Interim report 1 January–30 June 2026

This is a quality-of-earnings signal, not just a growth print: the combination of faster EBITA growth than sales and stronger operating cash conversion suggests the business is still finding incremental leverage, with margin expansion likely more durable than a one-off volume bounce. In the near term, that tends to support a re-rating versus slower-growing peers because investors usually pay up for companies that can grow revenue while tightening working capital and converting profit into cash.

The second-order effect is on competitive intensity. A company that can fund growth internally while improving return on net working capital can outlast rivals that need balance-sheet support or looser supplier terms, and it can use that advantage to take share without sacrificing margin. If the working-capital improvement reflects tighter collections or inventory discipline, suppliers and smaller distributors may feel pressure before it shows up in public peer results.

The main risk is that the market extrapolates a clean quarter into a multi-quarter trend without evidence that demand is actually accelerating. Over the next 1-3 months, the key catalyst is whether management raises full-year margin or cash-flow guidance; over 6-18 months, the question is whether this becomes a structural operating model or just a favorable mix/pricing period. What would falsify the thesis is any reversion in margin or cash conversion on the next two reporting dates, or evidence that growth is being bought with heavier working capital and lower quality revenue.