11%
Organic revenue growth
Model: 5%
12%
Revenue growth
Model: 10%*
22.5%
Adjusted operating profit margin
Model: 20%+
21%
Adjusted EPS growth
Model: Double digit
105%
Free cash flow conversion
Model: 90%
0.8X
Net debt/EBITDA
Model: <2.0x
20.9%
Return on adjusted trading capital employed (ROATCE)
Model: High teens
5%
Dividend growth
Model: 5%
* At constant currency.
POWERING PROGRESS THROUGH OUR CULTURE
Chair's statement
“This has been another strong year for Diploma. We have not only delivered an excellent financial performance, we have also continued to evolve as an organisation that values its people, embraces change and remains resilient in the face of a changing world.”
Ambitious growth
Structurally growing market exposure
Significant white space
Strong M&A competitive advantage
Diversified portfolio
Fragmented markets
Disciplined delivery
Intensely returns focused
Highly cash generative
Powerful decentralised culture
Value-add customer propositions
Scalable model
Disciplined capital allocation
Through our people
In April, we brought together business leaders from across the Group for a two-day event in London focused on delivering Sales Excellence. This was a great opportunity for teams from across the world to share insights and ideas, explore opportunities for collaboration and celebrate the people behind our success.
By scaling our capabilities
Developing and enhancing capabilities to support our growth is vital to our success.
We have identified a number of specialist markets with attractive opportunities and are selectively investing to ensure we are well positioned to maximise the potential growth. This includes the introduction of a small number of new roles, including strategic market expertise. This will support growth from the top down – thinking strategically about Sector and Group-wide opportunities – and bottom up, working with individual businesses to expand product ranges and deliver on their strategies. At the same time, maintaining the decentralised model that is so important to Diploma’s success.
Through strategic focus and new leadership
DICSA joined the Group in 2023. An established brand in the Spanish hydraulics market, DICSA is well known for its specialist stainless steel components and range of hosing solutions for technically demanding applications.
During the year, DICSA underwent a leadership transition with a new Managing Director succeeding his long-serving predecessor. Strong leadership from the Managing Director and Finance Director has sharpened strategic focus and strengthened the culture, while the appointment of a new Sales Director and the reorganisation of the commercial team are enhancing customer engagement and growth. The appointment of a new Supply Chain Director and optimisation of procurement and logistics are further improving operational efficiency across the business.
Through our people and culture
Building resilience across our businesses is essential to delivering our strategy. A culture that supports ambitious growth while harnessing the strengths of our people is critical to success. Diploma adds value by providing the leadership and support needed to help our businesses scale from small, privately owned operations into larger, more professional organisations. This often involves shaping the right culture, embedding effective behaviours, and investing in talent to build future-ready skills. The Nordics team have made strong progress integrating new roles, retaining specialist expertise, and creating clear career pathways – all supporting our strategy to grow, scale, and deliver for customers.
SUSTAINABILITY
Our strategy supports our businesses in delivering their value‑add missions. It simultaneously delivers environmental and societal value, and commercial benefit to Diploma. Our Delivering Value Responsibly (DVR) framework focuses on six metrics through which we can have a meaningful, positive impact on our businesses, our people and our environment.
