Interim Results

Summary by AI BETAClose X

ZIGUP PLC reported a strong first half with revenue up 2.9% to £929.6 million and underlying EBIT up 1.4% to £100.4 million, leading to confidence in achieving at least the top end of full-year profit expectations, which are now projected to be at least £150-155 million. The company is also simplifying its UK&I operating model into Northgate Mobility and FMG, expecting to deliver approximately £20 million in incremental annualised savings by FY2028. Net debt increased to £939 million, with leverage at 1.9x, and an interim dividend of 8.8p per share was declared.

Disclaimer*

ZIGUP PLC
03 December 2025
 

                                   3 December 2025

ZIGUP PLC

("ZIGUP" or the "Group" or the "Company")

 

Strong first half, confidence in full year profit to be at least at top of current range of expectations

Steady state cash reaching inflexion point and next stage of business model simplification launched

 

ZIGUP (LSE:ZIG), the leading integrated mobility solutions platform providing services across the vehicle lifecycle, is pleased to announce its results for the half year ended 31 October 2025 (the 'period').

Half year results

Reported

Underlying1

 


H1 2026

H1 2025

Change

H1 2026

H1 2025

Change

 

 

£m

£m

%

£m

£m

%

 

Revenue

929.6

903.6

2.9%

809.9

775.0

4.5%

 

EBIT ex-disposal profits

 


 

81.7

73.3

11.5%

 

EBIT

83.8

73.2

14.4%

100.4

99.1

1.4%

 

Profit before tax

65.0

56.2

15.8%

81.7

82.0

(0.4%)

 

Earnings per share

 22.0p

19.4p

13.4%

 27.6p

28.1p

(1.8%)

 


 

Other measures

 

 

 

 


 

                Underlying EBITDA              

246.0

228.6

7.6%

 


 

ROCE

11.9%

12.8%

(0.9ppt)

 


 

Dividend per share

8.8p

8.8p

-

 

1 excludes vehicle sales revenue, exceptional items, amortisation of acquired intangible assets and adjustments to underlying depreciation.  See GAAP reconciliation on page 4.

 

Balance sheet

H1 2026

FY 2025

Change

 

Net debt

£939m

£837m

£102m

 

                                                                            Fleet assets2

£1.68bn

£1.51bn

£0.17bn

 

                                                                        Leverage

1.9x

1.8x

0.1x

 

2 referring to the net book value of vehicles for hire.

 

 

Martin Ward, CEO of ZIGUP, commented:

"It has been a great start to the year for our rental businesses with Spain delivering a standout performance and UK&I Rental showing good momentum with recent fleet wins and expansion of our specialist fleet.  Claims & Services has continued to add new partners and extended services to existing contracts. With good progress made on fleet replacement I am pleased with our cash performance; we are reaching an inflexion point, paving the way for sustained improvements in steady-state cashflow in the years ahead.

We are also announcing the next phase in our strategic ambition, evolving our UK&I operating model, simplifying our business structure around two distinct operating businesses: Northgate Mobility and FMG. This will better position the business to leverage the full potential of our mobility platform, both internally and for our customers. The opportunity is substantial, with expected efficiencies translating into an initial estimate of c.£20m in incremental annualised savings by FY2028.  We will outline our plans today but report more fully at the full year.

With our operational and strategic initiatives delivering positive results in the period and Spanish market strength, we now expect our full year underlying PBT to be at least at the top of the £150-155m range of analysts' expectations. With market leading positions, an increasingly efficient operating model, and robust balance sheet, we are well-positioned to capitalise on emerging opportunities across the mobility services market."

Key financial highlights

·   Underlying revenue up 4.5% underpinned by growth in vehicle hire revenue (+10.5%); Total revenue up 2.9% reflecting a normalisation of vehicle defleets

·   Vehicle hire revenue: Spain up 16.3% underpinned by strong VoH growth, UK&I up 6.5% through a combination of product and vehicle mix alongside pricing actions

·   Robust rental margins in both Spain and UK&I reflect continued focus on operational efficiency and high utilisation. UK&I margin was elevated by revenue phasing for a single contract in H1, with full year margins expected in line with the 15-16% target range

·   Claims & Services revenues and margins flat on lower claims volumes but stable internal repair volumes; ongoing New Law cost base being addressed, with H2 margin expected closer to 5%

·   EBIT before disposal profits up 11.5% reflecting strength in operational businesses; Disposal profits normalising as expected, on reduced volumes of 15,800 (H1 2025: 17,200) and lower UK&I PPUs, but stable residual values

·   Net capex outflow of £245.9m with replacement capex of £172.3m (H1 2025: £178.9m) and growth capex of £73.6m (2025: £53.5m); reaching inflexion point with steady state cash flow expected to increase over coming periods, as fleet replacement programme progressing well

Figures are underlying, unless specifically identified otherwise

 

H1 business highlights

·    Fleet growth: Group fleet over 135,000 vehicles (132,500 at end-FY 2025); normalised supply supporting fleet growth in Spain and continued replacement in UK&I

·    Rental progress: Major rail maintenance fleet win in Spain, and a large Fleet Management contract in UK&I; One Road programme success delivering incremental VoH demand, expanding specialist vehicle locations and vehicle range

·    Insurance contract wins and renewals: New contract launched leading broker Howden Insurance, selected for strength of client service and cultural alignment; multi-year renewal with Tesco Insurance and additional services introduced including for DLG, plus new roadside recovery contracts launched

·    Growing capacity: Two Spanish service points opened in H1, additional planned for H2; Cardiff bodyshop upgrade and nationwide mobile repair fleet expansion underway

·    Technology and customer service:  Advanced call-centre platform commenced roll-out with potential for AI-driven enhancements and in-call efficiencies; additional third-party API integrations are delivering improved functionality

 

Continued evolution of UK&I operating model

This autumn we commenced a new phase of simplification and transformation, with workstreams encompassing a further evolution of the UK&I operating model into two operating businesses focused on each of Rental and Repair. It is fully aligned with our strategic framework and will enhance the competitive advantages of our integrated platform. 

The programme is envisaged to be completed within 18 months and benefits are expected to include full integration of our rental solutions across the branch network and greater supplier consolidation, together with delivering further operational efficiencies and customer insight through leveraging new technologies. 

From our initial assessment, we believe this programme will deliver sustainable benefits progressively from the start of FY2027 and c.£20m of incremental annualised savings by FY2028; we will update on the progress of the workstreams at the full year results.   

Outlook

The positive outlook for the remainder of the year gives us confidence that underlying PBT will be at least at the top of the range of analysts' expectations.  This view is underpinned by the strength of Spanish rental performance and continued investment in fleet growth.  UK&I rental demand remains robust, and we expect rental margin to be within the 15-16% target range for the full year.  Claims & Services volumes are expected to grow as new contracts and service extensions start to contribute during the busier second half, with EBIT margin moving closer to the 5% medium-term target.

 

(Analyst expectations: PBT range £150-155m)

 

Analyst Briefing and Investor Meet presentation

A hybrid presentation for sell-side analysts and institutional investors will be held at 9.30am today, 3 December 2025. If you are interested in attending, please email Buchanan on zigup@buchanancomms.co.uk to request the joining details. This presentation will also be made available via a link on the Company's website www.zigup.com

The Company will also provide a roadshow presentation via the Investor Meet Company platform on Friday 5 December 2025 at 10.00am for institutional and retail investors. Click here to register: https://www.investormeetcompany.com/zigup-plc/register-investor

This announcement contains inside information for the purposes of UK MAR. The person responsible for arranging the release of this announcement on behalf of ZIGUP plc is Matthew Barton, Company Secretary.

 

For further information contact: 

Ross Hawley, Head of Investor Relations                                                               +44 (0) 1325 467558

 

Burson Buchanan                                                                                            

Chris Lane/Jamie Hooper                                                                                         +44 (0) 207 466 5000

Notes to Editors:

ZIGUP is the leading integrated mobility solutions provider, with a platform providing services across the vehicle lifecycle to help people keep on the move, smarter. The Group offers mobility solutions to businesses, fleet operators, insurers, OEMs and other customers across a broad range of areas from vehicle rental and fleet management to accident management, vehicle repairs, service and maintenance. 

The mobility landscape is changing, becoming ever more connected and ZIGUP uses its knowledge and expertise to guide customers through the transformation, whether that is more digitally connected solutions or supporting the transition to lower carbon mobility through providing EVs, charging solutions and consultancy.

The Group's core purpose is to keep its customers mobile, smarter - through meeting their regular mobility needs or by servicing and supporting them when unforeseen events occur. With our considerable scale and reach, ZIGUP's mission is to offer an imaginative, market-leading customer proposition and drive enhanced returns for shareholders by creating value through sustainable compounding growth. The Group seeks to achieve this through the delivery of its strategic framework of Enable, Deliver and Grow.

ZIGUP supports its customers through a network and diversified fleet of over 135,000 owned and leased vehicles, supporting over 1 million managed vehicles, with over 180 branches across the UK, Ireland and Spain and a specialist team of over 7,500 employees. We are a trusted partner to many of the leading insurance and leasing companies, blue chip corporates and a broad range of businesses across a diverse range of sectors. Our strength comes not only from our breadth of our award-winning solutions, but from our extensive network reach, our wealth of experience and continual focus on delivering an exceptional customer experience. Further information regarding ZIGUP plc can be found on the Company's website: www.zigup.com

GAAP reconciliation tables

Consolidated income statement reconciliation

Six month period ending

(Unaudited)

Foot

note

31.10.2025

Statutory

31.10.2025

Adjustments

31.10.2025

Underlying

31.10.2024

Statutory

31.10.2024

Adjustments

31.10.2024

Underlying


(below)

2025

2025

2025

2024

2024

2024

 


£m

£m

£m

£m

£m

£m

 


 

 





Revenue

(a)

929.6

(119.7)

809.9

903.6

(128.7)

775.0

Cost of sales

(b + c)

(719.5)

127.6

(591.8)

(709.2)

142.6

(566.6)

Gross profit


210.2

7.9

218.1

194.5

13.9

208.4

Administrative expenses

(d)

(127.0)

8.7

(118.2)

(121.4)

11.9

(109.5)

Operating profit


83.2

16.6

99.9

73.1

25.9

98.9

Income from associates


0.6

-

0.6

0.2

-

0.2

EBIT


83.8

16.6

100.4

73.2

25.9

99.1

Finance income


0.6

-

0.6

0.9

-

0.9

Finance costs


(19.3)

-

(19.3)

(18.0)

-

(18.0)

Profit before taxation


65.0

16.6

81.7

56.2

25.9

82.0

Taxation

(e)

(15.5)

(4.1)

(19.6)

(12.7)

(6.5)

(19.2)

Profit for the period


49.6

12.5

62.1

43.4

19.4

62.8



 

 

 




Shares for EPS calculation (Note 4)


225.3m

 

225.3m

223.8m


223.8m

Basic EPS


22.0p

 

27.6p

19.4p


28.1p

Foot notes


 

 

 




Adjustments comprise:


 

 





Revenue: sale of vehicles

(a)

 

(119.7)



(128.7)


Cost of sales: revenue sale of vehicles net down

(b)

 

119.7



128.7


Adjustments to underlying depreciation (see Financial Review)

(c)

 

7.9



13.9


Gross profit


 

7.9



13.9


Exceptional items (Note 11)


 

-



2.8


Amortisation of acquired intangible assets (Note 6)


 

8.7



9.2


Administrative expenses

(d)

 

8.7



11.9


Adjustments to EBIT


 

16.6



25.9


Adjustments to PBT


 

16.6



25.9


Tax on exceptional items (Note 11)

 

 

-



(0.7)


Tax on brand royalty charges, adjustments to depreciation and amortisation of acquired intangible assets

 

 

(4.1)



(5.8)


Tax adjustments

(e)


(4.1)



(6.5)


Adjustments to profit

 

 

12.5

 

 

19.4


 

 

 

 

 

 

 


GAAP reconciliation for year ended 30 April 2025 can be found on page 48 of the annual report and accounts


 

 

Operating review

The Group has delivered a strong operational performance in the first half, reflecting a period of robust execution across the businesses. Spain delivered stand-out performance, capitalising on our strong market position and favourable macro-economic conditions to achieve another period of excellent VoH growth. UK&I Rental has also performed well with good momentum in new business wins and growth across specialist vehicles and additional services, while average VoH was down slightly as we restructured our broker channel approach. 

 

Our differentiated business model continues to attract insurance partners to our integrated mobility platform. Claims & Services secured significant contract extensions and new signings during the period, including global insurance broker Howden Insurance and a multi-year renewal with Tesco Insurance. Across all our business lines we have an industry-leading reputation for our focus on exceptional customer service and are increasingly delivering this through multiple channels to best suit our customers, partners and their policyholders.

 

At the full year we indicated that markets were normalising after a five-year period of significant volatility.  Over the first half of the year there has been stability across vehicle supply, residual values and vehicle hire durations, and improved repair cycle times. Against this backdrop we are advancing our strategic ambitions by simplifying the UK&I operating model to deliver better outcomes for customers and stakeholders.

 

Growth opportunities

Our confidence in our ability to achieve sustainable growth is underpinned by opportunities in our existing and adjacent markets and by our scale and nationwide presence. Spanish rental remains immature with LCV rental penetration at c.5%, well below that in the UK; and while the UK&I macro-economic environment is less robust, fleet demand remains strong alongside increasing interest in ancillary services. In both markets increasing stability in both vehicle supply and residual values allows for greater forward planning. 

 

The claims and repair market continues to embrace new technology where it supports improved customer engagement and operational efficiencies. The combination of a seamless policyholder experience and benefits of outsourcing more services is an increasingly compelling proposition and complements the structural trend for supplier consolidation we continue to benefit from.

 

Strategic progress

The strategy we have pursued since merger of leveraging our nationwide footprint and market-leading positions is delivering strong results, supported by the 2024 rebrand and UK&I reorganisation. There has been good progress through the first half on our strategic pillars, where examples include:

Enable: technology investments have included commencing the roll-out of a new call-centre communication platform which offers great potential for enhanced in-call support and process automation, and further API solutions and self-service portals for major insurance partners. We added a further 80 apprentices to our technical programme, embarking on careers supported by structured and award-winning training. Five new structural aluminium centres are under construction, bringing in-house work previously outsourced.

 

Deliver: we are trusted to provide customer service excellence across our broad range of mobility services, reflected in continued excellent TrustPilot scores.  The 50% growth in rental fleet under our management solution reflects this, together with the growth in insurance customers taking our out of hours recovery solution.  We are expanding our mobile repair fleet to better serve customers away from our bodyshops, providing greater flexibility and responsiveness for minor repairs and opening up further capacity within our existing bodyshop network.       

Grow:  we added four new or significantly upgraded locations in the period, expanding our service footprint in Spain and adding greater capacity in core UK locations. Additional branch investment is planned in H2 including further expansion in our Spanish footprint. The expansion of the specialist vehicle fleet range and branch locations has generated significant interest and further cross-sell to rental customers.

 

Northgate Mobility and FMG

The UK&I reorganisation into two distinct operating businesses will enable better customer engagement and operational streamlining. It aligns all vehicle provision and branch operations together under Northgate Mobility, and greater integration across our incident management and repair operations under FMG. 

 

This will also support a more focused supply chain engagement, property strategy and central services support.  The simplified structure will also enable us to better leverage future technology enhancements we have planned, unlocking incremental benefits for both customers and colleagues.

 

Sustainability

 

Having achieved our Scope 1&2 carbon emissions targets, we are developing new longer-term targets to be published in a climate transition plan in 2026.

 

We have also continued to work with the government and fellow BVRLA members to address key challenges within the e-LCV sector.  This has included championing practical steps in making the switch away from ICE vehicles, advocating for grants for used e-LCVs, easing funding limits and regulatory barriers that constrain adoption of larger 4.25t EVs as e-LCVs.  

 

Strong financial capacity underpins our business model

Our operational scale, financial capacity and breadth of fleet options together generate strong OEM relationships, which is a key strategic advantage.   We have taken the opportunity of good vehicle supply to support continued refreshment of the vehicle fleets, together with strong fleet growth in Spain.  Our owned fleet provides significant asset backing for our borrowings, with fleet assets rising by £172m to £1.68bn since year end FY 2025.

 

At the end of October our leverage was 1.9x (FY 2025 1.8x), the upper end of our 1-2x range as we had previously guided. We have significant facilities headroom of £341m and an average financing rate of 3.1%.  

 

The Board has declared an interim dividend of 8.8p per share (H1 2025: 8.8p) to be paid on 9 January 2026 to shareholders on the register as at close of business on 12 December 2025. The interim dividend represents 50% of the final dividend for the year ended 30 April 2025 in line with previous years.

 

FINANCIAL REVIEW

Group Revenue and EBIT

Half year ended 31 October

H1 2026

H1 2025

Change

Change

 

£m

£m

£m

%

Revenue - vehicle hire

373.7

338.2

35.5

10.5%

Revenue - vehicle sales

119.7

128.7

(9.0)

(7.0%)

Revenue - claims and services

436.3

436.8

(0.5)

(0.1.%)

Total revenue

929.6

                  903.6

26.0

2.9%

Rental profit

68.1

59.1

9.0

15.2%

Disposal profit

18.8

25.8

(7.0)

(27.4%)

Claims and services profit

18.1

17.4

0.6

3.7%

Corporate costs

(5.0)

(3.4)

(1.6)

47.2%

Underlying operating profit

99.9

98.9

1.0

0.9%

Income from associates

0.6

0.2

0.4

249.4%

Underlying EBIT

100.4

99.1

1.3

1.4%

Underlying EBIT margin3

12.4%

12.8%

-

(0.4ppt)

Statutory EBIT

83.8

73.2

10.6

14.4%

 

Revenue

Total Group revenue, including vehicle sales, of £929.6m was 2.9% higher than prior period and revenue excluding vehicle sales of £809.9m (H1 2025: £775.0m), was 4.5% higher than the prior period.

Hire revenues increased 10.5% due to VoH growth in Spain and pricing actions in both UK&I and Spain rental businesses. Claims and services revenue stayed broadly flat on prior period, reflecting lower claims volumes but stable internal repair volumes.

Group vehicle sales revenue reduced by 7.0% with 1,400 fewer vehicles sold in the period partially offset by  higher disposal values per vehicle as vehicles were sold at a lower average age.

EBIT

Statutory EBIT increased 14.4%, while underlying EBIT of £100.4m marginally improved compared to the prior period; reflecting strong results in rental profits being partially offset by an expected decrease in disposal profits. The statutory EBIT includes a £7.9m cost for adjustments to depreciation rates (H1 2025: £13.9m) and £8.7m amortisation on acquired intangible assets (H1 2025: £9.2m). There were no exceptional administrative expenses recognised in the period (H1 2025: £2.8m).

Rental profit increased 15.2% to £68.1m (H1 2025: £59.1m) driven by growth in both the UK&I and Spain.

Total disposal profits for the period of £18.8m were 27.4% lower than the prior period with 15,800 vehicles sold (H1 2025: 17,200). This includes 1,600 sales of ex-leased vehicles, ex-Auxillis fleet cars and other non-fleet vehicles through the UK&I Rental sales channels (H1 2025: 2,800).

3 Calculated as underlying EBIT divided by total revenue (excluding vehicle sales)

UK&I Rental

Half year ended 31 October

H1 2026

H1 2025

Change

Underlying financial results

£m

£m

%

Revenue - vehicle hire4

208.3

195.6

6.5%

Revenue - vehicle sales

70.4

93.1

(24.3%)

Total revenue

278.7

288.6

(3.4%)

Rental profit

35.1

30.8

14.2%

Rental margin %

16.9%

15.7%

1.2ppt

Disposal profit

5.9

13.6

(57.1%)

Underlying EBIT

41.0

44.4

(7.7%)

EBIT margin %5

19.7%

22.7%

(3.0ppt)

ROCE %

11.1%

13.1%

(2.0ppt)

KPIs

('000)

('000)

%

 

Average VoH

42.6

43.8

(2.6%)

 

Closing VoH

43.4

44.6

(2.8%)

 

Average utilisation %

91%

91%

-ppt

 

Rental revenue increased by 6.5% compared to the prior period, with underlying demand strong and supporting increased average revenue per vehicle together with growth in ancillary income. A combination of vehicle mix, carefully managed pricing actions and a continued focus on utilisation, more than offset a modest reduction in average VoH in the period, due principally through continued refocus within the lower margin broker channel. 

Demand from larger fleets included incremental orders for 1,250 vehicles from eight fleet customers across the utility, infrastructure and public sectors. Many were also seeking additional services such as EV consulting, fleet management, fuel cards and telematics. New business account openings from the prior year also delivered strong VoH demand from this segment. Customer satisfaction remained high, with Trustpilot scores reaching 4.9/5 in October.

The programme of fleet recycling continued through the period and resulted in an average fleet age of 2.2 months lower than at the FY 2025 year end. As expected, disposal profits reduced through a combination of 2,400 lower vehicle disposals and lower PPUs, sold into a receptive market supported by stable residual values.

Rental profits rose 14.2%, and higher rental margins reflected strong performance, cost control across the underlying rental businesses and a continued focus on demand from higher margin channels. Our rental businesses were all at or above the medium-term target range; and the period also included a one-off revenue recognition relating to adjustments in a single customer contract. 

Our specialist vehicle capabilities in traffic management and refrigerated vehicles have been enhanced through the broadening of the vehicle range, together with an expanding national presence with locations being opened within five existing Northgate branches. Our 'One Road' programme has also driven mainstream LCV rental growth, and a significant increase in interest in our Fleet Management proposition, with an increase of over 50% in the period to over 7,500 vehicles under management.

Two new branch locations are nearing completion in the coming months, replacing older sites with modern efficient facilities and technologies.  This was supported by a close focus on technician training and retention in what is an industry-wide shortage, offering career progression through a new Master Technician Pathway, from apprentice to expert level.

4 Including intersegment revenue of £5.3m (H1 2025: £4.2m)

5 Calculated as underlying EBIT divided by total revenue (excluding vehicle sales)

Rental business

Vehicle hire revenue in UK&I Rental was £208.3m (H1 2025: £195.6m), an increase of 6.5%. A 9.4% increase in average revenue per vehicle reflected mix of vehicle, product and hire length as well as applied rate increases, partially offset by a 2.6% reduction in average VoH. Rental profits were £35.1m compared to £30.8m in the prior period.

Average VoH of 42,600 was 1,200 lower than the prior period (H1 2025: 43,800) with closing VoH of 43,400 decreasing by 1,200 since 31 October 2024 largely driven by a restructuring of our broker channel approach.

UK&I Rental's minimum term proposition accounted for 45% of average VoH (H1 2025: 41%). The average term of these contracts is approximately two years, providing both improved visibility of future rental revenue and earnings, as well as lower transactional costs.

Management of fleet and vehicle sales

The closing UK&I Rental fleet was 46,400 compared to 45,400 at 30 April 2025. During the period, 7,300 vehicles were purchased (H1 2025: 8,100) and 6,800 vehicles were de-fleeted (H1 2025: 7,200) and there were other movements of 500 vehicles (H1 2025: 400) including leased vehicles and transfers from the Claims & Services fleet.

The average age of the fleet at the end of the period was 2.2 months lower than at 30 April 2025 and 5.4 months lower than 31 October 2024 as the ease in vehicle supply constraints continued throughout FY 2025 and the oldest cohort of the fleet was refreshed. The fleet composition continues to be monitored in response to VoH demand.

A total of 8,400 vehicles were sold in UK&I Rental during the period, 21.8% lower than the prior period (H1 2025: 10,800 vehicles) including 1,300 fewer cars and other non-fleet vehicles sold via Van Monster which had been defleeted from the Claims & Services fleet. Disposal profits of £5.9m (H1 2025: £13.6m) were 57.1% lower than prior period due to a decrease in volumes coupled with a reduction in the underlying LCV PPU to £800 (H1 2025: £1,600) which reduced throughout FY 2025 but has been stable since year end.

 

Spain Rental

Half year ended 31 October

H1 2026

H1 2025

Change

Underlying financial results

£m

£m

%

Revenue - vehicle hire

170.7

146.8

16.3%

Revenue - vehicle sales

41.3

35.1

17.7%

Total revenue

212.0

181.9

16.5%

Rental profit

33.0

28.3

16.3%

Rental margin %

19.3%

19.3%

 -ppt

Disposal profit

12.9

12.2

5.8%

Underlying EBIT

45.9

40.5

13.1%

EBIT margin %6

26.9%

27.6%

(0.7ppt)

ROCE %

11.8%

12.0%

(0.2ppt)

KPIs

('000)

('000)

%

 

Average VoH

66.1

59.6

11.0%

 

Closing VoH

67.0

61.0

9.8%

 

Average utilisation %

92%

91%

1ppt

 

 

The Spanish Rental business continued to deliver excellent growth, with rental revenue up 16.3% as rental solutions grew market share from ownership with strength both in flexible rental, and in minimum term in particular during the period. This was driven by its unique market offering, strong value proposition and favourable macro-economic conditions. Closing VoH rose 9.8% since 31 October 2024 as the fleet size increased to 74,900 at the end of the period (H1 2025: 69,600) reflecting 6% of total Spanish rental vehicles on the road.

Our premium service-focused minimum-term product proved attractive when compared to more traditional proposals. A notable contract win from the main provider of railway infrastructure maintenance will commence LCV deliveries in February 2026. 

Rental profit growth of 16.3% was helped by VoH growth combined with strong cost control both in repairs and overheads.  Rental margin at 19.3% was stable on the prior period, with higher depreciation costs offset by rate increases and efficiencies including our internal repair network delivering per-vehicle repair costs 3% lower than the prior year. Ancillary services grew by 16%, with nearly 15,900 vehicles in the fleet equipped with telematics.

Disposal profits rose 5.8% reflecting continued recycling of the fleet into a receptive market with a car parc significantly older than other more mature European markets. Trade buyers have embraced the new features within the new e-auction site. Since the end of FY 2025, average fleet age reduced 0.7 months to 26.7 months, principally reflecting growth of new vehicles and carefully managed defleets.

Facility investments focused on managing service capacity and meeting the demands of a rapidly growing fleet, ensuring a continued high level of customer service, with the new Madrid delivery hub specifically targeting reducing the wait time for new rentals. A second hub is planned for Barcelona reflecting the success of this initiative. Two new service centres were opened in the period, in Tarragona and Ciudad Real, enhancing customer service in these provinces, while also lowering operational costs.

6 Calculated as underlying EBIT divided by total revenue (excluding vehicle sales)

 

Rental business

Vehicle hire revenue in Spain Rental was £170.7m (H1 2025: £146.8m), an increase of 16.3% (13.4% in local currency). Average VoH increased 11.0% and closing VoH increased 9.8% to 67,000.

Spain Rental's minimum term proposition accounted for 38.5% (H1 2025: 37%) of average VoH. The average term of these contracts is approximately three years, providing visibility of future rental revenue and earnings.

Rental profit increased by 16.3% in the period (13.5% in constant currency) to £33.0m (H1 2025: £28.3m). This resulted in a rental margin of 19.3% in line with prior period, with strong revenue growth and favourable direct labour and repair costs supported by a younger fleet, offset by increased depreciation charges due to increased purchase price of vehicles post-pandemic.

Management of fleet and vehicle sales

The closing Spain Rental fleet amounted to 74,900 compared to 71,900 vehicles at 30 April 2025. During the period 10,000 vehicles were purchased (H1 2025: 10,700) and 7,000 vehicles were de-fleeted (H1 2025: 6,200 vehicles). The average age of the fleet at the end of the period was 2.1 months lower than at the same time last year and 0.7 months lower since 30 April 2025. We continue to replace our older cohort vehicles whilst balancing VoH demand and growing the fleet.

Disposal profits of £12.9m (H1 2025: £12.2m) increased 5.8% with total vehicle sales of 6,900, 7.9% higher than prior period and PPUs marginally lower as the Spanish used vehicle market remains strong as well as being supported by internal investment in our e-auction platform.

 

Claims & Services

Half year ended 31 October

H1 2026

H1 2025

Change

Underlying financial results

£m

£m

%

Revenue - claims and services7

441.8

442.1

(0.1%)

Revenue - vehicle sales8

20.8

27.1

(23.3%)

Total revenue

462.6

469.2

(1.4%)

Gross profit

80.5

79.7

0.9%

Gross margin%9

18.2%

18.0%

0.2ppt

Operating profit

18.1

17.4

3.7%

Income from associates

0.6

0.2

249.4%

Underlying EBIT

18.7

17.6

6.0%

EBIT margin %

4.2%

4.0%

0.2ppt

ROCE %

21.6%

17.3%

4.3ppt

 

Claims and services revenue was consistent with the prior period, with vehicle sales revenue lower due to reduced fleet disposal volumes but stable residual values. We saw stability in our key measures of vehicle hire length, repair conversions and improved repair cycle times. Volumes softened in the personal lines motor segment, particularly for lower-value incidents, while fleet sector activity held steady closer to historic norms. We believe this market disparity principally reflected retail consumer decisions regarding making smaller discretionary claims. 

A number of new contracts and extensions were secured during the period, including from major partners, which will support future growth. Howden Insurance went live in October with their Consumer & Local Commercial division, recognising our market-leading client service, strong culture and expertise. A contract renewal with longstanding partner Tesco Insurance highlights the strength of our integrated platform, and we expanded the range of services such as roadside recovery or third party intervention with other major partners including DLG. 

While there has been greater capacity within the overall repair market, we have successfully maintained our internal repair volumes, helped by our end-to-end management within the repair process, supporting bodyshop productivity. 

The business has had a strong focus on delivering operational efficiencies to match changing claims volumes which has helped to protect margin, with EBIT margin and ROCE improving from the prior period. We also took opportunities for capacity growth and higher productivity through targeted investments. 

This programme has included the upgrading of the Cardiff bodyshop and a new vehicle recovery operations centre. A programme to double our mobile repair fleet will provide greater capacity and flexibility at individual bodyshop level. We have also commenced the rollout of an advanced call-centre platform which over time will bring AI-enabled solutions and in-call efficiencies to our customer engagement.

Our legal services business, NewLaw, successfully disposed of a portion of its activities, but overall remained loss-making as it carefully manages its claims run-off programme. There remains a clear operational focus on tracking overheads to the reducing claims book.

7 Including intersegment revenue of £5.5m (H1 2025: £5.3m)

8 Including intersegment revenue of £12.9m (H1 2025: £26.6m)

9 Gross profit margin calculated as underlying gross profit divided by total revenue (excluding vehicle sales). EBIT margin calculated as underlying EBIT divided by total revenue (excluding vehicle sales)

Revenue and profit

Revenue for the period (excluding vehicle sales) was in line with the prior period at £441.8m (H1 2025: £442.1m) due to lower claims volumes but stable repair volumes.

Gross margin of 18.2% increased 0.2ppt (H1 2025: 18.0%) but has been impacted by losses in NewLaw in the period as it manages its claims run-off programme.

EBIT for the period increased 6.0% to £18.7m (H1 2025: £17.6m) with improvements in operating efficiencies across the segment, particularly within the bodyshop network, offsetting losses in NewLaw as the claims book is manged down. 

Management of fleet

The total fleet in Claims & Services closed the period at 13,900 vehicles, down from 14,300 at 30 April 2025 with the lower fleet reflecting reduced credit hire volumes. 

The average fleet age at the end of the period was 13.0 months compared to 14.7 months as at 30 April 2025 and 14.8 months at 31 October 2024, reflecting the shorter fleet holding period than in the UK&I and Spain rental businesses due to the different composition of the fleet and usage of those vehicles.

The Claims & Services fleet operates a hybrid financing approach including ownership, leasing and, during peak periods, cross-hiring when needed. 


Group PBT and EPS

Half year ended 31 October

H1 2026

H1 2025

Change

Change

 

£m

£m

£m

%

Underlying EBIT

100.4

99.1

1.3

1.4%

Net finance costs

(18.7)

(17.1)

(1.6)

9.9%

Underlying profit before taxation    

81.7

82.0

(0.3)

(0.4%)

Statutory profit before taxation

65.0

56.2

8.9

15.8%

Underlying effective tax rate

24.0%

23.4%

-

0.6ppt

Underlying EPS

27.6p

28.1p

(0.5p)

(1.8%)

Statutory EPS

22.0p

19.4p

2.6p

13.4%

 

Profit before taxation

Underlying profit before taxation was broadly in line with prior period with growth in underlying EBIT offset by higher net finance costs. Statutory PBT was 15.8% higher due to a reduction in adjustments to depreciation rates on certain fleet of £6.0m, a reduction in exceptional administrative expenses of £2.8m and a decrease of £0.5m in amortisation of acquired intangibles.

Exceptional items

There were no items recognised as exceptional in the period (H1 2025: £2.8m).

Amortisation of acquired intangibles and depreciation rate changes

Amortisation of acquired intangibles and adjustments to underlying depreciation charges are not exceptional items as they are recurring.  However, these items are excluded from underlying results in order to provide a better comparison of performance of the Group. The total amortisation of acquired intangibles charged in the period was £8.7m (H1 2025: £9.2m).

As previously reported, a decision was made to reduce depreciation rates from 1 May 2022 on certain vehicles remaining on the fleet which were purchased before FY 2021 and this impact has not been included underlying results. The total adjustment made to underlying depreciation in the period was a cost of £7.9m (H1 2025: £13.9m). The net adjustment is materially in line with expectations set out in the FY 2025 Annual Report.

Interest

Net finance charges increased to £18.7m (H1 2025: £17.1m) due to higher average debt compared to the prior period. Interest rates are significantly sheltered due to holding 83% of borrowing as fixed rate debt.

Taxation

The Group's underlying tax charge was £19.6m (H1 2025: £19.2m) and the underlying effective tax rate was 24.0% (H1 2025: 23.4%) with the prior period including certain one-off adjustments to the tax charge due to the timing and composition of fleet replacements. The statutory effective tax rate was 23.8% (H1 2025: 22.7%).

Earnings per share

Underlying EPS of 27.6p slightly decreased, being 0.5p lower than prior period, reflecting marginally lower earnings due to the impact of the effective tax rate increase. Statutory EPS of 22.0p was 2.6p higher, reflecting the movement on items that are excluded from underlying profit.

Dividend

The Board has declared an interim dividend of 8.8p per share (H1 2025: 8.8p) to be paid on 9 January 2026 to shareholders on the register as at close of business on 12 December 2025.

The interim dividend represents 50% of the final dividend for the year ended 30 April 2025 in line with previous guidance.

 


 

Group cash flow

Half year ended 31 October

H1 2026

H1 2025

Change

 

£m

£m

£m

Underlying EBIT

100.4

99.1

1.3

Underlying depreciation and amortisation

145.6

129.5

16.1

Underlying EBITDA

246.0

228.6

17.4

Net replacement capex10

(172.3)

(178.9)

6.6

Lease principal payments11

(25.1)

(29.4)

4.3

Steady state cash generation

48.6

20.3

28.3

Working capital and non-cash items

26.0

38.5

(12.5)

Exceptional cash costs

-

(2.8)

2.8

Growth capex10

(73.6)

(53.5)

(20.1)

Taxation

(12.1)

(7.1)

(5.0)

Net operating cash

(11.1)

(4.6)

(6.5)

Distributions from associates

0.6

-

0.6

Interest and other financing

(15.6)

(15.9)

0.3

Free cash flow

(26.1)

(20.5)

(5.6)

Dividends paid

(39.6)

(39.3)

(0.3)

Payments to acquire treasury shares

-

(5.3)

5.3

Add back: lease principal payments12

25.1

29.4

(4.3)

Net cash consumed

(40.6)

(35.7)

(4.9)

 

Steady state cash generation

Steady state cash generation increased to £48.6m (H1 2025: £20.3m), with strong underlying EBITDA coupled with a £6.6m decrease in net replacement capex.

Working capital and non-cash items

Working capital and non-cash items reduced by £12.5m to a cash inflow of £26.0m (H1 2025: £38.5m) with working capital improvements in UK&I and Spain and C&S benefitting from bulk settlements of claims in the prior period.

10 Net replacement capex is total net capex less growth capex. Growth capex represents the cash consumed in order to grow the fleet or the cash generated if the fleet size is reduced in periods of contraction

11 Lease principal payments are included so that steady state cash generation includes all maintenance capex irrespective of funding method

12 Lease principal payments are added back to reflect the movement on net debt

Net capital expenditure

Net capital expenditure increased by £13.5m to £245.9m (H1 2025: £232.4m) due to a £20.1m increase in growth capex10 being partially offset by a £6.6m decrease in net replacement capex10.

Net replacement capex10 was £172.3m (H1 2025: £178.9m), £6.6m lower than the prior period comprising a £17.5m decrease in UK&I, a £3.1m decrease in Claims & Services, partially offset by a £14.0m increase in Spain.

Growth capex10 of £73.6m (H1 2025: £53.5m) comprised £49.6m in Spain, £10.7m in UK&I Rental and £13.3m in Claims & Services with fleet growth in each segment since 30 April 2025.

Lease principal payments of £25.1m (H1 2025: £29.4m) decreased by £4.3m as legacy hire purchase contracts from acquisitions were run off.  

Free cash flow

Free cash flow is stated after taking account of investments in the fleet that have been made in the period which will return future cash flow at a sustainable rate of return ahead of our cost of capital.

Free cash flow decreased by £5.6m to an outflow of £26.1m (H1 2025: £20.5m outflow) and reflects investment in net replacement capex of £172.3m, capex lease payments of £25.1m and growth capex of £73.6m. 

Net cash consumed

Net cash consumed of £40.6m (H1 2025: £35.7m), excluding principal lease payments of £25.1m (H1 2025: £29.4m), comprises free cash outflow of £26.1m (as above), £39.6m of dividends paid (H1 2025: £39.3m) with the prior period including £5.3m for purchase of treasury shares. Leverage has increased to 1.9x from 1.8x at 30 April 2025 in line with expectations.

Net debt

Net debt reconciles as follows:

H1 2026

H1 2025


£m

£m

Opening net debt at 1 May

836.7

742.2

Net cash consumed

40.6

35.7

Other non-cash items

38.6

15.4

Exchange differences

23.4

(10.8)

Closing net debt at 31 October

939.3

782.5

 

Closing net debt was £156.8m higher than net debt at 30 April 2025, driven by net cash consumption of £40.6m and other non-cash items of £38.6m including the recognition of new leases. The foreign exchange impact on net debt was a £23.4m increase.  The net book value of fleet on the balance sheet at 31 October 2025 was £1.68bn compared to £1.51bn at 30 April 2025.

 

Borrowing facilities

As at 31 October 2025 the Group had headroom on facilities of £341m, with £794m drawn (net of available cash balances) against total facilities of £1,135m as detailed below:

Facility

£m

Drawn

£m

Headroom

£m

Maturity

 

Borrowing

Cost

UK bank facilities

523

211

312

Apr-30

4.3%

Loan notes

498

498

-

Nov 27 - Oct 34

2.4%

Asset financing facility

100

75

25

Oct 26

5.4%

Other loans

14

10

4

Nov 26

2.9%


1,135

794

341

 

3.2%

The above drawn amounts reconcile to net debt as follows:

 

 

Drawn

£m

Borrowing facilities


794

Unamortised finance fees


(7)

Leases


152

Net debt

 

939

 


There are three financial covenants under the Group's facilities as follows:

 Threshold

Oct-25

Headroom

Oct-24

Interest cover

3x

6.8x

£109m (EBIT)

7.4x

Loan to value

70%

44%

£464m (net debt)

41%

Debt leverage

3x

1.9x

£161m (EBITDA)

1.6x

The covenant calculations have been prepared in accordance with the requirements of the facilities to which they relate.

Balance sheet

Net assets at 31 October 2025 were £1,083.9m (FY 2025: £1,063.2m), equivalent to net assets per share of 480p (FY 2025: 473p). Net tangible assets at 31 October 2025 were £886.6m (FY 2025: £856.9m), equivalent to a net tangible asset value of 393p per share (FY 2025: 381p per share).

Gearing at 31 October 2025 was 105.9% (FY 2025: 97.6%) and ROCE was 11.9% (FY 2025: 12.6%).

Going concern

Having considered the Group's current trading, cash flow generation and debt maturity, the Directors have concluded that it is appropriate to prepare the Group financial statements on a going concern basis.

Risks and uncertainties

The Board and the Group's management have clearly defined responsibility for identifying the major business risks facing the Group and for developing systems to mitigate and manage those risks.

The principal risks and uncertainties facing the Group at 30 April 2025 were set out in detail on pages 58 to 63 of the FY 2025 Annual Report, a copy of which is available at www.zigup.com, and were identified as:

·     The world we live in

·     Our markets and customers

·     Fleet availability

·     Our people

·     Regulatory environment

·     Technology and digitalisation

·     Recovery of contract assets

·     Access to capital

These principal risks have not changed since the last Annual Report and continue to be those that could impact the Group during the second half of the current financial year.

 

Alternative performance measures and glossary of terms

A reconciliation of statutory to underlying Group performance is outlined at the front of this document. A reconciliation of underlying cash flow measures and additional alternative performance measures used to assess performance of the Group is shown below.

 

 

Six months

to 31.10.25

Six months

to 31.10.24


 

£m

£m

Underlying EBIT

 

100.4

99.1

Add back:


 


Depreciation of property, plant and equipment

 

153.0

142.7

Depreciation rate change adjustments not in underlying operating profit

 

(7.9)

(13.9)

Intangible amortisation included in underlying operating profit (Note 6)

 

0.8

0.7

Gain on disposal of other property, plant and equipment

 

(0.3)

-

Underlying EBITDA

 

246.0

228.6

Net replacement capex1

 

(172.3)

(178.9)

Lease principal payments

 

(25.1)

(29.4)

Steady state cash generation

 

48.6

20.3

Working capital and non-cash items

 

26.0

38.5

Exceptional cash costs

 

-

(2.8)

Growth capex2

 

(73.6)

(53.5)

Taxation

 

(12.1)

(7.1)

Net operating cash

 

(11.1)

(4.6)

Distributions from associates

 

0.6

-

Interest and other financing costs

 

(15.6)

(15.9)

Free cash flow

 

(26.1)

(20.5)

Payments to acquire treasury shares

 

-

(5.3)

Dividends paid

 

(39.6)

(39.3)

Add back: lease principal payments3

 

25.1

29.4

Net cash consumed

 

(40.6)

(35.7)

 

 

 


Reconciliation to cash flow statement:

 

 


Net increase in cash and cash equivalents

 

8.4

6.2

Add back:

 

 


Receipt of bank loans and other borrowings

 

(81.0)

(159.1)

Repayments of bank loans and other borrowings

 

6.9

87.8

Principal element of lease payments

 

25.1

29.4

Net cash consumed

 

(40.6)

(35.7)

 

 

 


Reconciliation of capital expenditure

 

 


Purchases of vehicles for hire

 

347.9

340.7

Proceeds from disposals of vehicles for hire


(106.5)

(115.8)

Proceeds of disposal of other property, plant and equipment


(0.9)

(0.5)

Purchases of other property plant and equipment


5.1

6.5

Purchases of intangible assets


0.3

1.5

Net capital expenditure


245.9

232.4

Net replacement capex1


172.3

178.9

Growth capex2


73.6

53.5

Net capital expenditure


245.9

232.4

 


 


1 Net capital expenditure other than that defined as growth capex

2 Growth capex represents the cash consumed in order to grow the total owned fleet or the cash generated if the owned fleet size is reduced in periods of contraction

3Lease principal payments are added back to reflect the movement on net debt

 

 

 

 UK&I Rental

6 months to 31.10.25

£000

Spain Rental

6 months to 31.10.25

£000

Group

Sub-total

6 months to 31.10.25

£000





Underlying operating profit1

40,974

45,853

86,827

Exclude:




Adjustments to underlying depreciation charge in relation to vehicles sold in the period and profit on sale of directly acquired vehicles

(5,860)

(12,899)

(18,759)

Rental profit

35,114

32,954

68,068

Divided by: Revenue: hire of vehicles2

208,250

170,687

378,937

Rental margin

16.9%

19.3%

18.0%









 

 

 

 

 

UK&I Rental

6 months to 31.10.24

£000

Spain Rental

6 months to 31.10.24

£000

Group

Sub-total

6 months to 31.10.24

£000





Underlying operating profit1

44,401

40,525

84,926

Exclude:




Adjustments to underlying depreciation charge in relation to vehicles sold in the period and profit on sale of directly acquired vehicles

(13,644)

(12,189)

(25,833)

Rental profit

30,757

28,336

59,093

Divided by: Revenue: hire of vehicles2

195,559

146,812

342,371

Rental margin

15.7%

19.3%

17.3%

 

1 See Note 2 to the financial statements for reconciliation of segment underlying operating profit to Group underlying operating profit.

2 Revenue: hire of vehicles including intersegment revenue (see Note 2 to the financial statements).

Number of vehicles

UK&I Rental

6 months to 31.10.2025

Spain Rental

6 months to 31.10.2025

C&S

6 months to 31.10.2025

Group sub-total

6 months to 31.10.2025

 

 

 

 

 

Opening fleet as at 30 April 2025*

47,200

73,200

14,300

134,700

Purchases

7,300

10,000

2,000

19,300

Disposals

(6,800)

(6,900)

(1,200)

(14,900)

Transfers

400

-

(400)

-

Movements on direct vehicles

(300)

-

-

(300)

Movement on leased vehicles

-

-

(800)

(800)

Closing fleet as at 31 October 2025*

47,800

76,300

13,900

138,000






Closing owned fleet

43,100

74,900

5,100

123,100

Closing leased fleet

3,300

-

8,800

12,100

Closing total fleet (ex-sales stock)

46,400

74,900

13,900

135,200

Closing sales stock

1,300

1,500

-

2,800






Purchases for growth

500

3,100

800

4,400

Sales in contraction

-

-

-

-

Growth in owned fleet for growth capex**

500

3,100

800

4,400






Purchases for replacement

6,800

6,900

1,200

14,900

Sales for replacement

(6,800)

(6,900)

(1,200)

(14,900)

Net replacements

-

-

-

-






Disposals

6,800

6,900

1,200

14,900

Exclude: intercompany sales

-

-

(700)

(700)

Sale of ex-C&S fleet, ex-leased stock and directly acquired vehicles

1,600

-

-

1,600

Total external vehicle sales

8,400

6,900

500

15,800

* Including sales stock
** Growth in owned fleet includes movement on sales stock and excludes vehicles held under leasing


Number of vehicles

UK&I Rental

6 months to 31.10.2025

Spain Rental

6 months to 31.10.2025

C&S

6 months to 31.10.2025

Group sub-total

6 months to 31.10.2025

 

 

 

 

 

Purchases

7,300

10,000

2,000

19,300

Disposals

(6,800)

(6,900)

(1,200)

(14,900)






Purchases for growth

500

3,100

800

4,400

Sales in contraction

-

-

-

-

Growth in owned fleet for growth capex

500

3,100

800

4,400

 

 

 

 

 

Volume of replacements

6,800

6,900

1,200

14,900

 

 

 

 

 

Extracts from cashflow: outflow (inflow)

£m

£m

£m

£m

Underlying EBITDA***

100.5

107.8

42.7

251.0

 

 

 

 

 

Growth capex

10.7

49.7

13.2

73.6

Net replacement capex

100.6

71.6

0.1

172.3

Net capex

111.3

121.3

13.3

245.9

 

 

 

 

 

Proceeds of disposals of vehicles for hire

(47.6)

(37.9)

(21.0)

(106.5)

Purchases of vehicles for hire

157.6

157.4

32.9

347.9

Other net capex

1.3

1.8

1.4

4.5

Net capex

111.3

121.3

13.3

245.9

 

***Excludes corporate costs of (£5.0)m

Glossary of terms

The following defined terms have been used throughout this document:

Term

Definition

Auxillis

A trading name used by the Claims & Services segment.  A business which generates revenue from insurance claims and services

API solutions

A set of protocols and tools that allow different software applications to communicate with each other

BVRLA

A UK trade association representing companies engaged in vehicle rental, leasing and fleet management

Capex

Capital expenditure

Capital employed

Net assets excluding net debt, goodwill and acquired intangible assets, and the adjustment to net book values for changes to depreciation rates which have not been reflected in the underlying results.

Claims & Services

The Claims & Services operating segment representing the insurance claims and services part of the Group providing a range of mobility solutions

Company

ZIGUP plc

Disposal profit(s)

This is a non-GAAP measure used to describe the adjustment in the depreciation charge made in the period for vehicles sold at an amount different to their net book value at the date of sale (net of attributable selling costs)

EBIT

Earnings before interest and taxation. Underlying unless otherwise stated

EBIT margin

Calculated as EBIT divided by revenue (excluding vehicle sales)

EBITDA

Earnings before interest, taxation, depreciation and amortisation

e-LCV(s)

Electrically powered LCV(s)

EPS

Earnings per share. Underlying unless otherwise stated

EV(s)

Electric vehicle(s)

Facility headroom

Calculated as borrowing facilities of £1,135m less net borrowings of £794m. Net borrowings represent net debt of £939m excluding lease liabilities of £152m and unamortised arrangement fees of £7m.

FMG RS

A business within the Claims & Services operating segment, providing vehicle repair services

Free cash flow

Net cash generated after principal lease payments and before share buybacks and the payment of dividends

FY 2025

The year ending 30 April 2025

GAAP

Generally Accepted Accounting Principles: meaning compliance with IFRS

Gearing

Calculated as net debt divided by net tangible assets

Group

The Company and its subsidiaries

Growth capex

Growth capex represents the cash consumed in order to grow the total owned rental fleet or the cash generated if the fleet size is reduced in periods of contraction

H1 2025

The six month period ended 31 October 2024

H1 2026

The six month period ended 31 October 2025

H2 2025

The six month period ended 30 April 2025

H1/H2

Half year period: H1 being the first half and H2 being the second half of the financial year

ICE vehicles

Vehicles powered by an internal combustion engine

IFRS

International Financial Reporting Standards

Income from associates

The Group's share of net profits of associates accounted for using the equity method

LCV(s)

Light commercial vehicle(s): the official term used within the UK and European Union for a commercial carrier vehicle with a gross vehicle weight of not more than 3.5 tonnes

Leverage

Net debt divided by rolling 12 month EBITDA, calculated in accordance with the Group's debt facility arrangements on a pre IFRS 16 basis

Net replacement capex

Net capital expenditure other than that defined as growth capex and lease principal payments

Net tangible assets

Net assets less goodwill and other intangible assets

NewLaw

A business within the Claims & Services operating segment providing legal services

OEM(s)

Original equipment manufacturer(s): a reference to the Group's vehicle suppliers

PBT

Profit before taxation. Underlying unless otherwise stated

PPU

Profit per unit/loss per unit - this is a non-GAAP measure used to describe disposal profit (as defined), divided by the number of vehicles sold

Rental margin

Calculated as rental profit divided by revenue (excluding vehicle sales) within the UK&I Rental and Spain Rental parts of the Group

Rental profit(s)

EBIT excluding disposal profits within the UK&I Rental and Spain Rental parts of the Group

ROCE

Underlying return on capital employed: calculated as underlying EBIT (see non-GAAP reconciliation) divided by average capital employed

Spain Rental

The Spain Rental operating segment located in Spain and providing commercial vehicle hire and ancillary services

Spain/Spanish

Referring to the Spain Rental operating segment

Steady state cash generation

Underlying EBITDA less net replacement capex and lease principal payments

Trustpilot

An independent digital platform for consumers to share experiences of interactions with businesses

UK&I

Referring to the UK&I Rental operating segment

UK&I Rental

The UK&I Rental operating segment located in the United Kingdom and the Republic of Oreland providing commercial vehicle hire and ancillary services

Utilisation

Calculated as the average number of vehicles on hire divided by average rentable fleet in any period

Van Monster

A trading name within the UK&I segment.  The part of the UK&I segment that manages external vehicle sales

VoH

Vehicles on hire. Average unless otherwise stated

ZIGUP

The Group


 

Condensed consolidated income statement  

for the six months ended 31 October 2025

 



Six months

Six months

Year to



to 31.10.25

to 31.10.24

30.04.25



(Unaudited)

(Unaudited)

(Audited)


Notes

£000

£000

£000

Revenue: hire of vehicles

2

373,656

338,208

682,888

Revenue: sale of vehicles

2

119,712

128,663

257,600

Revenue: claims and services

2

436,281

436,768

872,156

Total revenue

2

929,649

903,639

1,812,644

Cost of sales


(719,459)

(709,160)

(1,414,745)

Gross profit


210,190

194,479

397,899

Administrative expenses (excluding exceptional items)


(123,189)

(114,710)

(232,497)

Net impairment of trade receivables (excluding exceptional items)


(3,783)

(3,937)

(8,417)

Exceptional administrative expenses: impairment of trade receivables


-

-

(3,006)

Exceptional administrative expenses: other operating costs

11

-

(2,758)

(17,617)

Total administrative expenses


(126,972)

(121,405)

(261,537)

Operating profit


83,218

73,074

136,362

Share of net profit of associates accounted for using the equity method

2,8

580

166

170

EBIT

2

83,798

73,240

136,532

Finance income


573

935

1,495

Finance costs


(19,342)

(18,014)

(36,559)

Profit before taxation


65,029

56,161

101,468

Taxation

3

(15,451)

(12,744)

(21,623)

Profit for the period


49,578

43,417

79,845

Profit for the period is wholly attributable to owners of the Company. All results arise from continuing operations.

Earnings per share





Basic

4

22.0p

19.4p

35.6p

Diluted

4

21.2p

18.9p

34.9p


 

Condensed consolidated statement of comprehensive income


for the six months ended 31 October 2025





Six months

Six months

Year to


to 31.10.25

to 31.10.24

30.04.25


(Unaudited)

(Unaudited)

 (Audited)


£000

£000

£000

Amounts attributable to owners of the Company




Profit attributable to owners

49,578

43,417

79,845

 

Other comprehensive income (expense)

Foreign exchange differences on retranslation of net assets of subsidiary undertakings

25,525

(10,810)

1,413

Foreign exchange differences on long term borrowings held as hedges

(19,788)

7,774

(1,859)

Foreign exchange difference on revaluation reserve

39

(20)

(2)

Net fair value gain (loss) on cash flow hedges

4

(120)

(104)

Deferred tax (charge) credit recognised directly in equity relating to cash flow hedges

(1)

30

26

Total other comprehensive income (expense) for the period

5,779

(3,146)

(526)

Total comprehensive income for the period

55,357

40,271

79,319

 

 

All items will subsequently be reclassified to the consolidated income statement.


Condensed consolidated balance sheet 

As at 31 October 2025




31.10.25

31.10.24

30.04.25




(Unaudited)

(Unaudited)

(Audited)



Note

£000

£000

£000

Non-current assets






Goodwill


6

111,906

115,918

111,906

Other intangible assets


6

85,240

102,617

94,336

Property, plant and equipment


7

1,856,842

1,606,091

1,683,456

Deferred tax assets



1,769

1,750

1,095

Interest in associates


8

-

4,651

-

Total non-current assets



2,055,757

1,831,027

1,890,793

Current assets






Inventories



26,306

25,541

28,509

Receivables and contract assets



372,520

408,634

378,147

Derivative financial instrument assets



65

-

-

Income tax assets



5,939

2,077

4,202

Cash and bank balances


9

39,575

15,116

33,738

Total current assets



444,405

451,368

444,596

Total assets



2,500,162

2,282,395

2,335,389

Current liabilities






Trade and other payables



369,794

380,727

340,450

Provisions



5,048

6,495

4,738

Derivative financial instrument liabilities



61

16

-

Income tax liabilities



8,198

1,023

238

Lease liabilities



43,435

45,950

39,507

Borrowings



43,280

22,159

54,367

Total current liabilities



469,816

456,370

439,300

Net current (liabilities) assets



(25,411)

(5,002)

5,296

Non-current liabilities






Income tax liabilities



-

-

2,549

Provisions



10,652

8,852

10,323

Lease liabilities



108,387

103,000

98,473

Borrowings



783,725

626,486

678,086

Deferred tax liabilities



43,718

46,978

43,501

Total non-current liabilities



946,482

785,316

832,932

Total liabilities



1,416,298

1,241,686

1,272,232

NET ASSETS



1,083,864

1,040,709

1,063,157

Equity






Share capital


12

118,046

123,046

123,046

Share premium account



113,510

113,510

113,510

Treasury shares reserve


12

(26,483)

(72,821)

(72,820)

Own shares reserve



(9,858)

(4,461)

(3,740)

Translation reserve



(1,468)

(9,795)

(7,205)

Other reserves



335,496

330,424

330,454

Retained earnings



554,621

560,806

579,912

TOTAL EQUITY



1,083,864

1,040,709

1,063,157

          Total equity is wholly attributable to owners of the Company.

 

Condensed consolidated cash flow statement

  

for the six months ended 31 October 2025

 

 


 



Six months

Six months

Year to



to 31.10.25

to 31.10.24

30.04.25



(Unaudited)

(Unaudited)

(Audited)


 Note

£000

£000

£000

Cash generated from operations

10

272,103

264,287

509,730

Income taxes paid, net


(12,131)

(7,108)

(18,255)

Interest paid


(18,392)

(17,079)

(34,855)

Net cash generated from operations before purchases of and proceeds from disposals of vehicles for hire


241,580

240,100

456,620

Purchases of vehicles for hire


(347,939)

(340,656)

(672,744)

Proceeds from disposals of vehicles for hire


106,522

115,810

232,576

Net cash generated from operations


163

15,254

16,452

Investing activities





Interest received


573

935

1,495

Distributions from associates

8

580

17

476

Proceeds from disposal of other property, plant and equipment

886

429

965

Purchases of other property, plant and equipment

(5,145)

(6,520)

(11,106)

Purchases of other intangible assets


(281)

(1,496)

(3,098)

Net cash used in investing activities

 

(3,387)

(6,635)

(11,268)

Financing activities

 




Dividends paid

(39,579)

(39,273)

(59,042)

Receipt of bank loans and other borrowings

81,018

159,131

212,685

Repayments of bank loans and other borrowings

(6,914)

(87,807)

(87,680)

Debt issue costs paid

-

-

(4,022)

Principal element of lease payments

(25,123)

(29,384)

(59,501)

Payments to acquire treasury shares

-

(5,333)

(5,332)

Proceeds from sale of own shares

2,208

208

263

Net cash generated from (used in) financing activities


11,610

(2,458)

(2,629)

Net increase decrease in cash and cash equivalents


8,386

6,161

2,555

Cash and cash equivalents at the beginning of the period


(3,870)

(6,818)

(6,818)

Effect of foreign exchange movements


741

(594)

393

Cash and cash equivalents at the end of the period


5,257

(1,251)

(3,870)

 




Cash and bank balances

9

39,575

15,116

33,738

Bank overdrafts

9

(34,318)

(16,367)

(37,608)



5,257

(1,251)

(3,870)

 

The presentation of line items above net cash generated from operations is consistent with the year ended 30 April 2025 and the comparatives for the six months to 31 October 2024 have been restated to be presented in the Consolidated cash flow statement instead of the Notes to the consolidated cash flow statement in line with the requirements of IAS 7.

 

 

Condensed consolidated statement of changes in equity

for the six months ended 31 October 2025


Share capital and share premium

 

 

Treasury shares

 

 

Own shares

Translation reserve

Other reserves

Retained earnings

Total


£000

£000

£000

£000

£000

£000

£000

Total equity at 30 April 2024 and 1 May 2024

236,556

(67,488)

(9,694)

(6,759)

330,534

560,248

1,043,397

Share options fair value charge

-

-

-

-

-

1,439

1,439

Share options exercised

-

-

-

-

-

(5,025)

(5,025)

Dividends paid

-

-

-

-

-

(39,273)

(39,273)

Purchase of shares net of proceeds received on exercise of share options

-

(5,333)

208

-

-

-

(5,125)

Transfer of shares on vesting of share options

-

-

5,025

-

-

-

5,025

Total comprehensive (expense) income

-

-

-

(3,036)

(110)

43,417

40,271

Total equity at 31 October 2024 and 1 November 2024

236,556

(72,821)

(4,461)

(9,795)

330,424

560,806

1,040,709

Share options fair value charge

-

-

-

-

-

2,252

2,252

Share options exercised

-

-

-

-

-

(667)

(667)

Dividends paid

-

-

-

-

-

(19,769)

(19,769)

Proceeds received on exercise of share options

-

1

54

-

-

-

55

Transfer of treasury shares to own shares reserve

-

-

-

-

-

-

-

Transfer of shares on vesting of share options

-

-

667

-

-

-

667

Deferred tax on share based payments recognised in equity

-

-

-

-

-

862

862

Total comprehensive (expense) income

-

-

-

2,590

30

36,428

39,048

Total equity at 30 April 2025 and 1 May 2025

236,556

(72,820)

(3,740)

(7,205)

330,454

579,912

1,063,157

Share options fair value charge

-

-

-

-

-

2,721

2,721

Share options exercised


-

-

-

-

(2,367)

(2,367)

Share cancellation

(5,000)

35,644

-

-

5,000

(35,644)

-

Dividends paid

-

-

-

-

-

(39,579)

(39,579)

Proceeds received on exercise of share options

-

-

2,208

-

-

-

2,208

Transfer of treasury shares to own shares reserve

-

10,693

(10,693)

-

-

-

-

Transfer of shares on vesting of share options

-

-

2,367

-

-

-

2,367

Total comprehensive income

-

-

-

5,737

42

49,578

55,357

Total equity at 31 October 2025

231,556

(26,483)

(9,858)

(1,468)

335,496

554,621

1,083,864


Other reserves comprise the capital redemption reserve, revaluation reserve, merger reserve, other reserve and hedging reserve.

 

Explanatory notes to the interim financial statements











1. Basis of preparation and accounting policies










ZIGUP plc is a company incorporated in England and Wales under the Companies Act 2006.

This condensed consolidated interim financial report for the half year reporting period ended 31 October 2025 has been prepared in accordance with the UK-adopted International Accounting Standard 34, 'Interim Financial Reporting' and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority. The interim report does not include all of the notes of the type normally included in an annual financial report. Accordingly, this report is to be read in conjunction with the annual report for the year ended 30 April 2025, which has been prepared in accordance with UK-adopted International Accounting Standards and the requirements of the Companies Act 2006, and any public announcements made by the Group during the interim reporting period.  

The accounting policies adopted are consistent with those of the previous financial year.

The condensed financial statements are unaudited and were approved by the Board of Directors on 3 December 2025. The condensed financial statements have been reviewed by the auditors and the independent review report is set out in this document.

The interim financial information for the six months ended 31 October 2025, including comparative financial information, has been prepared on the basis of the accounting policies set out in the last annual report and accounts. There are no new accounting standards that have been adopted in the period.

In preparing the interim financial statements, the significant judgements made by management in applying the Group's accounting policies and key sources of estimation uncertainty were the same, in all material respects, as those applied to the consolidated financial statements for the year ended 30 April 2025. Depreciation charges reflect adjustments made as a result of differences between expected and actual residual values of used vehicles, taking into account the further directly attributable costs to sell the vehicles.

The Directors apply judgement in determining the appropriate method of depreciation (straight line) and are required to estimate the future residual value of vehicles with due consideration of variables including age, mileage and condition.

Residual values have increased in recent years due to the well-publicised new vehicle supply constraints increasing demand for our vehicle assets with values now beginning to normalise. This has increased the level of judgement as it is more difficult to estimate the future residual value of vehicles at the point they are expected to be sold. Depreciation rates were adjusted in 1 May 2022 with the adjustment presented outside of underlying results.  Depreciation rates will remain under review as the longer term impact on residual values becomes clearer.

By their very nature, claims against motor insurance companies or self-insuring organisations can be subject to dispute, and are therefore considered to be variable consideration. On initial recognition, this consideration is adjusted to exclude any revenue at significant risk of reversal. The Group records revenue net of potential reversal on the settlement of claims, which reflects the Group's estimate of the expected recoverable amounts from insurers. The Group reassesses the amounts of variable consideration at the balance sheet date reflecting the latest information available on the settlement of claims in the period.

The Group's estimation of the amounts of revenue arising on settlement of claims is calculated with reference to a number of factors, including the Group's historical experience of collection levels, its anticipated collection profiles and analysis of the current profile of the claims against insurance companies. Although in principle this is determined by reference to individual cases, in practice the homogeneous nature of most claims means that the level of adjustment is calculated by reference to specific categories of claim.

Going concern assumption

The Directors have taken into account the following matters in concluding whether or not it is appropriate to prepare the interim financial statements on a going concern basis:

Assessment of prospects

The Group's prospects are assessed through its strategic planning process. This process includes an annual review of the ongoing strategic plan, led by the CEO, together with the involvement of business functions in all territories. The Board engages closely with executive management throughout this process and challenges delivery of the strategic plan during regular Board meetings. Part of the Board's role is to challenge the plan to ensure it is robust and makes due consideration of the appropriate external environment.

Assessment of going concern

The strategy and associated principal risks underpin the Group's three year strategic plan ("the Plan"), which is updated annually. This process considers the current and prospective macro-economic conditions in the countries in which we operate and the competitive tension that exists within the markets that we trade in.

The Plan also encompasses the projected cash flows, dividend cover assuming operation of stated policy and headroom against borrowing facilities and financial covenants under the Group's facilities throughout the planned period. The Plan makes certain assumptions about the level of capital recycling likely to occur and therefore considers whether additional financing will be required. Headroom against the Group's debt facilities at 31 October 2025 was £341m. This compares to headroom of £412m at 30 April 2025. At the date of signing these unaudited financial statements, all of the Group's principal borrowing facilities have maturity dates outside of the period under review, therefore the Group's facilities provide sufficient headroom to fund the capital expenditure and working capital requirements for at least 12 months following the date of this report.

Information extracted from 2025 annual report

The financial figures for the year ended 30 April 2025, as set out in this report, do not constitute statutory accounts but are derived from the statutory accounts for that financial year.

The statutory accounts for the year ended 30 April 2025 were prepared with UK-adopted International Accounting Standards and the Companies Act 2006 applicable to companies reporting under IFRS and were delivered to the Registrar of Companies on 22 October 2025 and were approved by the Board of Directors on 9 July 2025. The audit report was unqualified, did not draw attention to any matters by way of emphasis and did not include a statement under Section 498(2) or 498(3) of the Companies Act 2006.

 


 

2. Segmental analysis

Management has determined the operating segments based upon the information provided to the Board of Directors, which is considered to be the chief operating decision maker. The Group identifies three reportable segments, namely UK&I Rental, Spain Rental and Claims & Services. The principal activities of these divisions are set out in the Operating review.

 

 

UK&I Rental

Six months to 31.10.25 (Unaudited)

£000

Spain Rental

Six months to 31.10.25 (Unaudited)

£000

Claims & Services

Six months to 31.10.25 (Unaudited)

£000

Corporate

Six months to 31.10.25 (Unaudited)

£000

 

Eliminations

Six months to 31.10.25 (Unaudited)

£000

 Total

Six months      to 31.10.25 (Unaudited)

£000

Revenue: hire of vehicles

202,969

170,687

-

-

-

373,656

Revenue: sale of vehicles

70,443

41,345

7,924

-

-

119,712

Revenue: claims and services

-

-

436,281

-

-

436,281

External revenue

273,412

212,032

444,205

-

-

929,649

Intersegment revenue

5,281

-

18,424

-

(23,705)

-

Total revenue

278,693

212,032

462,629

-

(23,705)

929,649

Underlying cost of sales1

(204,717)

(148,397)

(382,133)

-

23,705

(711,542)

Underlying administrative expenses (see page 4)

(33,002)

(17,782)

(62,426)

(5,032)

-

(118,242)

Underlying operating profit (loss)

40,974

45,853

18,070

(5,032)

-

99,865

Share of net profit of associates accounted for using the equity method

-

-

580

-

-

580

Underlying EBIT*

40,974

45,853

18,650

(5,032)

-

100,445

Amortisation on acquired intangible assets (Note 6)

 

 

 

 

 

(8,730)

Adjustments to underlying depreciation charge






(7,917)

EBIT






83,798

Finance income

 

 

 

 

 

573

Finance costs






(19,342)

Profit before taxation






65,029

1 Underlying cost of sales is gross of cost of vehicle sales of £119.7m (see page 4).

* Underlying EBIT stated before amortisation on acquired intangible assets, adjustments to underlying depreciation charge and exceptional items is the measure used by the Board of Directors to assess segment performance. Net impairment of trade receivables is included in underlying EBIT.

 

2. Segmental analysis (continued)

 

 

UK&I Rental

Six months to 31.10.24 (Unaudited)

£000

Spain Rental

Six months to 31.10.24 (Unaudited)

£000

Claims & Services

Six months to 31.10.24 (Unaudited)

£000

Corporate

Six months to 31.10.24 (Unaudited)

£000

 

Eliminations

Six months to 31.10.24 (Unaudited)

£000

 Total

Six months      to 31.10.24 (Unaudited)

£000

Revenue: hire of vehicles

191,396

146,812

-

-

-

338,208

Revenue: sale of vehicles

93,078

35,116

469

-

-

128,663

Revenue: claims and services

-

-

436,768

-

-

436,768

External revenue

284,474

181,928

437,237

-

-

903,639

Intersegment revenue

4,163

-

31,930

-

(36,093)

-

Total revenue

288,637

181,928

469,167

-

(36,093)

903,639

Underlying cost of sales1

(214,815)

(127,085)

(389,421)

-

36,093

(695,228)

Underlying administrative expenses (see page 4)

(29,421)

(14,318)

(62,321)

(3,417)

-

(109,477)

Underlying operating profit (loss)

44,401

40,525

17,425

(3,417)

-

98,934

Share of net profit of associates accounted for using the equity method

-

-

166

-

-

166

Underlying EBIT*

44,401

40,525

17,591

(3,417)

-

99,100

Exceptional items (Note 11)

 

 

 

 

 

(2,758)

Amortisation of acquired intangible assets (Note 6)






(9,170)

Depreciation adjustment






(13,932)

EBIT






73,240

Finance income

 

 

 

 

 

935

Finance costs






(18,014)

Profit before taxation






56,161

 

1 Underlying cost of sales is gross of cost of vehicle sales of £128.7m (see page 4).

Comparatives for the six months to 31 October 2024 have been restated to include the segmental underlying cost of sales and segmental underlying administrative expenses.

 

2. Segmental analysis (continued)

 

UK&I Rental

year to 30.04.2025 (Audited)

£000

Spain Rental

Year to 30.04.25 (Audited)

£000

Claims & Services

Year to 30.04.2025 (Audited)

£000

Corporate

Year to 30.04.25 (Audited)

£000

 

Eliminations

Year to 30.04.25 (Audited)

£000

 Total

Year to      30.04.25 (Audited)

£000

Revenue: hire of vehicles

382,790

300,098

-

-

-

682,888

Revenue: sale of vehicles

180,473

75,621

1,506

-

-

257,600

Revenue: claims and services

-

-

872,156

-

-

872,156

External revenue

563,263

375,719

873,662

-

-

1,812,644

Intersegment revenue

9,293

-

59,351

-

(68,644)

-

Total revenue

572,556

375,719

933,013

-

(68,644)

1,812,644

Underlying cost of sales1

(420,595)

(263,543)

(772,770)

-

68,644

(1,388,264)

Underlying administrative expenses (see page 4)

(61,578)

(30,396)

(122,105)

(8,516)

-

(222,595)

Underlying operating profit (loss)

90,383

81,780

38,138

(8,516)

-

201,785

Share of net profit of associates accounted for using the equity method

-

-

170

-

-

170

Underlying EBIT*

90,383

81,780

38,308

(8,516)

-

201,955

Exceptional items (Note 11)

 

 

 

 

 

(20,623)

Amortisation of acquired intangible assets (Note 6)






(18,319)

Depreciation adjustment






(26,481)

EBIT






136,532

Finance income

 

 

 

 

 

1,495

Finance costs






(36,559)

Profit before taxation






101,468

1 Underlying cost of sales is gross of cost of vehicle sales of £257.7m.

 

3. Taxation

The charge for taxation for the six months to 31 October 2025 of £15,451,000 (31 October 2024: £12,744,000 and 30 April 2025: £21,623,000) is based on the estimated effective rate for the year ending 30 April 2026 of 23.8% (31 October 2024: 22.7% and 30 April 2025: 21.3%).

 

4. Earnings per share

 





Six months

Six months

Year to


to 31.10.25

to 31.10.24

30.04.25


(Unaudited)

(Unaudited)

(Audited)


Statutory

Statutory

Statutory

Basic and diluted earnings per share

£000

£000

£000

The calculation of basic and diluted earnings per share is based on the following data:




Earnings




Earnings for the purposes of basic and diluted earnings per share, being profit attributable to owners of the Company

49,578

43,417

79,845

Number of shares




Weighted average number of Ordinary shares for the purpose of basic earnings per share

225,299,349

223,832,445

224,263,336

Effect of dilutive potential Ordinary shares - share options

8,043,018

6,240,418

4,294,495

Weighted average number of Ordinary shares for the purpose of diluted earnings per share

233,342,367

230,072,863

228,557,831

Basic earnings per share

22.0p

19.4p

35.6p

Diluted earnings per share

21.2p

18.9p

34.9p

The calculated weighted average number of Ordinary shares for the purpose of basic earnings per share includes a reduction of 7,877,974 shares (31 October 2024: 20,108,081 and 30 April 2025: 20,179,932) relating to treasury shares and includes a reduction of 2,968,448 shares (31 October 2024: 2,150,897 and 30 April 2025: 1,648,155) for shares held in employee trusts.

5. Dividends

In the six months to 31 October 2025, a dividend of £39,579,000 was paid (31 October 2024: £39,273,000) for the year ended 30 April 2025. The Directors have declared an interim dividend of £8.8p per share for the six months ended 31 October 2025 (31 October 2024: 8.8p).

The final dividend of 17.6p in relation to the year ended 30 April 2025 was paid in September 2025.

 

6. Intangible assets

Net book value

Goodwill

 

Other intangible assets

Grand total

 


 

 

Customer
relationships

 

Brand
names

Other

software

Total

 

 

 

 

£000

 

£000

£000

£000

£000

£000

 

At 1 May 2024

115,918


96,343

9,165

5,546

111,054

226,972

 

Additions

-


-

-

1,496

1,496

1,496

 

Amortisation

-


(8,095)

(503)

(1,277)

(9,875)

(9,875)

 

Exchange differences

-


-

-

(58)

(58)

(58)

 

At 31 October 2024 and 1 November 2024

115,918


88,248

8,662

5,707

102,617

218,535

 

Additions

-


-

-

1,602

1,602

1,602

 

Amortisation

-


(8,092)

(497)

(1,348)

(9,937)

(9,937)

 

Impairment of goodwill

(4,012)


-

-

-

-

(4,012)


Exchange differences

-


-

-

54

54

54

 

At 30 April 2025 and 1 May 2025

111,906

 

80,156

8,165

6,015

94,336

206,242

 

Additions

-


-

-

281

281

281

 

Amortisation

-


(8,092)

(497)

(896)

(9,485)

(9,485)

 

Exchange differences

-


-

-

108

108

108

 

At 31 October 2025

111,906

 

72,064

7,668

5,508

85,240

197,146

 

 

At 31 October 2025






Cost or fair value





334,140

Accumulated amortisation and impairment





(136,994)

Net book value

 

 

 

 

197,146

 

Amortisation was included within the income statement as follows:

Six months

Six months

Year to


to 31.10.25

to 31.10.24

30.04.25


(Unaudited)

(Unaudited)

(Audited)


£000

£000

£000

Included within underlying operating profit as administrative expenses

755

705

1,493

Excluded from underlying operating profit*

8,730

9,170

18,319

 

9,485

9,875

19,812

* Amortisation of intangible assets excluded from underlying operating profit relates to intangible assets recognised on business combinations.

 

7. Property, plant and equipment

Net book value


Vehicles for hire

Other property, plant & equipment

 

Total

 

 

 

£'000

£000

£000

At 1 May 2024


1,300,680

182,664

1,483,344

Additions


374,623

11,026

385,649

Disposals


-

(413)

(413)

Transfer to inventories


(105,180)

-

(105,180)

Depreciation


(128,529)

(14,202)

(142,731)

Exchange differences


(13,439)

(1,139)

(14,578)

At 31 October 2024 and 1 November 2024


1,428,155

177,936

1,606,091

Additions


322,972

11,071

334,043

Disposals


-

(2,056)

(2,056)

Impairment charge


-

(1,043)

(1,043)

Transfer to inventories


(122,965)

-

(122,965)

Depreciation


(130,158)

(14,668)

(144,826)

Exchange differences


13,274

938

14,212

At 30 April 2025 and 1 May 2025


1,511,278

172,178

1,683,456

Additions


383,778

17,697

401,475

Disposals


-

(3,456)

(3,456)

Transfer to inventories


(102,024)

-

(102,024)

Depreciation


(138,155)

(14,864)

(153,019)

Exchange differences


28,487

1,923

30,410

At 31 October 2025

 

1,683,364

173,478

1,856,842

 

At 31 October 2025





Cost or fair value




2,618,852

Accumulated depreciation




(762,010)

Net book value

 

 

 

1,856,842

Included within property, plant and equipment above are right of use assets under leases with a net book value of £140,418,000 (30 April 2025: £134,091,000).

8. Interest in associates

 


£000

At 1 May 2024

4,502

Group's share of:


Profit from continuing operations

166

Distributions from associates

(17)

At 31 October 2024 and 1 November 2024

4,651

Group's share of:


Profit from continuing operations

4

Distributions from associates

(459)

Impairment charge

(4,196)

At 30 April 2025 and 1 May 2025

-

Group's share of:


Profit from continuing operations

580

Distributions from associates

(580)

At 31 October 2025

-

 

9. Analysis of consolidated net debt

At 31.10.25

At 31.10.24

At 30.04.25


(Unaudited)

(Unaudited)

(Audited)


£000

£000

£000

Cash and bank balances

(39,575)

(15,116)

(33,738)

Bank overdrafts

34,318

16,367

37,608

Bank loans

218,894

158,281

162,814

Loan notes

497,858

473,204

480,875

Asset financing facility

75,280

-

49,987

Lease Liabilities

151,822

148,950

137,980

Cumulative preference shares

500

500

500

Confirming facilities

155

293

669

Consolidated net debt

939,252

782,479

836,695

 

 

10. Notes to the cash flow statement

Six months

Six months

Year to

to 31.10.25

to 31.10.24

30.04.25

(Unaudited)

(Unaudited)

(Audited)

Net cash generated from operations

£000

£000

£000

Operating profit

83,218

73,074

136,362

Adjustments for:




Depreciation of property, plant and equipment

153,019

142,731

287,557

Impairment of goodwill

-

-

4,012

Impairment of property, plant and equipment

-

-

1,043

Impairment of interest in associates

-

-

4,196

Amortisation of intangible assets

9,485

9,875

19,812

Gain on disposal of other property, plant and equipment

(259)

(7)

(31)

Share options fair value charge

2,721

1,439

3,691

Operating cash flows before movements in working capital

248,184

227,112

456,642

(Increase) decrease in non-vehicle inventories

(1,521)

815

1,451

Decrease in receivables

6,191

13,774

44,888

Increase in payables

18,654

21,833

6,326

Increase in provisions

595

753

423

Cash generated from operations

272,103

264,287

509,730

 

11. Exceptional items

During the period the Group recognised exceptional items in the income statement as follows:


Six months to 31.10.25

Six months to 31.10.24

Year to

 30.04.25


(Unaudited)

(Unaudited)

(Audited)


£000

£000

£000

Exceptional administrative expenses: impairment of trade receivables

-

-

3,006

Exceptional administrative expenses: other operating costs

-

2,758

17,617

Total pre-tax exceptional items

-

2,758

20,623

Tax charge on exceptional items

-

(689)

(3,104)

Cash expenses

-

2,758

3,791

Non-cash expenses

-

-

16,832

Total pre-tax exceptional items

-

2,758

20,623

Other than stated above, net impairment of trade receivables is included in underlying EBIT.

There were no exceptional items in the period. Explanations for the exceptional items recognised in the year ended 30 April 2025 can be found within the annual financial statements.


12. Cancellation of treasury shares

During the period, the Group has cancelled 10,000,000 ordinary shares of 50p each which were held in treasury. Share capital has been reduced by the nominal amount of these shares of £5,000,000 and a corresponding amount has been credited to the capital redemption reserve. At the same time, £35,644,000 was transferred from treasury shares to retained earnings relating to the cancelled shares.

 

13. Related party transactions

Related party transactions of the Group are consistent with those disclosed in Note 31 of the Group's annual financial statements for the year ended 30 April 2025. No new related party transactions have been entered into during the period.

 


 

Interim announcement - Statement of the Directors

We confirm that to the best of our knowledge:

·        the condensed set of financial statements has been prepared in accordance with the UK-adopted International Accounting Standard 34;

·        the interim management report includes a fair review of the information required by DTR 4.2.7 (indication of important events during the first six months and description of principal risks and uncertainties for the remaining six months of the year); and

·        the interim management report includes a true and fair review of the information required by DTR 4.2.8 (disclosure of related party transactions and changes therein).

By order of the Board

                                                                                                               

 

Rachel Coulson

Chief Financial Officer

3 December 2025

 

 


Independent review report to ZIGUP plc

Report on the condensed consolidated interim financial statements

Our conclusion

We have reviewed ZIGUP plc's condensed consolidated interim financial statements (the "interim financial statements") in the interim results of ZIGUP plc for the 6 month period ended 31 October 2025 (the "period").

Based on our review, nothing has come to our attention that causes us to believe that the interim financial statements are not prepared, in all material respects, in accordance with UK adopted International Accounting Standard 34, 'Interim Financial Reporting' and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority.

The interim financial statements comprise:

·    the Condensed consolidated balance sheet as at 31 October 2025;

·    the Condensed consolidated income statement and Condensed consolidated statement of comprehensive income for the period then ended;

·    the Condensed consolidated cash flow statement for the period then ended;

·    the Condensed consolidated statement of changes in equity for the period then ended; and

·    the explanatory notes to the interim financial statements.

The interim financial statements included in the interim results of ZIGUP plc have been prepared in accordance with UK adopted International Accounting Standard 34, 'Interim Financial Reporting' and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority.

Basis for conclusion

We conducted our review in accordance with International Standard on Review Engagements (UK) 2410, 'Review of Interim Financial Information Performed by the Independent Auditor of the Entity' issued by the Financial Reporting Council for use in the United Kingdom ("ISRE (UK) 2410"). A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures.

A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK) and, consequently, does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

We have read the other information contained in the interim results and considered whether it contains any apparent misstatements or material inconsistencies with the information in the interim financial statements.

Conclusions relating to going concern

Based on our review procedures, which are less extensive than those performed in an audit as described in the Basis for conclusion section of this report, nothing has come to our attention to suggest that the directors have inappropriately adopted the going concern basis of accounting or that the directors have identified material uncertainties relating to going concern that are not appropriately disclosed. This conclusion is based on the review procedures performed in accordance with ISRE (UK) 2410. However, future events or conditions may cause the group to cease to continue as a going concern.

Responsibilities for the interim financial statements and the review

Our responsibilities and those of the directors

The interim results, including the interim financial statements, is the responsibility of, and has been approved by the directors. The directors are responsible for preparing the interim results in accordance with the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority. In preparing the interim results, including the interim financial statements, the directors are responsible for assessing the group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or to cease operations, or have no realistic alternative but to do so.

Our responsibility is to express a conclusion on the interim financial statements in the interim results based on our review. Our conclusion, including our Conclusions relating to going concern, is based on procedures that are less extensive than audit procedures, as described in the Basis for conclusion paragraph of this report. This report, including the conclusion, has been prepared for and only for the company for the purpose of complying with the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority and for no other purpose. We do not, in giving this conclusion, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.

 

 

PricewaterhouseCoopers LLP

Chartered Accountants

Newcastle upon Tyne

3 December 2025

 

 

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