Interim Results

Personal Group Holdings PLC

15 September 2026

 

15 September 2026

PERSONAL GROUP HOLDINGS PLC

(“Personal Group”, “Company” or “Group”)
 

Interim Results for the six months ended 30 June 2026
 

Double digit revenue growth and a 22% increase in adjusted EBITDA*.

Trading in line with market expectations for the full year. 
 

Personal Group Holdings Plc (AIM: PGH), the workforce benefits and insurance provider, is pleased to announce its interim results for the six months ended 30 June 2026 (“H1 2026”).

The first six months has seen continued strong performance across the Business with record insurance sales driving double digit revenue growth and a 22% increase in adjusted EBITDA*. The Group has delivered basic earnings per share of 12.3p, a 28% increase versus H1 2025, while return on tangible equity of 29.6% demonstrates the attractive earnings power of the business model.  The Group’s increasing annualised recurring revenue streams provide confidence for the remainer of FY26 and beyond and has enabled the Board to recommend a 10% increase in the 2026 Interim Dividend.

Financial Highlights

         Group revenue up 10% to £25.7m (H1 2025: £23.3m), with growth across all business segments and more than 90% derived from recurring revenue sources

         Adjusted EBITDA* up 22% to £6.7m (H1 2025: £5.5m)

         Profit before tax up 21% to £4.6m (H1 2025: £3.8m)

         Basic EPS of 12.3p (H1 2025: 9.6p), an increase of 28%

         Return on Tangible Equity of 29.6% (H1 2025: 25.6%), top quartile performance relative to other listed UK financial services peers

         £6.4m of cash generated from operating activities (H1 2025: £4.0m), with cash and deposits at 30 June 2026 of £29.4m (31 December 2025: £29.0m), and no debt

         Interim dividend increased by 10% to 9.0p (H1 2025: 8.2p), reflecting the Company’s ongoing confidence in the Group’s performance and prospects.

Operational Highlights

Affordable Insurance:

         Insurance revenue up 11% to £19.4m (H1 2025: £17.4m), driven by new business sales and higher average premiums

         A record period for new insurance sales, with new annualised insurance sales up 9% to £8.1m (H1 2025: £7.4m)

         Overall client penetration increased to 14.7% (30 June 2025: 13.7%)

         New client wins added a further 9,000 addressable employees in the period

         Net promoter scores remain strong at +67

         New partnerships with Santé and Simplyhealth launched and embedded, generating qualified leads

Benefits and Reward:

         Benefits & Rewards revenue up 9% to £5.7m (H1 2025: £5.2m)

         22 new Hapi customers, including two secured through competitive tender

         Net revenue retention rose to 97% (FY 2025: 94%)

         ARR growth of 3%, reflecting lower than anticipated leads from Sage contract, before acceleration in the second quarter

         Pay & Reward continued healthy performance, delivering revenue of £1.3m (H1 2025: £1.2m) and over 16 new business wins, including several household brands

Post-Period Trading and Outlook

Strong new insurance sales have continued at the start of H2 2026, with retention rates remaining robust. Trading in Q3 has remained in line with management’s expectations to date. This, combined with the Group’s growing recurring revenues, underpins the Board’s confidence in achieving market expectations for the full year.

*Adjusted EBITDA is defined as earnings before interest, tax, depreciation, amortisation of intangible assets, goodwill impairment, share-based payment expenses, corporate acquisition costs and restructuring costs.

Paula Constant, Chief Executive of Personal Group, commented: “Personal Group has made a strong start to 2026, delivering growth across every part of the business. Record insurance sales helped drive a 10% increase in Group revenue and 22% growth in Adjusted EBITDA*, while our recurring revenue base of over 90% provides resilience and good visibility.

Our focus on operational grip over the past three years is clearly translating into results. We are expanding our addressable customer base, increasing penetration within existing clients and developing new routes to market through partnerships and digital offerings, while continuing to invest in our platform and our people. 

Trading since period end has remained in line with our expectations, with insurance sales and retention rates continuing to be robust. We remain confident in delivering results in line with market expectations for the full year.”

Investor Presentation

Personal Group Holdings will host a webinar for investors at 9am on Friday 18 September. If you would like to register for the webinar, please follow this link: https://www.investormeetcompany.com/personal-group-holdings-plc/register-investor

For more information please contact:

Personal Group Holdings Plc
Paula Constant (CEO) / Matt Cohen (CFO)	Via Alma
Canaccord Genuity Limited (Nominated Adviser & Broker)
Max Hartley / Harry Rees	[phone]
Alma Strategic Communications	[phone]
Caroline Forde / Rose Docherty	[e-mail]

Notes to Editors

Personal Group Holdings Plc (AIM: PGH) is a workforce benefits and health insurance provider. Its vision is to be the champion of affordable and accessible insurance and benefits, keeping businesses and their employees happy, healthy and protected. The Group is proud to support the health and wellbeing of c. 1.25 million UK employees.

The Group's insurance provides employees with access to affordable, individual policies for hospital, recovery and death benefit plans. The Group's award-winning benefits platform, Hapi, brings together extensive employee benefits, discounts and rewards, in one responsive platform. As well as being sold direct to employers, the Hapi platform supports Sage's Employee Benefits offerings for SMEs.  The Group also offers pay and reward consultancy to UK clients through its Innecto brand.

This comprehensive range of offerings, powerful platform and unique sales model of face-to-face, one-to-one engagement with employees, provides Personal Group with a strong market position from which to grow. 

Head-quartered in Milton Keynes, the Group has built an extensive blue-chip customer list over its 40-year history, including Airtanker, B & Q, Barchester Healthcare, British Transport Police, British Airways, Merseyrail, Office of National Statistics, Randstad, Royal Mail Group, The Royal Mint, Stagecoach Group plc, and The University of York

For further information on the Group please see www.personalgroup.com

CEO STATEMENT

Personal Group exists to help businesses positively impact the happiness, health and protection of their employees. In the first half of 2026 we extended that protection to more people than in any comparable period in the Group's history. New annualised insurance sales reached a first-half record, taking annualised premium income to £42.4m. Group revenue grew 10% and Adjusted EBITDA grew 22%, with more than 90% of Group revenue now coming from recurring sources.

Strategy

Our strategy is to optimise and grow through three routes: (1) Expanding our customer base, enhanced through partnerships (2) Driving adoption through focused operational execution and (3) Innovating with new products and services. 

Our focus this year is on converting that strategy into specific operational disciplines: tighter sales processes, improved utilisation of field time, outlining detailed KPIs with existing and new partners, and continued investment in our platform. These actions will provide a pathway to a considerably larger and more profitable business, in line with our 2030 aspirations.

The market backdrop remains supportive. Cost-of-living pressures continue to prompt individuals to seek greater financial security, while employers contend with rising sick leave increasingly recognise the part that insurance and benefits adoption play in retention, absenteeism and productivity. As the cost of private medical insurance rises, demand for both employee- and employer paid cash plans continues to grow. Our proposition – affordable insurance, a market-leading SaaS benefits platform and pay and reward consultancy – is a holistic answer to that need, and it can be delivered at low incremental cost to the employer. Our face to-face model remains our significant differentiator: it reaches the deskless and lower-income workers who are typically least well served, protecting the unprotected and connecting the unconnected.  

Performance

Group revenue increased 10% to £25.7m (H1 2025: £23.3m), with growth in every part of the business. Adjusted EBITDA rose 22% to £6.7m (H1 2025: £5.5m), reflecting that revenue growth together with the operating leverage that is emerging as we scale. Profit before tax was £4.6m (H1 2025: £3.8m) and basic earnings per share grew 29% to 12.3p (H1 2025: 9.6p).  Return on tangible equity of 29.6% (H1 2025: 25.6%) remains above industry standards.  Retention remained high across the Group, and we ended the period with cash of £29.4m and no debt (31 December 2025: £29.0m), having returned £4.7m in the period in dividends.

Operational review

Affordable Insurance

Revenue increased 11% to £19.4m (H1 2025: £17.4m), driven by new business sales and higher average premiums. New annualised insurance sales grew 9% to a first-half record of £8.1m (H1 2025: £7.4m), taking annualised premium income ("API") to £42.4m, up 12% year on year, with average premium per payor increasing. Growth came from both new client wins and upsell into the existing base and was evident across all sectors.  Claims levels in the first half were broadly consistent versus historic averages, as anticipated. These combined factors resulted in a 22% increase in adjusted EBITDA contribution to £8.0m (H1 2025: £6.6m).

This performance reflects the operational grip we have prioritised over the past 18 months. Field sales days were higher than in the comparable period as a result of improved site visit efficiency. Customer service levels improved across the full range of SLAs despite record sales volumes – recognised externally with an award for SME customer service at the 2026 Institute of Customer Service Awards. Penetration of our total sites increased to 14.7% (30 June 2025: 13.7%), which we regard as a considerable expansion opportunity rather than a task completed, and new customer wins added a further 9,000 addressable employees in the period.

Growth in the addressable employee base and deeper penetration of existing clients remain the largest near-term drivers of insurance growth. We increased the Insurance sales team headcount by 21% in the period and expect further recruitment in the second half in line with our budget. The strength of new sales gives us the confidence to make that investment, supporting revenue growth in future periods.

During the period, we launched and began embedding strategic distribution partnerships with Santé and Simplyhealth, representing the first stage of expanding our broker and intermediary channel. These partnerships create reciprocal opportunities to distribute complementary insurance and wellbeing products, extending our reach into new customer segments and increasing our addressable market. Early results are encouraging, with qualified opportunities being generated through both partnerships.

In parallel, we have enhanced our direct go-to-market strategy, moving beyond account-based marketing to a broader sector-led demand generation model. Focusing on food manufacturing and packing, care, and logistics and distribution, we are building market presence and authority through targeted multi-channel campaigns, sector-specific propositions, thought leadership and digital engagement. Together, these initiatives are intended to strengthen pipeline quality, diversify lead sources and support future growth.

The Group’s Digital Insurance offer provides an additional growth channel over the medium to long term, extending our portfolio, increasing routes to market and adding to recurring revenue.

Benefits & Rewards

Revenue from Benefits and Reward, comprising our Hapi platform, SEB and our Pay & Reward consultancy, increased 9% to £5.7m (H1 2025: £5.2m), with a resulting growth in EBITDA of 8% to £3.1m (H1 2025: £2.8m). ARR growth of 3% to £7.9m in the period (30 June 2025: £7.7m) was relatively muted, following lower than anticipated leads from the Sage partnership in the first quarter, before acceleration in Q2 and into Q3.

While enterprise sales cycles remain protracted, we added 22 new Hapi customers during the period, including two secured through competitive tender. Net revenue retention improved to 97% (FY 2025: 94%), reflecting continued progress against our strategic objectives.

During the period, we continued to invest in the platform, delivering enhancements to security, accessibility and user experience, while strengthening the underlying technology through a significant programme of technical debt reduction, platform optimisation and licensing rationalisation. These improvements have enhanced scalability, reduced complexity and increased our ability to deliver future innovation and monetisation opportunities.

We also continued to broaden our wellbeing proposition through the integration of Simply On-Demand, which launches as a standard Hapi module in September. Through our partnership with Simplyhealth, the service provides employees with access to a network of clinically approved on-demand healthcare services, including discounted and self-pay options. Hapi is uniquely positioned to offer this capability as an integrated component of its platform at no additional cost, further strengthening our market differentiation.

Our expanded partnership with Sage continues to open up additional products, segments and regions, and while leads were slow to build in the first part of the year, this represents a considerable opportunity and further partnership discussions are ongoing.   Much of our focus this year in the UK has been on further improving retention, which, whilst always a strong performance metric, has further benefited from a refocus of customer service engagement and onboarding interventions, including a review of the commercial save proposition and a redesign of the automated onboarding journey.

Personal Group's Pay & Reward division continued to perform well, delivering revenue of £1.3m (H1 2025: £1.2m) and EBITDA of £0.42m (H1 2025: £0.41m), supported by strong consultancy performance and growing contribution from digital solutions. We continue to enhance our digital pay and reward proposition, including the expansion of RoleSense with integrated market pay intelligence. Pathfinder, our SaaS platform for career architecture and workforce planning, secured further customer wins during the period and continues to build a healthy sales pipeline alongside active partnership discussions. Overall, the division recorded more than 16 new client wins, including Deliveroo, Newcastle United, Rugby Football Union, Vertis and Secure Trust Bank. Looking ahead, we are increasing investment in market engagement through an expanded events programme, targeted lead generation activity and new industry research initiatives, designed to strengthen our market profile, support pipeline growth and create new opportunities across both consultancy and digital services.

Our people

Underpinning all of this progress is our people. During the period our already impressive internal engagement score increased from 80% at the end of the year to 85%, and we were proud to be named in the Sunday Times Best Places to Work Awards, reflecting our industry-leading people policies. We have continued to elevate our DEIB journey, achieving accreditation from a leading UK provider, and have implemented a suite of recruitment tools to elevate the calibre of new hires, an important part of our future success. Post period end, we were pleased to achieve the Real Living Wage Employer accreditation.

Interim Dividend

In accordance with the Group’s dividend policy of paying dividends equivalent to approximately one times basic EPS, the Board is pleased to announce an interim dividend for 2026 of 9.0p (2025: 8.2p), representing a 10% increase on the previous year.  The interim dividend represents approximately 35-40% of the expected annual distribution, in line with a prudent approach to capital management and providing flexibility to reflect full-year earnings and capital outcomes in the final dividend.  The interim dividend is to be paid on 30 October 2026 to members on the register as at 15 September 2026.  Shares will be marked ex-dividend on 25 September 2026.

Current trading and outlook

Trading since the period end has continued in line with the Board's expectations, with new insurance sales and retention rates remaining robust. Our recurring revenue base, representing more than 90% of Group revenue, together with the API and ARR secured in the first half, provides good visibility for the remainder of FY 2026. On this basis the Board remains confident of delivering full-year results in line with market expectations.

In the second half, we will continue to advance partnership leads, implement our improved direct sales and marketing lead generation plans, embed and improve the skills of our newer workforce entrants, and continue the thorough testing of our new products and services, as we continue to progress our strategic ambitions.

Personal Group is a strong, profitable business with differentiated propositions and routes to market.  The accelerated growth in the first half of 2026 further substantiates this position.  Through our considered strategy, we are putting the building blocks in place for sustainable long-term growth and increased shareholder value.

My thanks go to our teams across the business, whose pace and focus are evident in these results, and to our customers and shareholders for their continued support.

Paula Constant

Group Chief Executive

15 September 2026

Consolidated Income Statement

		6 months ended 30 June 2026 Unaudited	6 months ended 30 June 2025 Unaudited
	Note	£’000	£’000
Insurance revenue		19,381	17,391
Employee benefits and services		5,701	5,241
Other income		44	45
Investment income		556	662
		_____	________
Revenue		25,682	23,339
		________	________
Insurance service expenses	4	(9,917)	(9,345)
Net expenses from reinsurance contracts held		(36)	(32)
Employee benefits and services expenses		(4,048)	(3,829)
Other expenses		(34)	(35)
Group administration expenses		(6,902)	(6,130)
Share based payment expenses		(122)	(122)
Charitable donations		(75)	(65)
		________	________
Expenses		(21,134)	(19,558)
		________	________
Operating profit		4,548	3,781
Finance costs		(30)	(41)
Unrealised gains on equity investments		84	48
		________	________
Profit before tax		4,602	3,788
Tax	5	(733)	(794)
		________	________
Total comprehensive income for the period		3,869	2,994
		________	________

Earnings per share		Pence	Pence
Basic earnings (loss) per share		12.3	9.6
Diluted earnings (loss) per share		11.8	9.2

The total comprehensive income for the period is attributable to equity holders of Personal Group Holdings Plc.

Consolidated Balance Sheet

			At 30 June 2026 Unaudited	At 31 December 2025 Audited
		Note	£’000	£’000
	ASSETS
	Non-current assets
	Goodwill	7	2,684	2,684
	Intangible assets	8	5,190	5,199
	Property, plant and equipment	9	4,604	3,959
			_______	_______
			12,478	11,842
			________	________
Current assets
	Financial assets	10	4,855	5,721
	Trade and other receivables		7,904	13,914
	Reinsurance contracts held		6	-
	Cash and cash equivalents		26,413	25,011
	Current tax assets		1,135	870
			________	________
			40,313	45,516
			________	________
	Total assets		52,791	57,358
			________	________

Consolidated Balance Sheet

		At 30 June 2026 Unaudited	At 31 December 2025 Audited
	Note	£’000	£’000
EQUITY
Equity attributable to equity holders of Personal Group Holdings plc
Share capital		1,579	1,563
Share premium		1,134	1,134
Capital redemption reserve		24	24
Other reserve		(39)	(32)
Share based payment reserve		356	704
Profit and loss reserve		33,002	33,420
		________	________
Total equity		36,056	36,813
		________	________

LIABILITIES
Non-current liabilities
Deferred tax liabilities		1,047	1,056
Trade and other payables		430	106
		________	________
		1,477	1,162
		________	________
Current liabilities
Trade and other payables		14,419	18,477
Reinsurance contracts held		-	2
Insurance contract liabilities		839	904
		________	________
		15,258	19,383
		________	________
		________	________
Total liabilities		16,735	20,545
		________	________
		________	________
Total equity and liabilities		52,791	57,358
		________	________

Consolidated Statement of Changes in Equity for the six months ended 30 June 2026

	Share capital	Share Premium	Capital redemption reserve	Other reserve	Share Based Payment Reserve	Profit & loss reserve	Total equity
	£’000	£’000	£’000	£’000	£’000	£’000	£’000
Balance as at 1 January 2026	1,563	1,134	24	(32)	704	33,420	36,813
	________	________	________	________	________	________	________
Dividends	-	-	-	-	-	(4,721)	(4,721)
Employee share-based compensation	-	-	-	-	122	-	122
Proceeds of SIP* share sales	-	-	-	-	-	(7)	(7)
Cost of SIP shares sold	-	-	-	13	-	(13)	-
Cost of SIP shares purchased	-	-	-	(20)	-	-	(20)
Issue of shares	16	-	-	-	(16)	-	-
Clearance of SBP Reserve for Lapsed Options	-	-	-	-	(454)	454	-
	________	________	________	________	________	________	________
Transactions with owners	16	-	-	(7)	(348)	(4,287)	(4,626)
	________	________	________	________	________	________	________
Profit for the period	-	-	-	-	-	3,869	3,869
	________	________	________	________	________	________	________
Total comprehensive income for the period	-	-	-	-	-	3,869	3,869
	________	________	_______	_______	_______	_______	_______
Balance as at 30 June 2026	1,579	1,134	24	(39)	356	33,002	36,056
	________	________	________	________	________	________	________

* PG Share Ownership Plan (SIP)

Consolidated Statement of Changes in Equity for the six months ended 30 June 2025

 

	Share capital	Share Premium	Capital redemption reserve	Other reserve	Share Based Payment Reserve	Profit & loss reserve	Total equity
	£’000	£’000	£’000	£’000	£’000	£’000	£’000
Balance as at 1 January 2025	1,562	1,134	24	(27)	495	31,652	34,840
	________	________	________	________	________	________	________
Dividends	-	-	-	-	-	(3,124)	(3,124)
Employee share-based compensation	-	-	-	-	111	11	122
Proceeds of SIP* share sales	-	-	-	-	-	13	13
Cost of SIP shares sold	-	-	-	12	-	(12)	-
Cost of SIP shares purchased	-	-	-	(12)	-	-	(12)
Clearance of SBP Reserve for Lapsed Options	1	-	-	-	(157)	156	-
	________	________	________	________	________	________	________
Transactions with owners	1	-	-	-	(46)	(2,956)	(3,000)
	________	________	________	________	________	________	________
Profit for the period	-	-	-	-	-	2,994	2,994
	________	________	________	________	________	________	________
Total comprehensive income for the period	-	-	-	-	-	2,994	2,994
	________	________	_______	_______	_______	_______	_______
Balance as at 30 June 2025	1,563	1,134	24	(27)	449	31,690	34,833
	________	________	________	________	________	________	________

* PG Share Ownership Plan (SIP)

Consolidated Statement of Cash Flows from continuing operations

	6 months ended 30 June 2026 Unaudited	6 months ended 30 June 2025 Unaudited
	£’000	£’000
Net cash from operating activities (see opposite)	6,371	3,978
	______	______
Investing activities
Additions to property, plant, and equipment	(102)	(240)
Additions to intangible assets	(1,244)	(1,372)
Sale of financial assets	950	4,388
Interest received	556	662
	______	______
Net cash from investing activities	160	3,438
	______	______
Financing activities
Interest paid Proceeds from issue of shares	16	1
Purchase of own shares by the SIP	(60)	(14)
Proceeds from disposal of own shares by the SIP	19	15
Payment of lease liabilities	(383)	(336)
Dividends paid	(4,721)	(3,124)
	______	______
Net cash used in financing activities	(5,129)	(3,458)
	______	______
Net change in cash and cash equivalents	1,402	3,958
Cash and cash equivalents, beginning of period	25,011	19,060
	_______	_______
Cash and cash equivalents, end of period	26,413	23,018
	________	________

Consolidated Statement of Cash Flows from continuing operations

	6 months ended 30 June 2026 Unaudited	6 months ended 30 June 2025 Unaudited
	£’000	£’000
Operating activities
Profit after tax	3,869	2,994
Adjustment for:
Depreciation	533	530
Amortisation of intangible assets	1,253	977
(Profit) / Loss on disposal of property, plant and equipment	-	18
Interest received	(556)	(662)
Realised and unrealised investment gains	(84)	(48)
Interest charge	30	41
Share-based payment expenses	122	122
Taxation expense recognised in income statement	733	794
Changes in working capital:
Trade and other receivables	6,011	1,270
Trade and other payables	(4,465)	(1,289)
Movement in insurance liabilities	(65)	74
Inventories	-	-
Taxes paid	(1,009)	(843)
	________	________
Net cash from operating activities	6,371	3,978
	________	________

Notes to the Consolidated Financial Statements

1 General information

The principal activities of Personal Group Holdings Plc (‘the Company’) and subsidiaries (together ‘the Group’) include transacting short-term accident and health insurance and providing employee services in the UK.

The Company is a limited liability company incorporated and domiciled in England. The address of its registered office is John Ormond House, 899 Silbury Boulevard, Milton Keynes, MK9 3XL.

The Company is listed on the Alternative Investment Market of the London Stock Exchange.

The condensed consolidated financial statements do not include all the information required for full annual financial statements and should be read in conjunction with the consolidated financial statements of the Group for the year ended 31 December 2025.

The financial information for the year ended 31 December 2025 set out in this interim report does not constitute statutory accounts as defined in Section 434 of the Companies Act 2006. The statutory financial statements for the year ended 31 December 2025 have been filed with the Registrar of Companies. The auditor’s report on those financial statements was unqualified and did not contain a statement under Section 498 (2) or (3) of the Companies Act 2006.

These interim financial statements are unaudited and have not been reviewed by the auditors under International Standard on Review Engagements (UK and Ireland) 2410.

These consolidated interim financial statements have been approved for issue by the board of directors on 14 September 2026.

2 Accounting policies

These interim consolidated financial statements of Personal Group Holdings Plc are for the six months ended 30 June 2026. These interim financial statements have been prepared in accordance with IAS 34 Interim Financial Reporting as endorsed for use in the UK.

They do not include all the information required for a complete set of IFRS financial statements. However, selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in the Group’s financial position and performance since the last annual consolidated financial statements as at and for the year ended 31 December 2025.

These financial statements have been prepared in accordance with IFRS standards and IFRIC interpretations as adopted by the UK, issued and effective as at 30 June 2026.

Insurance contracts

IFRS 17 sets out the classification, measurement and presentation and disclosure requirements for insurance contracts. It requires insurance contracts to be measured using current estimates and assumptions that reflect the timing of cash flows and recognition of profits as insurance services are delivered. The standard provides two main measurement models which are the General Measurement Model (“GMM”) and the Premium Allocation Approach (“PAA”).

The PAA simplifies the measurement of insurance contracts for remaining coverage in comparison to the GMM. The PAA is very similar to Personal Group’s previous accounting policies under IFRS 4 for calculating revenue, however there are some presentation changes.

The GMM is used for the measurement of the liability for incurred claims.

Notes to the Consolidated Financial Statements

PAA eligibility

Under IFRS 17, Personal Group’s insurance contracts issued and are all eligible to be measured by applying the PAA, due to meeting the following criteria:

• Insurance contracts with coverage period of one year or less are automatically eligible. This covers all hospital, convalescence, and death benefit insurance contracts.
• Modelling of contracts with a coverage period greater than one year (employee default policies) produces a measurement for the group of reinsurance contracts that does not differ materially from that which would be produced applying the GMM.

Level of aggregation

Personal Group manages all insurance contracts as one portfolio within the insurance operating segment as they are subject to similar risks.

Onerous contracts

Under the PAA, it is assumed there are no contracts in the portfolio that are onerous at initial recognition, unless there are facts and circumstances that may indicate otherwise. Given the short-tailed nature of policies issued be Personal Group, management do not consider there to be any material circumstance under which policies in issue would be onerous.

Modification and derecognition

Personal Group derecognises insurance contracts when the rights and obligations relating to the contract are extinguished (meaning discharged, cancelled, or expired) or the contract is modified such that the modification results in a change in the measurement model or the applicable standard for measuring the contract.

Contract boundaries

The measurement of insurance contracts includes all future cash flows expected to arise within the boundary of each contract. Cash flows are within the boundary of an insurance contract if they arise from substantive rights and obligations that exist during the reporting period in which Personal Group can compel the policyholder to pay premiums or in which it has a substantive obligation to provide the policyholder with services.

Personal Group assesses the contract boundary at initial recognition and at each subsequent reporting date to include the effects of changes in circumstances on the Group’s substantive rights and obligations. The assessment of the contract boundary, which defines the future cash flows that are included in the measurement of the contract, requires judgement and consideration.

Personal Group primarily issues insurance contracts which provide coverage to policyholders in the event of hospitalisation, convalescence, or death. While the contracts are typically weekly or monthly in their term length, the contract boundary is assessed with consideration of the delayed timing around claims of this nature and the timing of expected future claims payments with reference to the covered loss event.

Measurement - Liability for remaining coverage

On initial recognition of insurance contract, the carrying amount of the liability for remaining coverage is measured as the premiums received on initial recognition, if any, minus any reinsurance acquisition expense cash flows allocated to the contracts and any amounts arising from the derecognition of the prepaid reinsurance acquisition expense cash flows asset. Personal Group has chosen not to expense insurance acquisition expense cash flows as incurred on its contracts as they have coverage of less than one year.

Subsequently, at the end of each reporting period, the liability for remaining coverage is increased by any additional premiums received in the period and decreased for the amounts of expected premium cash flows recognised as reinsurance revenue for the services provided in the period.

Personal Group has elected not to adjust the liability for remaining coverage for the time value of money as its insurance contracts do not contain a significant financing component.

Notes to the Consolidated Financial Statements

3.                      Segment analysis

The segments used by management to review the operations of the business are disclosed below.

1.                    Affordable Insurance

Personal Assurance Plc (PA), a subsidiary within the Group, is a PRA regulated general insurance Company and is authorised to transact accident and sickness insurance. It was established in 1984 and has been underwriting business since 1985. In 1997 Personal Group Holdings Plc (PGH) was created and became the ultimate parent undertaking of the Group.

Personal Assurance (Guernsey) Limited (PAGL), a subsidiary within the Group, is regulated by the Guernsey Financial Services Commission and has been underwriting death benefit policies since March 2015.

This operating segment derives the majority of its revenue from the underwriting by PA and PAGL of insurance policies that have been bought by employees of host companies via bespoke benefit programmes. D

2.                    Benefits and Reward

Revenue in this segment relates to the annual subscription income and other related income arising from the licensing of Hapi, the Group’s employee benefit platform. This includes sales to both the large corporate and SME sectors. This segment includes agency revenue generated from the resale of vouchers. Revenue also includes consultancy, surveys and licence income derived from selling digital platform subscriptions.

3.                    Other

This segment consists exclusively of revenue generated by Berkeley Morgan Group (BMG) and its subsidiary undertakings along with any investment and rental income obtained by the Group.

Notes to the Consolidated Financial Statements

The revenue and net result generated by each of the Group’s operating segments are summarised as follows,

	6 months ended 30 June 2026  Unaudited	6 months ended 30 June 2025  Unaudited
	£’000	£’000
Revenue by Segment
Affordable Insurance	19,381	17,391
Benefits Platform	5,777	5,440
Platform – Group Elimination	(1,425)	(1,425)
Pay & Reward	1,349	1,126
Other	44	45
Investment income	556	662
Group Revenue	25,682	23,339
Adjusted EBITDA contribution by segment
Affordable Insurance	8,004	6,589
Benefits and Reward	3,078	2,837
Other	648	720
Group admin and central costs	(4,967)	(4,593)
Charitable donations	(75)	(65)
Adjusted EBITDA	6,688	5,488
Depreciation	(533)	(530)
Amortisation	(1,253)	(976)
Interest	(30)	(41)
Share based payments expenses	(122)	(122)
Exceptionals	(148)	(31)
Profit before tax	4,602	3,788

All income was derived from customers that are based in the UK.

Notes to the Consolidated Financial Statements

4 Insurance service expenses

	6 months ended 30 June 2026	6 months ended 30 June 2025
	£’000	£’000
Claims incurred	5,241	5,217
Insurance operating expenses	4,676	4,128
	________	________
	9,917	9,345
	________	________

5. Taxation

The tax expense recognised is based on the weighted average annual tax rate expected for the full financial year multiplied by management’s best estimate of the taxable profit of the interim reporting period.

The Group’s consolidated effective tax rate for the six-month period ended 30 June 2026 was 15.9% (six-month period ended 30 June 2025: 20.9%).

6. Earnings per share and dividends

The weighted average numbers of outstanding shares used for basic and diluted earnings per share are as follows:

	6 months ended 30 June 2026	EPS Pence	6 months ended 30 June 2025	EPS Pence
Basic	31,382,524	12.3	31,243,994	9.6
Diluted	32,802,343	11.8	32,677,720	9.2

During the first six months of 2026 Personal Group Holdings Plc paid dividends of £4,721,000 to its equity shareholders (2025: £3,124,000). This represents a payment of 15.1p per share (2025: 10.0p).             

	6 months ended 30 June 2026	6 months ended 30 June 2025
	£’000	£’000
Dividends paid or provided for during the period	4,721	3,124
	_____	_____

Notes to the Consolidated Financial Statements

7. Goodwill

	Pay & Reward	Total
	£’000	£’000
Cost
At 1 January 2026	2,684	2,684
Additions in the period	-	-
Disposals in the period	-	-
	________	________
At 30 June 2026	2,684	2,684
	________ _________	________
Amortisation and impairment
At 1 January 2026	-	-
Impairment charge for period	-	-
Disposals in period	-	-
	________	________
At 30 June 2026	-	-
	________	________
Net book value at 30 June 2026	2,684	2,684
	________	________
Net book value at 31 December 2025	2,684	2,684
	________	________

 Notes to the Consolidated Financial Statements

8. Intangible assets

	Pay & Reward customer book and trade name	Innecto Technology	Computer software and development		WIP	Total
	£’000	£’000	£’000		£’000	£’000
Cost
At 1 January 2026	1,064	298	9,424		1,048	11,834
Transfers	-	-	829		(829)	-
Additions	-	-	6		1,238	1,244
Disposals	-	-	-		-	-
	________	________	________		________	________
At 30 June 2026	1,064	298	10,259		1,457	13,078
	________	________	________		________	________
Amortisation
At 1 January 2026	963	298	5,374		-	6,635
Amortisation charge for the year	34	-	1,219		-	1,253
Disposals in the period	-	-	-		-	-
	________	________	________		________	________
At 30 June 2026	997	298	6,593		-	7,888
	________	________	________		________	________
Net book amount at 30 June 2026	67	-	3,666		1,457	5,190
	________	________	________		________	________
Net book amount at 31 December 2025	101	-	4,050		1,048	5,199
	________	________	________		________	________

9. Property, plant and equipment

	Freehold land and properties	Motor vehicles	Computer equipment	Furniture fixtures & fittings	Right of use Assets	Total
	£’000	£’000	£’000	£’000	£’000	£’000
Cost
At 1 January 2026	5,037	-	990	2,339	1,654	10,020
Additions	-	-	84	18	1,076	1,178
Disposals	-	-	-	-	-	-
	______	______	______	______	______	______
At 30 June 2026	5,037	-	1,074	2,357	2,730	11,198
	______	______	______	______	______	______
Depreciation
At 1 January 2026	2,174	-	748	1,859	1,280	6,061
Provided in the period	48	-	78	63	344	533
Disposals	-	-	-	-	-
	______	______	______	______	______	______
At 30 June 2026	2,222	-	826	1,922	1,624	6,594
	______	______	______	______	______	______
Net book amount at 30 June 2026	2,815	-	248	435	1,106	4,604
	______	______	______	______	______	______
Net book amount at 31 December 2025	2,863	-	242	480	374	3,959
	______	______	______	______	______	______

Notes to the Consolidated Financial Statements

10. Financial Investments

	At 30 June 2026 Unaudited	At 31 December 2025 Audited
	£’000	£’000
Bank deposits	3,002	3,952
Equity investments	1,853	1,769
	________	________
	4,855	5,721
	_________	_________

IFRS 13 Fair Value Measurement establishes a fair value hierarchy that categorises into three levels the inputs to valuation techniques used to measure fair value. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1 inputs) and the lowest priority to unobservable inputs (Level 3 inputs)

• Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities
• Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices)
• Level 3: inputs for the asset or liability that are not based on observable market data (unobservable input).

Bank deposits, held at amortised cost, are due within 6 months and the amortised cost is a reasonable approximation of the fair value. These would be included within Level 2 of the fair value hierarchy.

Equity Investments are held at fair value and are considered Level 1 financial assets.

11. Long Term Incentive Plan (LTIP)

During the period, the Remuneration Committee granted share awards under the existing LTIP Scheme approved on 6 April 2021. Further details of the award can be found in the RNS announcement from 28 May 2026.

Under the scheme share options of Personal Group Holdings Plc are granted to senior executives with an Exercise Price of 5p (nominal value of the shares). The share options have various market and non-market performance conditions which are required to be achieved for the options to vest. The options also contain service conditions that require option holders to remain in employment of the Group. The market and non-market performance conditions are set out below.

Total Shareholder Return (Market condition)

40% of the awards vest under this condition. Subject to Compound Annual Growth Rate (CAGR) of the Total Shareholder Return (TSR) over the Performance Period.

EBITDA Target (Non-market condition)

60% of the awards vest under this condition. Subject to cumulative EBITDA over the Performance Period.

The fair value of the of the share options is estimated at the grant date using a Monte-Carlo binomial option pricing model for the market conditions, and a Black-Scholes pricing model for non-market conditions.

However, the above performance condition is only considered in determining the number of instruments that will ultimately vest.

Notes to the Consolidated Financial Statements

There are no cash settlements alternatives. The Group does not have a past practice of cash settlement for these share options. The Group accounts for the LTIP as an equity-settled plan.

In total, £122,000 of employee share-based compensation has been included in the consolidated income statement to 30 June 2026 (2025: £122,000). The corresponding credit is taken to equity. No liabilities were recognised from share-based transactions. The remaining £11,000 (2025: £11,000) of share-based compensation expense relates to the Company Share Option Plan (CSOP).

12. Financial calendar for the year ending 31 December 2026

The Company announces the following dates in its financial calendar for the year ending 31 December 2026:

•      Preliminary results for the year ending 31 December 2026            -  March 2027
•      Publication of Report and Accounts for 2026 - March 2027
•      AGM                                                                                                          - April/May 2027

 

END