Half Year Trading Update and Results Notice
Summary by AI BETAClose X
9 November 2026
Half Year Trading Update
and
Notice of Results
Strong trading with continued income growth and robust cash generation
DSW Capital, a profitable, mid-market, challenger professional services platform and owner of the Dow Schofield Watts and the DR Solicitors brands, announces the following trading update ahead of the Group’s half year results for the six months ended 30 September 2026 (“H1 FY27” or the “Period”), which are expected to be released on 23 November 2026.
The Board is pleased to report that trading remained strong throughout the Period and in line with management expectations.
Highlights
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Total Income increased by 21% to £3.4m, driven by strong M&A activity and 20% organic growth in DR Solicitors |
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Adjusted EBITDA increased to £0.8m (H1 FY26: £0.7m) |
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Network Revenue increased by 24% to c.£12.8m, driven by organic growth in DR Solicitors and strong M&A activity during the first half of the year |
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Fee Earners remained flat at 135 (31 March 2026: 135) with revenue per fee earner increasing to £181k (31 March 2026: £162k) |
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Operating cash conversion was strong at over [100]%, with cash balances of £2.4m at 30 September 2026 (31 March 2026: £2.0m) |
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Acquisition of Integer Advisory Limited by an existing licensee, supported by DSW Capital, to strengthen the Group’s public sector advisory capabilities |
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A new Transaction Services team launched in Southampton, expanding our geographic reach |
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In October 2026, DSW Legal expanded into employment law by onboarding an established business as a licensee |
Trading Performance in H1 FY27
Network Revenue in H1 FY27 was £12.8m (H1 FY26: £10.3m), resulting in Total Income in the Period of £3.4m (H1 FY26: £2.8m) and Adjusted EBITDA of £0.8m (H1 FY26: £0.7m), an improvement in each key metric.
The Group's strategic aim is to build a resilient and diversified group of licensee businesses, as demonstrated by the launch of DSW Legal building on the acquisition of DR Solicitors in November 2024.
Cash at the Period end was in line with management expectations at £2.4m (31 March 2026: £2.0m), reflecting strong operating cash conversion of 107% for the Period and after providing £0.36m equity funding to support DSW Business Planning with the acquisition of DSW Integer Advisory Limited in June 2026.
The Group’s net cash position at the half year end improved to £0.5m (30 September 2025: £0.4m).
Whilst the business is currently trading well, the Board is mindful of the well documented geopolitical and economic uncertainties.
Shru Morris, CEO of DSW Capital, said:
“Our strong first-half performance reflects the strength of our deal advisory teams and continued demand for legal services, delivering growth in revenue and EBITDA alongside healthy cash conversion. I’m particularly pleased to welcome two new licensees to the Group in the year to date and to see the acquisition of Integer build on our longstanding track record of backing ambitious entrepreneurs to grow and scale their businesses under the Dow Schofield Watts brand.
“We remain focused on bringing high-quality businesses and licensees into the Group that complement our existing capabilities and broaden what we can offer our clients. We are also seeing increasing opportunities from closer collaboration across our service lines, enabling our teams to support clients more broadly. Despite ongoing geopolitical uncertainty and challenging economic conditions, M&A activity remained stable during the first half. We are encouraged by the resilience we continue to see across the Group and remain cautiously optimistic about delivering a full-year performance in line with market expectations.”
Definitions:
Adjusted EBITDA - Adjusted EBITDA is defined as adjusted profit before tax amended to add back finance costs, depreciation, amortisation, impairment of loans due from associated undertakings, and deduct finance income .
Adjusted profit before tax – Adjusted profit before tax which is defined as profit before tax adjusted for items not considered part of underlying trading, which in the current and prior year primarily comprise share-based payments, amortisation of intangible assets arising on acquisition, and acquisition-related costs.
Network revenue - Network Revenue is defined as total revenue earned by licensees and DR Solicitors, as opposed to total revenue reported by the Company
Total income – Statutory Revenue from DSW licensees and DR Solicitors plus share of results of associates
Enquiries:
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DSW Capital Shru Morris, CEO Pete Fendall, CFOO
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Tel: +44 (0) 1928 378 100 |
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Shore Capital (Nominated Adviser & Broker) James Thomas/Mark Percy/George Payne (Corporate Advisory)
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Tel: +44 (0)20 7408 4090 |
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Financial PR Claire Tenant |
Tel: +44 (0) 1928 378 100 |
About DSW Capital
DSW Capital, owner of the Dow Schofield Watts and DR Solicitors brands, is a profitable, mid-market, challenger professional services network with a cash generative business model and scalable platform for growth. Originally established in 2002, by three KPMG alumni, Dow Schofield Watts is one of the first platform models disrupting the traditional model of accounting professional services firms. DSW Capital operates licensing arrangements with its businesses and has over 130 fee earners across 12 offices in the UK. These businesses trade primarily under the Dow Schofield Watts and DR Solicitors brands.
DSW Capital's vision is for our brands to become the most sought-after destinations for ambitious, entrepreneurial professionals to start and develop their own businesses. Through a licensing model, DSW Capital gives professionals the autonomy and flexibility to fulfil their potential.
Being part of the DSW Capital group brings support benefits in recruitment, funding and infrastructure. DSW Capital's challenger model attracts experienced, senior professionals, predominantly with a "Big 4" accounting firm or “Magic Circle” legal background, who want to launch their own businesses and recognise the value of DSW Capital’s brands and the synergies which come from being part of the network.
DSW Capital aims to scale its agile model through organic growth, geographical expansion, additional service lines and acquisitions. The Directors are targeting high margin, complementary, niche service lines with a strong synergistic fit with the existing network.
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