H1 Trading Update
Summary by AI BETAClose X
The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the 'UK MAR') which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
27 October 2026
Redcentric plc
(‘Redcentric’ or the ‘Company’)
H1 Trading Update
‘Solid H1 performance with quality of earnings improving’
Redcentric plc (LSE: RCN), a leading UK IT managed services provider (‘MSP’), is pleased to provide the following trading update for the six months ended 30 September 2026 ('H1 FY27').
Revenues¹ for H1 FY27 are expected to be c.£63.7 million (H1 FY26: c.£66.8 million). This is in line with management expectations and reflects the continued focus on selectively attracting and maintaining higher-margin business alongside the impact of customer cancellations and the timing of new business conversion.
Adjusted EBITDA1,3 for H1 FY27 is expected to be c.£9.1 million (H1 FY26: c.£9.1 million) at a margin of 14.3% (2025: 13.6%). This is modestly above management expectations, reflecting the focus towards higher-margin business and continued tight expense control driving higher quality of earnings. Gross margin for the period improved to 63.1%, in line with management forecast (H1 FY26: 61.6%).
This performance reinforces the Group's market-leading position in UK managed IT services, with management focused on business that will help expand the Group’s high-quality recurring margin while maintaining disciplined cost management to deliver sustainable value for all stakeholders. The Board is confident in delivering full-year FY27 Adjusted EBITDA of £18.4 million, in line with market expectations.
Balance Sheet: The Group’s balance sheet remains strong with approximately £5.0 million net debt at 30 September 2026.
On 30 April 2026, the Company announced the disposal of the Group's Data Centre ('DC') business with final proceeds from the sale announced on 18 September 2026. For the avoidance of doubt, the financial results above (including the comparators for H1 FY26) exclude the revenues and earnings from the DC business which, under IFRS, will continue to be shown as a discontinued operation in the financial statements.
Interim Results
The Company expects to report its Interim Results for the six months ended 30 September 2026 in the week commencing 7 December 2026. It is anticipated that these results will confirm the resumption of an interim dividend. A further announcement providing the exact Interims release date will be made in due course.
¹ Revenues and Adjusted EBITDA are current management expectations for H1 FY27 figures and are unaudited.
2 ARR is the amount of recurring revenue that the business has contracted with customers or by predictable customer habit at the period end and Underlying ARR is ARR adjusted for certain items as described within the Company’s announcement, on 28 September 2026, of its Final Results for the year ended 31 March 2026.
3 Adjusted EBITDA comprises earnings before interest, tax, depreciation and amortisation ('EBITDA') further adjusted for exceptional items and share-based payments including National Insurance.
- Ends -
For further information:
|
Redcentric plc Michelle Senecal de Fonseca, CEO Tim Sykes, CFO |
via Burson Buchanan |
|
Cavendish Capital Markets Limited - Nomad and Broker Marc Milmo / Callum Davidson (Corporate Finance) Sunila de Silva (ECM) |
Tel: +44 (0) 20 7220 0500 |
For media enquiries:
|
Burson Buchanan – Financial Communications Henry Harrison-Topham / Jamie Hooper / Toto Berger |
Tel: +44 (0) 20 7466 5000 |
Notes to Editors:
Redcentric has a strong track record in delivering IT managed services provision that empowers businesses to scale, innovate and grow in a rapidly evolving digital landscape. As technology continues to advance the Company's goal is to be the go-to-all-in-one infrastructure and managed IT service provider for customers of all sizes offering an unmatched range of products and solutions.
Redcentric serves the private and public sectors with all their IT requirements acting as an outsourced IT department, handling day-to-day maintenance and security of customers' IT infrastructures. This allows customers to improve security and efficiency and focus on growing their core businesses.
From infrastructure management and cloud services to cybersecurity and data analytics, Redcentric has a comprehensive suite of solutions designed to meet the diverse needs of modern businesses.
For additional information please visit www.redcentricplc.com
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