SStarkExecutive Cockpit
Stark · Enterprise Digital Twin · FY2026 · 12+ showrooms · 8 countriesLiverefreshed 18 Jun 2026

Eighty-seven years of craft, now one £165m house — and £116m of it is repeat designer business that re-orders every year.

How Stark turns £248m of specified-project opportunity into £165m of revenue and a £116m to-the-trade annuity — and where the next £11m of profit and £4m of cash come from, without acquiring a single house. Read top to bottom in ten minutes; any figure underlined in dots opens its definition and source. Financials are modeled; the structure — brands, acquisitions, leaders, showrooms — is real.

The headline 10 — at a glance
Revenue · FY26
£165m
▲ 10% vs last year · five product houses
Adj. EBITDA
£30m
18.2% margin
Repeat-Designer Revenue
£116m
70% of revenue · to-the-trade
Orders Booked
£184m
ordering faster than shipping · 1.11×
Pipeline
£248m
incl. £36m cross-house
Order Backlog (WIP)
£64m
specified, on the loom
Orders in production
3,200
pieces in craft & sample memos
Designer-Account Retention
108%
trade accounts spend more each year
Net Debt / EBITDA
0.5×
conservative, family-owned
Growth + Margin Score
28
growth 10% + margin 18.2%
The prize

£11m more profit a year and £4m of one-time cash — from the house Stark already runs.

Five moves do it, no acquisition required. Two lift profit — cross-house attach (move 1) and finishing the integrations (move 2) — taking profit from to £41m, margin 18.2%23.7% and the growth-plus-margin score from 28 to 34. Two free cash — collect faster (move 3) and pay smarter (move 4) — releasing £4m to fund the next house. One stewards the house (move 5). Each card says exactly what you do and what changes.

1Grow revenue6–18 moMedium
+£9mrevenue / yr
The lever — what you do

Sell a 2nd or 3rd house into the £36m of designer accounts that buy only one — led by the 13%-growth hospitality segment.

Why it works

These are established trade accounts already re-ordering at 108% retention — a second house is sold through the standing showroom relationship, with no competitive bid and a far higher win-rate than a new account.

What changes
70% repeat mix74%+
Win 25% of the £36m = £9m revenue / £5m gross profit · VP Sales + house GMs
2Lift profit6–18 moHigh
+£6mprofit / yr
The lever — what you do

Finish absorbing the newest acquired houses onto one back-office, one PIM and one showroom system.

Why it works

Not hypothetical: the earlier houses (Old World Weavers, Stark Studio Rugs) already reached ~95%+ and expanded margin. The newest are at 74% — the same playbook on £45m of revenue removes the duplicate overhead.

What changes
74% of value100% banked
Mostly duplicate back-office & catalog on £45m of revenue · CFO + COO (integration)
3Collect faster0–6 moHigh
+£3mcash (one-time)
The lever — what you do

Tighten deposit & milestone terms on long hospitality projects and clear the £5m aged over 60 days.

Why it works

It is structural, not demand: bespoke lead times and trade terms push DSO to 55d, and a handful of hospitality accounts collect well past 60 days. Deposits-up-front and milestone billing free cash with no client impact.

What changes
55d to collect48d
Each day ≈ £0m · the £5m aged is the first pool to clear · Treasury + Collections
4Pay smarter0–6 moHigh
+£1mcash (one-time)
The lever — what you do

Pay mills, ateliers and fibre suppliers on the 50-day terms Stark already holds (it pays in 46 today).

Why it works

Pure timing, no renegotiation: terms are already 50 days but invoices clear in 46, leaving working capital on the table across £55m of craft spend.

What changes
46d to pay50d
£1m stays in the business · no impact on profit · Procurement + Treasury
5Steward the house12–36 moStrategic
£38mto deploy with
The lever — what you do

Protect the 1938 craft and the to-the-trade moat, and use the family balance sheet to add 1–2 more heritage houses.

Why it works

Rivals carry one or two product lines; Stark spans carpet, rugs, fabrics, wallcoverings and furniture as one to-the-trade house — which is why designers re-order at 108%. Net debt at 0.5× (conservative, family-owned) leaves room to acquire from cash.

What changes
0.5× net debtample headroom
£38m of liquidity · 108% retention moat · CEO + Stark Family
EBITDA upside bridge
£30m
Current Adj. EBITDA
+£5m
Cross-house gross profit
+£3m
Gross-margin lift
+£3m
SG&A scale
£41m
Potential EBITDA
Margin 18.2%23.7% · Growth+margin 2834
The recommendation

Run them in the order they pay back. Cash first (moves 3–4)£4m lands within six months, needs no new sales, and funds the next house outright. Profit second (move 2) — finishing the integration of the £45m of acquired houses turns promised value into +£6m of permanent profit. Growth third (move 1) — the £36m of cross-house whitespace compounds for years. Move 5 is the moat that makes the rest stick: the only to-the-trade house spanning carpet, rugs, fabrics, wallcoverings and furniture, with designers re-ordering at 108% — an edge the single-line rivals can't match.

In this sectionCross-house attachCollectionsProfit bridgeIntegration valueAccount retention
01Showroom & To-the-Trade

Stark is chasing £248m of specified work, has booked £184m, and carries £64m on the loom into next year.

The house is pursuing a and has already booked . Because Stark is , the keeps growing.

The biggest prize is hiding in plain sight: buy one Stark house but not the others. That is revenue the house can win from designers it already serves — usually without bidding against a competitor.

From pipeline to revenue · FY2026
£248m
Pipeline
£184m
Orders booked
£64m
Backlog (WIP)
£165m
Revenue
£116m
Repeat-designer
The recommendation

→ Growth lever · £9m. Mine the trade base before chasing new accounts. £36m sits in designers who already buy one Stark house — and because they re-order at 108% and are already established trade accounts, a second house is sold through the showroom relationship, not a competitive bid, so the win-rate beats cold demand. A 25% take at the 55% luxury margin is £5m of gross profit. Start where the gap is widest: lead carpet & broadloom accounts toward custom rugs and fabrics, the houses with the highest margin and growth.

In this sectionPipelineCross-house attachOrdersBacklog
02Houses & Demand

Five product houses, six project segments — and the demand is tilting to hospitality and custom rugs.

Stark sells through five houses. Carpet & Broadloom is the largest at , Custom Rugs follows at £45m, and Fabrics & Textiles — Old World Weavers & Scalamandré — adds .

By project segment, the pattern is clear: growth is concentrating in a handful of expanding markets. Yachts & Aviation and Hospitality grow fastest, while , behind the core of Luxury Residential and Interior Designers. Commercial & Contract and Institutional are flatter. The tilt toward hospitality, designers and yachts is where Stark should place its bets.

Revenue by product house
Carpet & Broadloom
£52m
7% · GM 52%
Custom Rugs
£45m
14% · GM 60%
Fabrics & Textiles
£38m
9% · GM 56%
Furniture, Hides & Lighting
£16m
11% · GM 50%
Wallcoverings & Trimmings
£14m
6% · GM 54%
Revenue by segment · growth-weighted
Luxury Residential (HNW)
£58m
▲ 9%
Interior Designers (AD100 / studios)
£41m
▲ 11%
Hospitality (hotels & resorts)
£30m
▲ 13%
Commercial & Contract
£16m
▲ 7%
Yachts & Aviation
£12m
▲ 15%
Institutional / Embassy
£8m
▲ 5%
The recommendation

→ Where to grow. Concentrate, don't spread. Custom Rugs is the only house that is both high-margin (60%) and fast-growing (14%) — that combination is rare, so it earns the atelier capacity and design investment rather than the flatter contract lines. The watch-out is delivery, not demand: custom rugs carry the longest bespoke lead times, so growth there strains on-time craft delivery (91.5% vs a 95% target). Add hand-knotting capacity ahead of the demand, and lead every hospitality project with carpet + rugs together so the fastest segment pulls the highest-margin house.

In this sectionProduct housesProject segmentsGrowth markets
03Craft & Delivery

Craft delivery is where Stark keeps its promise to the trade — and protects the 55% luxury margin.

Stark delivers through 12+ showrooms across 6 regions and 8 countries, with at any moment. This is the heart of a to-the-trade house: every bespoke order is hand-made to a designer's specification, on a long lead time, and must be first-quality.

Craft quality is high but delivery is short of target. against a 95% goal, lead-time adherence is 88%, and . The number that matters most is lead time: at an average 14.5 weeks specify-to-ship on custom rugs against a 12-week target, atelier capacity is the single biggest delivery lever.

Showrooms
12+
8 countries
Orders in craft
3,200
loom + sample memos
On-time delivery
91.5%
target 95%
Lead-time adherence
88%
target 92%
First-quality yield
96%
target 98%
Sample library use
73%
designer engagement
The recommendation

→ Protect margin by protecting the loom. The ateliers are the constraint, not demand — so the gap between today's 14.5-week lead time and the 12-week target is what stretches on-time delivery and risks the marquee projects. First-quality yield at 96% (vs 98%) compounds the cost — every re-weave is a piece made twice at full craft cost — so lifting both drops straight to margin. Stage sample-to-loom earlier on the biggest hospitality and residential commissions, and add hand-knotting capacity in Nepal/Thailand before the Custom Rugs demand lands, not after.

In this sectionShowroomsCraft loadQualityLead times
03bMargin · by showroom region

Where the £165m gets sold — and how profitably.

Revenue is spread unevenly across six showroom regions. The integrated heartland — New York / Northeast, anchored by the D&D flagship — carries the margin and reports clean showroom-level numbers. The watch regions are the ones still scaling or absorbing recent additions: US Midwest (Chicago) and the international to-the-trade markets. The issue there is showroom maturity and data grain, not demand.

RegionShowroomsRevenueShareHealth
New York / Northeast (HQ)3£62m37.6%On track
US West2£30m18.2%On track
US Southeast2£25m15.2%On track
UK & Europe2£22m13.3%On track
US Midwest1£14m8.5%Watch
International2£12m7.3%Watch
The recommendation

→ The heartland carries the house. The watch regions aren't a demand problem — they are where showrooms are newer or still on legacy systems, so they post at region level and carry below-plan scale until they ramp. Charleston (opened May 2026) and the international markets are early; ramping them lifts both revenue and showroom-grain data quality. Leave the integrated heartland alone: New York / Northeast is 37.6% of revenue, on track, and carries the house's margin. See the showroom-grain map on the Locations page.

In this sectionRegionsShowroom marginRamp
04Repeat-Designer Revenue

The £116m of repeat-designer revenue is Stark's most valuable asset — and it grows faster than it loses accounts.

Stark's most valuable asset isn't on the balance sheet — it's the from trade accounts re-ordering across projects — now 70% of total revenue and rising. And it compounds. At , retained designer accounts spend 8% more each year on average — so the base grows before Stark wins a single new account.

Repeat-designer revenue bridge · £104m£116m
£104m
Beginning Repeat-Designer Revenue
+£14m
New designer accounts
+£11m
Account expansion
£-7m
Reduced spend
£-6m
Lapsed accounts
£116m
Ending Repeat-Designer Revenue
Repeat-designer mix
70%
target 74%
Account retention
108%
expansion > lapse
Gross spend retention
95%
stickiness floor
Orders in craft
3,200
repeat base
The recommendation

→ The constraint is attach, not retention. The annuity is already sticky: at 108% account retention the base grows on its own, so keeping designers isn't the problem. The gap is cross-house — only 70% of revenue is repeat-designer vs a 74% target because too many accounts buy a single house. Make cross-house attach the default in every showroom — carpet accounts toward fabrics and rugs — and one-off specification becomes business that re-orders every year, at the highest margin in the book, and the number the family values most.

In this sectionRepeat-designer revenueAccount retentionTrade base
05Financials & Cash

Revenue up 10% and luxury margins improving — but the real prize is cash trapped in craft.

Revenue is , up 10% on last year, with a and (an 18.2% margin). Margins are improving for one reason: as acquired houses are absorbed and sourcing scales, overhead is falling — toward 36.8% of revenue.

Cash is the harder story. Stark against a 48-day target, and out of £25m owed in total. Every collection day is worth about £452k of cash — so closing that gap frees real money to fund acquisitions and family distributions.

Revenue YTD
£165m
▲ 10% YoY
Adj. EBITDA
£30m
18.2% margin
Gross margin
55%
target 57%
Free cash flow
£14m
funds M&A + family
DSO
55d
target 48d
Cash conv. cycle
94d
DSO + DIO − DPO
Net debt / EBITDA
0.5×
conservative
Liquidity
£38m
cash + facility
AR aging · £25m open
£5m overdue >60d
Current
1-30
31-60
61-90
Month by month · recent 6 (complete months)
EBITDA margin = EBITDA ÷ revenue
MonthRevenueEBITDAMarginBookingsCash collected
Jan£13m£2m17.5%£14m£12m
Feb£13m£2m18.2%£15m£13m
Mar£14m£3m18.4%£15m£13m
Apr£14m£3m18.9%£16m£14m
May£15m£3m18.9%£17m£14m
Jun£15m£3m19.2%£17m£15m
6-mo£84m£16m18.5%£94m£81m
Working capital · DSO → cash
£ per DSO day
£452k
revenue run-rate ÷ 365
Cash at target (48d)
£3m
55d → 48d
Cost of carry
£3m/yr
£25m AR × 10% WACC
Saved at target
£0m/yr
interest freed @ 10%

The drag is concentrated, not broad: the slowest-paying hospitality accounts (Embassy / institutional 64d, Rosewood Hotels 62d) sit well above the 55-day average. Deposit & milestone terms on long projects are the fastest path to the £3m.

Expected credit loss · full AR bookexposure × PD(age) × LGD 0.65
£868kprovision on £25m of open AR · 3.4% coverage (healthy 3–8%)
Current · PD 0.4%£30k
1-30 · PD 2%£60k
31-60 · PD 4%£81k
61-90 · PD 12%£203k
90+ · PD 40%£494k

The 90+ bucket alone is 56.9% of the provision — past-due isn't default, but the oldest dollars carry the risk. Coverage at 3.4% is healthy for a luxury trade book; the watch-item is a few long-tail institutional accounts.

Collection priority · top 6 (size × risk × overdue)
AccountOpen ARDSORisk
Four Seasons£600k58dMedium
Rosewood Hotels£400k62dMedium
Mandarin Oriental£300k59dMedium
Embassy / institutional£200k64dMedium
Kelly Wearstler Studio£700k52dLow
Peter Marino Architect£700k49dLow

Work the list top-down — biggest, riskiest, latest first.

Craft-supply spend by category · FY26 AP£55m total
Wool & natural fibre£14m
Hand-knotting£12m
Weaving mills£11m
Silk & fibre£9m
Dyeing & finishing£5m
Hides & leather£4m

Wool & natural fibre is the biggest controllable line — the place to consolidate and lock forward.

The recommendation

→ Cash is the bigger one-year lever · £4m. Margin is already climbing, so this year the larger prize is cash — and much of it sits in WIP and trade terms, not in demand. DSO is 55d vs a 48-day target, with the drag concentrated in long hospitality projects; deposit & milestone billing and clearing the £5m aged past 60 days frees £3m with no client impact. Paying mills & ateliers to the 50-day terms Stark already holds adds £1m. That £4m lands within months and funds the next acquisition outright — more than any margin move available this year.

In this sectionProfit & marginCollectionsCashLeverage
06Craft Supply

£55m of wool, silk, weaving and finishing, sourced from a curated set of ateliers and mills.

Stark sources its craft from a handful of categories — wool & natural fibre, silk, hand-knotting ateliers, European mills, dye houses and tanneries — totaling . The two biggest, and hand-knotting at £12m, are where sourcing discipline matters most. And Stark against a 50-day target — taking the full terms would hold onto cash longer for free.

Spend by category · risk-flagged
NZ / merino wool growers
£14m
Low risk · 94% on-time
Hand-knotting ateliers (India / Nepal / Thailand)
£12m
Medium risk · 86% on-time
European fabric mills (Italy / France)
£11m
Low risk · 93% on-time
Silk filament suppliers (China/India)
£9m
Medium risk · 90% on-time
Dye houses & finishing
£5m
Medium risk · 88% on-time
Tanneries (hides & leather)
£4m
Low risk · 91% on-time
The recommendation

→ Cash now, continuity next · £1m. The terms already exist: Stark holds 50-day terms but pays in 46, so £1m of working capital is sitting unclaimed at no cost to profit. Separately, the weak links on delivery are Hand-knotting ateliers (India / Nepal / Thailand) (86% on-time) and Silk filament suppliers (China/India) (90% on-time) and Dye houses & finishing (88% on-time) — and the 14%-growth Custom Rugs pipeline will strain silk and hand-knotting lead times; qualify a second source on the most exposed fibre before that demand lands, not after.

In this sectionSuppliersPayment termsSupply risk
07The Brand Portfolio

Stark grew into a house of brands — £150m of brand revenue, built since 1938 by acquisition and craft.

Stark is a multi-brand house — Old World Weavers (1992), the House of Scalamandré (2017), Stark Studio Rugs, Ashley Stark Home and Fort Street Studio (2025) alongside the 1938 flagship. The brands tracked here carry and £99m of repeat-designer revenue. The strategy is simple: acquire a heritage house, then grow it by sharing showrooms, catalog and back-office. It is working — since acquisition — but only has been captured, with the newest house (Fort Street Studio) still early.

House · acquiredRevenueEBITDA ΔIntegrationStatus
Stark Carpet (flagship, 1938) · 1938£52m+£19m
100%
Core
Old World Weavers · 1992£22m+£5m
100%
Integrated
Stark Studio Rugs · 2014£24m+£5m
95%
Integrated
Scalamandré / House of Scalamandré · 2017£30m+£5m
92%
In progress
Hinson & Grey Watkins · 2017£7m+£1m
90%
Integrated
Ashley Stark Home · 2021£9m+£2m
80%
In progress
Fort Street Studio · 2025£6m+£1m
35%
Early
The recommendation

→ Highest-return work in the house · +£6m. The model is proven — the earlier houses (Old World Weavers, Stark Studio Rugs) reached 95–100% integration and expanded margin. The newest, £45m of revenue (Scalamandré / House of Scalamandré, Ashley Stark Home, Fort Street Studio), are still capturing value, with Fort Street Studio the earliest. Finishing them banks +£6m of permanent profit — and because the same shared systems drive both margin and cross-house attach, it compounds the repeat-designer annuity too. Put each on a dated 90-day plan and sequence Fort Street first.

In this sectionBrand portfolioProfit upliftValue capturedStewardship
The story in one paragraph

Stark has turned 87 years of craft into a single £165m house, with £116m of repeat designer business that re-orders every year, operating across 12+ showrooms and 8 countries. It earns a 18.2%luxury margin, retains 108% of its designer accounts' spend year over year, and carries a conservative, family-owned balance sheet with room to acquire more. The next phase of value comes less from acquiring houses than from finishing the ones it already owns.

1
Sell across the houses

Lead cross-house attach in every showroom and chase the £36m of designers who buy only one Stark house — lifting repeat-designer mix from 70% to 74%.

2
Finish absorbing the houses

Capture the rest of the planned value (74% → 100%) on £45m of recently acquired revenue — margin, cash and designer loyalty all improve together.

3
Free cash from craft

Cut collection time from 55 to 48 days to free about £3m — money that funds the next acquisition.

The single biggest controllable lever
£45m

of acquired-house revenue is not yet fully absorbed. Until each of these houses is integrated, Stark is leaving value on the table, holding cash in WIP, and under-converting cross-house whitespace — all at once. The next phase rests on finishing the job while protecting the craft.

Data note: Stark structural data (product houses, brands, acquisitions, leaders, showrooms, geography) is researched from public sources. The Stark Group is privately held and family-owned; all financial figures are modeled estimates for demonstration. The "LIVE" indicator and source tags reflect the governed SQLite metric layer that powers this cockpit.