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Garden centre retailer Blue Diamond has reported that pre-tax profits have increased 44% to £31.4m for the year ending 31 December 2025, as it saw total sales rise 19% to £394m during the period.
The group, which operates 54 garden centres, revealed that growth was also supported by like-for-like sales increasing 6.1%, which it stated was ahead of the wider market.
EBITDA also reached £46.9m during the period, as Blue Diamond delivered “record” margins of 54.2%,
Management attributed the results to tight cost controls and improved stock efficiency. Labour costs as a proportion of sales fell despite inflationary pressures on wages and increases to National Insurance.
The group completed six acquisitions during the year, including the purchase of Barton Grange. Net debt to EBITDA was reduced to 0.8 times, with gearing standing at 14.6% despite the acquisition activity.
Established in the 20th Century, the company has grown revenues by approximately 88% since 2020. The group currently employs more than 5,000 staff and has commenced development of a new site at Elveden.
While trading for the current year is reported to be in line with expectations, the group noted that the external environment remains uncertain due to potential pressures from energy costs and global supply chains.
Alan Roper, managing director of Blue Diamond, said: “We have delivered a step change in profitability, with profit up 44% and margins at record levels. This is the result of disciplined execution and a relentless focus on detail across the business.
“We are gratified, in particular, to have kept a grip on costs despite a series of increases in minimum wage levels and National Insurance contributions. The adage ‘retail is detail’ defines our business core and is the route to profit. The garden centre sector requires a distinct, focused management approach, but growth and profitability are more than possible even in a challenging environment. These results should be seen as evidence of our sector’s enduring appeal and resilience.”
He added: “Blue Diamond is growing, generating cash and investing with confidence. With a proven model and clear strategy, we see significant opportunity to scale further and deliver sustained value for our shareholders.”
