CLS Holdings plc (CLIHF) Q2 2026 Earnings Call Transcript

SA Transcripts 161.76K Followers Follow CLS Holdings plc ( CLIHF ) Q2 2026 Earnings Call August 12, 2026 3:30 AM EDT Company Participants Fredrik Widlund - CEO & Director Patrick Symons - Group Financial Controller, CFO & Director Conference Call Participants Thomas Musson - Joh. Berenberg, Gossler & Co. KG, Research Division James Carswell - Peel Hunt LLP, Research Division Bjorn Zietsman - Panmure Liberum Limited, Research Division Presentation Fredrik Widlund CEO & Director Good morning, and welcome to CLS Holdings plc Half Year 2026 Results Presentation. I am Fredrik Widlund, Chief Executive; and next to me is our new CFO, Patrick Symons. Patrick, who has been with us for almost 10 years, was previously our Group Financial Controller and will be a familiar face to many of you. Today, we will present to you the interim results, give you an update on the portfolio and what we have seen in the first six months. But first, I will start with the trading update that we published last week. We are facing near-term earnings pressure, and this is driven by the following factors. The disposal program is reducing income, and we have sold properties for over GBP 200 million since 2025 and now have a smaller portfolio. While leasing activity is steady, it is still slower than what we expected earlier in the year. The tenant at Spring Gardens is no longer seeking to extend the lease beyond September. This was initiated by them, but at a very large stage, they decided to not proceed. And this is reflected in the H1 results and in the revised full year earnings guidance. Given the importance of reducing leverage and completing the disposal program, the Board has concluded that it has -- that it is appropriate to determine the level of distribution once the full year earnings are known. We will therefore not be paying