Results for the six months to 30 June 2026

Yu Group PLC

22 September 2026

 

22 September 2026

Yü Group PLC

("Yü Group", the “Company” or the "Group")

Results for the six months to 30 June 2026

PREDICTABLE PROFITABLE GROWTH INLINE WITH MARKET EXPECTATIONS

Yü Group (AIM: YU.), the independent supplier of gas and electricity, meter asset owner, and installer of smart meters to the UK SME and Corporate sector, is pleased to announce its unaudited half-year results for the six months to 30 June 2026.

Financial & Operational Highlights

£m unless stated	Six months to 30 June			Twelve months to 31 December
	H1 26	H1 25	Change	FY 25
Financial
Revenue	405	341	+19%	700
Adjusted EBITDA1	24	23	+4%	51
Profit before tax	22	23	-4%	49
Earnings per share:
Adjusted, fully diluted	103p	96p	+7%	216p
Statutory, basic	93p	98p	-5%	214p
Dividend per share (pence)	24p	22p	+9%	67p
Operating cash inflow	38	40	-5%	36
Cash	129	118	+9%	106
Overdue customer receivables (days)2	4.4	4.1	+7%	4
Operational
Meter points supplied (#’k)	153	107	+43%	131
Equivalent volume of energy supplied	1.5 TWh	1.2 TWh	+25%	2.5 TWh
Market share3	4.2%	1.9%	+2.3%	3.5%
Average monthly bookings	51	41	+24%	46
Contracted revenue:
for the next financial year	674	481	+40%	668
in aggregate	1.7bn	1.2bn	+42%	1.4bn
TrustPilot Score (#)	3.6	3.8	-5%	3.9
Smart meter:
Installations in period (#’k)	11.9	9.4	+27%	16.4
ILARR4	3.0	1.8	+67%	2.2

Financial performance

• Revenue increased 19% to £405m (H1 25: £341m), with 25% growth in volume offset by reducing market prices in 2025 impacting 2026 revenue.
• Adjusted EBITDA increased 4% to £24m (H1 25: £23m) with increased gross profit offset by planned opex investment to deliver stated medium-term plan.
• Cash of £129m (H1 25: £118m) with £25m increase in ROC liability to £94m (H1 25: £69m) offset by increased investment in customer acquisition costs.
• H1 26 adjusted diluted earnings per share of 103p (H1 25: 96p), an increase of 7% year on year.
• The Board has declared an interim dividend of 24p per ordinary share (H1 25: 22p), an increase of 9%; covered 4.3 times by adjusted earnings.

Operational highlights

• Sixth consecutive period of continued meter and volume growth as the Group’s ongoing investment in people and systems deliver sustained growth.
• Yü Energy delivered a c43% increase in meter points versus the prior year, to close at 153,000 (H1 25: 107,000; FY 25: 131,000). The Group continues to grow volumetric consumption and leverages off the successful implementation of the commodity hedging agreement with Shell Energy.
• Average monthly bookings at £51m, up 24% on H1 25 (H1 25: £41m, FY 25: £46m) with uncertainty due to the ongoing conflict in the Middle East offset by increased market price and significant contract wins. The Group remains confident in its resilience and competitiveness in these market conditions.
• Shell Trading arrangement extended in May 2026 out to 2032 was an important strategic milestone, it continues to deliver a frictionless commodity hedging facility and enables the Group to sell to the market in a safe and sustainable manner through significant market uncertainty.
• Yü Smart delivering the benefit of systemic and process investment through 2025, with meters owned in the period up 51% on the same period in 2025 (H1 26: 56,000; H1 25: 37,000), providing a 67% increase in forward annualised, indexed annuity income (H1 26: £3.0m; H1 25: £1.8m).
• Recognised for the fourth consecutive year as a ‘Top 100 Best Places to Work’ by the Sunday Times.

Outlook

• The Group is on target to deliver Revenue, adjusted EBITDA and adjusted diluted EPS metrics for FY26 in-line with current market expectations, despite a backdrop of market uncertainty.
• Meter points and market share growth remain on track to meet current market expectations for FY26. Contract book over-performing expectations through our stated investment in people and systems and expected to approach £2bn at the end of 2026.
• The Group’s strong cash generation and disciplined approach to our balance sheet provide the Group with confidence and credibility when looking for opportunistic inorganic growth and value-added opportunities. This will underpin our progressive dividend policy and enable increased distributions to shareholders.

Bobby Kalar, Chief Executive Officer, said:

The Group remains firmly on track, with strong operational performance and key metrics continuing to progress despite ongoing geopolitical uncertainty, including the conflict involving in the Middle East. We remain fully focused on delivering our three-year business plan and have increasing confidence in the strength, resilience and long-term potential of the business.

Whilst investor appetite across UK public markets remains constrained and, in our view, continues to undervalue businesses demonstrating genuine operational progress and cash generation, our priority is clear: execute, grow and deliver.

We believe sustained performance will ultimately speak for itself, and we remain committed to creating meaningful long-term value for shareholders. I would like to extend my gratitude to all my team who continue to support the management to generate long-term value.

Notes:

1 Adjusted EBITDA is reconciled to operating profit in the finance review and note 2 to the interim financial statements.

2 Overdue customer receivables is expressed in days of sales, and relates to the total balance, net of provisions, of accrued income which is outside of the normal billing cycle, plus overdue trade receivables (net of VAT and CCL).

3 Analysis based on Cornwall Insight market share report, October 2025.

4 ILARR represents index-linked annualised recurring revenue from investment in Smart Meters.

For further information, please contact:

Yü Group PLC Bobby Kalar Andy Simpson	[phone]
Panmure Liberum Bidhi Bhoma Edward Mansfield Satbir Kler Gaya Bhatt	[phone]

Notes to Editors

Information on the Group

Yü Group PLC is a leading supplier of gas and electricity focused on servicing the SME and corporate sector throughout the UK. We drive innovation through a combination of user-friendly digital solutions and personalised, high-quality customer service. The Group plays a key role supporting businesses in their transition to lower carbon technologies with a commitment to providing sustainable energy solutions.

Yü Group has a clear strategy to deliver sustainable profitable growth (in a £50bn+ addressable market) and value for all of our stakeholders, built on strong foundations and with a robust hedging policy. The Group has achieved a compound annual growth rate of c.47% over the last five years and has significantly improved margin and profitability performance. In 2023 the Group launched Yü Smart to support growth through new opportunities in smart metering installation, including through the ownership of smart meter assets to generate a recurring index-linked annuity income over a 15+year period.

Chief Executive Officer’s Statement

Strong execution, continued momentum

I am pleased to report another strong period of growth and delivery for the Group. We have continued to execute against our strategy, growing revenue by 19% to £405m, increasing adjusted EBITDA to £24m and delivering adjusted earnings per share of 103p, up 7% year on year.

This performance has been achieved alongside the planned investment in people, systems and capability required to deliver our medium-term ambitions. Importantly, the underlying operational metrics of the business continue to strengthen, giving me confidence that we remain firmly on track against our three-year plan.

Our financial position remains strong, with cash of £129m at the period end. This financial strength, together with the continued growth in earnings, has enabled the Board to increase the interim dividend by 9% to 24p per share, while maintaining substantial dividend cover of 4.3 times adjusted earnings.

Sustained growth across the Group

Yü Energy has now delivered six consecutive reporting periods of meter and volume growth. Meter points increased approximately 43% year on year to 153,000, demonstrating the continued effectiveness of our investment in people, technology and our Digital by Default operating model.

Average monthly bookings increased 24% to £51m and our forward contract book continues to build strongly. Despite significant commodity market volatility and uncertainty, the business has continued to win meaningful new contracts and grow both customer numbers and contracted volumes.

The extension of our commodity trading arrangement with Shell Energy through to 2032 is strategically important. It provides the Group with a scalable and frictionless hedging capability and allows us to continue growing safely and sustainably, including through periods of significant market volatility.

Yü Smart is also increasingly demonstrating the benefits of the investment made throughout 2025. Meters owned increased 51% year on year to 56,000, with forward annualised index-linked recurring income increasing 67% to £3.0m. The combination of our energy supply and smart metering businesses continues to create an increasingly differentiated and valuable proposition.

I am equally proud that, for the fourth consecutive year, we have been recognised by The Sunday Times as one of the UK's Top 100 Best Places to Work. Our people and culture remain fundamental to our success, and I would again like to thank the entire team for their continued commitment and contribution.

Outlook

The Group remains firmly on track to deliver FY26 revenue, adjusted EBITDA and adjusted EPS in line with current market expectations, despite the unusually uncertain geopolitical and commodity market backdrop.

Meter point growth and market share progression remain on track, while the strength of bookings and longer contract durations mean our forward contract book is performing ahead of our previous expectations and is expected to exceed £2bn by the end of 2026.

We remain fully focused on delivering our three-year business plan. Our strong cash generation, disciplined balance sheet and continued operational momentum provide us with considerable flexibility to pursue value-enhancing opportunities, including selective inorganic growth, while continuing to support our progressive dividend policy and increasing distributions to shareholders.

Public market investor appetite remains selective and, in my view, does not always fully recognise the operational progress, cash generation and growth being delivered by businesses such as ours. We cannot control market sentiment; we can control our execution. Our priority therefore remains straightforward: continue to grow, deliver against our commitments and create sustainable long-term shareholder value.

I remain highly confident in the direction of the Group and its ability to deliver our medium-term ambitions.

Finance review

Stable consistent financial growth

The Group results reflect stable consistent financial growth through global market instability, with positive forward growth in contract book underpinning the growth ambitions laid out over the following three years. Consistent growth in dividend distribution to shareholders as the Group maintains its progressive dividend policy.

In overview:

• Revenue increased 19% to £405m
• Aggregate forward contracted revenue up 42% to £1.7bn
• EPS, adjusted and fully diluted, up 7% to 103p
• Profit before tax decreased 4% to £22m
• Cash increased 9% to £129m
• £2m investment in smart meters in H126. ILARR from smart metering assets of £3.0m
• Interim dividend of 24p, up 9% from 22p in H1 25

Financial metrics	Six months to 30 June			Twelve months to 31 December
£m unless stated	H1 26	H1 25	Change	FY 25
Revenue	405	341	+19%	700
Gross margin %	12.6%	13.6%	(1.0%)	14.3%
Net customer contribution1 %	9.9%	10.8%	(0.9%)	11.7%
General overheads2 %	(4.1%)	(4.1%)	–	(4.4%)
Adjusted EBITDA %	5.8%	6.7%	(0.9%)	7.2%
Adjusted EBITDA	24	23	+4%	51
Profit before tax	22	23	(4%)	49
Net cash flow	23	33	(30%)	21
Cash	129	118	+9%	106
Earnings per share (adjusted, fully diluted)	103p	96p	+7%	216p
Dividend per share	24p	22p	+9%	67p

Other metrics	Six months to 30 June			Twelve months to 31 December
£m unless stated	H1 26	H1 25	Change	FY 25
1 year forward contracted revenue3	674	481	+40%	668
Aggregate contracted revenue3	1.7bn	1.2bn	+42%	1.4bn
Equiv. volume of energy supplied4	1.5 TWh	1.2 TWh	+25%	2.5 TWh
Smart meter assets ILARR5	3.0	1.8	+67%	2.2
Overdue customer receivables6	4.4 days	4.1 days	+7%	4 days

Substantial revenue progression

Revenue of £405m represents growth of 19% on H1 25, with a 43% growth in meter points supplied to 153k (H1 25: 107k) and a 25% growth in EQVS to 1.5TWh (H1 25: 1.2TWh).

The aggregate contract revenue has grown by 42% to £1.7bn (H1 25: £1.2bn) through a 24% growth in bookings and a 4% growth in contract length. £674m of 2027 revenue already secured and contracted, a growth of 40% (H1 25: £481m). This is £6m more than the full year contracted revenue entering into 2026.

The number of meters installed and owned has continued to grow, with resulting ILARR of £3.0m, up 67% (H1 25: £1.8m) and 36% since the end of 2025 (FY25: £2.2m).

Yü Group is pleased to have delivered ongoing revenue growth despite significant market uncertainty which has impacted customer’s market switching behaviours. The Group’s resilience and competitiveness in uncertain market conditions remains a core strength underpinning our growth strategy.

Increased adjusted EBITDA and EPS

Group adjusted EBITDA of £24m is 4% up on H1 25 and is 5.8% of revenue (H1 25: 6.7%).

Gross margin of 12.6% is down 1.0 percentage point to the previous year (H1 25: 13.6%) with increased industry costs and ongoing competitive pressures challenging margins. The Group remains resilient to gross margin pressures with the ongoing Digital by Default strategy delivering tight operational cost control as mitigation.

Net customer contribution margin of 9.9% (H1 25: 10.8%) reflects the reducing gross margin % and consistent performance on customer bad debt.

General overheads at 4.1% of revenue, remaining flat as a percentage from prior year (H1 25: 4.1%) as the Company’s stated £9m investment programme to drive growth offset by overhead efficiencies through Digital by Default.

Profit before tax for the period decreased 4% to £22m (H1 25: £23m) with net finance income of £2m (H1 25: £2m) offset by share based payment charges.

Adjusted EBITDA reconciliation £m	H1 26	H1 25	FY 25
Adjusted EBITDA	23.6	22.9	50.6
Adjusted items:
Non-recurring operational costs	(0.2)	–	(0.6)
Share-based payment charges	(1.9)	(0.9)	(2.1)
Depreciation and amortisation	(1.7)	(1.4)	(2.9)
Statutory operating profit	19.8	20.6	45.0
Net finance income	1.9	2.0	3.7
Profit before tax	21.7	22.6	48.7

Strong cash generation and cash position

Movement in cash £m	H1 26	H1 25	FY 25
Adjusted EBITDA	23.6	22.9	50.6
ROC liability movement	41.1	33.2	17.4
Customer acquisition costs	(17.3)	(3.8)	(19.1)
Corporation tax paid	(4.2)	(8.3)	(11.1)
Other working capital movements	(5.3)	(4.4)	(1.5)
Operating cash flow	37.9	39.6	36.3
Investment in smart meter assets	(1.4)	(1.9)	(3.3)
Other investing activities	(2.1)	(0.5)	(5.5)
Share buy-back	(5.9)	–	–
Dividends paid	(7.8)	(6.9)	(10.6)
Other financing activities	2.1	2.7	3.8
Net cash movement in year	22.8	33.0	20.7
Closing cash balance	128.7	118.2	105.9
Opening cash balance	105.9	85.2	85.2

The Group continues to benefit from a healthy cash position of £129m (H1 25: £118m). The Group has settled post balance sheet in August 2026 its c£75m liability to Renewable Obligation Certificates (“ROCs”) for the year to 31 March 2026.

As a result of ongoing profitability, the Group has made corporate tax payments of £4.2m on account of FY25 and FY26 liabilities.

Other movements to operating cash flow include the benefit of delayed ROCs payments (collected from customers) and the outflow from investment in customer acquisition costs to support sales growth.

The Board currently forecasts a strong cash position building for the remainder of FY26 and beyond. This considers continued capital investment (including in smart metering and digital investment) and reflects a forecast for total dividends of £12.0m paid in the full year (2025: £10.6m).

Capital and Dividend

In line with its progressive dividend policy, the Board declare an interim dividend of 24p per share (H1 25: 22p per share), resulting in a forecasted payment of £4.2m on the payment date of 20 November 2026. The shares will go ex-dividend on 29 October 2026, with a record date of 30 October 2026.

Notes to finance review:

1 Net Customer Contribution is adjusted gross margin less bad debt.

2 General overheads are overhead expenses, excluding bad debt, charged to adjusted EBITDA.

3 The estimated revenue value from agreed contracts with customers.

4 Equivalent volume of energy supplied (“EQVS”) based on electricity volume equivalent where 1 MWh of electricity is worth approximately 4 times a MWh of gas (in revenue terms) as per Ofgem analysis.

5 ILARR: Index-linked, annualised recurring revenue, estimated from investment in smart meters.

6 Overdue customer receivables is expressed in days of sales, and relates to the total balance, net of provisions, of accrued income which is outside of the normal billing cycle, plus overdue trade receivables (net of VAT and CCL).

Condensed consolidated statement of profit and loss and other comprehensive income

For the six months ended 30 June 2026

		Notes	6 months ended 30 June 2026 (Unaudited) £’m	6 months ended 30 June 2025 (Unaudited) £’m	12 months ended 31 December 2025 (Audited) £’m
	Revenue		405.4	341.0	700.4
	Cost of sales		(354.3)	(294.7)	(600.3)
	Gross profit		51.1	46.3	100.1
	Operating costs before non-recurring items and share based payment charges		(18.4)	(15.4)	(34.0)
	Operating costs – non-recurring items	2	(0.2)	–	(0.6)
	Operating costs – share based payment charges		(1.9)	(0.9)	(2.1)
	Total operating costs		(20.5)	(16.3)	(36.7)
	Net impairment losses on financial and contract assets		(10.8)	(9.4)	(18.4)
	Operating profit		19.8	20.6	45.0
	Finance income		2.4	2.2	4.3
	Finance costs		(0.5)	(0.2)	(0.6)
	Profit before tax		21.7	22.6	48.7
	Taxation	4	(5.8)	(6.0)	(12.8)
	Profit and total comprehensive income for the period		15.9	16.6	35.9
	Earnings per share
	Basic	3	93p	98p	214p
	Diluted	3	92p	90p	201p

Condensed consolidated balance sheet

At 30 June 2026

	Notes	30 June 2026 (Unaudited) £’m	30 June 2025 (Unaudited) £’m	31 December 2025 (Audited) £’m
ASSETS
Non-current assets
Goodwill	6	2.0	0.2	2.0
Intangible assets	7	5.9	2.7	5.8
Property, plant and equipment	8	17.9	13.9	15.8
Right-of-use assets	9	1.4	1.1	1.0
Deferred tax assets		–	3.1	1.8
Trade and other receivables	10	35.7	14.1	24.5
		62.9	35.1	50.9
Current assets
Inventory		0.4	0.4	0.4
Trade and other receivables	10	122.0	91.7	117.7
Cash and cash equivalents		128.7	118.2	105.9
		251.1	210.3	224.0
Total assets		314.0	245.4	274.9
LIABILITIES
Current liabilities
Trade and other payables	11	(174.8)	(138.7)	(160.7)
Corporation tax payable		(0.8)	(0.3)	(3.0)
Borrowings	12	(0.6)	(0.4)	(0.5)
		(176.2)	(139.4)	(164.2)
Non-current liabilities
Trade and other payables	11	(22.1)	(17.0)	(3.1)
Deferred tax liability		(1.3)	–	–
Borrowings	12	(11.9)	(8.0)	(9.8)
		(35.3)	(25.0)	(12.9)
Total liabilities		(211.5)	(164.4)	(177.1)
Net assets		102.5	81.0	97.8
EQUITY
Share capital	14	0.1	0.1	0.1
Share premium	14	0.3	–	–
Retained earnings		102.1	80.9	97.7
		102.5	81.0	97.8

Condensed consolidated statement of changes in equity

For the six months ended 30 June 2026

	Share capital £’m	Share premium £’m	Retained earnings £’m	Total £’m
Balance at 1 January 2026	0.1	–	97.7	97.8
Total comprehensive income for the period
Profit for the period	–	–	15.9	15.9
	–	–	15.9	15.9
Transactions with owners of the Company
Contributions and distributions
Equity-settled share-based payments	–	–	1.0	1.0
Deferred tax on share-based payments	–	–	0.7	0.7
Proceeds from share issues	–	0.3	0.5	0.8
Buy-back of shares	–	–	(5.9)	(5.9)
Equity dividend paid in the period	–	–	(7.8)	(7.8)
Total transactions with owners of the Company	–	0.3	(11.5)	(11.2)
Balance at 30 June 2026	0.1	0.3	102.1	102.5
Balance at 1 January 2025	0.1	–	70.2	70.3
Total comprehensive income for the period
Profit for the period	–	–	16.6	16.6
	–	–	16.6	16.6
Transactions with owners of the Company
Contributions and distributions
Equity-settled share-based payments	–	–	0.7	0.7
Deferred tax on share-based payments	–	–	0.3	0.3
Equity dividend paid in the period	–	–	(6.9)	(6.9)
Total transactions with owners of the Company	–	–	(5.9)	(5.9)
Balance at 30 June 2025	0.1	–	80.9	81.0

Condensed consolidated statement of cash flows

For the six months ended 30 June 2026

	Notes	6 months ended 30 June 2026 (Unaudited) £’m	6 months ended 30 June 2025 (Unaudited) £’m	12 months ended 31 December 2025 (Audited) £’m
Cash flows from operating activities
Profit for the financial period		15.9	16.6	35.9
Adjustments for:
Depreciation of property, plant and equipment	8	0.6	0.5	1.0
Depreciation of right-of-use assets	9	0.4	0.4	0.8
Amortisation of intangible assets	7	0.7	0.5	1.1
Decrease / (increase) in trade and other receivables		2.2	7.2	(14.4)
Increase in customer acquisition costs		(17.3)	(3.8)	(19.1)
(Increase) / decrease in industry related deposits		(0.3)	(0.1)	0.6
(Decrease) / increase in trade and other payables		(7.3)	(13.7)	8.8
Increase in renewable obligation liability		41.1	33.2	17.4
National insurance on share options exercised		(1.9)	–	–
Finance income		(2.4)	(2.2)	(4.3)
Interest received		2.3	2.2	4.1
Finance costs		0.5	0.2	0.6
Interest paid		(0.1)	–	–
Taxation charge		5.8	6.0	12.8
Corporation tax paid		(4.2)	(8.3)	(11.1)
Share based payment charge		1.9	0.9	2.1
Net cash from operating activities		37.9	39.6	36.3
Cash flows from investing activities
Purchase of property, plant and equipment		(0.5)	–	(0.2)
Smart meter asset capital expenditure		(1.4)	(1.9)	(3.3)
Smart meter assets under construction		(0.8)	(0.1)	(1.0)
Payment of software development costs		(0.8)	(0.4)	(2.1)
Payment for acquisition of subsidiary, net of cash acquired		–	–	(2.2)
Net cash used in investing activities		(3.5)	(2.4)	(8.8)
Cash flows from financing activities
Borrowings drawn down		2.5	3.5	5.6
Interest paid on borrowings		(0.4)	(0.2)	(0.5)
Interest paid on lease obligations		–	–	(0.1)
Repayment of principal element of borrowings		(0.3)	(0.1)	(0.3)
Repayment of principal element of lease obligations		(0.5)	(0.5)	(0.9)
Net proceeds from share option exercises		0.8	–	–
Cash paid on repurchase of shares		(5.9)	–	–
Dividends paid		(7.8)	(6.9)	(10.6)
Net cash used in financing activities		(11.6)	(4.2)	(6.8)
Net increase in cash and cash equivalents		22.8	33.0	20.7
Cash and cash equivalents at the start of the period		105.9	85.2	85.2
Cash and cash equivalents at the end of the period		128.7	118.2	105.9

Notes to the condensed consolidated financial statements

1. Significant accounting policies

Yü Group PLC (the “Company”) is a public limited company incorporated in the United Kingdom, with company number 10004236. The Company is limited by shares and the Company’s ordinary shares are traded on AIM.

These condensed consolidated half yearly financial statements as at and for the six months ended 30 June 2026 comprise the Company and its subsidiaries (together referred to as the “Group”). The Group is primarily involved in the supply of electricity, gas and water to SMEs and larger corporates in the UK.

Basis of preparation

The condensed consolidated interim financial information for the six months ended 30 June 2026 has been prepared in accordance with UK-adopted International Accounting Standards.

The unaudited condensed consolidated interim financial report for the six months ended 30 June 2026 does not include all of the information required for full annual financial statements and does not comprise statutory accounts within the meaning of section 434 of the Companies Act 2006. This report should therefore be read in conjunction with the Group annual report for the year ended 31 December 2025, which is available on the Group’s investor website (yugroupplc.com). The comparative figures for the year ended 31 December 2025 have been audited. The comparative figures for the half year ended 30 June 2025, and the actual figures for the half year to 30 June 2026, are unaudited.

The accounting policies adopted in these condensed consolidated half yearly financial statements are consistent with the policies applied in the 2025 Group financial statements.

The consolidated financial statements are presented in British pounds sterling (£), which is the functional and presentational currency of the Group. All values are rounded to the nearest million (£’m), except where otherwise indicated.

Going concern

The financial statements are prepared on a going concern basis.

At 30 June 2026 the Group had net assets of £102.5m (H1 25: £81.0m, FY25: £97.8m), cash of £128.7m (H1 25: £118.2m, FY25: £105.9m) and net current assets of £74.9m (H1 25: £70.9m, FY25: £59.8m).

Management prepares detailed budgets and forecasts of financial performance and cash flow (including capital commitments) over the coming 14 months. The Board has confidence in achieving such targets and forecasts and has performed comprehensive analysis of various risks (including those set out in the Strategic Report) and sensitivities in relation to performance, the energy market and the wider economy.

The Group continues to demonstrate significant progress in its results. This has led to adjusted EBITDA (note 2) in 2026 of £23.6m (H1 25: £22.9m, FY25: £50.6m), which continues the momentum in the Group’s results occurring since 2018. Management is confident in continuing this improvement in profitability based on its business model.

Profitability metrics remain strong in 2026, and the Group continues to drive sustainable, profitable growth. The Group’s hedging strategy, approach to bad debt, and investment in digital technologies all contribute to achieving acceptable levels of profitability over the medium term.

Group cash liquidity is strong. The Group has cash of £128.7m (H1 25: £118.2m, FY25: £105.9m). The commodity trading agreement entered into in February 2024 with Shell Energy Europe Limited (“Shell”) provides significant access to commodity markets whilst preserving Group liquidity, and the contract is performing well.

The Board actively seeks to utilise its strong cash reserves to further its strategic operational aims and continued investment in relationships with brokers requiring customer acquisition costs in advance of contract commencement. Significant capital investment continues in smart meter assets to provide a long-term annuity income.

The Board has assessed risks and sensitivities and potential mitigation steps available to it in detail and continues to monitor risk and mitigation strategies in the normal course of business. These considerations include the following:

Customer receivables and bad debt

The Board considers customer receivable risks in view of the wider market, the energy price environment and the Group’s ability to contract and protect its position in respect of late or non-payment.

The Board performed sensitivities on material changes to customer payment behaviour including the timing of payments or if bad debt levels were to increase.

The Group has extensive mitigating actions in place. These include credit checks at point of sale and throughout the customer lifecycle, the requirement for some customers to pay reasonable security deposits at the point of sale, and the offering (ensuring compliance with regulation and good industry practice) of pay as you go products which enable certain customers to access more favourable tariffs. The Group also supports customers with payment plan arrangements, for those customers who will, when able, provide payment, and will ultimately (for some customers, as appropriate based on the circumstances) progress legal and/or disconnection proceedings to mitigate further bad debt.

In view of the Group’s effective hedging strategy against volatile market prices, and the Group’s ability to manage debt through various mitigating actions, the Board is confident that there will be no material impact relevant to the going concern assumption. While the bad debt percentage has increased for the Group as a result of the impact of wider market challenges on our customers, our internal approaches and strategies have mitigated this risk over the year and forecast to continue to do so going forward.

Hedging arrangements and Trading Agreement

A commodity trading arrangement between Shell and the main entities of the Group (including Yü Group PLC, Yü Energy Holding Limited and Yü Energy Retail Limited), extended in 2026 until 2032 (“the Trading Agreement”), enables the Group to purchase electricity and gas on forward commodity markets. The Trading Agreement enables forecasted customer demand to be hedged in accordance with an agreed risk mandate (further detailed in the Group’s risks and uncertainties reporting in the Strategic Report). This hedging position and the Board-defined risk strategy has mitigated, and is expected to continue to mitigate, the impact on the Group from underlying movements in global commodity markets.

As part of the Trading Agreement, as is customary for such arrangements, Shell provides access to commodity products and holds security over the main trading assets of the Group which could, ultimately and in extreme and limited circumstances, lead to a claim on some or all of the assets of the Group. In return, Shell provides market access without the need to post cash collateral in the normal course of operation.

The Board carefully modelled in detail, and continues to monitor, certain covenants related to profitability, net worth and liquidity associated with the Trading Agreement to assess the likelihood of any breach of such agreement and the impact any such breach would likely have. Such scenarios include reduced gross margin and increased bad debt, and the impact these might have on the ability to maintain compliance with covenants.

After a detailed review, the Board has concluded that liquidity or covenant compliance scenario issues to be remote based on worst‑case scenario modelling that would impact the going concern status of the Group.

Summary

Following an extensive review of the Group’s forward business plan and associated risks and sensitivities to these base forecasts (and available mitigation strategies), the Board concludes that it is appropriate to prepare the financial statements on a going concern basis. The Board also considers that there is sufficient headroom to ensure the Group meets covenants based on various downside scenarios assessed.

Accounting policies, interpretations and amendments adopted by the Group

The accounting policies applied in these interim statements are the same as those applied in the Group’s annual report for the year ended 31 December 2025, with the exception of certain new interpretations and amendments adopted in the current period which had no significant effect on the Group’s results.

Alternative Performance Measures (“APMs”)

The Group discloses Alternative Performance Measures (“APMs”) that are not defined by IFRS. The directors believe that the presentation of APMs provides stakeholders with additional helpful information on the performance of the business but does not consider them to be a substitute for or superior to IFRS measures.

The Group’s APMs are used to assist in measuring the performance of the business. The APMs are determined to offer valuable insights to users of the Group’s financial statements by highlighting key value drivers and the effects of certain events and transactions on the entity’s performance, financial position and cash flows. Adjusted results exclude certain items, because if included, these could distort the understanding of the Group’s performance. The definition, purpose and how the measures are reconciled to statutory measures are set out in note 2 and note 3.

Significant judgements and estimates

The Group’s significant accounting judgements and key sources of estimation uncertainty are consistent with those described in the Group’s annual report for the year ended 31 December 2025.

2. Reconciliation to adjusted EBITDA

Non-GAAP measure. Adjusted EBITDA represents profit before interest and tax, depreciation, amortisation, non-recurring business expense and equity-related share-based payment charges.

The directors utilise adjusted EBITDA to make Group financial, strategic and operating decisions. The measure separates out certain items from defined IFRS measures because these are determined to assist users of these financial statements to evaluate business performance from recurring and normalised profitability that better align to operational cash flow (before the impact of working capital movements) and to obtain profitability margins as a percentage of revenue. This measure is frequently used by external stakeholders to evaluate financial performance and compare performance of other industry competitors, and will assist users to understand and evaluate, in the same manner as management, the movement in Group’s operational performance on a comparable basis.

As adjusted EBITDA can exclude significant costs or gains, it should not be regarded as a complete picture of the Group’s financial performance, which is presented in its total results.

The reconciliation of operating profit and adjusted EBITDA is as follows:

	Notes	30 June 2026 £’m	30 June 2025 £’m	31 December 2025 £’m
Adjusted EBITDA reconciliation
Operating profit		19.8	20.6	45.0
Add back:
Non-recurring operational costs1		0.2	–	0.6
Share-based payments2		1.9	0.9	2.1
Depreciation of property, plant and equipment	8	0.6	0.5	1.0
Depreciation of right-of-use assets	9	0.4	0.4	0.8
Amortisation of intangibles	7	0.7	0.5	1.1
Adjusted EBITDA		23.6	22.9	50.6

1. The non-recurring operational costs exclude costs incurred in connection with the establishment of new business units, including early-stage development activities prior to the commencement of normal commercial operations. These costs do not relate to the performance of the Group in the year or the ongoing operating performance and are incurred as part of discrete strategic initiatives intended to generate future growth. As they are outside of the normal course of business are therefore considered exceptional to the trading result.
2. Share-based payment charges on share options are excluded from adjusted EBITDA as they are not related to business operational trading which provides clearer views of operating cash generation in the year. Further details of the share-based payments are documented in note 15.

Adjusted earnings per share

Adjusted earnings per share is defined as earnings per share excluding adjusted items. The measure is determined by dividing profit after tax, adjusted for post-tax adjusted items (relating to non-recurring operational costs and share-based payment charges) by the weighted average number of ordinary shares in issue during the financial period, excluding treasury shares held, and on a basic and fully diluted basis. This APM is a measure of management’s view of the Group’s underlying earnings per share.

Refer to note 3 for a reconciliation between earnings per share and adjusted earnings per share.

3. Earnings per share

Basic earnings per share

Basic earnings per share is based on the profit attributable to ordinary shareholders and the weighted average number of ordinary shares outstanding and excluding treasury shares.

	30 June 2026 £’m	30 June 2025 £’m	31 December 2025 £’m
Profit for the year attributable to ordinary shareholders	15.9	16.6	35.9

	30 June 2026	30 June 2025	31 December 2025
Weighted average number of ordinary shares
At the start of the period	16,794,687	16,784,337	16,784,337
Effect of shares issued in the period	439,767	–	5,621
Effect of treasury shares	(154,584)	4,568	–
Number of ordinary shares for basic earnings per share calculation	17,079,870	16,788,905	16,789,958
Dilutive effect of outstanding share options	285,741	1,485,383	1,071,836
Number of ordinary shares for diluted earnings per share calculation	17,365,611	18,274,288	17,861,794

	30 June 2026	30 June 2025	31 December 2025
Basic earnings per share	93p	98p	214p
Diluted earnings per share	92p	90p	201p

Adjusted earnings per share

See note 2 for details on adjusted earnings per share

	Notes	30 June 2026 £’m	30 June 2025 £’m	31 December 2025 £’m
Adjusted earnings per share
Profit for the year attributable to ordinary shareholders		15.9	16.6	35.9
Add back operating profit adjusting items (per note 2):
Share-based payments after tax (gross cost, before tax, of £1.9m)		1.7	0.8	2.1
Non-recurring operational costs after tax (gross cost, before tax, of £0.2m)	2	0.2	–	0.5
Adjusted basic profit for the period		17.8	17.4	38.5
Adjusted earnings per share		104p	104p	229p
Diluted adjusted earnings per share		103p	96p	216p

4. Taxation

The tax charge for the period has been estimated using a rate of 25% for the period, considering certain allowances and adjustments in calculating the Group's taxable profits.

Deferred taxes as at 30 June 2026, 30 June 2025 and 31 December 2025 have been measured using the enacted tax rates at that date and are reflected in these financial statements on that basis.

5. Dividends

The directors proposed a final dividend for the year ended 31 December 2025 of 45p per share totalling £7,796,000 which was paid in the period to 30 June 2026.

The directors propose an interim dividend for the period to 30 June 2026 of 24p per share (2025: 22p share). The interim dividend is payable 20 November 2026.

6. Goodwill

	30 June 2026 £’m	30 June 2025 £’m
Cost
At 1 January	2.0	0.2
Additions	–	–
At 30 June	2.0	0.2
Net book value at 30 June	2.0	0.2

7. Intangible assets

	Electricity licence £’m	Customer books £’m	Software and systems £’m	Total £’m
Cost
At 1 January 2026	0.1	0.7	8.8	9.6
Additions	–	–	0.8	0.8
At 30 June 2026	0.1	0.7	9.6	10.4
Amortisation
At 1 January 2026	–	0.7	3.1	3.8
Charge for the period	–	–	0.7	0.7
At 30 June 2026	–	0.7	3.8	4.5
Net book value at 30 June 2026	0.1	–	5.8	5.9
Cost
At 1 January 2025	0.1	0.7	4.7	5.5
Additions	–	–	0.4	0.4
At 30 June 2025	0.1	0.7	5.1	5.9
Amortisation
At 1 January 2025	–	0.7	2.0	2.7
Charge for the period	–	–	0.5	0.5
At 30 June 2025	–	0.7	2.5	3.2
Net book value at 30 June 2025	0.1	–	2.6	2.7

8. Property, plant and equipment

	Freehold land £’m	Freehold property £’m	Fixtures and fittings £’m	Plant and machinery £’m	Assets under construction £’m	Computer equipment £’m	Total £’m
Cost
At 1 January 2026	0.2	5.1	0.9	8.8	2.7	0.9	18.6
Additions	–	–	–	1.7	0.8	0.2	2.7
Reclassification	–	–	–	0.9	(0.9)	–	–
At 30 June 2026	0.2	5.1	0.9	11.4	2.6	1.1	21.3
Depreciation
At 1 January 2026	–	0.6	0.8	0.6	–	0.8	2.8
Charge for the period	–	0.1	0.1	0.3	–	0.1	0.6
At 30 June 2026	–	0.7	0.9	0.9	–	0.9	3.4
Net book value at 30 June 2026	0.2	4.4	–	10.5	2.6	0.2	17.9
Cost
At 1 January 2025	0.2	5.1	1.0	5.4	1.7	0.8	14.2
Additions	–	–	–	1.2	0.8	–	2.0
Reclassification	–	–	–	0.7	(0.7)	–	–
At 30 June 2025	0.2	5.1	1.0	7.3	1.8	0.8	16.2
Depreciation
At 1 January 2025	–	0.4	0.6	0.2	–	0.6	1.8
Charge for the period	–	0.1	0.1	0.2	–	0.1	0.5
At 30 June 2025	–	0.5	0.7	0.4	–	0.7	2.3
Net book value at 30 June 2025	0.2	4.6	0.3	6.9	1.8	0.1	13.9

9. Right-of-use assets and lease liabilities

	Buildings £’m	Motor Vehicles £’m	Total £’m
Cost
At 1 January 2026	0.2	2.5	2.7
Addition	0.1	0.7	0.8
Disposals	–	(0.1)	(0.1)
At 30 June 2026	0.3	3.1	3.4
Depreciation
At 1 January 2026	0.1	1.6	1.7
Charge for the period	–	0.4	0.4
Disposals	–	(0.1)	(0.1)
At 30 June 2026	0.1	1.9	2.0
Net book value at 30 June 2026	0.2	1.2	1.4
Cost
At 1 January 2025	0.1	2.9	3.0
Disposals	–	(0.5)	(0.5)
At 30 June 2025	0.1	2.4	2.5
Depreciation
At 1 January 2025	–	1.1	1.1
Charge for the period	–	0.4	0.4
Disposals	–	(0.1)	(0.1)
At 30 June 2025	–	1.4	1.4
Net book value at 30 June 2025	0.1	1.0	1.1

10. Trade and other receivables

	30 June 2026 £’m	30 June 2025 £’m	31 December 2025 £’m
Current
Net trade receivables	27.4	19.7	21.5
Net accrued income	57.1	44.2	65.1
Prepayments	1.4	0.7	1.3
Costs to obtain customer contracts	22.2	11.2	16.1
Industry collateral deposits	6.7	7.2	6.4
Other receivables	7.2	8.7	7.3
	122.0	91.7	117.7
Non-current
Costs to obtain customer contracts	35.7	14.1	24.5
	35.7	14.1	24.5

The reconciliation of gross trade receivables and accrued income and expected credit loss provision for the Group is as follows:

	30 June 2026 £’m	30 June 2025 £’m	31 December 2025 £’m
Trade receivables
Gross carrying amount	76.1	67.6	53.3
Provision for doubtful debts and expected credit loss	(48.7)	(47.9)	(31.8)
Net carrying amount	27.4	19.7	21.5
Accrued income
Gross carrying amount	59.2	46.0	67.6
Provision for doubtful debts and expected credit loss	(2.1)	(1.8)	(2.5)
Net carrying amount	57.1	44.2	65.1

11. Trade and other payables

	30 June 2026 £’m	30 June 2025 £’m	31 December 2025 £’m
Current
Trade payables	13.3	10.5	12.0
Energy and industry cost accruals	41.8	32.5	50.8
Renewable obligation liability	74.8	53.1	52.8
Operating and other accruals	7.9	6.2	9.7
Lease liabilities	0.8	0.6	0.7
Tax and social security	16.2	16.5	18.2
Other payables	20.0	19.3	16.5
	174.8	138.7	160.7
Non-current
Renewable obligation liability	19.1	15.5	–
Operating and other accruals	0.7	1.0	1.1
Contingent consideration	1.8	–	1.8
Lease liabilities	0.5	0.5	0.2
	22.1	17.0	3.1

12. Borrowings

	30 June 2026 £’m	30 June 2025 £’m	31 December 2025 £’m
Current
Bank loan	0.6	0.4	0.5
Non-current
Bank loan	11.9	8.0	9.8
Total borrowings	12.5	8.4	10.3

Borrowings solely relate to the Group’s investment in smart meters which return an index-linked, recurring annuity over a 15+ year term, with Siemens Finance.

The Group entered into an additional £10m loan facility agreement in June 2025, in addition to an existing £5.2m facility agreed during 2023 with Siemens Finance in relation to the finance of such meters. The amounts outstanding relate to the amounts drawn down on the total £15.2m facilities. Repayments are over a 10-year period with a bullet repayment, and with an interest rate fixed at the date of drawdown. The borrowings are fully secured on the assets of the wholly owned subsidiary entity, Kensington Meter Assets Limited.

The bank loan is shown net of unamortised arrangement fees of £0.2m (2025: £0.2m) which are being amortised over the life of the loan.

The contractual maturities (representing undiscounted contractual cash flows) of the bank loans are disclosed in note 13.

13. Financial instruments and risk management

The Group’s principal financial instruments are cash, trade and other receivables, trade and other payables and borrowings.

	30 June 2026 £’m	30 June 2025 £’m	31 December 2025 £’m
Financial assets
Cash and cash equivalents	128.7	118.2	105.9
Financial assets recorded at amortised cost	98.4	79.8	100.3
Financial liabilities
Financial liabilities recorded at amortised cost	(187.7)	(144.4)	(151.1)
Fair value through profit or loss	(1.8)	–	(1.8)
Lease liabilities	(1.3)	(1.1)	(0.9)

Management considers that the book value of financial assets and liabilities recorded at amortised cost and their fair value are approximately equal.

The Group trades entirely in pounds sterling and therefore it has no foreign currency risk.

The Group has exposure to the following risks from its use of financial instruments:

a) commodity hedging and derivative instruments (related to customer demand and market price volatility, and counterparty credit risk);

b) customer, industry participants and financial institution credit risk; and

c) liquidity risk.

The condensed consolidated interim financial statements do not include all financial risk management information and disclosures as required in the annual financial statements; they should be read in conjunction with the information included in Note 23 of the 2025 Group financial statements. There have been no changes in any risk management policies since the year end.

Undiscounted contractual cash flows

The tables below have been drawn up based on the undiscounted contractual maturities of the Group’s financial liabilities, including interest that will be unwound on those liabilities:

	Carrying amounts £’m	Within 1 year £’m	2-5 years £’m	After 5 years £’m	Contractual cash flows £’m
Trade and other payables	177.0	156.0	22.1	–	178.1
Borrowings	12.5	1.6	6.4	11.0	19.0
Lease liabilities	1.3	0.8	0.5	–	1.3
At 30 June 2026	190.8	158.4	29.0	11.0	198.4
Trade and other payables	136.0	119.6	16.4	–	136.0
Borrowings	8.4	1.0	4.2	7.8	13.0
Lease liabilities	1.1	0.7	0.5	–	1.2
At 30 June 2025	145.5	121.3	21.1	7.8	150.2

14. Share capital and reserves

Share capital	30 June 2026 Number	30 June 2026 £’m	30 June 2025 Number	30 June 2025 £’m	31 December 2025 Number	31 December 2025 £’m
Allotted and fully paid ordinary shares of £0.005 each	17,332,967	0.1	17,019,315	0.1	17,019,315	0.1

The Company has one class of ordinary share with nominal value of £0.005 each, which carries no right to fixed income. The holders of ordinary shares are entitled to receive dividends as declared and are entitled to one vote per share at meetings of the Company. The Company holds 7,894 shares in treasury (H1 25: 229,496, FY25: 224,628) and as at 30 June 2026, the total number of shares in issue with voting rights was 17,325,073 (H1 25: 16,789,819, FY25: 16,794,687).

The Group movement in reserves is as per the statement of changes in equity.

Share capital represents the value of all called up, allotted and fully paid shares of the Company.

The share premium movement in the year for the Group and the Company relates to:

• The excess of the price at which share options were exercised during H1 2026, over the £0.005 nominal value of those shares, being £0.3m during the year.

Treasury shares

On 19 February 2026 the Company purchased 309,168 ordinary shares at a price of £19.06 a share totalling £5.9m to hold in treasury. It is intended that these ordinary shares held in treasury will be utilised to satisfy future option exercises.

Treasury shares	30 June 2026 Number	30 June 2026 £’m	30 June 2025 Number	30 June 2025 £’m	31 December 2025 Number	31 December 2025 £’m
Balance at the start of the period	224,628	3.8	234,978	4.0	234,978	4.0
Purchase of treasury shares	309,168	5.9	–	–	–	–
Reissuance of treasury shares	(525,902)	(9.5)	(5,482)	(0.1)	(10,350)	(0.2)
Balance at the end of the period	7,894	0.2	229,496	3.9	224,628	3.8

Retained earnings

Retained earnings comprises the Group’s cumulative annual profits and losses, including adjustments for equity-settled share-based payments (and related tax), the purchase of shares to be held in treasury, and the credit as a result of the cancellation of the share premium account.

15. Share based payments

The Group operates a number of share option plans for qualifying employees, both as equity and cash-settled share-based remuneration schemes. Equity-settled options in the plans are settled in equity in the Company.

Equity-Settled Share-based payments

The terms and conditions of the outstanding grants made under the Group’s share options schemes are as follows:

		Exercisable between
Date of grant	Expected term	Commencement	Lapse	Exercise price	Vesting schedule	Amount outstanding at 30 June 2026	Amount outstanding at 30 June 2025	Amount outstanding at 31 December 2025
6 April 2017	3	6 April 2020	6 April 2027	£0.005	1	–	43,950	43,950
6 April 2017	6.5	6 April 2020	6 April 2027	£2.844	1	–	87,900	87,900
28 September 2017	6.5	28 September 2020	28 September 2027	£5.825	1	13,500	13,500	13,500
9 April 2018	6.5	9 April 2021	9 April 2028	£10.38	1	7,000	38,084	38,084
4 October 2020	3	30 April 2023	4 October 2030	£0.005	2	–	76,617	76,617
4 October 2020	3	30 April 2024	4 October 2030	£0.005	2	–	76,617	76,617
1 December 2022	3	1 January 2026	1 July 2026	£2.28	3	15,349	136,233	120,227
19 December 2022	3.3	31 March 2026	19 December 2032	£0.005	4	250,000	662,000	662,000
17 May 2024	2	31 March 2026	17 May 2034	£0.005	5	–	30,000	30,000
18 March 2025	4	19 March 2029	18 March 2035	£15.03	6	260,000	420,000	342,222
22 July 2025	3.7	19 March 2029	22 July 2035	£15.03	6	78,000	–	78,000
22 July 2025	3.7	31 March 2029	22 July 2035	£13.60	7	160,000	–	160,000
20 October 2025	3.4	19 March 2029	20 October 2035	£15.03	6	70,000	–	70,000
20 October 2025	3.4	31 March 2029	20 October 2035	£13.60	7	100,000	–	100,000
15 April 2026	2.9	19 March 2029	15 April 2036	£15.03	8	1,012,000	–	–
15 April 2026	3	1 May 2029	1 November 2029	£13.90	3	87,354	–	–
						2,053,203	1,584,901	1,899,117
Weighted average remaining contractual life of options outstanding						8.7 years	5.0 years	7 years

The following vesting schedules apply:

1.  100% of options vest on the third anniversary of date of grant.
2. 100% of options have vested on the achievement of a performance condition related to the Group’s share price at a pre‑determined date.
3. 100% of options vest on the third anniversary of the Save As You Earn (“SAYE”) savings contract start date.
4. The level of vesting is dependent on a performance condition, being the Group’s EBITDA over a qualifying period. Shares are expected to vest in full.
5. The level of vesting is dependent on a performance condition, being the number of meters owned over a qualifying period.
6. In 2026, the option awards were modified to extend the vesting date and change the vesting conditions to those in vesting schedule 8.
7. The level of vesting will be based on Group earnings per share secured over the four financial years from FY25 to FY28.
8. The level of vesting is dependent on a number of Group performance conditions all over a qualifying period.

The number and weighted average exercise price of share options were as follows:

Equity-settled	30 June 2026 shares	30 June 2025 shares	31 December 2025 shares
Balance at the start of the period	1,899,117	1,170,383	1,170,383
Granted	1,099,354	420,000	828,000
Forfeited	(105,714)	–	(88,916)
Exercised	(839,554)	(5,482)	(10,350)
Balance at the end of the period	2,053,203	1,584,901	1,899,117
Vested at the end of the period	285,849	336,668	336,668
Exercisable at the end of the period	285,849	336,668	336,668
Weighted average exercise price for:
Options granted in the period	£14.94	£15.03	£14.58
Options forfeited in the period	£11.55	–	£13.43
Options exercised in the period	£0.99	£2.28	£2.28
Weighted average share price of exercised shares	£17.77	–	£15.84
Exercise price in the range:
From	£0.005	£0.005	£0.005
To	£15.03	£15.03	£15.03

The fair value of each option grant is estimated on the grant date using an appropriate option pricing model. The following fair value assumptions were assumed in the year:

Equity-settled	30 June 2026	30 June 2025	31 December 2025
Dividend yield	3.1%	3.4%	3.3%
Risk-free rate	4.3%	4.2%	3.9%
Share price volatility	53%	58%	57%
Weighted average contractual life (years)	3 years	3 years	3 years
Weighted average fair value of options granted during the period	£7.53	£5.70	£6.11

Cash-Settled Share-based payments

For the cash-settled share schemes, the following information is relevant:

Date of grant	Expected term	Commencement	Lapse	Exercise price	Vesting schedule	Amount outstanding at 30 June 2026	Amount outstanding at 30 June 2025	Amount outstanding at 31 December 2025
1 January 2024	3.3	30 April 2027	30 May 2027	£10.00	1	149,000	158,000	149,000
1 January 2025	3.3	30 April 2028	30 May 2028	£10.00	1	47,000	47,000	47,000
15 April 2026	2.9	31 March 2029	30 April 2029	£16.50	2	433,000	–	–
						629,000	205,000	196,000
Weighted average remaining contractual life of options outstanding						2.3 years	2.3 years	1.7 years

The following vesting schedules apply to the options:

1.     100% of options vest on the vesting date.
2. The level of vesting is dependent on a number of Group performance conditions all over a qualifying period.

Cash-settled	30 June 2026 shares	30 June 2025 shares	31 December 2025 shares
Balance at the start of the period	196,000	174,500	174,500
Granted	433,000	47,000	47,000
Forfeited	–	(16,500)	(25,500)
Exercised	–	–	–
Balance at the end of the period	629,000	205,000	196,000
Weighted average exercise price for:
Options granted in the period	£16.50	£10.00	£10.00
Options forfeited in the period	–	£10.00	£10.00
Options exercised in the period	–	–	–
Weighted average share price of exercised shares	–	–	–

The fair value of each option grant is estimated on the grant date using an appropriate option pricing model. The following fair value assumptions were assumed in the year:

Cash-settled	30 June 2026	30 June 2025	31 December 2025
Risk-free rate	4.3%	4.2%	4.19%
Share price volatility	53%	59%	59%
Weighted average contractual life (years)	3 years	3.25 years	3.25 years
Weighted average fair value of options granted during the period	£7.37	£11.17	£11.21

The carrying value of the cash settled share-based payments included within accruals is £0.9m (H1 25: 0.5m, FY25: £0.6m).

Share price volatility assumptions were based on the actual historical share price of the Group since January 2023.

The total expense recognised for the period arising from share-based payments are as follows:

	30 June 2026	30 June 2025	31 December 2025
Equity-settled share-based payment expense	1.0	0.7	1.9
Cash-settled share-based payment expense	0.3	–	–
National Insurance costs related to share options	0.6	0.2	0.2
Total share-based payment charge	1.9	0.9	2.1

Employer’s National Insurance contributions are accrued, where applicable on unapproved (for tax purposes) share options, at the rate of 15% (2025: 15.0%) which management expects to be the prevailing rate at the time the options are exercised.

16. Related parties and related party transactions

The only related party transactions in the period have been between the Company and its subsidiaries, which have been eliminated on consolidation.

17. Post-balance sheet events

There are no significant post-balance sheet events.

 

END