Zotefoams strong trading at start of the year helps boost shares, now 435p

Mark Watson-Mitchell - 27.05.2026

Ahead of its AGM later today, Zotefoams (LON:ZTF) has given investors a positive Trading Update.

The £213m-capitalised group reported strong trading for the four months to end-April, with revenue up 26% year-on-year to £64.1m, driven by robust demand and the contribution from Overseas Konstellation Company (OKC).

EMEA revenue grew 24% to £50.1m, North America saw 30% organic growth to £12.1m, and Asia doubled revenue to £1.9m.

Margins and cash generation remained in line with expectations, and the company's full-year outlook is unchanged, anticipating demand in key markets and OKC's contribution to offset the moderation in Footwear.

Current market expectations for the full-year are £190.8m in revenue and £26.3m in adjusted profit before tax.

The Business

Zotefoams is headquartered in London, UK, with manufacturing sites in Croydon, UK, Kentucky, USA and Brzeg, Poland (foam manufacture), Oklahoma, USA (foam products manufacture and conversion), Anglesola and Burgos, Spain (foam manufacture) and Jiangsu Province, China (T-FIT).

The group is a world leader in high-performance foam technology delivering optimal material solutions for the benefit of society.

Utilising a variety of unique manufacturing processes, including environmentally friendly nitrogen expansion for lightweight AZOTE^® polyolefin and ZOTEK^® high-performance foams, Zotefoams sells to diverse markets worldwide. 

Zotefoams uses its own cellular materials to manufacture T-FIT^® advanced insulation for demanding industrial markets.

Management Comment

CEO Ronan Cox stated that:

"I am pleased with the business performance in the period, with growth delivered despite increased macro volatility.

We have made good progress integrating OKC and advancing our major projects in Vietnam, South Korea and the UK, bringing us closer to our customers and adding capacity for the next phase of growth.

Our focus on innovation, pricing and cost discipline continues to underpin performance.

With trading in the first four months in line with the Board's expectations, we remain confident in delivering our full-year objectives, supported by a strong balance sheet and continued demand across our key target markets."

Advantages of its foam use in aerospace

My View

I like this group and believe it offers attractive upside, with its shares already up 9.16% to 435p, an advance of 36.50p on the day.

(Profile 26.06.19 @ 600p set a Target Price of 750p) 

(Profile 06.03.24 @ 330p set a Target Price of 395p*) 

(Profile 05.08.25 @ 278p set a Target Price of 347p*)