Johnson Matthey Says Turnaround on Track as Cash Flow Jumps, Portfolio Shifts Advance

Johnson Matthey (LON:JMAT) told shareholders astatine its 2026 Annual General Meeting that it remains connected way with its restructuring plans and medium-term commitments, portion highlighting advancement connected currency generation, portfolio changes and caller investments.

Opening the meeting, Chair Andy said his archetypal twelvemonth with the institution had been marked by "considerable change" arsenic Johnson Matthey works to simplify the business, sharpen its focus, amended execution and efficiency, and make much cash. He said the institution delivered a "solid performance" successful a challenging macroeconomic backdrop and met its revised operating fiscal commitments.

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The institution returned GBP 129 cardinal to shareholders during the year, Andy said. The committee is proposing a last dividend of GBP 0.55 per share, bringing the full dividend for the twelvemonth to GBP 0.77 per share, successful enactment with the anterior year.

Profit and currency travel amended

Chief Executive Liam Condon said Johnson Matthey delivered full-year show successful enactment with antecedently upgraded guidance for 2025/2026. He said underlying operating nett roseate 6% connected a reported ground and was up 14%, portion the Clean Air concern improved margins to the mid-teens.

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Condon said Hydrogen Technologies achieved run-rate breakeven, and the radical delivered a "very worldly step-up" successful escaped currency flow, with currency procreation up much than 160% twelvemonth implicit year. He said these outcomes reflected the company's absorption connected costs and cash, contempt challenges successful its PGM refining concern related to its U.K. and U.S. refineries.

Condon said Johnson Matthey remains "completely connected track" to present its 2027/2028 commitments.

PGM refinery concern advances

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Johnson Matthey's PGM Services concern is successful a modulation play arsenic the institution upgrades existing assets and invests successful a caller platinum radical metals refinery successful Royston, adjacent Cambridge, Condon said. Early-stage commissioning began successful March, and the refinery remains connected way to beryllium operational successful calendar 2027.

Condon described the task arsenic a "once successful a lifetime" concern that is expected to amended operational ratio and moving superior absorption successful PGM Services. He said the institution has taken further actions to support the task connected schedule, expanding superior expenditure expectations for 2026/2027.

In effect to a shareholder question astir operational metallic losses successful the U.S. refinery, Chief Financial Officer Alastair Judge said the institution estimates metallic losses during two-year operating cycles and past reconciles them erstwhile refineries are unopen down for maintenance. He said the magnitude of metallic mislaid implicit the latest two-year play was higher than usually seen, starring to a banal nonaccomplishment booked astatine period-end.