DAVY VIEW

CVS Group’s expected FY24 adjusted EBITDA of c.£127m is moderately below our current forecasts (Davy: c.£131m), with the transitory effect of the previously announced cyber incident and the softer demand environment impacting full year like-for-like (LFL) sales growth and profitability. The group continues to support the Competition and Markets Authority (CMA), with the investigation expected to conclude in November 2025 and an update in April or May of that year. While the group’s outlook statement is mindful of short-term headwinds, it remains confident in the fundamentals of the sector.