REG - Craneware plc - FY26 Interim Results
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RNS Number : 8151U Craneware plc 02 March 2026
Craneware plc
("Craneware" or the "Company")
FY26 Interim Results
Double digit adjusted EBITDA and EPS growth
Healthy financial performance and accelerated innovation provide confident
outlook
2 March 2026 - Craneware (AIM: CRW.L), a leader in healthcare financial
performance solutions, announces its unaudited results for the six months
ended 31 December 2025 ("H1 FY26").
Financial Highlights (US dollars)
H1 FY26 H1 FY25 Change
Group revenue $105.7m $100.0m +6%
Adjusted EBITDA(1) $33.4m $30.3m +10%
Adjusted Profit before tax(2) $23.5m $20.6m +14%
Statutory Profit before tax $13.0m $10.1m +29%
Adjusted Basic EPS 58.7 cents 50.6 cents +16%
Basic EPS 28.6 cents 20.7 cents +38%
Annual Recurring Revenue(3) $184.2m $177.3m +4%
Total cash and cash equivalents(4) $71.2m $72.2m -1.5%
Total bank debt $23.4m $31.6m -26%
Interim dividend 15.0 pence 13.5 pence +11%
(1) Adjusted EBITDA refers to earnings before interest, tax, depreciation,
amortisation, share based payments and exceptional costs
(2) Adjusted profit before tax refers to profit before tax, amortisation of
acquired intangibles and exceptional costs
(3) Annual Recurring Revenue includes the annual value of licence and related
recurring revenues including transaction revenues as at 31 December 2025 that
are subject to underlying contracts
(4) After adjusting for $30.3m of cash in Transit
Highlights
· Healthy financial performance, delivering double digit Adjusted EBITDA and EPS
growth
· Increase in the annual value of new sales in the period, with sales to 'New'
customers increasing considerably to 12% of sales (H1 FY25: 2%), reflecting
increased competitive take-out rate, with each new customer providing future
significant expansion opportunity
· Continued expansion and cross-sales to all hospital strata, with healthy Net
Revenue Retention ("NRR") on a 12 month rolling basis of 103% (H1 FY25:
103%) and a customer retention rate of above 90% on all measures
· Prior investments in data and access to advanced AI via partnership with
Microsoft delivering accelerated innovation, with major new Trisus®
functionality across multiple products set to launch in H2, supporting
medium-term growth ambitions, further underpinned by high levels of ARR and
strong customer retention
· Group cash reserves, including cash in transit, remain high at $71.2m (H1
FY25: $72.2m) and bank debt has further reduced to $23.4m (H1 FY25: $31.6m),
which coupled with the reduction in the share premium account and associated
increase in distributable reserves increases the capital allocation options
available to the Board
· The Company announces it intends to commence a share buyback programme of $25
million. A further announcement with details of the buyback, and its
commencement, will be made in due course
Current Trading and Outlook
· High levels of expansion sales, healthy NRR and an increasing 340B Shelter
opportunity underpin our confidence in a positive second half performance
· The Board remains confident in its outlook and expects to deliver results for
the year ending 30 June 2026 in line with market expectations
· Longer-term, the Board continues to see considerable opportunity, reflecting
Craneware's strong market positioning and the significant size of the overall
market, providing the potential for further growth acceleration, in line with
the Company's ambitions
Keith Neilson, CEO of Craneware plc, commented,
"High levels of expansion sales, healthy NRR and an increasing 340B Shelter
opportunity underpin our confidence in a positive second half performance. The
increasing levels of competitive wins and takeouts we have seen in the first
half of the year demonstrate the importance of the Trisus platform, the
benefit of our independence to our hospital customers and our ability to
leverage AI in combination with our extensive proprietary data sets to deliver
the solutions our customers need, when they need them. These unique strengths
underpin future revenue growth acceleration and sustainable, long-term value
generation.
"The US healthcare market continues to evolve at pace, and with each new piece
of legislation or change, the need for data-led insights and a secure and
scalable technology partner grows. We have never been more confident in the
vital role we play in enabling our customers to navigate these changes with
confidence, while maintaining their financial strength and delivery of care.
This is a hugely powerful motivator for all of us at The Craneware Group.
"With our wealth of proprietary data, deep industry expertise, longstanding
and extensive customer base, and growing AI capabilities, the Board looks to
the future with confidence."
For further information, please contact:
Craneware plc +44 (0)131 550 3100
Keith Neilson, CEO
Craig Preston, CFO
Alma Strategic Communications +44 (0)20 3405 0205
Caroline Forde, Kinvara Verdon, Louisa El-Ahwal craneware@almastrategic.com
Peel Hunt (NOMAD and Joint Broker) +44 (0)20 7418 8900
Neil Patel, Benjamin Cryer, Kate Bannatyne
Investec Bank PLC (Joint Broker) +44 (0)20 7597 5970
Patrick Robb, Virginia Bull, Arnav Kapoor
( ) ( )
Berenberg (Joint Broker) +44 (0)20 3207 7800
Mark Whitmore, Richard Andrews, Patrick Dolaghan
About Craneware
For over 25 years, The Craneware Group (AIM:CRW.L) has been a leader in
healthcare financial and operational transformation, delivering cutting-edge
technologies that drive measurable impact. Our Trisus® cloud ecosystem
unifies data, revenue intelligence, margin intelligence, and advanced
analytics, enabling healthcare organizations to optimize performance, improve
financial sustainability, and drive strategic growth. As a trusted Microsoft
partner, we provide future-ready solutions-including the Best in KLAS Trisus
Chargemaster - that simplify the complexities of healthcare finance and
operations. What sets us apart is our unique combination of deep healthcare
expertise and engineering excellence, positioning us as a strategic partner
rather than just a technology provider. The Craneware Group empowers
healthcare organizations to achieve sustainable financial success while
delivering better outcomes for the communities they serve - today and in the
future. Together, we are transforming the business of healthcare.
Learn more at www.thecranewaregroup.com
Business Review: Healthy financial performance and accelerated innovation
provide a confident outlook
H1 FY26 marked a period of significant advancement for the organisation,
further strengthening our strategic priorities. We continued to grow alongside
our customer base, demonstrating consistent expansion and engagement. Our
commitment and ability to rapidly innovate was evident in our response to the
evolving 340B reimbursement landscape in the period. We were the only 340B
solution provider able to respond to the proposed introduction of a rebate
pilot with a fully integrated product, protecting our customers. Meanwhile our
collaboration with Microsoft continues to strengthen, broadening our market
reach, enhancing our AI capabilities and enabling us to deliver even greater
value to our customers while advancing our competitive edge.
The positive outcomes of these strategic initiatives are reflected in our
sustained growth across key financial metrics, including revenue, adjusted
EBITDA and ARR. We have also maintained high customer retention rates, which
speaks to the effectiveness of our efforts and the strength of our customer
engagement.
These factors, combined with the strength of our Trisus Platform revenues and
expansion sales pipeline, reinforce our confidence in our ongoing ability to
meet our customers' needs, providing the foundation for further future revenue
growth.
With healthcare spend in the US accounting for a substantial 18% of GDP, and
approximately a third of that being administrative spend, the imperative to
drive efficiencies remains ever-present. Crucially, we possess the strength to
continue our investment in innovation to meet these evolving needs, while
maintaining EBITDA margins above 30%. Through the strategic use of data and
technology, we are solving real-world problems for customers, delivering
tangible ROI, and in so doing, transforming the business of healthcare. This
represents a meaningful and exciting long-term opportunity for our Group.
340B Rebate Model: Driving innovation and customer focus
One of the most important achievements during the period, and a source of
immense pride, was the substantial effort undertaken to support customers
ahead of the pilot 340B Rebate model introduction. The Craneware Group was the
only vendor to deliver a robust, enterprise-grade, integrated solution to
address the complexity of this transformative change affecting hospitals'
ability to purchase the initial list of 340B eligible drugs included within
the pilot. Within weeks of the announcement of the pilot, 340B experts,
product teams and customer advocates were brought together to create a
solution that would enable our customers to continue providing these drugs to
eligible communities. This initiative showcased the combined power of
Craneware's 340B tool set, the data held on the Trisus® platform and advanced
AI capabilities, exemplifying our unwavering commitment to customers.
Due to the postponement of the 340B rebate pilot program, we have chosen not
to activate the licences sold for the rebate module at this time, to allow a
breathing space for hospitals as they grapple with the uncertainty of the
pilot. This resulted in softer revenue and ARR growth for the period than
would have otherwise occurred. With the potential that the pilot could be
resumed within the calendar year, these licenses can be activated as required.
The drugs that were encompassed in the pilot remain available to order by our
customers as part of their 340B program, providing a significant Shelter
opportunity in H2 FY26.
Transforming pharmacy expenditure with data and expertise
Pharmacy represents a considerable and growing expense in hospitals. The
acquisition of Sentry Data Systems in 2021, subsequent integration of the
Craneware and Sentry data sets, and the partnership with Microsoft in AI are
converging to enable us to produce new offerings at a pace previously
unimaginable, meaning we are making a significant impact on this critical area
for our customers.
The 340B Shelter offering and 340B Rebate module exemplify ongoing innovation
within our portfolio. Although the Rebate pilot has been postponed, this
solution will provide a foundation for an expanded product family to address
legislative developments and the complex dynamics of this market segment. For
instance, the phased implementation of another federal drug pricing policy,
Maximum Fair Price (MFP), is introducing annual cycles beginning this year,
with the initial ten drugs in the program representing approximately $56.2
billion in annual Medicare Part D drug expenditures. This development adds
further complexity and risk for our customers, prompting us to allocate
additional resources to deliver additional enterprise-grade, highly secure
solutions that support their evolution and resilience both now and into the
future on our Trisus platform.
Growth Strategy - innovation to profoundly impact US healthcare operations,
which will drive demand and expand our addressable market.
Our journey in recent years, from application vendor to platform provider, has
accelerated our expansion and enhanced our Land & Expand capabilities. The
Trisus platform simplifies growth with existing clients, speeds product
development, and supports integration of third-party solutions, broadening our
market reach and reducing the vendor burden for hospitals.
The success of our Trisus-based customer expansion strategy to date is
evidenced by the considerable growth in our top 10 customers. Over the past
decade, revenue generated from the top 10 customers has increased more than
six-fold, driven by utilisation of our solutions across their expanding
hospital networks and the adoption of additional offerings.
With continued innovation expanding our offering, we see considerable scope
for this top 10 to continue to grow, and for other customers to follow this
path. With approximately 40% of all US hospitals as customers, and our six
Trisus Optimisation Suites, our addressable opportunity within existing
customers is substantial. Our "white space" product portfolio analysis alone
suggests an addressable revenue opportunity of over $1.6bn across our existing
customers. With our customers' combined operating expenses totalling almost a
trillion dollars, this would still represent only a small share of overall
hospital operating expenses, with significant further new customer
opportunities.
Delight & Grow
To achieve this growth, our aim is to delight our customers, through industry
leading customer service and compelling ROI. Initiatives recently undertaken
include the unification of customer facing teams under the Chief Customer
Office, a unified customer support pathway, greater focus on customer insights
and analytics and a unified customer portal, offering a consistent customer
experience across all solutions and an easy path to product documentation,
training, industry news, etc. We will measure the success of these initiatives
through our KLAS rankings, NPS score, Net Revenue Retention figures and
ultimately the level of expansion sales. With NRR for the rolling 12 month
period of 103% tracking in line with the prior year, our Trisus Chargemaster
Toolkit being named 'Best in KLAS' once again this year for a record 15(th)
time, and expansion sales accounting for 88% of new sales in the period, we
are pleased with the progress being achieved.
Microsoft Alliance presents a growth catalyst
We see our Microsoft partnership as providing major benefits to our customers,
Craneware and Microsoft.
One of Microsoft's stated aims is to drive innovation and improve healthcare
experiences using AI‑powered solutions, actionable insights, and trusted
capabilities. We are one of the vendors they have opted to work alongside to
achieve this, due to our extensive customer base and innovative, cloud-based
solutions. Through providing us with access to their advanced AI models and
the scalability and security of the Azure infrastructure, we are able to more
rapidly unlock value from our data sets, meanwhile the MACC agreement
streamlines procurement for our customers. During the period, a further two
customers opted to renew and expand their contracts with us in this manner.
From a technology perspective, we are expanding our partnership to implement
explainable AI throughout Trisus, using the Agentic AI framework and creating
internal agents to enhance collaboration and efficiency. Examples include
agents that streamline customer support by recommending troubleshooting steps,
improve software development by generating requirements from user input, and
assist engineers via GitHub Copilot with code snippets and peer collaboration.
These tools accelerate development, help identify potential issues, and
standardise coding practices, with human oversight validating agent outputs.
We continued to strengthen our marketing operating rhythm with Microsoft in
the period, across co‑sell, Marketplace, and AI enablement. Engagement with
Microsoft advanced through coordinated go-to-market ("GTM") execution and
Marketplace investments. We engaged with Microsoft's enablement engineers to
refine our Azure Marketplace listings for multiple co‑sell solutions, and we
synchronized campaign assets with Microsoft promotional schedules.
Our partnership governance matured with a standing monthly governance forum
and bi‑weekly GTM catch‑ups, ensuring a consistent pipeline of joint
activity, removing operational blocks, and co‑sell execution across both
organisations, with Microsoft increasing their US relationship specialists
supporting the Craneware sales team.
Internally, departments across Craneware advanced AI & Copilot enablement,
including configuration support and early agent development-such as an
integrated marketing agent, and an HR agent assisting with daily tasks like
campaign copy writing and brand‑standard execution, with continued
build‑out in Copilot Studio for product‑marketing workflows.
Looking ahead, we are aligning partner marketing with scheduled events to
stimulate demand creation, including HIMSS26 Microsoft partner programming
event (March 9-10, 2026) where we will launch two new AI solutions in addition
to our market leading Trisus® Assist, both developed with direct assistance
from the Microsoft AI Aces. In addition, our customers have been excited to
learn that Microsoft will host Craneware's Executive Advisory Group in May
2026, in Redmond.
We have also utilised Azure credits to assist customer execution and expand
their cloud solutions and this is a model that we are expanding, based on
customer demand.
Our priorities in H2 are to accelerate Microsoft co-sell impact, converting
our expanded Marketplace presence, GTM campaigns, and governance cadence into
measurable sourced and influenced pipeline growth, with particular focus on
late‑stage acceleration. We will continue to grow qualified leads and
improve stage conversion and introduce automated reporting, improving co-sell
visibility and forecast fidelity.
Data unification unlocks AI opportunity
We see AI as another major growth catalyst for The Craneware Group. We are
actively deploying AI within the core economic engines of healthcare finance -
compliance, labour and reimbursement - supporting durable recurring revenue
and long-term customer value.
With over 26 years of experience in the US healthcare market, complemented by
the acquisition of Sentry Data Systems in 2021, we have established a robust,
unified proprietary data set that underpins the Trisus platform, consisting of
over 200 million unique patient encounters. Our strategic focus and commitment
are on delivering sustained value to our customers through actionable insights
drawn from this extensive dataset, rather than selling it to external parties.
We are leveraging advancements in artificial intelligence and machine learning
to expedite analysis and develop innovative models, enhancing efficiency and
productivity throughout our organisation and those of our customers and
facilitating the creation of new solutions.
Trisus Assist, our first AI product co-innovated with Microsoft, launched in
March 2025 and is now in use by more than 200 customers. Embedded within the
Trisus platform, Trisus Assist enhances compliance workflows by delivering
contextual, explainable guidance directly within existing user environments.
The adoption of Trisus Assist has increased platform engagement, supported
renewals and new customer wins and strengthened the strategic role of Trisus
within hospital finance teams.
Now integrated within our evolving Agentic AI framework, Trisus Assist enables
platform-level orchestration and scalable AI agent deployment. Initially
available to Trisus Chargemaster customers, we expect its user base to expand
materially in H2 FY26, increasing the reach and economic impact of AI across
the platform.
In the second half of FY26, we are extending AI capabilities into two
additional high-value financial workflows: labour productivity and
reimbursement intelligence, expanding the operating leverage of our clients
while increasing Trisus platform retention and cross-solution adoption.
The initial insights being provided by these two solutions are expected to
drive substantial ROI for our customers and support revenue growth
acceleration in FY27 and beyond.
Trisus Assist for Labor Productivity (TLP): AI-enhanced demand forecasting and
staffing optimisation embedded within Trisus Labor Productivity.
Labor represents approximately 60% of total hospital operating expense and
continues to grow at rates exceeding inflation. Yet many health systems rely
on retrospective reporting and static staffing grids that limit
forward-looking planning.
Trisus Assist for TLP introduces predictive demand forecasting, staffing
simulation, and role-based optimisation directly within the existing TLP
infrastructure on Microsoft Azure. This enables hospitals to anticipate volume
shifts, model staffing trade-offs across roles, and make proactive
adjustments, leading to a reduction in premium labour and agency spend,
improved overtime management, more stable, predictable scheduling, earlier
visibility into operational pressure points and the reallocation of nurse
manager time from administration to clinical leadership.
Reimbursement Intelligence (AI-Enabled Contract Performance): AI-powered
contract structuring and reimbursement modelling, embedded within Trisus
Reimbursement accuracy and negotiation leverage are key drivers of financial
performance within hospitals, yet contract modelling has historically been
manual, spreadsheet-dependent and resource-intensive. Hospitals manage
thousands of payor agreements containing complex rate methodologies,
carve-outs, escalators and regulatory dependencies. Slow or inaccurate
modelling limits negotiation leverage and exposes organisations to lower
revenue levels.
Reimbursement Intelligence uses AI to transform complex payor contracts into a
standardised structure, which feeds clean and trusted data downstream to
analytics and modelling. Through Trisus this intelligence is embedded within
and central to, mission-critical financial workflows across contract
modelling, reimbursement validation, and margin forecasting. It is explainable
and governed (human-in-the-loop).
Ongoing platform enhancements increase our competitive strength
Our next-generation research environment now handles terabytes of
synchronised, obfuscated data daily while complying with HITRUST, data
privacy, and AI governance standards. These improvements help US hospitals
turn large-scale healthcare data into actionable insights, enhancing financial
performance and patient care.
Our enhanced 340B engine now processes real-time claim submissions in seconds,
boosting pharmacy efficiency and enabling dynamic pricing, thereby increasing
value, throughput, and supporting high-speed claim workflows. Meanwhile,
Trisus platform updates include an intelligent file ingestion engine,
simplifying workflows and supporting multi-facility mapping, which improves
data integrity and accelerates implementation.
Positive sales performance - a trusted strategic partner
Growth in ARR
The strong sales performance and continued high levels of customer retention
have delivered growth in Annual Recurring Revenue ("ARR") of 4% to $184.2m (31
December 2024: $177.3m) and Net Revenue Retention remained healthy and
consistent for this point in the year at 103%, reflecting continued expansion
sales and low levels of churn. ARR growth is expected to more closely align
with revenue growth numbers over time as sales and platform partner success
converts to ARR.
We continue to see the opportunity to accelerate ARR growth over the medium
term, both as our initial Trisus Platform Partners mature and begin generating
demonstrable recurring revenue and we continue to unlock the considerable
cross and upsell opportunities within our enlarged customer base. Our customer
retention rate was greater than 90% across the multiple measures, which is
testament to the value Craneware brings to its customer base.
With the significant opportunity that exists within US Healthcare and our
trusted status as an independent partner to US hospitals, we expect the
continuing investments we make into our Platform and products will drive
significant future returns and further accelerate growth in ARR in the medium
term.
Sales mix
Sales momentum has continued, with the period showing another step up in the
annual value of new sales.
We are pleased to see sales to new customers increase as a proportion of total
new sales in the period, to 12% from 2% a year ago, reflecting an increased
level of competitive takeouts and new wins. Bringing new customers into the
Group provides for further expansion opportunities that support revenue growth
in H2 FY26 and beyond.
As expected, we continue to see the majority of sales coming from our existing
customers, as they both expand their use of Trisus and add further hospitals
to their networks, bringing "new hospitals" to Craneware that expand our
market presence. Expansion sales to existing customers represented 88% of our
total 'new' sales in the period (H1 FY25: 98%). The Business of Pharmacy
Optimization Suite continues to perform particularly well.
Significant wins in the period include:
· 5-year Business of Pharmacy Suite contract with a large stand-alone hospital
requiring a unified solution to streamline operations, replacing a
competitor;
· Professional services contract with a large nonprofit health system facing
revenue leakage and lack of internal expertise;
· 4-year Business of Pharmacy Suite contract with a Midwest Critical Access
Hospital, replacing a competitor where the customer required better
transparency and data;
· 3-year 340B offerings contract with a mid-sized not for profit health system,
replacing a competitor where operational delays and low 340B revenue capture
rates highlighted the need for modernisation;
· 6-year contract with a small Southeast Hospital for a range of Trisus
offerings, leading to a further 4-year contract for 340B offerings;
· 4-year Trisus Medication Formulary contract with an Academic Medical Centre in
the Southeast, leading to a competitive take out for Trisus Chargemaster and
Trisus Supplies Assistant, replacing outdated systems.
Growing opportunity with Trisus Platform programme
The Trisus Platform programme acts as an incubator for new revenue
opportunities and business models, allowing us to utilise Craneware's unique
data sets, HITRUST certified platform and extensive customer base to benefit
our customers and deliver further revenue acceleration opportunity in future
years.
Revenue from these initiatives starts as non-recurring but is expected to
become largely recurring over time. This has been seen with our Shelter
programme, where elements of the revenue have transitioned to a recurring
model once a pattern has been established, adding to ARR.
A robust partner pipeline offers further growth opportunities, all evaluated
thoroughly before launch.
M&A to accelerate growth
The current market presents interesting opportunities for M&A, however the
relative valuations of private companies remain above the depressed valuations
of public companies and restricts our ability to deliver accretive
transactions. However, we continue to assess the market for aligned companies
that will accelerate the Group's growth strategy. In addition to strict
financial criteria, the Group maintains its acquisition criteria, of which a
target company must satisfy at least one of the following: the addition of
relevant data sets; the extension of the customer base; the expansion of
expertise; and the addition of applications suitable for the US hospital
market.
Financial Review
The first half of FY26 has been one of continued progress for the Group, with
another period of double‑digit growth in Adjusted EBITDA and Adjusted EPS.
In a period that saw the announcement and subsequent postponement of the 340B
Rebate pilot, our ongoing investments in the Trisus platform, 340B offerings
and AI‑enabled solutions have ensured that revenue growth remained solid.
Profitability and cash generation continue to demonstrate the strength and
resilience of our Annuity-SaaS business model.
Adjusted EBITDA increased by 10% to $33.4m (H1 FY25: $30.3m) with Group
revenue increasing 6% to $105.7m (H1 FY25: $100.0m). This reflects another
successful performance of our 340B Shelter program, underpinned by a solid
performance in our core recurring revenues. The resulting Adjusted EBITDA
margin of 32% (H1 FY25: 30%), demonstrates the inherent operating leverage in
our model as well as our ability to scale investment in line with revenue
growth.
We never underestimate the importance of balance sheet strength and this
remains a focus. Through our continued strong levels of cash generation, we
have further reduced our total bank debt to $23.4m (H1 FY25: $31.6m), ending
the period with $71.2m of cash and cash equivalents, including cash in transit
of $30.3m. Alongside $76m of undrawn RCF under our $100m facility and a $100m
accordion facility, this provides us with meaningful financial resilience and
optionality.
The Reduction of Capital, comprising the Share Premium Reduction and the
Merger Reserve Reduction approved by shareholders at the General Meeting held
in August 2025 has significantly increased the Group's distributable reserves,
enhanced our capital allocation flexibility while preserving a robust balance
sheet.
The reduction in net finance costs, following the further de‑leveraging of
the balance sheet, combined with EBITDA growth, has driven a 16% increase in
Adjusted Basic EPS to 58.7 cents per share (H1 FY25: 50.6 cents per share).
Statutory profit before tax increased 29% to $13.0m (H1 FY25: $10.1m) and
Basic EPS increased 38% to 28.6 cents per share (H1 FY25: 20.7 cents per
share).
Whilst macroeconomic challenges faced by all organisations remain and the
legislative environment for our US hospital customers, in areas such as 340B,
continues to evolve, ultimately, we believe these will present future
opportunities for further product development and revenue growth.
We are encouraged by the resilience of our customer base, the high levels of
customer retention we continue to achieve and the contribution from both
expansion sales and new customer wins. Together with our strong balance sheet,
high levels of recurring revenues and cash generation, this means we are well
placed to navigate the ongoing challenges and to support our customers in
achieving their strategic objectives.
Underlying Business Model and Professional Services
The software contracts we sign with our hospital customers provide licences to
access specified products over multi‑year contract periods. At the end of an
existing licence term, or earlier by mutual agreement, we seek to renew and,
where appropriate, expand these contracts. Our Trisus platform and
Optimization Suites, coupled with our deep domain expertise, support a "land
and expand" strategy within our customer base.
Under the Group's business model, we recognise software licence revenue and
any minimum payments due from our longer‑term contracts evenly over the life
of the underlying contract term.
In addition to core licences, we provide additional services to our 340B
customers which may include additional licences to provide 340B coverage to
eligible patients who, rather than return to the hospital for their
prescriptions, have these filled at local contract pharmacies or mail order
specialty pharmacies; Referral Verification Services; and our ongoing 340B
Shelter services. Due to their transactional nature, revenues from these
licences and services are recognised as the transactions occur and we are
contractually able to invoice the customer. These transactional services,
whilst highly dependable, will see some variation period‑to‑period
dependent on transaction volumes.
In addition to licence revenue, we derive revenue from providing services to
our customers. Where these services are provided over an extended contract
period, usually alongside multi‑year software licences as part of one of our
Trisus Optimization Suites, the revenue is recognised evenly over the life of
the underlying contract or project term. Shorter, professional or consulting
services engagements are usually recognised as we deliver the service to the
customer, on a percentage‑of‑completion basis.
Our Trisus Platform programme delivers meaningful benefit to our customers and
derives new revenue opportunities and additional business models for the
Group, leveraging our data and platform. We apply careful financial and
strategic criteria in assessing these opportunities to ensure they enhance,
rather than dilute, the quality of our revenue and earnings.
Trisus Platform programme revenues are recognised at the point we are able to
invoice our customers, starting as non‑recurring in nature, shown as
"Platform Revenues - non-recurring". As they scale, and once a pattern or
level of revenue is established, we expect an increasing proportion to become
recurring and to be reflected in ARR.
As a result of the market uncertainty caused by the 340B Rebate pilot (and the
subsequent decision to postpone it) we have made no changes to the
categorisation of 340B Shelter revenues, resulting in a large proportion of
these revenues sitting within "Platform Revenues - non-recurring", and
therefore not yet incorporated in ARR.
The combination of all the above, has delivered contracted recurring revenues
for the current period of $87.0m (H1 FY24: $87.9m) together with Platform
revenues deemed non-recurring of $14.6m (H1 FY25: $7.1m) and non-recurring
Professional Services of $4.0m (H1 FY25: $5.0m).
Investment in R&D
We remain convinced that the digitalisation of healthcare, underpinned by
high‑quality data, advanced analytics and AI‑enabled workflows, is
fundamental to enabling value‑based care and transforming the business of
healthcare. Our enlarged portfolio of Trisus applications and 340B offerings,
together with our strategic alliance with Microsoft, positions us as a
long‑term strategic partner for US hospitals seeking to improve financial
performance while sustaining high‑quality care. It is therefore essential
that we continue to invest in innovation at appropriate levels.
We have continued to invest in R&D, increasing spend in the period by 13%
to $29.8m (H1 FY25: $26.3m). The amount of this investment capitalised in the
period increased to $8.4m (H1 FY25: $7.1m), representing 28% of the total
spend in line with our historical guidance of approximately 30%, reflecting
the progression of several Trisus programmes from proof of concept in the
prior year, into full development stages and the work undertaken to deliver an
enterprise‑grade solution for the 340B Rebate pilot. The R&D charge in
the income statement of $21.4m (H1 FY25: $19.2m) represents approximately 20%
of revenue (H1 FY25: 19%), consistent with our long‑term view that
meaningful, but focused, R&D investment is a key value driver.
We maintain strong controls over the amounts we invest in R&D, including
any that are capitalised, to ensure that they will bring future economic
benefit to the Group. We confirm this by monitoring the value of contracts
sold for these new products once launched, comparing this against the costs
that have been invested. The continued growth in contracts relating to our
Trisus platform, 340B Shelter offering and AI‑powered solutions provides
increasing evidence of the returns on these investments.
Annual Recurring Revenue
By renewing and expanding our underlying contracts, and continuing to deliver
our transactional services, we maintain a highly visible recurring revenue
base. New product sales to existing customers and new customer wins add to
this base and support sustainable growth. Our ARR metric highlights the
Group's continued high level of contracted revenue visibility. It is defined
as the annual value of licence and related recurring revenues, including
transaction revenues, as at 31 December 2025, that are subject to underlying
contracts.
As noted above the uncertainty caused by the 340B Rebate pilot program (and
its subsequent postponement) has led us to make no changes to levels of 340B
Shelter revenues deemed as recurring for Annual Recurring Revenue purposes.
Also, whilst the rapid development of our 340B rebate solution, underlined our
ability to respond rapidly to legislative and market change, the decision not
to activate licence sales of this product during the period has deferred
potential ARR growth.
After taking these factors into account, the Group's ARR at 31 December 2025
was $184.2m (H1 FY25: $177.3m) and Net Revenue Retention remained healthy for
this point in the year, at 103% (H1 FY25: 103%) over the rolling twelve month
period.
Cash Reserves
Operating cash conversion over the rolling 12-month period was 85% of Adjusted
EBITDA (H1 FY25: 110%). This first half seasonality in our cash generation is
not unusual and was expected in the run up to the 340B Rebate pilot
commencing. However, we have remained focused and have seen success in our
collections in the early part of H2 FY26.
Including $30.3m of cash in transit, cash and cash equivalents were $71.2m,
(H1 FY25: $72.2m). Total bank debt reduced to $23.4m at the period end (H1
FY25: $31.6m), and with $76m of undrawn RCF and a further $100m accordion
facility available, the Group retains substantial liquidity and financial
flexibility. During the period we returned $8.7m to shareholders via dividends
(H1 FY25: $7.1m), while continuing to fund our increased R&D investment
and de‑leveraging the balance sheet. These amounts, together with our
undrawn facilities, provide us with substantial liquidity to continue
investing in the business, meet our financial obligations and return capital
to shareholders, while managing risk prudently.
Included in the cash balances are the funds we manage on behalf of 340B
customers. These balances are disclosed separately on the balance sheet as
"Amounts held on behalf of customers", and are inherently working‑capital in
nature, and can fluctuate with programme activity and the timing of
settlements.
Functional Currency
The Group continues to report its results and hold the majority of its cash
reserves in US Dollars, reflecting the currency of its revenue streams and
majority of the underlying cash flows. Approximately one fifth of our cost
base is denominated in Sterling, mainly relating to our UK employees and
certain UK‑denominated overheads.
The average exchange rate for the period was approximately $1.34/£1 (H1 FY25:
$1.29/£1), with a closing rate at 31 December 2025 of approximately $1.35/£1
(31 December 2024: $1.25/£1).
Dividend
In determining the interim dividend, the Board has considered the Group's
trading performance, cash generation, investment requirements and balance
sheet position, as well as the increased distributable reserves. Reflecting
its confidence in the Group's prospects, while maintaining a prudent approach,
the Board has declared an interim dividend of 15.0p (20.25 cents) per ordinary
share (H1 FY25: 13.5p (16.87 cents) per ordinary share). The interim dividend
is payable on 16 April 2026 to those shareholders on the register as at 20
March 2026. The ex-dividend date is 19 March 2026.
The interim dividend of 15p per share is capable of being paid in US dollars
subject to a shareholder having registered to receive their dividend in US
dollars under the Company's Dividend Currency Election, or who has
registered to do so by the close of business on 20 March 2026. The exact
amount to be paid will be calculated by reference to the exchange rate to be
announced on 20 March 2026. The interim dividend referred to above in US
dollars of 20.25 cents is given as an example only using the Balance Sheet
date exchange rate of $1.35/£1 and may differ from that finally announced.
Confident Outlook
High levels of expansion sales, healthy NRR and an increasing 340B Shelter
opportunity underpin our confidence in a positive second half performance and
delivery of results for the year ending 30 June 2026 in line with market
expectations.
The increasing levels of competitive wins and takeouts we have seen in the
first half of the year demonstrate the importance of the Trisus platform, the
benefit of our independence to our hospital customers and our ability to
leverage AI in combination with our extensive data sets to deliver the
solutions our customers need, when they need them. These unique strengths
underpin future revenue growth acceleration and sustainable, long-term value
generation.
The US healthcare market continues to evolve at pace, and with each new piece
of legislation or change, the need for data-led insights and a secure and
scalable technology partner grows. We have never been more confident in the
vital role we play in enabling our customers to navigate these changes with
confidence, while maintaining their financial strength and delivery of care.
This is a hugely powerful motivator for all of us at The Craneware Group.
With our wealth of proprietary data, deep industry expertise, longstanding and
extensive customer base, and growing AI capabilities, the Board looks to the
future with confidence.
Consolidated Statement of Comprehensive Income
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
Notes $'000 $'000 $'000
Revenue from contracts with customers 1 105,722 100,045 205,657
Cost of sales (16,053) (13,159) (26,384)
Gross profit 89,669 86,886 179,273
Other income 9 - 57
Operating expenses (75,443) (74,871) (151,759)
Net impairment charge on financial and contract assets (914) (1,091) (2,319)
Operating profit 13,321 10,924 25,252
Analysed as:
Adjusted EBITDA(1) 33,425 30,266 65,258
Share-based payments (2,885) (2,601) (5,695)
Depreciation of property, plant and equipment (1,019) (1,420) (2,826)
Amortisation of intangible assets - other (5,649) (4,861) (10,462)
Amortisation of intangible assets - acquired intangibles (10,461) (10,460) (20,921)
Exceptional costs(2) (90) - (102)
Finance income 632 696 1,446
Finance expense (963) (1,515) (2,719)
Profit before taxation 12,990 10,105 23,979
Tax on profit on ordinary activities (2,941) (2,869) (4,316)
Profit for the period attributable to owners of the parent 10,049 7,236 19,663
Total comprehensive income attributable to owners of the parent 10,049 7,236 19,663
(1)See note 15 for explanation of Alternative Performance Measures.
(2) Exceptional costs relate to legal costs associated with the capital
reduction in the period
Earnings per share for the period attributable to equity holders
- Basic ($ per share) 2 0.286 0.207 0.562
- Adjusted Basic ($ per share)(1) 2 0.587 0.506 1.161
- Diluted ($ per share) 2 0.282 0.205 0.552
- Adjusted Diluted ($ per share)(1) 2 0.576 0.502 1.142
Consolidated Statement of Changes in Equity
Share Capital Share Premium(1) Capital Redemption Reserve Merger Reserve(1) Other Reserves Retained Earnings Total
Treasury Shares
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
At 1 July 2024 659 97,204 (4,492) 9 186,981 8,890 39,341 328,592
Total comprehensive income - profit for the period - - - - - - 7,236 7,236
Transactions with owners:
Share-based payments - - - - - 2,636 - 2,636
Purchase of own shares through EBT - - - - - - (76) (76)
Impact of share options and awards exercised/lapsed - - 1,666 - - (2,903) (932) (2,169)
Dividends - - - - - - (7,100) (7,100)
At 31 December 2024 659 97,204 (2,826) 9 186,981 8,623 38,469 329,119
Total comprehensive income - profit for the period - - - - - - 12,427 12,427
Transactions with owners:
Share-based payments - - - - - 3,059 - 3,059
Purchase of own shares through EBT - - - - - - (29) (29)
Deferred tax taken directly to equity - - - - - - (730) (730)
Impact of share options and awards exercised/lapsed - - 22 - - (440) 299 (119)
Dividends - - - - - - (6,168) (6,168)
At 30 June 2025 659 97,204 (2,804) 9 186,981 11,242 44,268 337,559
Total comprehensive income - profit for the period - - - - - - 10,049 10,049
Transactions with owners
Share-based payments - - - - - 2,923 - 2,932
Purchase of own shares through EBT - - - - - - (106) (106)
Impact of share options and awards exercised/lapsed - - 2,099 - - (5,009) 557 (2,353)
Capital reduction - (97,204) - - (186,981) - 284,185 -
Dividends - - - - - - (8,689) (8,689)
At 31 December 2025 659 - (705) 9 - 9,156 330,264 339,383
(1.)Share premium and merger reserve balances re-categorised to retained
earnings following the capital reduction effective 7 November 2025
Consolidated Balance Sheet as at 31 December 2025
unaudited unaudited audited
H1 2026 H1 2025 FY2025
Notes $'000 $'000 $'000
ASSETS
Non-Current Assets
Property, plant and equipment 5,501 7,514 6,252
Intangible assets - goodwill 3 235,236 235,236 235,236
Intangible assets - acquired intangibles 3 114,024 134,946 124,485
Intangible assets - other 3 64,001 59,076 61,243
Trade and other receivables 4 3,179 3,147 3,752
Deferred Tax 499 - 499
422,440 439,919 431,467
Current Assets
Trade and other receivables 4 62,177 53,879 63,672
Cash and cash equivalents 9 40,947 72,160 55,921
103,124 126,039 119,593
Total Assets 525,564 565,958 551,060
EQUITY AND LIABILITIES
Non-Current Liabilities
Borrowings 6 23,429 23,568 -
Deferred income - - -
Leased property 2,618 3,421 3,011
Deferred tax 26,241 32,708 28,806
Other provisions 504 482 574
52,792 60,179 32,391
Current Liabilities
Borrowings 6 - 8,000 27,740
Deferred income 60,559 60,426 64,561
Amounts held on behalf of customers 49,387 88,069 61,323
Tax payable - - 2,045
Trade and other payables 5 23,443 20,165 25,441
133,389 176,660 181,110
Total Liabilities 186,181 236,839 213,501
Equity
Share capital 7 659 659 659
Share premium account - 97,204 97,204
Treasury shares (705) (2,826) (2,804)
Capital redemption reserve 9 9 9
Merger reserve - 186,981 186,981
Other reserves 9,156 8,623 11,242
Retained earnings 330,264 38,469 44,268
Total Equity 339,383 329,119 337,559
Total Equity and Liabilities 525,564 565,958 551,060
Consolidated Statement of Cash Flows
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
Notes $'000 $'000 $'000
Cash flows from operating activities
Cash generated from 8 16,269 65,776 69,595
operations
Tax paid (8,690) (8,538) (9,697)
Net cash generated from operating activities 7,579 57,238 59,898
Cash flows from investing activities
Purchase of property, plant and equipment (269) (347) (491)
Capitalised intangible assets (8,410) (7,111) (14,878)
Interest received 632 696 1,384
Net cash used in investing activities (8,047) (6,762) (13,985)
Cash flows from financing activities
Dividends paid to company shareholders (8,689) (7,100) (13,268)
Proceeds from issuance of treasury shares - 5 5
Proceeds from borrowings 138 - -
Loan arrangement fees (400) - -
Repayment of borrowings (4,138) (4,000) (8,000)
Interest on borrowings (805) (1,228) (2,176)
Purchase of own shares by EBT (106) (76) (105)
Payment of lease liabilities (433) (415) (861)
Payment of lease interest (73) (91) (176)
Net cash used in financing activities (14,506) (12,905) (24,581)
Net (decrease)/ increase in cash and cash equivalents (14,974) 37,571 21,332
Cash and cash equivalents at the start of the period 55,921 34,589 34,589
Cash and cash equivalents at the end of the period 9 40,947 72,160 55,921
Notes to the Financial Statements
1. Revenue from contracts with customers
The chief operating decision maker has been identified as the Board of
Directors. The Group revenue is derived almost entirely from the sale of
software licences, professional services (including installation) and
transactional fees to hospitals and affiliated pharmacies within the United
States of America. Consequently, the Board has determined that the Group
supplies only one geographical market place and as such revenue is presented
in line with management information without the need for additional segmental
analysis. All of the Group's assets are located in the United States of
America with the exception of the Parent Company's, the net assets of which
are located in the United Kingdom.
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Software licencing 65,793 67,763 134,758
Professional services - recurring 2,792 2,865 5,706
Transactional revenue 18,433 17,314 35,784
Contracted recurring revenue 87,018 87,942 176,248
Professional services - non-recurring 4,066 4,973 9,399
Platform revenues - non-recurring 14,638 7,130 20,010
Total revenue 105,722 100,045 205,657
Software licensing and professional services are recognised over time.
Transactional fees and other revenue are recognised at a point in time.
2. Earnings per Share
The calculation of basic and diluted earnings per share is based on the
following data:
Weighted average number of shares
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
No. of Shares No. of Shares No. of Shares
000s 000s 000s
Weighted average number of Ordinary Shares for the purpose of basic earnings 35,084 34,981 35,011
per share (excluding own shares held)
Effect of dilutive potential Ordinary Shares: share options and LTIPs 612 304 584
Weighted average number of Ordinary Shares for the purpose of diluted earnings 35,696 35,285 35,595
per share
The Group has one category of dilutive potential Ordinary shares, being those
granted to Directors and employees under the share schemes.
Shares held by the Employee Benefit Trust and Treasury Shares held directly by
the Company are excluded from the weighted average number of Ordinary shares
for the purposes of basic earnings per share.
Profit for period
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$000's $'000s $000's
Profit for the period attributable to equity holders of the parent 10,049 7,236 19,663
Capital reduction costs (tax adjusted) 68 - 77
Amortisation of acquired intangibles (tax adjusted) 10,461 10,460 20,921
Adjusted profit for the period attributable to equity holders of the parent 20,578 17,696 40,661
Basic earnings per share are calculated by dividing the profit attributable to
equity holders of the Company by the weighted average number of shares in
issue during the period.
For diluted earnings per share, the weighted average number of Ordinary shares
calculated above is adjusted to assume conversion of all dilutive potential
Ordinary shares.
Earnings per share
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
cents cents Cents
Basic EPS 28.6 20.7 56.2
Diluted EPS 28.2 20.5 55.2
Adjusted basic EPS 58.7 50.6 116.1
Adjusted diluted EPS 57.6 50.2 114.2
3. Intangible assets
Goodwill Customer Relationships Proprietary Software Development Costs Computer Software Total
Trademarks
$'000 $'000 $'000 $'000 $'000 $'000 $'000
Cost
At 1 July 2025 235,486 151,000 51,503 5,000 99,443 4,246 546,678
Additions - - - - 8,407 - 8,407
Disposals - - - - - - -
At 31 December 2025 235,486 151,000 51,503 5,000 107,850 4,246 555,085
Accumulated amortisation and impairment
At 1 July 2025 250 39,942 40,872 2,204 38,282 4,164 125,714
Charge for the period - 5,033 5,150 278 5,624 25 16,110
Disposals - - - - - - -
At 31 December 2025 250 44,975 46,022 2,482 43,906 4,189 141,824
Net book value at 31 December 2025 235,236 106,025 5,481 2,518 63,944 57 413,261
Net book value at 30 June 2025 235,236 111,058 10,631 2,796 61,161 82 420,964
4. Trade and other receivables
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Trade receivables 51,952 38,560 57,462
Less: provision for impairment of trade receivables (4,332) (3,700) (3,641)
Net trade receivables 47,620 34,860 53,821
Other receivables 1,470 1,214 1,207
Current tax receivable 1,139 4,255 -
Prepayments and accrued income 10,656 11,785 7,151
Deferred contract costs 4,471 4,912 5,245
65,356 57,026 67,424
Less non-current other debtors (504) (282) (504)
Less non-current deferred contract costs (2,675) (2,865) (3,248)
Current trade and other receivables 62,177 53,879 63,672
There is no material difference between the fair value of trade and other
receivables and the book value stated above. All amounts included within trade
and receivables are classified as financial assets at amortised cost.
5. Trade and other payables
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Trade payables 4,088 3,215 4,058
Lease creditor due < 1 year 856 900 903
Other provisions < 1 year 514 229 490
Social security and PAYE 3,734 2,792 3,588
Other creditors 107 1,044 301
Accruals 13,479 11,500 15,326
Advanced payments 665 485 775
Trade and other payables 23,443 20,165 25,441
No derivatives have been entered into in the current reporting period. No
other assets or liabilities have been measured at fair value. Trade and other
payables are classified as financial liabilities at amortised cost.
6. Borrowings
The debt facility was renewed on 29(th) August 2025 and comprises a revolving
loan facility of $100m of which $24m (H1 2024: $40m) is drawn down and which
expires on 27 August 2028. The Group has the ability to extend the facility
for two additional one year terms. During the 6 month period, the amount drawn
down on the revolving loan was reduced by $4.1m. The facility also provides a
further $100m accordion facility.
Interest is charged on the facility on a daily basis at margin and compounded
reference rate. The margin is related to the leverage of the Group as defined
in the loan agreement. As the leverage of the Group strengthens, the
applicable margin reduces.
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Current interest bearing borrowings - 8,000 27,740
Non-current interest bearing borrowings 23,429 23,568 -
Total 23,429 31,568 27,740
Arrangement fees paid in advance of the setting up of the facility are being
recognised over the life of the facility in operating costs. The remaining
balance of unamortised fees and interest at 31 December 2025 is $0.6m (31
December 2024: $0.4m).
Loan covenants
Under the facilities the Group is required to meet quarterly covenants tests
in respect of:
a) Adjusted leverage which is the ratio of total net debt on the last day of
the relevant period to adjusted EBITDA;
b) Interest cover which is the ratio of adjusted EBITDA to net finance charges
in respect of the relevant period.
The Group complied with these ratios throughout the reporting period.
Financing arrangements
The Group's undrawn borrowing facilities were as follows:
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Revolving facility 76,000 80,000 80,000
Accordion facility 100,000 - -
Undrawn borrowing facilities 176,000 80,000 80,000
7. Called up share capital
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
Number $'000 Number $'000 Number $'000
Authorised
Equity share capital
Ordinary shares of 1p each 50,000,000 1,014 50,000,000 1,014 50,000,000 1,014
Allotted called-up and fully paid
Equity share capital
Ordinary shares of 1p each 35,542,169 659 35,542,169 659 35,542,169 659
8. Cash generated from operations
Reconciliation of profit before taxation to net cash generated from
operations:
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Profit before tax 12,990 10,105 23,979
Finance income (632) (696) (1,446)
Finance expense 963 1,515 2,719
Depreciation of property, plant and equipment 1,019 1,420 2,826
Amortisation of intangible assets - other 5,649 4,861 10,462
Amortisation of intangible assets - acquired intangibles 10,461 10,460 20,921
Loss on disposals - 2 3
Share-based payments 2,885 2,601 5,695
Movements in working capital:
Decrease/ (increase) in trade and other receivables 3,872 7,558 (7,073)
(Decrease)/ increase in trade and other payables (9,003) (6,855) 3,463
(Decrease)/ increase in amounts held on behalf of customers (11,935) 34,805 8,046
Cash generated from operations 16,269 65,776 69,595
9. Cash and cash equivalents
For the purpose of the statement of cash flows, cash and cash equivalents
comprise cash held by the Group and short-term bank deposits.
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Cash and cash equivalents 40,947 72,160 55,921
10. Basis of Preparation
The interim financial statements are unaudited and do not constitute statutory
accounts as defined in S435 of the Companies Act 2006. These statements have
been prepared applying accounting policies that were applied in the
preparation of the Group's consolidated accounts for the year ended 30 June
2025 and the changes outlined below in Note 13. Those accounts, with an
unqualified audit report, have been delivered to the Registrar of Companies.
The interim financial statements have been prepared on a going concern basis.
The Group's activities and an overview of the development of its products,
services and the environment in which it operates together with an update on
the Group's financial performance and position are set out in the Financial
Review. The Group is profitable and there is a reasonable expectation that
this will continue to be the case. Our business model is delivering high
levels of recurring revenue, supported by long term underlying contracts. In
addition, the Group has cash and cash equivalents of $40.9m (with a further
$30.3m cash in transit) as well as a committed but undrawn revolving facility
of $76m and additional accordion facility of $100m available.
The Viability Statement and the Board's Going Concern assessment contained the
Annual Report for the year ended 30 June 2025 are still considered to be
appropriate by the Board. The SaaS business model with its underlying
long-term contracts, as described earlier in the Financial Review, high levels
of cash generation and long-term focus on customer success provides a
foundation of revenue for future periods. This foundation of contracted
revenue forms the basis of the scenarios considered by the Directors in making
this assessment.
The Directors, having made suitable enquiries and analysis of the interim
financial statements, including the consideration of: net cash; continued cash
generation; compliance with loan facility covenants; and SaaS business model;
have determined that the Group has adequate resources to continue in business
for the foreseeable future and that it is therefore appropriate to adopt the
going concern basis in preparing the interim financial statements.
11. Segmental Information
The Directors consider that the Group operates in predominantly one business
segment, being the creation of software sold entirely to the US Healthcare
Industry, and that there are therefore no additional segmental disclosures to
be made in these financial statements.
12. Risks and uncertainties
The principal risks and uncertainties, as set out on pages 21 to 28 of the
Annual Report for the year ended 30 June 2025, remain unchanged. The unchanged
risks are:
· Data & Cyber Security
· Protection of Data
· Intellectual Property Risk
· Regulatory Environment
· US Healthcare: Complexity, Evolution and Reform
· Complex Market Dynamics
· Technology Risks
· Macro-economic Environment
· Treasury Risks
The Directors regularly review these risks and uncertainties and appropriate
actions are taken to manage them. Included within the Strategic Report section
is more detail on the outlook for the Group for the remaining six months of
the year.
13. Changes to Significant Accounting Policies, Judgements and Estimates
The accounting policies, significant judgements and key sources of estimation
applied in these interim financial statements are the same as those applied in
the Group's consolidated financial statements as at and for the year ended 30
June 2025.
14. Availability of Half Yearly Financial Report
Copies of this Half Yearly Financial Report are available for download from
the Company's website, www.thecranewaregroup.com
(http://www.thecranewaregroup.com) . A printed copy can be obtained on request
from the registered office of the Company.
15. Alternative performance measures
The Group's performance is assessed using a number of financial measures which
are not defined under IFRS and are therefore non-GAAP (alternative)
performance measures.
The Directors believe these measures enable the reader to focus on what the
Group regard as a more reliable indicator of the underlying performance of the
Group since they exclude items which are not reflective of the normal course
of business, accounting estimates and non-cash items. The adjustments made are
consistent and comparable with other similar companies.
Adjusted EBITDA
Adjusted EBITDA refers to earnings before interest, tax, depreciation,
amortisation, exceptional items and share based payments.
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Operating profit 13,321 10,924 25,252
Depreciation of property, plant and equipment 1,019 1,420 2,826
Amortisation of intangible assets - other 5,649 4,861 10,462
Amortisation of intangible assets - acquired intangibles 10,461 10,460 20,921
Share based payments 2,885 2,601 5,695
Exceptional costs - capital reduction 90 - 102
Adjusted EBITDA 33,425 30,266 65,258
Adjusted earnings per share (EPS)
Adjusted earnings per share (EPS) calculations allow for the tax adjusted
acquisition costs and share related transactions together with amortisation on
acquired intangibles via business combinations. See Note 2 for the
calculation.
Adjusted PBT
Adjusted PBT refers to profit before tax adjusted for exceptional items and
amortisation of acquired intangibles.
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Profit before taxation 12,990 10,105 23,979
Amortisation of intangible assets - acquired intangibles 10,461 10,460 20,921
Exceptional costs - capital reduction 90 - 102
Adjusted PBT 23,541 20,565 45,002
Net cash / (borrowings)
Net cash/ (borrowings) refers to net balance of short term borrowings, long
term borrowings and cash and cash equivalents.
unaudited unaudited audited
H1 2026 H1 2025 FY 2025
$'000 $'000 $'000
Cash and cash equivalents (Note 9) 40,947 72,160 55,921
Borrowings (Note 6) (23,429) (31,568) (27,740)
Net cash/ (borrowings) 17,518 40,592 28,181
Lease liabilities are excluded from borrowings for the purpose of net
borrowings.
Total Sales
Total Sales refer to the total value of contracts signed in the year,
consisting of New Sales and Renewals.
New Sales
New Sales refers to the total value of contracts with new customers or new
products to existing customers at some time in their underlying contract.
Annual Recurring Revenue
Annual Recurring Revenue includes the annual value of licence and transaction
revenues as at 31 December 2025 that are subject to underlying contracts and
where revenue is being recognised at the reporting date.
Net Revenue Retention
Net Revenue Retention is the percentage of revenue retained from existing
customers over the measurement period, taking into account both churn and
expansion sales.
Revenue Growth
Revenue Growth is the increase in Revenue in the current period compared to
the previous period expressed as a percentage of the previous period Revenue.
Cautionary statement
Certain statements in this report are forward-looking statements. These
forward-looking statements are made by the Directors in good faith based on
the information available to them up to the time of their approval of this
report. However, such statements should be treated with caution due to the
inherent uncertainties, including both economic and business risk factors,
underlying any such forward-looking information that could cause actual events
or results to differ materially from any expected future events or results
expressed or implied in these forward-looking statements. Unless otherwise
required by applicable law or regulation, Craneware plc does not undertake any
obligation to publicly update or revise any forward-looking statements,
whether as a result of new information, future developments or otherwise.
Directors, Secretary, Advisors and Subsidiaries
Directors Company Secretary and Registered Office
W Whitehorn (non-executive, Chair) J L Goldsmith
K Neilson 1 Tanfield
C T Preston Edinburgh
I Urquhart EH3 5DA
D Kemp (senior independent director) (resigned 21 November 2025)
A Erskine (senior independent director)
A McCune (non-executive)
T Minnier (non-executive)
S Nelson (non-executive)
Nominated Advisors and Joint Stockbroker Registrars Independent Auditors Financial PR
Peel Hunt LLP
100 Liverpool Street MUFG Corporate Markets PricewaterhouseCoopers LLP Alma Strategic Communications
London Central Square Atria One 71-73 Carter Lane
EC2M 2AT 29 Wellington Street 144 Morrison Street London
Leeds Edinburgh EC4V 5EQ
LS1 4DL EH3 8EX
Joint Stockbrokers Solicitors
Berenberg, Gossler & Co Investec Bank plc Pinsent Masons LLP Bryan Cave Leighton Paisner LLP
60 Threadneedle Street 30 Gresham Street 58 Morrison Street One Atlantic Center,
London London Edinburgh 14(th) Floor
EC2R 8HP EC2V 7QP EH3 8BP 1201 W. Peachtree St. NW.
Atlanta
GA, 30309-3471
Bankers
The Royal Bank of Scotland plc Silicon Valley Bank HSBC Bank plc
36 St Andrew Square (a division of First Citizens Bank) 7 West Nile Street
Edinburgh, 3003 Tasman Drive Glasgow
EH2 2YB Santa Clara, CA 95054 G1 2RG
Wells Fargo Bank of America
500 N. Magnolia Avenue 101 E. Kennedy Blvd
8(th) Floor Tampa, FL 33602
Orlando, FL 32803
Subsidiaries and Registered offices
Craneware US Holdings, Inc. Craneware, Inc. Sentry Data Systems, Inc. Craneware Healthcare Intelligence, LLC
Corporation Trust Center 600 West Hillsboro Boulevard 600 West Hillsboro Boulevard 200 Pinewood Lane
1209 Orange St Suite 500 Suite 500 Suite 304
Wilmington, DE 19801 Deerfield Beach, FL 33441 Deerfield Beach, FL 33441 Warrendale, PA 15086
Agilum Healthcare Intelligence, Inc.
600 West Hillsboro Boulevard
Suite 500,
Deerfield Beach, FL 33441
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