Warpaint London
Website:
Warpaint London
Index:
AIM
EPIC: W7L
Supersector:
Personal and Household Goods
Sector:
Personal Goods
Subsector:
Personal Products
Market Cap:
£161.57M
Payout Frequency: Semi-Annual
Warpaint London Dividend Analysis and Summary
Key Dividend Details
- Dividend type: Interim
- Amount: 4.0p per share (up 14% vs 3.5p in 2024)
- Ex-dividend date: 06/11/2025
- Record date: 07/11/2025
- Payment date: 21/11/2025
- Indicative cash cost: c. £3.2m (assumes ~80.8m shares)
- Coverage: H1 adjusted EPS 8.5p and statutory EPS 6.73p imply interim dividend cover of ~2.1x (adjusted) and ~1.7x (statutory)
Dividend Sustainability and Support
- Cash and balance sheet: £17.0m cash at 30/06/2025; debt free; £10.5m+ of undrawn facilities. Near-term capex needs remain low.
- Earnings/cash generation: H1 adjusted EBITDA £10.8m; operating cash flow £4.8m in H1, sufficient to fund the interim distribution.
- Profitability headwinds: H1 PBT down to £6.4m (from £10.9m) largely due to £4.6m FX losses (with £2.7m unrealised) and acquisition-related costs. Underlying gross margin stronger at 45.0% (+250 bps).
- Outlook: FY25 guidance cut to revenue £107–£112m, adjusted EBITDA £23.5–£25.5m, with a second-half weighting supported by price increases and store rollouts. Overall, the interim looks well covered and cash-backed, but full-year dividend progression will depend on H2 delivery.
Dividend Growth Trajectory
- Interim dividend raised 14% year-on-year to 4.0p, reflecting strong cash position and improved gross margins.
- Given trimmed FY25 outlook, future growth is likely to be more measured near term; execution in H2 and integration benefits will be key to sustaining an elevated run-rate.
Structural and Policy Factors Affecting Dividends
- M&A: Completed acquisition of Brand Architekts on 12/02/2025 (cash and small share element of 103,422 shares). Early cost synergies and negative goodwill gain noted; brands already extending distribution.
- Pension: Acquisition included a closed defined benefit scheme. It’s currently in IAS 19 surplus (£2.0m), but there is an agreed £318k p.a. deficit recovery schedule to 2033 under funding rules—modest but a recurring cash outflow.
- FX and hedging: Extensive USD hedging to protect gross margin; mark-to-market movements drove H1 losses but are partly unrealised and may reverse. This can add P&L volatility without materially impacting cash.
- Capital allocation stance: Management emphasises cash generation, margin expansion, and maintaining a debt-free balance sheet—supportive of ongoing dividends absent a severe downturn.
Risks and Flags to Dividend Stability
- Guidance downgrade for FY25 amid weak UK consumer and US tariff uncertainty; increases reliance on H2 execution and seasonality (gifting).
- Customer credit risk: Bodycare administration led to provisions of ~£0.8m (including post-period exposure); top 10 customers represent 65% of revenue—some concentration risk.
- FX/tariffs: US tariffs and currency can pressure margins; hedging mitigates but introduces earnings volatility.
- Cost base and receivables: Operating expenses higher year-on-year (growth investments, marketing, US sales team) and increased bad debt provision; needs H2 revenue to absorb.
- Inventory elevated at £35.9m to support availability; while strategic, it ties up working capital and raises markdown risk if demand softens.
Read more
Warpaint London Annual Dividend Yield - 5.85%
Dividends Used in Calculation:
| Ex-Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 12/06/2025 |
04/07/2025 |
Final |
7.50p |
GBX |
| 06/11/2025 |
21/11/2025 |
Interim |
4.00p |
GBX |
Total (Annual Dividends Per Share):
11.50p
Dividend Yield =
Annual Dividends Per Share (11.50p)
÷ Share Price (196.48p)
= 5.85%
Warpaint London Dividend History
| Ex Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 06/11/2025 |
21/11/2025 |
Interim |
4.00p |
GBX |
| 12/06/2025 |
04/07/2025 |
Final |
7.50p |
GBX |
| 07/11/2024 |
22/11/2024 |
Interim |
3.50p |
GBX |
| 13/06/2024 |
05/07/2024 |
Final |
6.00p |
GBX |
| 09/11/2023 |
24/11/2023 |
Interim |
3.00p |
GBX |
| 15/06/2023 |
04/07/2023 |
Final |
4.50p |
GBX |
| 10/11/2022 |
25/11/2022 |
Interim |
2.60p |
GBX |
| 16/06/2022 |
05/07/2022 |
Final |
3.50p |
GBX |
| 11/11/2021 |
26/11/2021 |
Interim |
2.50p |
GBX |
| 17/06/2021 |
05/07/2021 |
Final |
3.00p |
GBX |
| 05/11/2020 |
20/11/2020 |
1st Interim |
1.50p |
GBX |
| 05/11/2020 |
20/11/2020 |
2nd Interim |
1.30p |
GBX |
| 31/10/2019 |
15/11/2019 |
Interim |
1.50p |
GBX |
| 13/06/2019 |
01/07/2019 |
Final |
2.90p |
GBX |
| 01/11/2018 |
16/11/2018 |
Interim |
1.50p |
GBX |
| 05/07/2018 |
20/07/2018 |
Final |
2.60p |
GBX |
| 02/11/2017 |
17/11/2017 |
Interim |
1.40p |
GBX |
| 06/07/2017 |
21/07/2017 |
Final |
1.50p |
GBX |
| Year |
Interim |
Final |
Currency |
Total |
Change |
| 2024 |
3.500 |
6.000 |
GBX |
9.500 |
26.660 |
| 2023 |
3.000 |
4.500 |
GBX |
7.500 |
22.950 |
| 2022 |
2.600 |
3.500 |
GBX |
6.100 |
10.900 |
| 2021 |
2.500 |
3.000 |
GBX |
5.500 |
96.420 |
| 2020 |
|
|
GBX |
2.800 |
-36.360 |
| 2019 |
1.500 |
2.900 |
GBX |
4.400 |
7.310 |
| 2018 |
1.500 |
2.600 |
GBX |
4.100 |
41.370 |
| 2017 |
1.400 |
1.500 |
GBX |
2.900 |
|
Warpaint London Dividend Calculator
Warpaint London Dividend Growth
| Dividend Growth (1Y) |
21.05%
|
| Dividend CAGR (5Y) |
14.67%
|
| Years of Growth |
4
|
| Payout Ratio |
47.16%
|
| Buyback Yield |
-2.71%
|
| Shareholder Yield |
2.8%
|
| P/E Ratio (TTM) | 10.19 |
|---|
| Forward P/E | 10.25 |
|---|
| P/FCF | 11.52 |
|---|
| Earnings Yield | 9.68% |
|---|
| FCF Yield | 8.68% |
|---|
| ROE | 25.14% |
|---|
| ROCE | 24.96% |
|---|
| Profit Margin | 14.89% |
|---|
| Operating Margin | 19.83% |
|---|
| Gross Margin | 42.31% |
|---|