Interim results are in line with expectations with a 11.8% LfL decline in sales to £56.9m and EBITDA of £3.5m (-25.5%) reflecting well known market headwinds. However, there is clear evidence of momentum building with sales up 5% LfL 1H25 vs 2H24 and EBITDA trebling HoH. FLO exited the half on a strong note with June delivering the highest monthly sales, gross profit & EBITDA in the last 12 months. This positive momentum has continued into 3Q25. Self-help has also led to a strengthening of the sales pipeline and order book (+25% vs start of the year) which supports expectations of a much-improved outturn in 2H25. We have tweaked our FY forecasts for the detail of the 1H results but overall our EBITDA assumptions are unchanged. We view FLO as an exciting turnaround story with plenty of upside potential which is not reflected in the group’s valuation. BUY