A POWERFUL CHOICE

FOR BETTER LIVING

ANNUAL REPORT & ACCOUNTS 2026

FOR THE 53 WEEKS ENDED 5 APRIL 2026

NORCROS PLC ANNUAL REPORT & ACCOUNTS 2026

OVERVIEW

Group Highlights 01

Group at a Glance 02

How We Deliver Our Purpose 08

Powerful Choices, Brought to Life 10

Why Invest in Norcros 12

Chair’s Statement 14

STRATEGIC REPORT

Business Model 18

Our Marketplace 20

Our Strategy 24

Strategy in Action 26

Our Approach to Sustainability 32

Chief Executive Officer’s Review 36

Key Performance Indicators 38

Business Review: Europe 40

Business Review: South Africa 43

Chief Financial Officer’s Review 46

Chief People Officer’s Review 50

Our Culture 52

Task Force on Climate-Related

Financial Disclosures (TCFD)

SECR Statement 68

Principal Risks and Uncertainties 70

Stakeholder Engagement 82

Non-financial and Sustainability

Information Statement

CORPORATE GOVERNANCE

Board of Directors 92

Governance at a Glance 94

Chair’s Introduction 96

Governance Key Highlights 98

Corporate Governance Report 100

Audit and Risk Committee Report 104

Nomination Committee Report 110

Remuneration Committee Report 114

Directors’ Remuneration Policy Report 118

Annual Report on Remuneration 130

Directors’ Report 140

Statement of Directors’ Responsibilities 143

FINANCIAL STATEMENTS

Independent Auditor’s Report 146

Consolidated Income Statement 157

Consolidated Statement of

Comprehensive Income

157

Consolidated Balance Sheet 158

Consolidated Cash Flow Statement 159

Consolidated Statement of

Changes in Equity

160

Notes to the Group Accounts 161

Parent Company Balance Sheet 200

Parent Company Statement of

Changes in Equity

201

Notes to the Parent Company Accounts 202

Welcome to the Norcros Annual Report 2026

We are a group of market-leading brands that

design and supply sustainable bathroom and kitchen

products in Europe and South Africa, in addition to

selected export markets.

SOUTH AFRICA

EUROPE

Our brands

UK & IRELAND’S

NO.1 BATHROOM

PRODUCTS GROUP

Sustainability highlights

• Delivered our Scope 1 and 2 science-based targets two years early,

reducing emissions by 65% from our 2023 baseline

• Increased use of lower-carbon logistics, with 37% of inbound

freight shipped using eco-fuel, reducing emissions by around 80%

on those routes

• Accelerated our transition to more sustainable product categories

through the acquisition of Fibo, strengthening our position in

lower-carbon wall panel solutions

• Achieved Great Place to Work accreditation across the UK, Ireland

and South Africa, reflecting strong engagement and a culture

embedded through our Purpose and Keys

READ OUR SUSTAINABILITY REPORT

FOR MORE INFORMATION

Financial highlights

Reported revenue

£393.4m

+10.6%

Underlying operating profit

£48.0m

+7.9%

Operating margin

12.2%

2025: 12.5%

Operating cash

conversion

116%

2025: 84%

ROCE

20.0%

2025: 17.3%

Dividends per

ordinary share (p)

11.3p

+8.7%

Strong progress towards strategic targets

OVERVIEW

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

GROUP HIGHLIGHTS

CONTENT

Care

Courage

Connection

Common Sense

19%

14%

26%

South Africa

74%

Europe

Fibo’s contribution to FY26 post-acquisition only

Our Keys (values)

A POWERFUL CHOICE

FOR BETTER LIVING

Our Purpose: To create products and connections that offer sustainable

choices for better living (helping nurture the world we love and share)

Our balanced and diversified business portfolio

At Norcros, we live our purpose by starting from a place of doing

good, bravely challenging the status quo, and working together with a

disciplined, collective focus.

Our Keys are the foundations of how we work at Norcros. They guide

the decisions we make, the way we collaborate, and the culture we are

building across the Group.

Together, they add up to : a commitment to valuing every individual and

creating an inclusive, growth-focused environment where everyone can thrive, contribute and make

a positive difference.

REVENUE SPLIT

BY BRANDS

REGIONAL

FOCUS

At Norcros, we believe in making a

meaningful impact — on the lives of

our customers, the strength of our

business and the world we share.

Our purpose shapes how we think,

how we act and how we make

decisions across the Group. It

reflects the responsibility that comes

with creating products people use

every day — and the importance of

getting those decisions right.

We are focused on delivering well-

designed, high-quality products

whilst making thoughtful, practical

choices about how we operate

— from how we work with our

customers and suppliers, to how we

manage our impact on people and

the environment.

This approach brings consistency

to how we run our businesses,

supporting long-term performance,

strong relationships and sustainable

growth.

OVERVIEWOVERVIEW

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

GROUP AT A GLANCE

Our current product offering

Wall coverings

A modern alternative to tiles.

Looks like tile, performs like

a panel. Now also available

outside of the bathroom with

Naturepanel

Bathroom tiles

Top-quality tiles for flooring and walls,

supported by expert advice

Accessories

Toilet seats, cabinets,

mirrors and more.

Patented easy-fit systems

for simple installation

Brassware (kitchen)

Beautifully-designed taps and

accessories in a range of styles and

finishes. WRAS-approved steaming

hot water taps under the Pronteau

brand by Abode

Kitchen tiles

Top-quality tiles for flooring and

walls, supported by expert advice

Plumbing materials

A wide range of plumbing

materials and fittings for

professional and DIY use

Tile and building adhesives

Quality tiling installation

material such as screeds,

grouts and adhesives and

the necessary tools. Made in

South Africa and perfect for

the local climatic conditions

Showers

Sustainable electric showers, mixer

showers and shower accessories

Enclosures and trays

Expertly crafted shower screens, doors and

trays in a range of finishes. Bespoke design

service for made-to-measure enclosures

The complementary nature of our portfolio enables us to bring

together products across our brands to create more complete, joined-

up solutions for customers.

We are increasingly leveraging this through closer collaboration

between our businesses — aligning product design, finishes and ranges

to offer coordinated solutions, such as matching VADO and Triton

showers with MERLYN enclosures, making it easier for customers and

installers to specify, select and fit our products.

This approach allows us to increase customer value, strengthen our

proposition and take share in attractive, mid-premium segments.

As we continue to develop the Group, there remain further

opportunities to broaden our offering in complementary categories

such as bathroom furniture and sanitaryware, supported by both

organic development and targeted acquisitions.

Brassware (bathroom)

Beautifully-designed taps and accessories

in a range of styles and finishes

As the UK and Ireland’s No. 1 bathroom products group, our brands cover most categories

in the bathroom and kitchen market, with significant opportunity for growth.

Furniture

Vanity units

and bathroom

furniture,

offering practical

storage and

coordinated design

OVERVIEWOVERVIEW

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

GROUP AT A GLANCE

CONTINUED

Our diversified customer base

Breadth and depth of customer relationships ensures a high level

of resilience in uncertain markets

Europe

We have broad routes to market across trade, retail and online channels and a significant export business,

and a strong customer list with over 1,000 blue chip customers and with many long-term relationships.

Norcros brands are often selected because of strong product design, quality and customer service.

South Africa

In South Africa, we go to market through similar channels, in addition to directly to consumers through our

Tile Africa retail and House of Plumbing specialist plumbing supply businesses.

NORCROS

TOMORROW

GROWTH

PLAN

THE

OPPORTUNITY

NORCROS

TO DAY

01 0302 04

POSITIONING: STRONG CUSTOMER RELATIONSHIPS

(with NA & Johnson Tiles)

Norcros Today

Trade and specification

Independent, specialist

and online

DIY retail

Export

Cultivating strong, long-term relationships with blue-chip customers is key to our success

64%

12%

11%

1% of UK revenues to other channels

NORCROS PLC CAPITAL MARKETS DAY 14

TRADE AND SPECIFICATION

59%

17%

11%

INDEPENDENT, SPECIALIST AND ONLINE

10%

EXPORT

DIY RETAIL

RETAIL AND TRADE

COMMERCIAL, INCLUDING SUPPLY & FIT

EXPORT

NORCROS

TOMORROW

GROWTH

PLAN

THE

OPPORTUNITY

NORCROS

TO DAY

01 0302 04

POSITIONING: STRONG CUSTOMER RELATIONSHIPS

(with NA & Johnson Tiles)

Norcros Today

Trade and specification

Independent, specialist

and online

DIY retail

Export

Cultivating strong, long-term relationships with blue-chip customers is key to our success

64%

12%

11%

1% of UK revenues to other channels

NORCROS PLC CAPITAL MARKETS DAY 14

NORCROS

TOMORROW

GROWTH

PLAN

THE

OPPORTUNITY

NORCROS

TO DAY

01 0302 04

POSITIONING: STRONG CUSTOMER RELATIONSHIPS

(with NA & Johnson Tiles)

Norcros Today

Trade and specification

Independent, specialist

and online

DIY retail

Export

Cultivating strong, long-term relationships with blue-chip customers is key to our success

64%

12%

11%

1% of UK revenues to other channels

NORCROS PLC CAPITAL MARKETS DAY 14

Zimbabwe Namibia Botswana Eswatini Mozambique

NORCROS

TOMORROW

GROWTH

PLAN

THE

OPPORTUNITY

NORCROS

TO DAY

01 0302 04

POSITIONING: STRONG CUSTOMER RELATIONSHIPS

(with NA & Johnson Tiles)

Norcros Today

Trade and specification

Independent, specialist

and online

DIY retail

Export

Cultivating strong, long-term relationships with blue-chip customers is key to our success

64%

12%

11%

1% of UK revenues to other channels

NORCROS PLC CAPITAL MARKETS DAY 14

NORCROS

TOMORROW

GROWTH

PLAN

THE

OPPORTUNITY

NORCROS

TO DAY

01 0302 04

POSITIONING: STRONG CUSTOMER RELATIONSHIPS

(with NA & Johnson Tiles)

Norcros Today

Trade and specification

Independent, specialist

and online

DIY retail

Export

Cultivating strong, long-term relationships with blue-chip customers is key to our success

64%

12%

11%

1% of UK revenues to other channels

NORCROS PLC CAPITAL MARKETS DAY 14

3% in other categories

OVERVIEWOVERVIEW

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

GROUP AT A GLANCE

CONTINUED

BY PROVIDING OUR CUSTOMERS WITH

A POWERFUL CHOICE FOR BETTER LIVING

We live our purpose by starting from a place of doing good, always challenging the status

quo, and working together with a disciplined, collective focus. Our commitment to developing

beautifully-designed and environmentally-responsible bathroom products gives our customers

a powerful and compelling reason to live better every day. As a team, we recognise that we

cannot solve every challenge at once and are committed to telling it like it is when it comes to

where we are able to positively impact and where we cannot yet do so.

HOW WE DELIVER OUR PURPOSE

WHY WE WANT TO ACHIEVE OUR PURPOSE

Better living, every day

We design products that people use every day — in

homes, hotels and commercial spaces — and that creates

an opportunity to make a real difference. By focusing on

design, quality and ease of use, we help customers create

better-performing, longer-lasting bathroom spaces that

combine functionality with sustainability and style.

Responding to changing customer needs

Customer expectations are evolving — from sustainability

and ease of installation to coordinated, design-led

solutions. Our portfolio enables us to respond to these

shifts, developing products that are easier to specify, fit

and maintain, whilst supporting customers in reducing

water and energy usage.

Collaborating with our stakeholders

We work closely with customers, suppliers and local teams

across our markets to deliver long-term value. This includes

building deep supplier relationships, supporting customers

with reliable service and product expertise, and fostering

strong, accountable businesses that contribute to the

communities in which they live and work.

Creating long-term value

Our purpose supports a clear commercial model:

combining strong brands, targeted innovation and

disciplined execution to deliver sustainable growth.

By focusing on resilient mid-premium segments and

capital-light categories, we are building a more

focused, higher-quality business that generates

consistent returns through the cycle.

HOW WE ACHIEVE OUR PURPOSE

Empowering people and culture

Our decentralised model empowers local management

teams to operate close to their customers, supported by a

clear framework and shared values. Through our Purpose

and Keys, we are building a culture of accountability,

collaboration and continuous improvement, reflected in

strong engagement and recognition through programmes

such as Great Place to Work.

Design-led innovation

Our brands specialise in design-led product development,

supported by in-house expertise and cross-Group

collaboration. We invest in new product development and

align ranges across brands to create coordinated solutions

— improving customer choice whilst accelerating speed to

market and driving organic growth.

Clear focus on sustainability

We are shifting our portfolio towards less carbon-intensive,

more sustainable product categories, including the growth

of wall panels alongside traditional materials. Through

our Sustainable Products Framework, we are embedding

sustainability into product design and helping customers

make more informed choices.

Making things easy

We leverage our scale to improve efficiency, resilience

and service across the Group. This includes investment in

warehousing, logistics and inventory, enabling strong stock

availability and customer service, as well as initiatives such

as eco-fuel freight and footprint optimisation to reduce cost

and environmental impact.

SEE PAGES 50 TO 53 FOR MORE ABOUT OUR

PEOPLE AND CULTURE

SEE PAGE 29 FOR MORE ABOUT OUR

ORGANIC GROWTH STRATEGY

SEE PAGE 32 FOR MORE ABOUT OUR

APPROACH TO SUSTAINABILITY

SEE PAGE 30 FOR MORE ABOUT OUR

OPERATIONAL EXCELLENCE STRATEGY

This intentional and authentic

approach is increasingly driving greater

value creation for our shareholders,

demonstrating that doing the right thing

in a responsible and considered way is

simply common sense.

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

OVERVIEW OVERVIEW

Leading the shift towards sustainable wall coverings

Across the bathroom sector, there is a clear shift underway in how walls are finished — with

wall panels increasingly chosen as a faster, more practical and more sustainable alternative to

traditional tiling.

This is a structural shift, not a short-term trend. It reflects

changing expectations from installers, customers and

developers, and a growing focus on efficiency, consistency

and environmental impact in both new build and

renovation projects.

Norcros has made a deliberate strategic move to position

itself at the centre of this shift. Through Grant Westfield

in the UK and now Fibo in Norway, the Group has built

strong, complementary positions in a category that

continues to gain momentum across multiple markets.

The acquisition of Fibo during the year further

strengthens this platform, extending the Group’s reach

and accelerating its transition towards lower-carbon

product categories. This builds on a broader shift in the

Group’s portfolio away from more energy intensive tile

manufacturing and towards solutions that are both less

carbon intensive and better aligned with future market

demand.

Wall panels offer clear practical advantages. They are

designed to make installation faster and more efficient,

reduce time on site and deliver a consistent, high-quality

finish. These benefits are increasingly important in a

market facing labour constraints and rising expectations

around speed and reliability.

At the same time, sustainability considerations are

becoming more influential in customer decision-making.

Wall panels can offer a more efficient use of materials and

energy compared with traditional alternatives, supporting

a growing shift towards more sustainable renovation

choices. This aligns directly with Norcros’ focus on

developing products that make both environmental and

commercial sense.

This is a clear example of Powerful Choices brought

to life. By combining strong local market positions with

a deliberate shift in portfolio strategy, Norcros is not

simply responding to change — we are helping to lead it,

supporting continued share gains in a category that is

reshaping the future of bathrooms.

CASE STUDY

Simplifying the bathroom journey

through collaboration

Designing and delivering a complete bathroom remains a complex process for customers,

retailers and installers. Multiple suppliers, fragmented product ranges and separate deliveries

create unnecessary complexity at every stage of the journey. In many cases, a single bathroom

installation can involve numerous orders and deliveries, requiring customers to coordinate multiple

brands and timelines.

We are working on simplifying and demystifying the bathroom journey.

This begins with recognising that consumers do not think

in terms of individual product categories, but in terms of

creating a complete, coordinated space.

MERLYN and VADO are working closely together to

address this challenge. By aligning their capabilities in

showering, brassware and complementary bathroom

products, the businesses are developing a more

joined up proposition that reflects how

customers want to buy. This includes closer

collaboration on product development,

coordinated ranges and more integrated

solutions for retail and specification partners.

The opportunity goes beyond combining

product categories. By working together,

the businesses are exploring how to reduce

the number of transactions and deliveries

required to complete a bathroom project,

simplify ordering processes, and improve the

overall customer experience. For retailers and

installers, this means fewer suppliers to manage.

For consumers, it creates a more straightforward

and less time consuming journey.

This is an intentional, growth-focused approach — using

collaboration across the Group to solve real customer

challenges. Whilst still at an early stage, it demonstrates

how Norcros is bringing its capabilities together to support

a more complete bathroom proposition and create the

foundations for long-term growth.

CASE STUDY

Our focus is on simplifying the

entire bathroom journey — from

product selection through to

installation.

Wall panels make installation

faster and easier, while offering a

more sustainable alternative — a

simple, common-sense approach to

modern bathroom design.

OVERVIEWOVERVIEW

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

POWERFUL CHOICES,

BROUGHT TO LIFE

BENEFITS

OF SCALE

DIFFERENTIATE

IN FRAGMENTED

MARKET

Balance sheet

strength

Investment

in NPD

Cross-selling

Supply chain

TechnologyTalent

Norcros is a focused, design-led group of market-leading brands operating

in attractive, resilient segments, with a clear strategy to deliver sustainable

growth and long-term shareholder value.

01 02 03

Market-leading brands Resilient model Proven track record

A portfolio of well-established,

design-led brands with strong

positions across multiple product

categories in Europe and South

Africa. Our brands operate close to

their markets, combining specialist

expertise with the benefits of

Group scale, delivering high-

quality products, strong customer

relationships and consistent

performance.

A diversified and capital-light

model, focused on mid-premium

segments and predominantly repair,

maintenance and improvement

(RMI) markets. This provides

resilience through economic

cycles, supported by strong cash

generation, disciplined cost

management and a decentralised

structure that enables agility and

local decision-making.

A consistent track record of

delivering growth through a blend

of organic initiatives and targeted

acquisitions. We have successfully

integrated and developed

complementary businesses, whilst

actively reshaping the portfolio to

focus on higher-growth, higher-

return categories aligned with long-

term market trends.

SEE PAGES 02 TO 05 FOR MORE

ABOUT OUR BRANDS

SEE PAGES 18 AND 19 FOR OUR

BUSINESS MODEL

SEE PAGES 26 TO 31 FOR MORE

ABOUT OUR STRATEGY IN ACTION

Accelerated growth drivers in play Portfolio development

Existing portfolio

Successful and

scalable platform

Significant

opportunity to

develop and grow

Norcros strategy

• Market-leading brands

• Diversified products and

channels

• Design and customer service

• Organic and M&A track record

• Large, fragmented markets

• Sustainability

• Adaptive living

• Benefits of scale

• Portfolio development

• Organic growth

• Operational excellence

• ESG driving competitive

advantage

Tile and Building

Adhesives (TAL)

Tiles (Tile Africa)

Plumbing Materials

(House of Plumbing)

Europe

Ireland

Furniture

Baths

Mirrors

Shower trays

Adaptive

living

Sustainable

products

Sanitaryware

Lighting

United Kingdom

South Africa

Portfolio growth opportunities – where

we currently have very low market share

Sustainable

products

Adaptive living

Shower trays

Mirrors

Lighting

Baths

Furniture

Sanitaryware

Europe

Ireland

Wall panels (Fibo)

Wall panels (Grant Westfield)

Accessories (Croydex)

Shower enclosures (MERLYN)

Kitchen products (Abode)

Bathrooms (VADO)

Electric showers (Triton)

Europe

OVERVIEWOVERVIEW

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

WHY INVEST IN NORCROS

Introduction

Norcros is building a focused, higher-quality group centred

on branded, sustainable bathroom products, underpinned by

a disciplined and repeatable model of portfolio development,

organic growth and effective capital allocation.

During the year, the Group made further meaningful progress

to support this, whilst also delivering a strong financial

performance. Following the completion of the acquisition of

Fibo and its exit from tile manufacturing, the business has

significantly strengthened its position in attractive, capital-

light bathroom categories. The Board has also recently

announced that we are exploring the potential sale of our

remaining South African business.

Consistent delivery through the cycle

Norcros again traded in line with market expectations

despite subdued end markets. The Group grew market share,

supported by its strong brands, mid-premium positioning and

scale, and continued to progress towards the medium-term

targets set out at our 2024 Capital Markets Event. Noting the

current geopolitical and macroeconomic challenges, Norcros

has a strong balance sheet, including healthy inventory levels,

and remains well placed to take market share during periods

like this, as demonstrated through the Covid-19 period and

subsequent supply chain interruptions.

Executing our strategy

Norcros continues to progress its four strategic priorities –

portfolio development, organic growth, operational excellence

and ESG – with discipline, and the portfolio focus achieved

important milestones during the year.

Three major portfolio milestones, two completed in-year and

one initiated post year-end, have significantly advanced the

transition to a capital-light, sustainable bathroom products

group focused on the UK and Europe. The Group acquired

Fibo in Norway, adding a capital-light business in the fast-

growing waterproof wall panel category, complementing

Grant Westfield and creating the market leader in this

attractive category in Northern Europe, whilst completing the

exit from tile manufacturing following the sale of Johnson Tiles

UK in 2025 and closure of Johnson Tiles South Africa in 2026.

Whilst driving the quality and focus of our portfolio, Norcros

continues to grow share organically through disciplined

investment in product development, targeted cross-selling,

operational excellence and ESG. The Group’s sustainability

credentials have supported share gains in both new build and

RMI and we have steered away from the political noise around

sustainability by applying common and commercial sense.

Norcros’ core fragmented and attractive UK and European

markets provide significant opportunities for sustained further

growth, both organically and through acquisition.

Review of South Africa

Following the closure of Johnson Tiles South Africa, the Board

announced in May 2026 it is investigating the potential

sale of the remaining South African business, in line with

the plans set out at the 2024 Capital Markets Event. This is

a quality profitable asset that sits outside of core product

and geographic focus areas and we will provide updates

on the process to find the business and its team the right

shareholders at the appropriate times. The successful sale

would complete the transformation of the Group into a

focused European branded bathroom business.

ESG: Sustainability and

responsible growth

Sustainability is integral to how Norcros grows and creates

long-term value. We published our first standalone Sustainability

Report last year and delivered its short-term SBTi targets for

Scopes 1 and 2 two years early. The Board expects this focus

to continue to support differentiation and value creation as

regulations and customer expectations evolve.

Talent, culture and leadership

A key strength of Norcros is our portfolio of specialist

businesses, each with strong market positions and leadership

teams operating within a clearly defined, decentralised

framework. This model empowers local management teams

to make decisions close to their customers and markets,

collaborate with other Group businesses to leverage the

benefits of our collective scale where it makes sense, whilst

benefiting from the Group’s strategic oversight, financial

discipline and shared values.

This combination of autonomy and accountability continues

to drive entrepreneurial behaviour, operational agility and

consistent execution across the Group. Our Purpose and Keys

provide a common cultural foundation, ensuring that whilst

our businesses operate independently, they are aligned in how

they create value and deliver for stakeholders.

Throughout the year, our teams demonstrated resilience,

ownership and adaptability in challenging conditions. On

behalf of the Board, I would like to thank all colleagues for

their continued commitment and contribution.

Acting responsibly

The Board remains committed to high standards of governance,

integrity and accountability. Regular engagement with the

Executive team provides effective oversight and challenge.

The wellbeing, safety and empowerment of our people remain

priorities, supported by an inclusive culture and clear values.

Norcros’ decentralised model

allows each business the freedom

to perform, whilst ensuring

the Group benefits from clear

strategy, discipline and

shared values.

Dividend

The Board is recommending a final dividend of 7.6p per share

(2025: 6.9p). When combined with the interim dividend of 3.7p

per share, this brings the total dividend for the year to 11.3p per

share, up 8.7% compared to the prior year and maintaining an

appropriate level of dividend cover.

Farewell

On behalf of the Board and the wider Norcros team, I would

like to thank James Eyre, our Chief Financial Officer, who,

as previously announced, will be leaving the business after

12 years of service. He has made a significant and valued

contribution to Norcros, initially leading our acquisition

strategy before becoming CFO.

The search process for James’s successor has commenced.

Andy Hamer, currently UK and Ireland Finance Director

and previously Group Financial Controller, will take on the

additional non-Board role of interim CFO until this process is

concluded and we will update the market on progress in due

course.

Outlook

The Board is confident in the Group’s prospects and ability to

deliver through the economic cycle. Whilst conditions remain

uncertain, Norcros is well positioned with a strong balance

sheet, disciplined capital allocation and a clear strategy. We

will remain focused on sustainable growth, risk management

and long-term value for stakeholders.

STEVE GOOD

Chair

10 June 2026

STEVE GOOD

Chair

STRONG FINANCIAL PERFORMANCE

CLEAR PLATFORM FOR

SUSTAINED GROWTH

OVERVIEWOVERVIEW

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

CHAIR’S STATEMENT

STRATEGIC

REPORT

Business Model 18

Our Marketplace 20

Our Strategy 24

Strategy in Action 26

Our Approach to Sustainability 32

Chief Executive Officer’s Review 36

Key Performance Indicators 38

Business Review: Europe 40

Business Review: South Africa 43

Chief Financial Officer’s Review 46

Chief People Officer’s Review 50

Our Culture 52

Task Force on Climate-Related

Financial Disclosures (TCFD)

SECR Statement 68

Principal Risks and Uncertainties 70

Stakeholder Engagement 82

Non-financial and Sustainability

Information Statement

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

STRATEGIC REPORTSTRATEGIC REPORT

M&A

Our dedicated in-house corporate development

team develops our M&A pipeline and leads

transactions and integration. We target successful,

capital-light businesses with strong management

teams and growth plans that align with our strategy

and culture. We deliver dedicated integration plans

that realise growth synergies and drive benefits of

Group scale

Growth accelerators

We enable our brands to accelerate growth

through a range of cross-Group resources,

processes and programmes. These include

key account management, cross-selling

programmes, new product development

coordination and a Marketing Forum. Each is

focused on collaborating across our Group to

increase sales and brand awareness.

Operating platform

We enable our brands to be more efficient and

effective by collaborating across our Group

on sourcing, warehousing and logistics, and

technology and data. Our model is based on a

culture of continuous improvement, collaboration

and innovation. As we increase the level of

collaboration, we are able to realise the benefits

of scale.

ESG policy and process

Our business model is underpinned by an ESG

framework that focuses on our people, sustainable

products and our impact on the environment and

communities. We have a consistent set of policies,

processes and systems that underpin this framework

that we apply across the Group.

Our individual brands are experts at in-house design, managed sourcing and customer service. They are positioned in

the mid-premium segment of the market and are differentiated from the competition by great design and outstanding

customer service. Our brands benefit from being part of the Norcros Group through our financial support, organic

growth accelerators and scale-based operational efficiencies.

Brand business model

Our people

and culture

READ MORE ON

PAGES 50 TO 53

Portfolio of

market-leading

brands

READ MORE ON

PAGES 02 TO 05

Positioned

in attractive,

complementary

geographies

READ MORE ON

PAGES 20 TO 23

Positioned

towards resilient

RMI and

mid-premium

segments

READ MORE ON

PAGES 20 TO 23

Strong customer

relationships

READ MORE ON

PAGES 06 TO 07

Deep supply chain

partnerships

IN OUR

SUSTAINABILITY

REPORT

Financial strength

READ MORE ON

PAGES 46 TO 49

In-house product design teams

Each of our brands specialises in niche, mid-

premium, bathroom or kitchen products.

Category expertise, consumer insight and

market knowledge drive product design and

development. Group knowledge sharing enhances

new product development, which boasts a robust

pipeline and impressive annual vitality rates.

Technology and I.P.

Through the process of new product

development, the brands within the Group

develop technologies and intellectual property

that drives competitive advantage. Brands

within the Norcros Group can benefit from these

inventions within their own product design and

product innovations.

Sustainable products

Global megatrends, including climate change,

energy transition and ageing populations, are

creating an increasing focus on sustainability. In

the future, there will be an increasing demand

for bathroom and kitchen products that are less

carbon-intensive, make more economical use

of water and energy and cater for the needs

of ageing consumers. Our focus on reducing

energy consumption, enhancing social benefits

and promoting a circular economy drives our

competitive advantage through sustainable

products and ESG focus.

Deep sourcing

We leverage deep sourcing to thoroughly

understand our suppliers’ operations and

networks. By engaging with suppliers and

sub-suppliers, we ensure a resilient, transparent

and strategically-aligned supply chain, while

proactively managing risks, maintaining high-

quality standards and fostering strong supplier

relationships, which enhance performance and

competitiveness.

Quality and reliability

Our commitment to quality and reliability is

unwavering. Our products undergo rigorous

testing to meet stringent quality and safety

standards. We’re proud of our record, with less

than 0.11% of customer products being recalled

for quality issues and 0.01% for safety concerns.

Our reputation as a reliable supplier is built on this

dedication.

Assurance

We excel in product assurance through meticulous

planning, aligning quality standards with

customer needs and regulatory requirements. In

partnership with our manufacturers, we ensure

consistent quality through robust process controls

and inspections. Our culture of continuous

improvement ensures customers receive reliable,

high-quality products they can trust.

Routes to market

In the UK, we primarily go to market through

B2B channels. These include trade (merchants),

specification (residential and commercial), retail

and online, where we have many long-term

customer relationships. In South Africa, we have

a vertically-integrated model where, in addition

to B2B channels, we have a retail division direct

to consumers. We also export products from the

UK, Ireland and South Africa, typically using local

distributors or retailers.

Technical support

Providing exceptional technical support to partners

is a priority. We offer dedicated teams for swift,

accurate issue resolution, technical drawings,

product specifications, and installation instructions.

Support is available through a variety of channels.

Proactive follow-ups ensure satisfaction, and our

feedback mechanism enhances support quality.

Our tailored, responsive approach strengthens

partnerships.

Excellent customer service

We are differentiated by our ability to provide

timely, accurate and quality delivery of our

products. This is enabled by our investment

in stock, warehousing and logistics, customer

communications and dedicated after-sales

support.

Employees

Opportunity to develop

skills and careers in an

inclusive, collaborative and

innovative environment

where we can all

#BeSomeone

Customers

Exceptional customer

service and long-term

relationships

End consumers

On-trend, design-led

sustainable products that

make great bathroom and

kitchen spaces

Society

Supporting communities as

an employer and through

local development projects

Environment

Providing innovative

sustainable products that

reduce carbon, energy and

water usage

Supply chain

Long-term, trusted

partnerships with multiple

strong routes to market

Shareholders

High quality of earnings

with progressive returns

ESG drives competitive advantage

We acquire and grow capital-light, sustainable and design-led bathroom and kitchen products brands with strong,

complementary and resilient market positions. Our decentralised model ensures that decision-making is close to our

customers and supply chain. We are focused on generating cash and reinvesting in our growth as well as growing

shareholder returns.

Group business model

Inputs and

key resources

Design Source

Service

Value we create

for stakeholders

People

Product

Planet

GROUP

BRANDS

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

STRATEGIC REPORT STRATEGIC REPORT

BUSINESS MODEL

Significant opportunity for organic and M&A growth in large,

fragmented markets

We operate in the bathroom and kitchen products markets in Europe

(the UK, Ireland and Norway) and South Africa.

We consider our market in three groups:

Core Addressable

Market

This covers the core product

categories that we serve today in

Europe and South Africa.

Total Addressable

Market

This covers a range of

complementary bathroom product

categories that we are not materially

serving today, but where we have

the routes to market to be successful.

Extended

Addressable Market

This covers a range of

geographies where we are not

currently based, but where

we have some experience

of operating. It also includes

a wider range of adjacent

product categories.

Market in numbers

The diagram shows how our total market is broken down.

Total addressable market

Extended addressable market

Core bathroom, kitchen and panel

products in UK, Ireland and Norway:

• c. £3.3bn

1,2,3,4,5

• Showers, enclosures and trays, brassware,

bathroom furniture, accessories, wall coverings,

kitchen sinks, sanitaryware and wall panels

South Africa:

• c. £1.8bn

• Coverings, adhesives, bathroom

and plumbing

= Core addressable market + c. £2bn-£3bn

Total addressable market + >£5bn

Additional complementary UK bathroom and

kitchen product categories: lighting, ventilation,

decorative radiators, underfloor heating,

plumbing products

New regions including Gulf region, Nordics, mainland Europe

Core

addressable market

c. £5.1bn

(sum of the above)

= c. £7bn – £8bn

= >£10bn

Bathroom products market in Nordics outside of Norway,

where we have low overall share outside of Fibo panels

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

The sweet spot

End market

Quality/price point

80%

RMI

12%

Residential

new build

Commerical RMI

& new build

29%

Premium

42%

Middle

29%

Economy

• RMI² main driver of bathroom and kitchen market;

81% of Norcros revenue in FY26

• New build headwinds, but strong underlying

medium-term growth drivers and recovery potential

• Norcros in more resilient mid-premium segment

• Differentiated from building sector commodities

Source: BRG: The European Bathroom & Kitchen Product Markets UK 2025

RMI: Renovation Maintenance Improvement

Source: BRG: The European Bathroom &

Kitchen Products Market UK 2025 (Apr25)

Source: BRG: The European Bathroom &

Kitchen Products Market Ireland 2024

(Sep25)

Source: BRG: The European Bathroom &

Kitchen Products Market Norway 2024

(Jul25)

UK: AMA Wall Panels Report 2024 (May25)

& Floor and Wall Tiles Report 2024 (May25);

Norway: Management estimates.

(NB: no wall panel market in Ireland)

Management estimates

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

STRATEGIC REPORT STRATEGIC REPORT

OUR MARKETPLACE

Norcros positioning in South Africa

Well-established market-leading brands

• Integrated model with design, manufacture,

sourcing and retail

• Also go to market through trade routes

• Shortage of housing

• Favourable long-term socio-economic

demographics

• Large target market (circa £1.8bn)

• Regional fragmentation in bathroom and

plumbing segment

• Significant opportunity to take further share

from smaller competitors

Norcros positioning in Europe

Largest bathroom products group in the

UK and Ireland

• Market-leading positions in most bathroom products

categories (but very limited presence in the large

furniture and sanitaryware categories)

• Orientated towards higher margin, more resilient

mid-premium segment

• Indexed broadly in line with long-term end-market

split (RMI circa 81% of market and circa 81% of

Norcros revenue)

• Large target market (circa £2.7bn in current

categories with a further circa £1.2bn in adjacent

product categories)

• Housing stock: growing population, ageing

housing infrastructure, shortage of housing

• ESG and ageing population trends resulting

in growth market for sustainable and adaptive

products

• Fragmented by product and channel

FURTHER OPPORTUNITY TO GROW SHARE IN

FRAGMENTED MARKETS

Market drivers

Europe

Market sizes

BRG

1,2,3

estimates that the bathroom and kitchen product

markets of the UK, Ireland and Norway are £2.1bn, £0.2bn and

£0.3bn respectively.

End market

Demand for bathroom and kitchen products is split between

repair, maintenance and investment (RMI), residential new

build and commercial (for example, hotels and commercial

buildings).

RMI is the main driver of the bathroom market, accounting for

approximately 80%

of UK demand. Small renovation projects

and replacement purchases are the typical consumer reasons

for RMI demand. This area of the market also includes larger

renovation projects. Given that most of RMI spend is driven by

need, it is somewhat resilient to economic conditions.

New build accounts for approximately 12%

of the UK market.

Demand is driven by the need to fit out bathrooms in new

houses. The bathroom products market (both new build and

RMI) benefits from the trend of having more bathrooms in

the home. New build demand is more cyclical and depends

on the housing market. Recent inflationary pressures and

higher mortgage rates have seen challenges in this part of

the economy. However, with a growing population, ageing

housing stock and an undersupply of housing, we expect to

see the housing market improve over the medium term. This

market is important and attractive for Norcros as it often

includes larger-scale projects with multiple units.

Commercial RMI and new build accounts for approximately

of the UK market. This is an attractive market to be in

because it involves larger-scale projects (both RMI and new

build). However, it is also typically cyclical in line with the

regional economy.

Norcros’ revenue broadly mirrors the RMI/new build/

commercial split, although with the downturn in housing starts

in the UK market, the RMI market represented approximately

81% of the Group UK revenue.

Quality/price point

The market is typically viewed in three segments: premium,

middle and economy.

The mid-premium segments account for approximately 71%

of the market. These segments are typically more resilient to

cost-of-living pressures as consumers are less price sensitive.

They also offer higher margins for high-quality, sustainable

and in-fashion products.

Norcros is mainly focused on the mid-premium segment.

Market dynamics

The UK bathroom products market is estimated to have

contracted in the year

, primarily driven by the downturn in

residential new build construction, exacerbated by the negative

impact on residential RMI due to cost-of-living pressures.

The pace of any recovery in the new build sector is still

unclear; exacerbated by the Iranian conflict, its associated

impact on energy prices and the potential that central banks

will increase interest rates to mitigate inflationary pressures.

RMI is likely to remain lacklustre given consumer sentiment has

recently deteriorated sharply.

The medium-term outlook, however, remains positive, given

the shortage of houses and consumer demand for quality and

environmentally-friendly products.

The BRG report (released April 2026) indicates that the

bathroom market declined by circa 1.2%

1,4

by value in the year.

The bathroom products market remains highly fragmented.

Norcros is the largest UK and Ireland group, but there is no

single dominant player across all categories.

South Africa

The market in South Africa is large with a total size of circa

£1.8bn and covers the coverings, adhesives and bathroom and

plumbing segments.

As in the UK, the market is driven by RMI, residential new

build and commercial. In South Africa, there is a shortage of

housing and, whilst construction levels remain lower than

their 2007 peak, we expect to see increases in demand in

residential and commercial new build.

The South African economy has been subject to challenges

in cost-of-living pressures and energy infrastructure in recent

years and this has continued to impact demand.

The market is more concentrated than the UK with a smaller

number of larger players. In the bathroom and plumbing

segment, the market is regional and more fragmented with few

national players.

Norcros South Africa is one of the market leaders with

a vertically integrated business model covering design,

manufacturing, sourcing and retail. Both Norcros and the

other market leader deploy similar integrated business models

from production to retail to reach all segments and channels.

Source: Norcros BRG: The European Bathrooms & Kitchen Product Markets UK 2025

(Apr26).

Source: Norcros BRG: The European Bathrooms & Kitchen Product Markets Ireland

2024 (Sep25).

Source: Norcros BRG: The European Bathrooms & Kitchen Product Markets Norway

2024 (Sep25).

Source: Norcros BRG: The European Bathrooms & Kitchen Product Markets UK 2024

(Apr25).

NORCROS PLC ANNUAL REPORT AND ACCOUNTS 2026

STRATEGIC REPORT STRATEGIC REPORT

OUR MARKETPLACE

CONTINUED

Total revenue

Underlying

operating profit

Underlying return on

capital employed

Dividend

per share

Underlying operating

cash flow

Return on sales

Mergers, acquisitions

and disposals

Stakeholder and

reporting requirements

Staff retention

and recruitment

Market

conditions

Loss of key

customers

Competition

Reliance on

production facilities

Loss of

key supplier

Exchange

rate risk

Funding and

liquidity risk

Pension

scheme risk

Cyber

security

M&A

Align portfolio to

Group strategy

and accelerate

growth through

selective M&A

Progress in 2026

• Completed closure of Johnson Tiles SA

• Completed acquisition of Fibo

• Exploring sale of Norcros South Africa

• Refreshed M&A pipeline against new Group strategy

Priorities for the medium term

• Explore sale of Norcros South Africa

• Continue to drive growth in panels

• Fill category and channel gaps in UK

• New market development (Europe and

adaptive living segment)

Link to KPIs

1 2 3 4 5 6

Link to Risks

1 3 4 6 9

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PAGES 26 TO 28

Organic

growth

Grow ahead

of the market

by establishing

growth

accelerators and

energising our

entrepreneurial

culture

Progress in 2026

• Significant new product development – complete

bathroom ranges, Metlex, and ENlight with HeatRepeat

• Cross-selling to key customers such as Wickes, B&Q

and Victorian Plumbing

• Brand collaborations with Laura Ashley and

Clarke & Clarke

Priorities for the medium term

• Cross-selling programme with top customers

• NPD centre of excellence with focus on

(i) cross-Group range development and

(ii) sustainability and digital innovation

• Driving growth in specification channel

Link to KPIs

1 2 3 4 5 6

Link to Risks

2 3 4 5 6 7

8 9