Norcros is the United Kingdom’s premier design-led sustainable kitchen and bathroom products group. At its May 2024 Capital Markets Day (CMD), the company’s compelling investment case was prominently featured. The CMD highlighted Norcros’s unique, asset-light, design-driven model and showcased the significant growth opportunities available. These opportunities span not only the UK and South Africa but also other attractive geographies.
Norcros operates in large, highly fragmented, and expanding markets, which provide avenues for both organic growth and mergers and acquisitions (M&A). In the UK, Norcros holds an estimated 15% market share of its addressable markets. In South Africa, this figure stands at approximately 7%. The combined value of these markets is around £3.5 billion. However, when considering unaddressed segments, the market potential could rise to approximately £6 billion.
The CMD underscored the vast scale of opportunities in adjacent, unaddressed markets within the UK and South Africa. Additionally, Norcros is eyeing potential markets in Europe, Africa, and the Middle East. The addressable market outside of the UK and South Africa could be more than three times the size of its current potential markets, presenting substantial growth prospects for the company.
Norcros plc (LON:NXR) is a leading B2B producer of branded bathroom and kitchen products for its UK, South African and selected export markets. The portfolio of eleven operating companies (7 UK, 4 South Africa) is characterised by strong individual brands, together providing product breadth and channel diversity from a strong supply chain base.