Churchill China: H1 profit falls, but the dividend and full-year expectations hold

Churchill China released results for the six months to June on 7 September 2026.

Half-year performance

Revenue declined approximately 2.9%, while operating profit before exceptionals fell 17.9%, illustrating the greater sensitivity of earnings to weaker sales.

Cash and outlook

Cash and deposits were £8.5m, above £5.6m a year earlier but below £10.8m at December. Operating cash generation improved to £0.8m from a £0.2m outflow.

UK hospitality sales fell 3.3%; material sales declined 16.5%. European and US hospitality sales were slightly ahead.

Management reports improved second-quarter profitability and resolution of earlier operational issues, maintaining full-year profit expectations. The next test is whether that improvement sustains through the second half and translates into cash generation.

Source: Company announcement, 7 September 2026.