UNAUDITED HALF YEAR RESULTS 2026
Summary by AI BETAClose X
8 September 2026
THE PEBBLE GROUP PLC
("The Pebble Group" or the "Group")
UNAUDITED HALF YEAR RESULTS 2026
Growing revenues and strengthened recurring revenue profile underpin confidence in FY 26 outlook
Facilisgroup targeting double digit revenue growth within H2 26
The Pebble Group (AIM: PEBB), a leading provider of technology, products and related services to the global promotional products industry, announces its unaudited results for the six months ended 30 June 2026 ("HY 26" or the "Period").
The results in HY 26 are in line with the update given in our July 2026 trading statement, and the Board expects the Group's results for the year ending 31 December 2026 ("FY 26") to be in line with market expectations.
Commenting, Chris Lee, Chief Executive Officer of The Pebble Group said: "We are beginning to see the benefits of our recent investment decisions. The Group has delivered a strong first half performance with revenue growth across both of our businesses.
"At Facilisgroup, we have materially strengthened our recurring revenue profile through entry into multi-year contracts and Brand Addition has delivered profitable growth supporting significant shareholder returns.
"Backed by a robust balance sheet, we remain focused on executing our strategy and are confident in our ability to deliver shareholder value."
Financials
|
Financial highlights |
HY 26 |
HY 25 |
Change |
FY 25 |
|
Revenue |
£60.7 m |
£58.6m |
+4% |
£124.7m |
|
Gross profit margin |
44.6% |
45.1% |
-0.5ppt |
45.6% |
|
Adjusted EBITDA1 |
£6.6m |
£6.2m |
+6% |
£15.8m |
|
Adjusted operating profit2 |
£2.6m |
£2.7m |
-4% |
£8.2m |
|
Net debt/cash3 |
-£1.2m |
£6.0m |
-£7.2m |
£9.6m |
|
Adjusted basic earnings per share4 |
1.25p |
1.21p |
+3% |
3.86p |
|
Capital returns |
£7.9m |
£5.2m |
+£2.7m |
£11.7m |
|
Statutory results |
HY 26 |
HY 25 |
Change |
FY 25 |
|
Operating profit |
£1.4m |
£2.8m |
-50% |
£7.4m |
|
Profit before tax |
£1.2m |
£2.6m |
-54% |
£6.9m |
|
Basic earnings per share |
0.62p |
1.24p |
-50% |
3.45p |
Financial highlights
|
· |
Group Revenue increased by £2.1m to £60.7m with growth from both Brand Addition and Facilisgroup |
|
· |
Group Adjusted EBITDA of £6.6m (HY 25: £6.2m) reflects the revenue growth moderated as we invest to accelerate sustainable revenue growth at Facilisgroup |
|
· |
Balance sheet remains strong funding the Group's growth strategy whilst continuing to deliver significant capital returns |
|
· |
In HY 26 a total of £7.9m (HY 25: £5.2m) was returned to shareholders |
Business highlights
· Facilisgroup:
|
· |
Revenue in USD was 7% ahead of the prior year |
|
· |
Look forward ARR from technology subscription fee revenues has grown by 12% |
|
· |
New agreements with Partners, implemented on 1 July 2026, increased technology subscription fee revenue visibility to circa two years whilst maintaining high Partner retention |
|
· |
Gross Merchandise Value ("GMV") +8% and spend through our Preferred Suppliers +6% |
|
· |
16 new Partners YTD with ARR over 50% higher than those won YTD in 2025 |
· Brand Addition:
|
· |
Revenue was 4% ahead of the prior year as 2025 new contract wins gain traction |
|
· |
New contract wins to date in 2026 have been positive and the high client retention levels continue |
|
· |
Gross margin strength and disciplined cost management is supporting the Group's profitability |
|
· |
Excellent cash generative nature of the business continues |
Outlook and Post Period update
|
· |
Facilisgroup has entered H2 26 with materially enhanced contracted revenue visibility and is aiming for double digit revenue growth |
|
· |
Brand Addition continues to deliver resilient growth, profitability and cash generation |
|
· |
On 9 July 2026, the Group announced a £2m extension of its £5m Share Buyback Programme launched on 17 March 2026. This £7m Share Buyback Programme was fully completed on 30 July. Including the £3m dividend paid in 2026, this results in total returns to shareholders to date in 2026 of £10.0m (FY 25: £11.7m). |
|
· |
The progress at Facilisgroup and Brand Addition underpin our confidence in the Group's ability to deliver FY 26 results to be in line with market expectations |
|
· |
The Board continues to actively review its strategic opportunities to deliver shareholder value, including organic and inorganic investments, capital returns and the Group's structure
|
|
1 |
Adjusted EBITDA means operating profit before depreciation, amortisation and share-based payment (charge)/credit |
|
2 |
Adjusted operating profit means operating profit before amortisation and acquired intangible assets and share based payments (charge)/credit |
|
3 |
Net debt/cash is calculated as cash and cash equivalents less borrowings (excluding lease liabilities) |
|
4 |
Adjusted basic earnings per share ("EPS") represents Adjusted Earnings meaning profit after tax before amortisation of acquired intangible assets and share-based payment (charge)/credit, net of taxation, divided by the weighted average number of shares |
Presentation for Analysts and Investors
A presentation for analysts and investors with Q&A will take place at 8:00am today by webinar.
Please register to attend via this link: Analyst Presentation
A copy of the presentation is available on the Investors section of The Pebble Group's website at
The Pebble Group investor relations
Presentation for retail investors
The management team is hosting a separate online presentation for retail investors with Q&A at 4:30pm on Thursday 10 September 2026.
Please register to attend via this link: Retail Investor Presentation
A recording of this presentation will be made available on the Investors section of The Pebble Group's website at The Pebble Group investor relations
Enquiries:
|
The Pebble Group Chris Lee, Chief Executive Officer Claire Thomson, Chief Financial Officer
|
+44 (0) 738 502 4855 |
|
Panmure Liberum (Nominated Adviser and Broker) Edward Mansfield Will King Gaya Bhatt |
+44 (0) 20 3100 2000 |
|
Temple Bar Advisory (Financial PR) Alex Child-Villiers Alistair de Kare-Silver
|
+44 (0) 207 183 1190 |
About The Pebble Group
The Pebble Group is a provider of technology, products and related services to the global promotional products industry, comprising two differentiated businesses, Facilisgroup and Brand Addition, focused on specific areas of the promotional products market. For further information, please visit www.thepebblegroup.com.
CHIEF EXECUTIVE OFFICER'S REVIEW
Summary of results
We are pleased with the Group's financial performance in HY 26 achieving revenue of £60.7m (HY 25: £58.6m) and Adjusted EBITDA of £6.6m (HY 25 £6.2m). These results are robust with revenue growth in both Facilisgroup and Brand Addition.
The reduction in statutory Operating Profit to £1.4m (HY 25: £2.8m) primarily reflects increased non-cash amortisation charges associated with previous investment in technology and share-based payment charges arising from the Group's Long Term Incentive Plans.
The Group's strong cash generation continues to support our organic growth initiatives whilst delivering capital returns to shareholders in HY 26 of £7.9m (HY 25: £5.2m). Following these distributions, and the normal working capital cycle of the business, net debt at 30 June 2026 was £1.2m (Net cash at 30 June 2025: £6.0m).
Introduction
The Pebble Group's core competency is to use its technology and sustainability expertise, deep industry understanding and global footprint to create long term relationships and grow its market share in the circa $50 billion promotional products market. Our two businesses, Facilisgroup and Brand Addition, hold market leading and differentiated positions in this industry, delivering strong margins and cash generation.
Facilisgroup: merges comprehensive software with proven playbooks and supplier buying power, helping promotional product distributors scale beyond typical growth plateaus
Revenue and profit analysis
|
|
HY 26 |
HY 25 |
FY 25 |
|
Recurring revenue |
£8.5m |
£8.3m |
£16.4m |
|
Other revenue |
£0.4m |
£0.3m |
£0.8m |
|
Total revenue |
£8.9m |
£8.6m |
£17.2m |
|
Gross profit margin |
100% |
100% |
100% |
|
Adjusted EBITDA |
£3.8m |
£3.8m |
£7.3m |
|
Adjusted EBITDA margin |
43% |
44% |
42% |
Facilisgroup delivered a strong first half performance and continues to build momentum. In its home currency of USD, revenue was 7% ahead compared with HY 25, demonstrating the increasing strength of the business model. Reported revenue growth in GBP is 3% following the impact of foreign exchange movements.
The quality of the Facilisgroup recurring revenue model remains a key strength. Revenue is generated through two complementary streams: technology subscription fees from Partners and activity-based fees from Preferred Suppliers linked to Partner purchasing volumes. Both drivers supporting these revenues delivered growth during the period, with Partner GMV increasing by 8% and Preferred Supplier activity rising by 6%, demonstrating the health of the network and the value being created by the community.
During the Period, we continued to invest with confidence in the growth opportunity. Supported by a strong Partner lifetime value to cost of acquisition ratio, targeted investment has strengthened the foundations of the business increasing our ability to win new Partners and supporting existing Partners as they grow. While these investments moderate margins, with Adjusted EBITDA of 43% in line with the prior year, we are seeing encouraging returns, and the business is well positioned for an accelerated phase of sustainable growth.
A significant achievement has been the progress made in strengthening the quality and visibility of our recurring revenues. We entered H2 26 with a 12% increase in look forward ARR from technology subscription fee revenues compared to 31 December 2025. This growth stems from expansion within the existing Partner base, the addition of new Partners and the successful implementation of new technology subscription fee agreements.
These new agreements deepen long term Partner relationships, support the adoption of our enhanced technology platform and, as at 1 July 2026, extended contracted revenue visibility to twenty-two months. The transition has been well received by Partners, reinforcing our confidence in both the mission critical nature of the platform and the significant opportunity ahead.
The continued strength of the business is reflected in the quality of the Partner community. As at 7 September 2026, Facilisgroup had 258 Partners, compared with 253 at 31 December 2025. There were 16 new Partner wins, representing combined ARR 50% higher than the cohort added in the comparable prior year period. Five Partners exited through acquisition activity and six smaller Partners through normal attrition.
Facilisgroup has entered H2 26 with strong momentum, materially enhanced contractual revenue visibility and a growing Partner base. We are increasingly seeing the benefits of the investments and actions taken over the past two years, giving us confidence in our ability to deliver sustainable double digit revenue growth and meaningful value for all stakeholders.
Brand Addition: an end-to-end branded merchandise provider that enables companies of scale to build meaningful connections with their customers, employees and communities
Revenue and profit analysis
|
|
HY 26 |
HY 25 |
FY 25 |
|
Revenue |
£51.8m |
£50.0m |
£107.5m |
|
Gross profit |
£18.2m |
£17.8m |
£39.8m |
|
Gross profit margin |
35.1% |
35.6% |
37.0% |
|
Adjusted EBITDA |
£4.2m |
£3.8m |
£11.4m |
|
Adjusted EBITDA margin |
8.1% |
7.6% |
10.6% |
HY 26 revenue was £51.8m, 4% ahead of HY 25. This results from a combination of increasing momentum from new contract wins in 2025 and a robust contribution from existing clients where retention rates remain high.
Gross margins have continued to be strong, being 35.1% in HY 26 (HY 25: 35.6%) demonstrating the value creation for our clients. Alongside this, careful cost management has resulted in EBITDA of £4.2m (HY 25: £3.8m).
Brand Addition has a proven track record of attracting and retaining high quality, repeat revenue clients, which include many of the best-known brands in the world, by providing a range of complex services to deliver promotional merchandise strategies. These services are underpinned by our technology, creative product solutions with a strong and consistent sustainability focus and delivered across multiple geographies. We believe that Brand Addition is one of the few businesses with the skills, knowledge and experience to provide this level of service at scale and this supports our high client retention levels.
Most of Brand Addition's revenue is generated through approximately 70 client contracts and has a large addressable market to grow into. Brand Addition enters H2 26 with a strong new business pipeline and, as at 7 September 2026, orders received for FY 26 are 5% ahead of the same period in the prior year. We expect these year-to-date activities to support the delivery of results for FY 26 in line with market expectations.
Through the economic cycle, Brand Addition has proven that the high-quality nature of the client relationships and the embedded experience of the team, consistently deliver creditable financial results including excellent cash generation.
Group outlook
Facilisgroup entered the second half of 2026 with materially enhanced recurring revenue visibility and growing revenue momentum. Plus we expect Brand Addition to continue to deliver resilient growth, profitability and cash generation. These attributes underpin our confidence in the Group's ability to deliver FY 26 Group results in line with market expectations.
The Board continues to actively review its strategic opportunities to deliver shareholder value, including organic and inorganic investments, capital returns and the Group's structure.
Christopher Lee
Chief Executive Officer
8 September 2026
CHIEF FINANCIAL OFFICER'S REVIEW
HY 26 Results
|
|
HY 26 |
HY 25 |
FY 25 |
|
|
Unaudited £'m |
Unaudited £'m |
Audited £'m |
|
Revenue |
60.7 |
58.6 |
124.7 |
|
Gross profit |
27.1 |
26.4 |
56.9 |
|
Gross profit margin |
44.6% |
45.1% |
45.6% |
|
Adjusted EBITDA |
6.6 |
6.2 |
15.8 |
|
Adjusted EBITDA margin |
10.9% |
10.6% |
12.7% |
|
Depreciation and amortisation |
(4.2) |
(3.7) |
(8.1) |
|
Share-based payment (charge)/credit |
(1.0) |
0.3 |
(0.3) |
|
Operating profit |
1.4 |
2.8 |
7.4 |
|
Net finance costs |
(0.2) |
(0.2) |
(0.5) |
|
Profit before tax |
1.2 |
2.6 |
6.9 |
|
Tax |
(0.3) |
(0.6) |
(1.5) |
|
Profit for the Period |
0.9 |
2.0 |
5.4 |
|
|
|
|
|
|
Weighted average number of shares |
145,958,654 |
161,485,073 |
156,079,283 |
|
Basic Adjusted EPS |
1.25p |
1.21p |
3.86p |
|
Basic EPS |
0.62p |
1.24p |
3.45p |
Revenue
Revenue for the Period to 30 June was £60.7m (HY 25: £58.6m), an increase of £2.1m (3.6%) compared to the same period in 2025. Facilisgroup's revenue was £8.9m (HY 25 £8.6m), a 3% increase in GBP. When measured in its home currency of USD, revenue was 7% ahead. This reflects the growth in GMV of existing Partners and new Partner wins which had a higher average ARR than those won in previous periods. The balance of the movement (£1.8m) relates to Brand Addition, where revenue from 2025 new contract wins is gaining momentum alongside a robust contribution from existing clients on excellent retention levels.
Gross profit
Gross profit as a percentage of revenue was 44.6% (HY 25: 45.1%) demonstrating the ongoing value created for clients at Brand Addition.
Adjusted EBITDA
Adjusted EBITDA was £6.6m (HY 25: £6.2m) made up as follows:
|
- |
Facilisgroup at £3.8m (HY 25: £3.8m) with revenue growth reinvested into supporting existing Partner retention and new Partner growth; |
|
- |
Brand Addition at £4.2m (HY 25: £3.8m) with revenue growth translating into an increase in EBITDA as gross margins and costs remain well controlled; and |
|
- |
Central costs of £1.4m (HY 25: £1.4m). |
Depreciation and amortisation
The total charge for the Period was £4.2m (HY 25: £3.7m) of which £3.1m (HY 25: £2.6m) was the amortisation of intangible assets. The increase in the underlying expense from HY 25 arises as the increased investment in software development from its peak in 2023 and 2024 is now being charged to the income statement.
Share-based payments
The total charge for the Period under IFRS 2 "Share-based payments" was £1.0m (HY 25: credit £0.3m) and relates to the 2025 and 2026 awards made under The Pebble Group Long Term Incentive Plan ("LTIP") and Sharesave Plan.
Operating profit
Operating profit for the Period was £1.4m (HY 25: £2.8m) as the impact of increased sales volumes was offset by an increase in the charge for amortisation and share based payments.
Taxation
The tax charge for the Period was £0.3m (HY 25: £0.6m) and is based on the full year Group expected tax rate for 2026.
Basic earnings per share
The earnings per share analysis in note 5 covers both adjusted earnings per share (profit attributable to equity shareholders before amortisation of acquired intangibles and share-based payment credit, net of taxation, divided by the weighted average number of shares in issue during the Period) and basic earnings per share (profit attributable to equity holders divided by the weighted average number of shares in issue during the Period). Adjusted earnings were £1.8m (HY 25: £2.0m) meaning basic adjusted earnings per share was 1.25 pence per share (HY 25: 1.21 pence per share), an increase of 0.04 pence per share. Basic earnings per share was 0.62 pence per share (HY 25: 1.24 pence per share), a decrease of 0.62 pence per share.
Dividends
In March 2026 the Board announced a final dividend payment in respect of FY 25 of 2.0 pence per share. At this time, the Board does not intend to introduce the payment of an interim dividend. An update on the dividend payment in respect of FY 26 will be provided at the time of the full year announcement in March 2027.
Cash Flow
The Group had net debt of £1.2m at 30 June 2026 (Net cash 30 June 2025: £6.0m) after distributions of £7.9m (HY 25: £5.2m) through the previously announced dividend and Share Buyback Programme.
Cash flow for the Period is set out below:
|
|
HY 26 |
HY 25 |
FY 25 |
|
|
Unaudited £'m |
Unaudited £'m |
Audited £'m |
|
Adjusted EBITDA |
6.6 |
6.2 |
15.8 |
|
Movement in working capital |
(5.2) |
(7.2) |
(1.7) |
|
Capital expenditure |
(2.7) |
(2.3) |
(4.9) |
|
Leases |
(1.0) |
(0.8) |
(1.7) |
|
Operating cash flow |
(2.3) |
(4.1) |
7.5 |
|
Tax paid |
(0.3) |
(0.6) |
(0.8) |
|
Net finance cash flows |
(0.2) |
(0.2) |
(0.4) |
|
Dividend paid |
(3.0) |
(3.0) |
(3.0) |
|
Purchase of own shares |
(4.9) |
(2.2) |
(9.0) |
|
EBT purchase of own shares |
(0.3) |
- |
(0.6) |
|
Proceeds from borrowings |
5.1 |
- |
- |
|
Exchange gain/(loss) |
0.1 |
(0.4) |
(0.6) |
|
Net cash flow |
(5.8) |
(10.5) |
(6.9) |
The outflow in working capital in the Period was £5.2m (HY 25: £7.2m). This is in line with the normal in-year cycle which peaks in Q3.
Capital expenditure in the Period was £2.7m (HY 25: £2.3m). This relates principally to investment in technology development at Facilisgroup.
Tax paid in the Period was £0.3m (HY 25: £0.6m) and the movement reflects timing differences in payments on account in the UK and Canada.
Lease payments relate to leases capitalised in accordance with IFRS 16 "Leases".
Cash and liquidity
The Group's working capital cycle is following its expected profile, and Operating cash conversion remains strong. On 30 July, the Group completed its £7.0m Share Buyback Programme bringing total returns to shareholders to date in 2026 to £10.0m. (FY 25: £11.7m). Net cash as at 31 December 2026 is expected to be approximately £5.0m (31 December 2025: £9.6m).
Claire Thomson
Chief Financial Officer
8 September 2026
CONSOLIDATED INCOME STATEMENT
|
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
Notes |
£'000 |
£'000 |
£'000 |
|
Revenue |
|
60,741 |
58,594 |
124,659 |
|
Cost of goods sold |
|
(33,638) |
(32,166) |
(67,725) |
|
Gross profit |
|
27,103 |
26,428 |
56,934 |
|
Operating expenses |
|
(25,716) |
(23,618) |
(49,579) |
|
Operating profit |
|
1,387 |
2,810 |
7,355 |
|
Analysed as: |
|
|
|
|
|
Adjusted EBITDA1 |
6 |
6,617 |
6,176 |
15,819 |
|
Depreciation |
9 |
(1,147) |
(1,054) |
(2,122) |
|
Amortisation |
8 |
(3,101) |
(2,645) |
(6,011) |
|
Share-based payment (charge)/credit |
13 |
(982) |
333 |
(331) |
|
Total operating profit |
|
1,387 |
2,810 |
7,355 |
|
Finance expense |
|
(205) |
(247) |
(477) |
|
Profit before taxation |
|
1,182 |
2,563 |
6,878 |
|
Income tax expense |
4 |
(284) |
(559) |
(1,500) |
|
Profit for the period |
|
898 |
2,004 |
5,378 |
|
|
|
|
|
|
|
Basic earnings per share |
5 |
0.62p |
1.24p |
3.45p |
|
Diluted earnings per share |
5 |
0.61p |
1.24p |
3.44p |
1 Adjusted EBITDA, which is defined as operating profit before depreciation, amortisation and share-based payment (charge)/credit, is a non-GAAP metric used by management and is not an IFRS disclosure.
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
|
£'000 |
£'000 |
£'000 |
|
|
Profit for the period |
898 |
2,004 |
5,378 |
|
|
Items that may be subsequently reclassified to profit and loss |
|
|
|
|
|
Currency translation differences |
712 |
(3,221) |
(2,554) |
|
|
Current tax on exchange differences on translation of foreign operations |
- |
- |
304 |
|
|
Other comprehensive income/(expense) for the period |
712 |
(3,221) |
(2,250) |
|
|
Total comprehensive income/(expense) for the period |
1,610 |
(1,217) |
3,128 |
|
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
|
|
|
Unaudited As at 30 June 2026 |
Unaudited As at 30 June 2025 |
Audited As at 31 December 2025 |
|
|
Notes |
£'000 |
£'000 |
£'000 |
|
Assets |
|
|
|
|
|
Non-current assets |
|
|
|
|
|
Intangible assets |
8 |
58,518 |
59,326 |
58,724 |
|
Property, plant and equipment |
9 |
4,802 |
5,983 |
5,503 |
|
Deferred tax asset |
|
- |
495 |
- |
|
Total non-current assets |
|
63,320 |
65,804 |
64,227 |
|
Current assets |
|
|
|
|
|
Inventories |
|
14,811 |
16,308 |
11,141 |
|
Trade and other receivables |
|
34,338 |
34,149 |
32,784 |
|
Current tax asset |
|
734 |
287 |
738 |
|
Cash and cash equivalents |
|
3,874 |
6,003 |
9,637 |
|
Total current assets |
|
53,757 |
56,747 |
54,300 |
|
Total assets |
|
117,077 |
122,551 |
118,527 |
|
Liabilities |
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
Lease liability |
10 |
2,700 |
4,109 |
3,457 |
|
Deferred tax liability |
|
2,298 |
1,836 |
2,611 |
|
Total non-current liabilities |
|
4,998 |
5,945 |
6,068 |
|
Current liabilities |
|
|
|
|
|
Borrowings |
|
5,100 |
- |
- |
|
Lease liability |
10 |
1,789 |
1,697 |
1,727 |
|
Trade and other payables |
|
28,385 |
29,854 |
28,505 |
|
Current tax liability |
|
- |
362 |
- |
|
Total current liabilities |
|
35,274 |
31,913 |
30,232 |
|
Total liabilities |
|
40,272 |
37,858 |
36,300 |
|
Net assets |
|
76,805 |
84,693 |
82,227 |
|
Equity |
|
|
|
|
|
Share capital |
11 |
1,404 |
1,594 |
1,487 |
|
Share premium |
11 |
78,451 |
78,451 |
78,451 |
|
Own share reserve |
|
(353) |
(52) |
(647) |
|
Capital reserve |
|
396 |
206 |
313 |
|
Merger reserve |
|
(103,581) |
(103,581) |
(103,581) |
|
Translation reserve |
|
(2,239) |
(3,922) |
(2,951) |
|
Share-based payment reserve |
|
1,835 |
768 |
1,370 |
|
Retained earnings |
|
100,892 |
111,229 |
107,785 |
|
Total equity |
|
76,805 |
84,693 |
82,227 |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
|
|
Share capital |
Share premium |
Own share reserve |
Capital reserve |
Merger reserve |
Translation reserve |
Share-based payment reserve |
Retained earnings |
Total equity |
||
|
|
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
||
|
At 1 January 2025 |
1,648 |
78,451 |
(251) |
152 |
(103,581) |
(701) |
1,442 |
114,216 |
91,376 |
||
|
Profit for the period |
- |
- |
- |
- |
- |
- |
- |
2,004 |
2,004 |
||
|
Other comprehensive expense for the period |
- |
- |
- |
- |
- |
(3,221) |
- |
- |
(3,221) |
||
|
Total comprehensive (expense)/income |
- |
- |
- |
- |
- |
(3,221) |
- |
2,004 |
(1,217) |
||
|
Purchase of own shares |
(54) |
- |
- |
54 |
- |
- |
- |
(2,220) |
(2,220) |
||
|
Employee share schemes - value of employee services |
- |
- |
199 |
- |
- |
- |
(701) |
192 |
(310) |
||
|
Deferred tax on employee share schemes |
- |
- |
- |
- |
- |
- |
27 |
- |
27 |
||
|
Dividend paid |
- |
- |
- |
- |
- |
- |
- |
(2,963) |
(2,963) |
||
|
Total transactions with owners recognised in equity |
(54) |
- |
199 |
54 |
- |
- |
(674) |
(4,991) |
(5,466) |
||
|
At 30 June 2025 |
1,594 |
78,451 |
(52) |
206 |
(103,581) |
(3,922) |
768 |
111,229 |
84,693 |
||
|
Profit for the period |
- |
- |
- |
- |
- |
- |
- |
3,374 |
3,374 |
||
|
Other comprehensive income for the period |
- |
- |
- |
- |
- |
971 |
- |
- |
971 |
||
|
Total comprehensive income |
- |
- |
- |
- |
- |
971 |
- |
3,374 |
4,345 |
||
|
Purchase of own shares |
(107) |
- |
- |
107 |
- |
- |
- |
(6,822) |
(6,822) |
||
|
Purchase of own shares by EBT |
- |
- |
(598) |
- |
- |
- |
- |
- |
(598) |
||
|
Employee share schemes - value of employee services |
- |
- |
3 |
- |
- |
- |
590 |
4 |
597 |
||
|
Deferred tax on employee share schemes |
- |
- |
- |
- |
- |
- |
12 |
- |
12 |
||
|
Total transactions with owners recognised in equity |
(107) |
- |
(595) |
107 |
- |
- |
602 |
(6,818) |
(6,811) |
||
|
At 31 December 2025 |
1,487 |
78,451 |
(647) |
313 |
(103,581) |
(2,951) |
1,370 |
107,785 |
82,227 |
||
|
Profit for the period |
- |
- |
- |
- |
- |
- |
- |
898 |
898 |
||
|
Other comprehensive income for the period |
- |
- |
- |
- |
- |
712 |
- |
- |
712 |
||
|
Total comprehensive income |
- |
- |
- |
- |
- |
712 |
- |
898 |
1,610 |
||
|
Purchase of own shares |
(83) |
- |
- |
83 |
- |
- |
- |
(4,860) |
(4,860) |
||
|
Purchase of own share - EBT |
- |
- |
(337) |
- |
- |
- |
- |
- |
(337) |
||
|
Employee share schemes - value of employee services |
- |
- |
631 |
- |
- |
- |
208 |
24 |
863 |
||
|
Deferred tax on employee share schemes |
- |
- |
- |
- |
- |
- |
257 |
- |
257 |
||
|
Dividend paid |
- |
- |
- |
- |
- |
- |
- |
(2,955) |
(2,955) |
||
|
Total transactions with owners recognised in equity |
(83) |
- |
294 |
83 |
- |
- |
465 |
(7,791) |
(7,032) |
||
|
At 30 June 2026 |
1,404 |
78,451 |
(353) |
396 |
(103,581) |
(2,239) |
1,835 |
100,892 |
76,805 |
||
The Group has an Employee Benefit Trust (EBT) to administer share plans and to acquire shares, using funds contributed by the Group, to meet commitments to employee share schemes. At 30 June 2026, the EBT held 715,706 shares (30 June 2025: 94,225, 31 December 2025: 1,346,208 shares).
CONSOLIDATED CASH FLOW STATEMENT
|
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
Notes |
£'000 |
£'000 |
£'000 |
|
Profit before taxation |
|
1,182 |
2,563 |
6,878 |
|
Adjustments for: |
|
|
|
|
|
Depreciation |
9 |
1,147 |
1,054 |
2,122 |
|
Amortisation |
8 |
3,101 |
2,645 |
6,011 |
|
Share-based payment charge/(credit) |
13 |
982 |
(333) |
331 |
|
Finance expense |
|
205 |
247 |
477 |
|
Cash flows from operating activities before changes in working capital |
|
6,617 |
6,176 |
15,819 |
|
Change in inventories |
|
(3,579) |
(4,433) |
867 |
|
Change in trade receivables |
|
(1,268) |
(4,631) |
(2,152) |
|
Change in trade payables |
|
(362) |
1,867 |
(451) |
|
Cash flows from/(used in) operating activities |
|
1,408 |
(1,021) |
14,083 |
|
Income taxes paid |
|
(310) |
(571) |
(822) |
|
Net cash flows from/(used in) operating activities |
|
1,098 |
(1,592) |
13,261 |
|
Cash flows from investing activities |
|
|
|
|
|
Purchase of property, plant and equipment |
9 |
(188) |
(100) |
(390) |
|
Purchase of intangible assets |
8 |
(2,497) |
(2,226) |
(4,498) |
|
Net cash flows used in investing activities |
|
(2,685) |
(2,326) |
(4,888) |
|
Cash flows from financing activities |
|
|
|
|
|
Lease payments - capital |
|
(985) |
(805) |
(1,669) |
|
Lease payments - interest |
|
(112) |
(159) |
(298) |
|
Interest paid |
|
(69) |
(34) |
(66) |
|
Dividend paid |
7 |
(2,955) |
(2,963) |
(2,963) |
|
Proceeds from borrowings |
|
5,100 |
- |
- |
|
Purchase of own shares |
11 |
(4,860) |
(2,220) |
(9,042) |
|
Purchase of own shares by EBT |
11 |
(337) |
- |
(598) |
|
Net cash flows used in financing activities |
|
(4,218) |
(6,181) |
(14,636) |
|
Net cash flows |
|
(5,805) |
(10,099) |
(6,263) |
|
Cash and cash equivalents at beginning of period |
|
9,637 |
16,459 |
16,459 |
|
Effects of exchange rate changes |
|
42 |
(357) |
(559) |
|
Cash and cash equivalents at end of period |
|
3,874 |
6,003 |
9,637 |
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
1. GENERAL INFORMATION
The principal activity of The Pebble Group plc (the "Company") is that of a holding company and the principal activity of the Company and its subsidiaries (the "Group") is the sale of technology solutions, products and related services to the promotional merchandise industry. The Group has two segments: Brand Addition; and Facilisgroup. For Brand Addition, this is the sale of promotional products internationally, to many of the world's best-known brands. For Facilisgroup, this is the provision of digital technology, consolidated buying power and community learning and networking events to SME promotional product distributors in North America, its Partners, through subscription-based services.
The Company was incorporated on 27 September 2019 in the United Kingdom and is a public company limited by shares registered in England and Wales. The registered office of the Company is Broadway House, Trafford Wharf Road, Trafford Park, Manchester, England M17 1DD. The Company registration number is 12231361.
2. BASIS OF PREPARATION
These Condensed consolidated interim financial statements of the Group are for the 6 months ended 30 June 2026. They have been prepared on the basis of the accounting policies set out in the 2025 annual financial statements and in accordance with the requirements of UK-adopted IAS 34 "Interim Financial Reporting".
The Condensed consolidated interim financial statements are unaudited and do not comprise statutory accounts within the meaning of Section 434 of the Companies Act 2006. They should be read in conjunction with the Group's 2025 Annual report and financial statements which were prepared in accordance with UK-adopted international accounting standards in conformity with the requirements of the Companies Act 2006. The 2025 Annual report and financial statements have been filed with the Registrar of Companies. The auditors' report on those accounts was unqualified, did not contain an emphasis of matter paragraph and did not contain a statement under Section 498 of the Companies Act 2006.
The Condensed consolidated interim financial statements are presented in the Group's functional currency of Sterling and all values are rounded to the nearest thousand (£'000) except when otherwise indicated.
Accounting Policies
The accounting policies adopted in the preparation of the Condensed consolidated interim financial statements are consistent with those followed in the preparation of the Group's annual financial statements for the year ended 31 December 2025 as described in the Group's Annual report and financial statements for that year and as available on the Group's website (www.thepebblegroup.com).
Taxation
Taxes on income in the interim periods are accrued using management's best estimate of the weighted average annual tax rate that would be applicable to expected total annual earnings.
Forward looking statements
Certain statements in this report are forward looking with respect to the operations, strategy, performance, financial condition and growth opportunities of the Group. The terms "expect", "anticipate", "should be", "will be", "is likely to", and similar expressions, identify forward-looking statements. Although the Board believes that the expectations reflected in these forward-looking statements are reasonable, by their nature these statements are based on assumptions and are subject to a number of risks and uncertainties. Actual events could differ materially from those expressed or implied by these forward-looking statements. Factors which may cause future outcomes to differ from those foreseen in forward-looking statements include, without limitation: general economic conditions and business conditions in the Group's markets, customers' expectations and behaviours, supply chain developments, technology changes, the actions of competitors, exchange rate fluctuations and legislative, fiscal and regulatory developments. Information contained in these financial statements relating to the Group should not be relied upon as a guide to future performance.
Alternative performance measures
Throughout the report, we refer to a number of alternative performance measures (APMs). APMs are used internally by management to assess the operating performance of the Group. These are non-GAAP measures and so other entities may not calculate these measures in the same way and hence are not directly comparable. The APMs that are not recognised under UK-adopted international accounting standards are:
· Adjusted EBTIDA;
· Adjusted operating profit;
· Adjusted profit before tax;
· Adjusted earnings; and
· Adjusted earnings per share (note 5).
A reconciliation of the APMs can be found in note 6.
The Board considers that the above APMs provide useful information for stakeholders on the underlying trends and performance of the Group and facilitate meaningful year-on-year comparisons.
Key risks and uncertainties
The Group has in place a structured risk management process which identifies key risks and uncertainties along with their associated mitigants. The key risks and uncertainties that could affect the Group's medium-term performance and the factors that mitigate those risks are set out in the Group's Annual Report which can be found on the Group's website (www.thepebblegroup.com). These have not substantially changed in the period.
Going concern statement
The Group meets its day-to-day working capital requirements through its own cash balances and committed banking facilities. The Group has a £10m Revolving Credit Facility to February 2029. In assessing the appropriateness of adopting the going concern basis in the preparation of these financial statements, the Directors have prepared cash flow forecasts and projections up to 31 December 2027.
The forecasts and projections, which the Directors consider to be prudent, have been further sensitised by applying reductions to revenue growth and margin, to consider a severe but plausible downside. Under both the base and sensitised case, the Group is expected to have headroom against covenants, which are based on interest cover and net leverage, and a sufficient level of financial resources available through existing facilities when the future funding requirements of the Group are compared with the level of committed available facilities. Based on this, the Directors are satisfied that the Group has adequate resources to continue in operational existence for at least 12 months from the date of signing the financial statements. For this reason, they continue to adopt the going concern basis in preparing the consolidated interim financial statements.
3. SEGMENTAL ANALYSIS
The Chief Operating Decision Maker (CODM) has been identified as the Executive Directors. The Directors have determined that the operating segments, based on these financial statements, are: Brand Addition; Facilisgroup; and Central operations.
Segment information about the above businesses is presented below.
Income statement for the 6 months ended 30 June 2026
|
|
Brand Addition |
Facilisgroup |
Central operations |
Total Group |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
|
Revenue |
51,862 |
8,879 |
- |
60,741 |
|
Cost of goods sold |
(33,638) |
- |
- |
(33,638) |
|
Gross profit |
18,224 |
8,879 |
- |
27,103 |
|
Operating expenses |
(15,807) |
(8,215) |
(1,694) |
(25,716) |
|
Operating profit/(loss) |
2,417 |
664 |
(1,694) |
1,387 |
|
Analysed as: |
|
|
|
|
|
Adjusted EBITDA |
4,269 |
3,794 |
(1,446) |
6,617 |
|
Depreciation |
(883) |
(222) |
(42) |
(1,147) |
|
Amortisation |
(725) |
(2,376) |
- |
(3,101) |
|
Share-based payment charge |
(244) |
(532) |
(206) |
(982) |
|
Total operating profit/(loss) |
2,417 |
664 |
(1,694) |
1,387 |
|
Finance expense |
(86) |
(23) |
(96) |
(205) |
|
Profit/(loss) before taxation |
2,331 |
641 |
(1,790) |
1,182 |
|
Income tax (expense)/income |
(560) |
(154) |
430 |
(284) |
|
Profit/(loss) for the period |
1,771 |
487 |
(1,360) |
898 |
Due to the timing on the delivery of orders, the Brand Addition segment of The Pebble Group plc traditionally raises a higher number of invoices in the period July to December which results in The Pebble Group plc's performance being weighted to the second half of the year.
All the above revenues are generated from contracts with customers.
Income statement for the 6 months ended 30 June 2025
|
|
Brand Addition |
Facilisgroup |
Central operations |
Total Group |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
|
Revenue |
49,995 |
8,599 |
- |
58,594 |
|
Cost of goods sold |
(32,166) |
- |
- |
(32,166) |
|
Gross profit |
17,829 |
8,599 |
- |
26,428 |
|
Operating expenses |
(15,505) |
(6,744) |
(1,369) |
(23,618) |
|
Operating profit/(loss) |
2,324 |
1,855 |
(1,369) |
2,810 |
|
Analysed as: |
|
|
|
|
|
Adjusted EBITDA |
3,821 |
3,755 |
(1,400) |
6,176 |
|
Depreciation |
(759) |
(252) |
(43) |
(1,054) |
|
Amortisation |
(851) |
(1,794) |
- |
(2,645) |
|
Share-based payment credit |
113 |
146 |
74 |
333 |
|
Total operating profit/(loss) |
2,324 |
1,855 |
(1,369) |
2,810 |
|
Finance expense |
(132) |
(28) |
(87) |
(247) |
|
Profit/(loss) before taxation |
2,192 |
1,827 |
(1,456) |
2,563 |
|
Income tax (expense)/income |
(479) |
(398) |
318 |
(559) |
|
Profit/(loss) for the period |
1,713 |
1,429 |
(1,138) |
2,004 |
Income statement for the year ended 31 December 2025
|
|
Brand Addition |
Facilisgroup |
Central operations |
Total Group |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
|
Revenue |
107,502 |
17,157 |
- |
124,659 |
|
Cost of goods sold |
(67,725) |
- |
- |
(67,725) |
|
Gross profit |
39,777 |
17,157 |
- |
56,934 |
|
Operating expenses |
(31,863) |
(14,726) |
(2,990) |
(49,579) |
|
Operating profit/(loss) |
7,914 |
2,431 |
(2,990) |
7,355 |
|
Analysed as: |
|
|
|
|
|
Adjusted EBITDA |
11,380 |
7,261 |
(2,822) |
15,819 |
|
Depreciation |
(1,539) |
(498) |
(85) |
(2,122) |
|
Amortisation |
(1,891) |
(4,120) |
- |
(6,011) |
|
Share-based payment charge |
(36) |
(212) |
(83) |
(331) |
|
Total operating profit/(loss) |
7,914 |
2,431 |
(2,990) |
7,355 |
|
Finance expense |
(244) |
(53) |
(180) |
(477) |
|
Profit/(loss) before taxation |
7,670 |
2,378 |
(3,170) |
6,878 |
|
Income tax expense |
(957) |
(511) |
(32) |
(1,500) |
|
Profit/(loss) for the year |
6,713 |
1,867 |
(3,202) |
5,378 |
Statement of financial position as at 30 June 2026
|
|
Brand Addition |
Facilisgroup |
Central operations |
Total Group |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
|
Assets |
|
|
|
|
|
Non-current assets |
|
|
|
|
|
Intangible assets |
37,730 |
20,788 |
- |
58,518 |
|
Property, plant and equipment |
3,084 |
1,617 |
101 |
4,802 |
|
Total non-current assets |
40,814 |
22,405 |
101 |
63,320 |
|
Current assets |
|
|
|
|
|
Inventories |
14,811 |
- |
- |
14,811 |
|
Trade and other receivables |
28,101 |
5,868 |
369 |
34,338 |
|
Current tax asset/(liability) |
(126) |
491 |
369 |
734 |
|
Cash and cash equivalents |
2,186 |
1,619 |
69 |
3,874 |
|
Total current assets |
44,972 |
7,978 |
807 |
53,757 |
|
Total assets |
85,786 |
30,383 |
908 |
117,077 |
|
Liabilities |
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
Lease liability |
1,436 |
1,244 |
20 |
2,700 |
|
Deferred tax liability/(asset) |
597 |
2,037 |
(336) |
2,298 |
|
Total non-current liabilities |
2,033 |
3,281 |
(316) |
4,998 |
|
Current liabilities |
|
|
|
|
|
Borrowings |
- |
- |
5,100 |
5,100 |
|
Lease liability |
1,392 |
307 |
90 |
1,789 |
|
Trade and other payables |
25,408 |
2,450 |
527 |
28,385 |
|
Current tax liability |
- |
- |
- |
- |
|
Total current liabilities |
26,800 |
2,757 |
5,717 |
35,274 |
|
Total liabilities |
28,833 |
6,038 |
5,401 |
40,272 |
|
Net assets/(liabilities) |
56,953 |
24,345 |
(4,493) |
76,805 |
Statement of financial position as at 30 June 2025
|
|
Brand Addition |
Facilisgroup |
Central operations |
Total Group |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
|
Assets |
|
|
|
|
|
Non-current assets |
|
|
|
|
|
Intangible assets |
38,334 |
20,992 |
- |
59,326 |
|
Property, plant and equipment |
3,849 |
1,949 |
185 |
5,983 |
|
Deferred tax asset |
276 |
67 |
152 |
495 |
|
Total non-current assets |
42,459 |
23,008 |
337 |
65,804 |
|
Current assets |
|
|
|
|
|
Inventories |
16,308 |
- |
- |
16,308 |
|
Trade and other receivables |
28,284 |
5,432 |
433 |
34,149 |
|
Current tax asset |
- |
- |
287 |
287 |
|
Cash and cash equivalents |
4,431 |
1,142 |
430 |
6,003 |
|
Total current assets |
49,023 |
6,574 |
1,150 |
56,747 |
|
Total assets |
91,482 |
29,582 |
1,487 |
122,551 |
|
Liabilities |
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
Lease liability |
2,513 |
1,492 |
104 |
4,109 |
|
Deferred tax liability |
163 |
1,673 |
- |
1,836 |
|
Total non-current liabilities |
2,676 |
3,165 |
104 |
5,945 |
|
Current liabilities |
|
|
|
|
|
Lease liability |
1,361 |
284 |
52 |
1,697 |
|
Trade and other payables |
27,480 |
1,934 |
440 |
29,854 |
|
Current tax liability |
105 |
257 |
- |
362 |
|
Total current liabilities |
28,946 |
2,475 |
492 |
31,913 |
|
Total liabilities |
31,622 |
5,640 |
596 |
37,858 |
|
Net assets |
59,860 |
23,942 |
891 |
84,693 |
Statement of financial position as at 31 December 2025
|
|
Brand Addition |
Facilisgroup |
Central operations |
Total Group |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
|
Assets |
|
|
|
|
|
Non-current assets |
|
|
|
|
|
Intangible assets |
37,891 |
20,833 |
- |
58,724 |
|
Property, plant and equipment |
3,596 |
1,764 |
143 |
5,503 |
|
Total non-current assets |
41,487 |
22,597 |
143 |
64,227 |
|
Current assets |
|
|
|
|
|
Inventories |
11,141 |
- |
- |
11,141 |
|
Trade and other receivables |
27,050 |
5,432 |
302 |
32,784 |
|
Current tax asset |
205 |
533 |
- |
738 |
|
Cash and cash equivalents |
8,626 |
903 |
108 |
9,637 |
|
Total current assets |
47,022 |
6,868 |
410 |
54,300 |
|
Total assets |
88,509 |
29,465 |
553 |
118,527 |
|
Liabilities |
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
Lease liability |
1,958 |
1,371 |
128 |
3,457 |
|
Deferred tax liability/(asset) |
580 |
2,134 |
(103) |
2,611 |
|
Total non-current liabilities |
2,538 |
3,505 |
25 |
6,068 |
|
Current liabilities |
|
|
|
|
|
Lease liability |
1,426 |
296 |
5 |
1,727 |
|
Trade and other payables |
25,788 |
2,016 |
701 |
28,505 |
|
Total current liabilities |
27,214 |
2,312 |
706 |
30,232 |
|
Total liabilities |
29,752 |
5,817 |
731 |
36,300 |
|
Net assets/(liabilities) |
58,757 |
23,648 |
(178) |
82,227 |
4. INCOME TAX EXPENSE
The income tax expense for the 6 months ended 30 June 2026 is based upon management's best estimate of the weighted average annual tax rate expected for the full year ending 31 December 2026. The income tax expense is lower than the standard rate of 25% due to tax relief that the Group is claiming in relation to qualifying research and development costs it incurs in the USA. The income tax expense for the year ended 31 December 2025 was also lower than the standard rate of 25% due to tax relief for research and development costs.
5. EARNINGS PER SHARE
Basic earnings per share are calculated by dividing the earnings attributable to equity shareholders by the weighted average number of Ordinary Shares in issue during the period.
For diluted earnings per share, the weighted average number of Ordinary Shares in issue is adjusted to assume conversion of all potentially dilutive Ordinary Shares. The Company has potentially dilutive Ordinary Shares arising from share options granted to employees.
Options are dilutive under the Group Sharesave Plan (SAYE) where the exercise price together with the future IFRS 2 charge of the option is less than the average market price of the Company's Ordinary Shares during the period. Options under The Pebble Group plc Long Term Incentive Plan (LTIP), as defined by IFRS 2, are contingently issuable shares and are therefore only included within the calculation of diluted earnings per share if the performance conditions are satisfied at the end of the reporting period, irrespective of whether this is the end of the vesting period or not.
The impact of the potentially dilutive share options issued under the LTIP 28 March 2023, 26 March 2024, 9 September 2025, 30 April 2026 and the SAYE on 25 April 2023 and 11 October 2024 is: 0.01p for the 6 months ended 30 June 2026 (6 months ended 30 June 2025: nil, year ended 31 December 2025: 0.01p) in respect of statutory earnings per share; and nil for the 6 months ended 30 June 2026 (6 months ended 30 June 2025: nil, year ended 31 December 2025: 0.01p) in respect of adjusted earnings per share.
The calculation of basic earnings per share is based on the following data:
Statutory earnings per share
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
Earnings (£'000) |
|
|
|
|
Earnings for the purposes of basic and diluted earnings per share being profit for the period attributable to equity shareholders |
898 |
2,004 |
5,378 |
|
Number of shares |
|
|
|
|
Weighted average number of shares for the purposes of basic earnings per share |
145,958,654 |
161,485,073 |
156,079,283 |
|
Weighted average dilutive effects of conditional share awards |
553,688 |
60,156 |
59,603 |
|
Weighted average number of shares for the purposes of diluted earnings per share |
146,512,342 |
161,545,229 |
156,138,886 |
|
Earnings per Ordinary Share |
|
|
|
|
Basic earnings per Ordinary Share (pence) |
0.62 |
1.24 |
3.45 |
|
Diluted earnings per Ordinary Share (pence) |
0.61 |
1.24 |
3.44 |
Adjusted earnings per share
The calculation of adjusted earnings per share is based on the after-tax adjusted profit after adding back certain costs as detailed in the table in note 6. Adjusted earnings per share figures are given to exclude the effects of amortisation of acquired intangible assets and share-based payment credit, all net of taxation, and are considered to show the underlying performance of the Group.
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
Earnings (£'000) |
|
|
|
|
Earnings for the purposes of basic and diluted adjusted earnings per share being adjusted earnings |
1,827 |
1,953 |
6,019 |
|
Number of shares |
|
|
|
|
Weighted average number of shares for the purposes of basic adjusted earnings per share |
145,958,654 |
161,485,073 |
156,079,283 |
|
Weighted average dilutive effects of conditional share awards |
553,688 |
60,156 |
59,603 |
|
Weighted average number of shares for the purposes of diluted adjusted earnings per share |
146,512,342 |
161,545,229 |
156,138,886 |
|
Adjusted earnings per Ordinary Share |
|
|
|
|
Basic adjusted earnings per Ordinary Share (pence) |
1.25 |
1.21 |
3.86 |
|
Diluted adjusted earnings per Ordinary Share (pence) |
1.25 |
1.21 |
3.85 |
6. ALTERNATIVE PERFORMANCE MEASURES
Throughout the consolidated interim financial statements, we refer to a number of alternative performance measures (APMs). A reconciliation of the APMs used are shown below.
Adjusted EBTIDA
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
£'000 |
£'000 |
£'000 |
|
Operating profit |
1,387 |
2,810 |
7,355 |
|
Add back/(deduct): |
|
|
|
|
Depreciation |
1,147 |
1,054 |
2,122 |
|
Amortisation |
3,101 |
2,645 |
6,011 |
|
Share-based payment charge/(credit) |
982 |
(333) |
331 |
|
Adjusted EBITDA |
6,617 |
6,176 |
15,819 |
Adjusted operating profit
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
£'000 |
£'000 |
£'000 |
|
Operating profit |
1,387 |
2,810 |
7,355 |
|
Add back/(deduct): |
|
|
|
|
Amortisation charge on acquired intangible assets |
257 |
265 |
523 |
|
Share-based payment charge/(credit) |
982 |
(333) |
331 |
|
Adjusted operating profit |
2,626 |
2,742 |
8,209 |
Adjusted profit before tax
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
£'000 |
£'000 |
£'000 |
|
Profit before tax |
1,182 |
2,563 |
6,878 |
|
Add back/(deduct): |
|
|
|
|
Amortisation charge on acquired intangible assets |
257 |
265 |
523 |
|
Share-based payment charge/(credit) |
982 |
(333) |
331 |
|
Adjusted profit before tax |
2,421 |
2,495 |
7,732 |
Adjusted earnings
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
£'000 |
£'000 |
£'000 |
|
Profit for the period attributable to equity shareholders |
898 |
2,004 |
5,378 |
|
Add back/(deduct): |
|
|
|
|
Amortisation charge on acquired intangible assets |
257 |
265 |
523 |
|
Share-based payment charge/(credit) |
982 |
(333) |
331 |
|
Tax effect of the above |
(310) |
17 |
(213) |
|
Adjusted earnings |
1,827 |
1,953 |
6,019 |
7. DIVIDENDS PAID AND PROPOSED
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
£'000 |
£'000 |
£'000 |
|
Declared and paid during the period |
|
|
|
|
Final dividend for 2025 of 2.00p per share (2024: 1.85p per share) |
2,955 |
2,963 |
2,963 |
|
Proposed for approval at AGM (not recognised in the period) |
|
|
|
|
Final dividend for 2025 of 2.00 p per share |
- |
- |
2,955 |
As per the Trust Deed, the EBT waived its entitlement to a dividend on the shares held by the trust.
8. INTANGIBLE ASSETS
|
|
Goodwill |
Customer relationships |
Software and development costs |
Work in progress |
Total |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
|
Cost |
|
|
|
|
|
|
At 1 January 2025 |
36,015 |
10,932 |
34,785 |
7,260 |
88,992 |
|
Additions |
- |
- |
139 |
2,087 |
2,226 |
|
Transfers |
- |
- |
4,455 |
(4,455) |
- |
|
Exchange differences |
(262) |
(830) |
(1,818) |
(467) |
(3,377) |
|
At 30 June 2025 |
35,753 |
10,102 |
37,561 |
4,425 |
87,841 |
|
Additions |
- |
- |
124 |
2,148 |
2,272 |
|
Disposals |
- |
- |
(1,947) |
- |
(1,947) |
|
Transfers |
- |
- |
1,512 |
(1,512) |
- |
|
Exchange differences |
54 |
172 |
595 |
(7) |
814 |
|
At 31 December 2025 |
35,807 |
10,274 |
37,845 |
5,054 |
88,980 |
|
Additions |
- |
- |
137 |
2,360 |
2,497 |
|
Transfers |
- |
- |
2,343 |
(2,343) |
- |
|
Exchange differences |
55 |
172 |
354 |
88 |
669 |
|
At 30 June 2026 |
35,862 |
10,446 |
40,679 |
5,159 |
92,146 |
|
Accumulated amortisation |
|
|
|
|
|
|
At 1 January 2025 |
- |
3,386 |
23,848 |
- |
27,234 |
|
Charge for the period |
- |
265 |
2,380 |
- |
2,645 |
|
Exchange differences |
- |
(262) |
(1,102) |
- |
(1,364) |
|
At 30 June 2025 |
- |
3,389 |
25,126 |
- |
28,515 |
|
Charge for the period |
- |
258 |
3,108 |
- |
3,366 |
|
Disposals |
- |
- |
(1,947) |
- |
(1,947) |
|
Exchange differences |
- |
55 |
267 |
- |
322 |
|
At 31 December 2025 |
- |
3,702 |
26,554 |
- |
30,256 |
|
Charge for the period |
- |
257 |
2,844 |
- |
3,101 |
|
Exchange differences |
- |
64 |
207 |
- |
271 |
|
At 30 June 2026 |
- |
4,023 |
29,605 |
- |
33,628 |
|
Net book value |
|
|
|
|
|
|
At 31 December 2024 |
36,015 |
7,546 |
10,937 |
7,260 |
61,758 |
|
At 30 June 2025 |
35,753 |
6,713 |
12,435 |
4,425 |
59,326 |
|
At 31 December 2025 |
35,807 |
6,572 |
11,291 |
5,054 |
58,724 |
|
At 30 June 2026 |
35,862 |
6,423 |
11,074 |
5,159 |
58,518 |
The Group tests annually for impairment, at the year end, or more frequently if there are indicators that goodwill might be impaired. There were no such indicators as at 30 June 2026.
9. PROPERTY, PLANT AND EQUIPMENT
|
|
Fixtures and fittings |
Computer hardware |
Right-of-use assets |
Total |
|||
|
|
£'000 |
£'000 |
£'000 |
£'000 |
|||
|
Cost |
|
|
|
|
|||
|
At 1 January 2025 |
3,760 |
2,886 |
13,696 |
20,342 |
|||
|
Additions |
8 |
92 |
54 |
154 |
|||
|
Disposals |
- |
(21) |
- |
(21) |
|||
|
Exchange differences |
(168) |
(124) |
(388) |
(680) |
|||
|
At 30 June 2025 |
3,600 |
2,833 |
13,362 |
19,795 |
|||
|
Additions |
131 |
159 |
206 |
496 |
|||
|
Disposals |
(67) |
(231) |
(181) |
(479) |
|||
|
Exchange differences |
44 |
40 |
158 |
242 |
|||
|
At 31 December 2025 |
3,708 |
2,801 |
13,545 |
20,054 |
|||
|
Additions |
36 |
152 |
222 |
410 |
|||
|
Disposals |
- |
- |
- |
- |
|||
|
Exchange differences |
29 |
12 |
72 |
113 |
|||
|
At 30 June 2026 |
3,773 |
2,965 |
13,839 |
20,577 |
|||
|
Accumulated depreciation |
|
|
|
|
|||
|
At 1 January 2025 |
3,111 |
1,988 |
8,120 |
13,219 |
|||
|
Charge for the period |
116 |
180 |
758 |
1,054 |
|||
|
Disposals |
- |
(21) |
- |
(21) |
|||
|
Exchange differences |
(142) |
(93) |
(205) |
(440) |
|||
|
At 30 June 2025 |
3,085 |
2,054 |
8,673 |
13,812 |
|||
|
Charge for the period |
116 |
192 |
760 |
1,068 |
|||
|
Disposals |
(67) |
(231) |
(181) |
(479) |
|||
|
Exchange differences |
37 |
30 |
83 |
150 |
|||
|
At 31 December 2025 |
3,171 |
2,045 |
9,335 |
14,551 |
|||
|
Charge for the period |
105 |
186 |
856 |
1,147 |
|||
|
Disposals |
- |
- |
- |
- |
|||
|
Exchange differences |
26 |
9 |
42 |
77 |
|||
|
At 30 June 2026 |
3,302 |
2,240 |
10,233 |
15,775 |
|||
|
Net book value |
|
|
|
|
|||
|
At 31 December 2024 |
649 |
898 |
5,576 |
7,123 |
|||
|
At 30 June 2025 |
515 |
779 |
4,689 |
5,983 |
|||
|
At 31 December 2025 |
537 |
756 |
4,210 |
5,503 |
|||
|
At 30 June 2026 |
471 |
725 |
3,606 |
4,802 |
|||
|
|
|
|
|
|
|||
Right-of-use assets - net book value
|
|
Unaudited As at 30 June 2026 |
Unaudited As at 30 June 2025 |
Audited As at 31 December 2025 |
|
|
£'000 |
£'000 |
£'000 |
|
Leasehold property |
3,261 |
4,223 |
3,723 |
|
Fixtures and fittings |
267 |
340 |
431 |
|
Computer hardware |
78 |
126 |
56 |
|
Total right-of-use assets - net book value |
3,606 |
4,689 |
4,210 |
10. LEASES
Amounts recognised in the consolidated statement of financial position
In addition to the right-of-use assets included within note 9, the consolidated statement of financial position shows the following amounts relating to leases:
Lease liability
|
|
Unaudited As at 30 June 2026 |
Unaudited As at 30 June 2025 |
Audited As at 31 December 2025 |
|
|
£'000 |
£'000 |
£'000 |
|
Maturity analysis - contractual undiscounted cash flows: |
|
|
|
|
Less than one year |
1,945 |
1,927 |
1,938 |
|
Between one and five years |
2,857 |
4,091 |
3,552 |
|
More than five years |
- |
295 |
157 |
|
Total undiscounted lease liability at period end |
4,802 |
6,313 |
5,647 |
|
Finance expense |
(313) |
(507) |
(463) |
|
Total discounted lease liability at period end |
4,489 |
5,806 |
5,184 |
|
Current |
1,789 |
1,697 |
1,727 |
|
Non-current |
2,700 |
4,109 |
3,457 |
|
|
4,489 |
5,806 |
5,184 |
Amounts recognised in the consolidated income statement
The consolidated income statement shows the following amounts relating to leases:
|
|
Unaudited 6 months ended 30 June 2026 |
Unaudited 6 months ended 30 June 2025 |
Audited Year ended 31 December 2025 |
|
|
£'000 |
£'000 |
£'000 |
|
Depreciation charge - leasehold property |
740 |
644 |
1,304 |
|
Depreciation charge - fixtures and fittings |
92 |
89 |
165 |
|
Depreciation charge - computer hardware |
24 |
25 |
49 |
|
|
856 |
758 |
1,518 |
|
Interest expense (within finance expense) |
112 |
159 |
298 |
11. SHARE CAPITAL
The authorised, issued and fully paid number of shares are set out below.
|
|
Ordinary Shares |
Share capital |
Share premium |
|
|
Number |
£ |
£ |
|
Ordinary Shares of 1p each: |
|
|
|
|
At 1 January 2025 |
164,776,354 |
1,647,764 |
78,451,312 |
|
Purchase of own shares |
(5,405,908) |
(54,059) |
- |
|
At 30 June 2025 |
159,370,446 |
1,593,705 |
78,451,312 |
|
Purchase of own shares |
(10,655,737) |
(106,557) |
- |
|
At 31 December 2025 |
148,714,709 |
1,487,148 |
78,451,312 |
|
Purchase of own shares |
(8,335,500) |
(83,355) |
- |
|
At 30 June 2026 |
140,379,209 |
1,403,793 |
78,451,312 |
In March 2026, the Group commenced a share buyback programme to repurchase up to £5 million of its own shares. During the 6 months ended 30 June 2026, 8,335,500 Ordinary Shares with a total nominal value of £83,355 were bought back by the Company for a total consideration, including transaction costs, of £4.86 million, charged to retained earnings (6 months ended 30 June 2025: 5,405,908 Ordinary Shares with a total nominal value of £54,059 for a total consideration, including transaction costs of £2.22 million). The Company subsequently cancelled these shares which resulted in a reduction in share capital of £83,355 (6 months ended 30 June 2025: £54,059), with a corresponding increase in the capital reserve.
In the 6 months ended 30 June 2026, the EBT purchased a total of 650,000 Ordinary Shares at an average price of £0.52 per share, which were used to satisfy the exercise of 1,280,503 LTIP options. The EBT did not sell any shares and the remaining 715,706 shares are held by the Trust.
12. FINANCIAL INSTRUMENTS
The fair values of all financial instruments included in the consolidated statement of financial position are a reasonable approximation of their carrying values.
13. SHARE-BASED PAYMENTS
In the 6 months ended 30 June 2026, the Group operated equity-settled share-based payment plans.
The Group recognised a total charge of £982,000 in respect of equity-settled share-based payment transactions for the 6 months ended 30 June 2026 (6 months ended 30 June 2025: credit of £333,000, year ended 31 December 2025: charge of £331,000).
On 30 April 2026, members of the senior management team below the Executive Director level were granted a total of 2,563,580 share options under the LTIP. The awards will vest in two tranches over a 24-month period, subject to continued employment. The awards are subject to malus and clawback.
14. SUBSEQUENT EVENTS
On 9 July 2026, the Company announced that it increased the maximum aggregate consideration of the Original Share Buyback Programme by £2.0 million, taking the programme to a total of £7.0 million.
On 30 July 2026, the Company announced the completion of the Share Buyback Programme. In total, the Group repurchased 12,236,837 ordinary shares for a total consideration of £7.0 million, representing an average price per share of 57.20 pence.
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