Moonpig shares jump 18% as profit and dividend climb

Shares in Moonpig Group PLC (LSE:MOON), the online cards and gifting company, rose 18% to 242.2p after it reported higher revenue, profit and cash generation and lifted its dividend by a quarter.

Revenue for the year to 30 April 2026 climbed 6.5% to £373 million, while adjusted earnings per share rose 19.5% to 18 pence.

Reported profit before tax jumped to £68.9 million, from just £3 million a year earlier, when the figure was weighed down by £64.6 million of adjusting items.

The board proposed a 25% increase in the total dividend to 3.75 pence per share.

Growth was led by the core Moonpig brand, where revenue rose 8.6%, while Greetz, the group's Dutch brand, delivered constant currency growth of 1.5%.

Active customers across the two brands increased to 12.3 million, from 12 million a year earlier, and average order value rose 5.7%.

The company attributed the higher order values to customers trading up to pricier gifts, including new ranges from Next and Boots, alongside larger card formats and a shift to tracked UK delivery.

Adjusted earnings before interest, tax, depreciation and amortisation rose 8.1% to £104.6 million, with the margin widening slightly to 28%.

Free cash flow increased 11.2% to £73.5 million.

The company completed £60 million of share buybacks during the year and intends to repurchase up to £65 million in the current financial year.

Catherine Faiers, who became chief executive in March, said the combination of trusted brands, proprietary customer data and operational capabilities gave the group a powerful foundation to deepen customer relationships and deliver long-term returns.

Panmure Liberum reiterated a 'buy' rating and 300p price target, calling the shares far too cheap given the group's quality and strong cash returns, and noting a free cash flow yield of around 9%.

Trading since the start of the new financial year has been in line with expectations, and the company said its forecasts for the year to April 2027 remained unchanged.