in MRO and solutions activity and some recovery in large projects, with demand in China and Korea also continuing to improve, while its Electric Thermal Solutions arm delivered double‑digit demand growth across all divisions, including ongoing strong momentum in Semicon. Watson‐Marlow Fluid Technology Solutions reported robust demand in both Process Industries and Biopharm.

Spirax, which also noted that adjusted operating profit margins had improved organically compared with the same period last year, said net borrowings excluding leases stood at £575m at the end of the quarter, broadly unchanged from £565m at year‑end, representing leverage of 1.5x EBITDA.

Looking ahead, Spirax reiterated its 2026 guidance, expecting mid‑single‑digit organic revenue growth ahead of IP and a further organic improvement in adjusted operating margins, with both revenue and margin growth weighted to the second half.

As of 0810 BST, Spirax shares were up 0.56% at 7,205p.

Reporting by Iain Gilbert at Sharecast.com

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