Half Year Trading Update
Gear4music reported very strong revenue growth for the six months ending September 30, 2025, with total revenues reaching £80.7 million, a 31% increase compared to £61.7 million in the same period last year. UK revenues and European and Rest of World revenues both grew by 31% to £49.6 million and £31.1 million, respectively. The gross margin is expected to be not less than 28.0%, a 130bps increase on FY25 H1 (26.7%), with gross profit expected to be not less than £22.6 million, up from £16.5 million. EBITDA is expected to more than double to not less than £6.5 million, compared to £2.9 million in the prior year. The full-year outlook is now ahead of consensus market expectations, with EBITDA now expected to be not less than £13.7m.
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Gear4music (Holdings) plc ("Gear4music" or "the Group"), the largest UK based online retailer of musical instruments and music equipment, today announces a trading update for the six months to 30 September 2025.
| £m | 6m to 30 Sept 2025 (FY26 H1) | 6m to 30 Sept 2024 (FY25 H1) | % Change on FY25 H1 |
|---|---|---|---|
| UK revenues | 49.6 | 38.0 | +31% |
| European and Rest of the World revenues | 31.1 | 23.7 | +31% |
| Total revenues | 80.7 | 61.7 | +31% |
| FY26 H1 Financial Highlights: | |||
| - | Very strong revenue growth across our markets and brands | ||
| - | Revenue growth accelerated from +27% in FY26 Q1 to +34% in FY26 Q2 | ||
| - | Gross margin expected to be not less than 28.0%, a 130bps increase on FY25 H1 (26.7%) | ||
| - | Gross profit expected to be not less than £22.6m (FY25 H1: £16.5m) | ||
| - | EBITDA expected to be not less than £6.5m, more than double the prior year (FY25 H1: £2.9m) | ||
| - | Full-year outlook ahead of consensus market expectations, with EBITDA now expected to be not less than £13.7m* | ||
Gear4music's Executive Chair, Andrew Wass, said:
"We are pleased to report that the strong sales momentum highlighted in our previous updates has continued, with Group revenues for the six months to 30 September 2025 (FY26 H1) up 31% year-on-year.
This robust performance reflects the clear benefits of our refreshed Growth Strategy, including enhanced marketing capabilities and improved inventory availability, alongside a more favourable competitive environment across both our UK and European markets.
Although the critical peak trading period is still ahead, the strength of year-to-date trading gives the Board further confidence to again raise its expectations for the Group's financial performance for the year ending 31 March 2026, following the upgrades announced in June 2025 and September 2025."
The Group will report Interim results for the six months ended 30 September 2025 on 18 November 2025.
* Gear4music believes that consensus market expectations prior to the release of this update for the year ending 31 March 2026 were revenue of £160.7 million, EBITDA of £12.0 million and profit before tax of £3.7 million.
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