Frenkel Topping Grp - Final Results

Frenkel Topping

Today 07:00

RNS Number : 5613I
  
Frenkel Topping Group PLC
  
17 June 2026
  
 


The information contained within this announcement was deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 as amended.  With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.
 
Frenkel Topping Group plc
("Frenkel Topping", "the Company" or the "Group")
 
Results for the 12 months ended 31 December 2025
 
 
Frenkel Topping Group (AIM: FEN), a specialist professional and financial services firm operating in the Personal Injury (PI) Clinical Negligence (CN) space, is pleased to announce its final results for the 12 months ended 31 December 2025 ("FY25"). Full accounts will be available on the Company's website in the coming days.
 
Financial Highlights
 








FY 2025


FY 2024


% change




Revenue


£41.7m


£37.4m


11%




Recurring revenue


£15.9m


£13.4m


19%




Non-recurring revenue


£25.8m


£24.0m


8%




Gross profit


£15.3m


£14.4m


6%




Adjusted EBITDA*


£9.0m


£8.0m


11%




Adjusted profit from operations


£8.0m


£7.2m


11%




Profit before tax


£5.2m


£4.2m


24%




EPS - basic


2.3p


2.3p


-




Adjusted EPS - basic*


3.9p


3.9p


-




Cash generated from operating activities


£4.9m


£2.0m


145%




Cash


£3.5m


£3.1m


12.9%




Net cash/(debt)


(£3.4m)


(£3.8m)


10.5%




 
 
*Adjusted EBITDA and Adjusted EPS are stated after adding back share based compensation, re-organisation, costs relating to our acquisition strategy and any exceptional items. 
 
Operational Highlights
 




·    Funds under management ("FUM") as at 31 December 2025 of £1,803m (2024: £1,560m)




·    Funds on a discretionary mandate ("DFM") of £1,215m (2024: £1,031m)




·    Sixteenth consecutive year of high client retention (99%) in investment management services





·    Ascencia Investment Management won the Defaqto's Defensive Comparator Sector award and was highly commended for three further investment solutions






·    Continued growth in number of Medico-Legal Expert Witnesses available - a key driver in future revenue growth 





·    Record year of fundraising by Frenkel Topping Charitable Foundation - over £148k raised to support individuals who have suffered life-changing events





 
Dividend
 
The Board has declared an interim dividend of 0.5 pence per share for FY25, following another set of encouraging results. The dividend will be paid on the 8 July 2026 to shareholders who were on the register of members as at close on 26 June 2026. The ex-dividend date is 25 June 2026.
 
For the avoidance of doubt, Irwell Bidco has confirmed that it will waive its right to reduce the consideration payable under the terms of the Offer by the aggregate amount payable pursuant to the dividend, as set out in paragraph 11 of section 1 of the Scheme Document published on 20 October 2025.
 
For further information:     




Frenkel Topping Group plc


www.frenkeltoppinggroup.co.uk




Richard Fraser, Chief Executive Officer


Tel: 0161 886 8000














Cavendish Capital Markets Ltd (Nominated Adviser & Broker)


Tel: 020 7220 0500




Marc Milmo/ Isaac Hooper/ Finn Cooper (Corporate Finance)








About Frenkel Topping Group
The Frenkel Topping Group of companies specialises in providing financial advice and asset protection services to clients at times of financial vulnerability, with particular expertise in the field of personal injury (PI) and clinical negligence (CN). For more than 30 years the Group has worked with legal professionals and injured clients themselves to provide pre-settlement, at-settlement and post-settlement services to help achieve the best long-term outcomes for clients after injury. It boasts a client retention rate of 99%. 
 
Frenkel Topping Group is focused on consolidating the fragmented PI and CN space in order to provide the most comprehensive suite of services to clients and deliver a best in-class service offering from immediately after injury or illness and for the rest of their lives. 
 
The Group's services include the Major Trauma Signposting Partnership service inside NHS Major Trauma Centres, expert witness, costs, tax and forensic accountancy, independent financial advice, investment management, and care and case management. 
 
The Group's discretionary fund manager, Ascencia, manages financial portfolios for clients in unique circumstances, often who have received a financial settlement after litigation. In recent years Ascencia has diversified its portfolios to include a Sharia compliant portfolio and a number of ESG portfolios in response to increased interest in socially responsible investing (SRI). 
 
Frenkel Topping has earned a reputation for commercial astuteness underpinned by a strong moral obligation to its clients, employees and wider society, with a continued focus on its Environmental, Social and Governance (ESG) impact.
 
For more information visit: www.frenkeltoppinggroup.co.uk 
 
Chairman's Statement
 
Overview
 
On behalf of the Board of Directors, I am pleased to report on a further year of progress and delivery against our objectives, where we have further solidified our place as a key provider within the personal injury and clinical negligence market.
 
Our strategy to make key acquisitions within the marketplace, which fit the culture and values of the existing business whilst enhancing our offering has enabled the Group to embed itself within our client and introducers' operations during the claim process, making us the natural fit to advise on investment of a client's award once a financial settlement has been reached. 
 
The success of this strategy means we have once again achieved record growth in FUM. Furthermore, the strength of the service offered by our people means we have again retained our 99% client retention rate within our Financial Services segment, meaning clients wish to remain invested with us. This continued growth in FUM has been the main driver in the year on year 13% growth in Adjusted EBITDA to £9.0m (2024: £8.0m).
 
Current Year Performance
 
Trading remains in line with board expectations for the current year to date.
 
Offer from Irwell Financial Services Bidco Limited
 
On 30 September 2025, the board of directors of Irwell Financial Services Bidco Limited ("Irwell Bidco") and the Independent Directors of Frenkel Topping Group plc ("the Company") announced that they had reached agreement on the terms and conditions of a recommended offer to be made by Irwell Bidco for the entire issued, and to be issued, ordinary share capital of the Company (the "Offer"). The Offer is being implemented by way of a Court-sanctioned scheme of arrangement between the Company and its shareholders under Part 26 of the Companies Act 2006 (the "Scheme").
 
The circular in relation to the Scheme was published on 20 October 2025 (the "Scheme Document") and the Offer was duly approved at the Court Meeting and General Meeting held on 12 November 2025 and on 3 June 2026 it was announced that the FCA Condition had been satisfied.
 
The Court Hearing to sanction the Scheme is scheduled to be held on 6 July 2026 and, subject to the Court's approval, the Effective Date for the Scheme is scheduled to be on 8th July 2026. Cancellation of admission to trading of the Company's  Shares on AIM is expected to occur at 7.00am on 9th July 2026.
 
Chief Executive Officer's Statement
 
I am pleased to report on a further year of growth for the Group with record levels of FUM growth, Revenue, Adjusted EBITDA, net profits and operating cashflows.
 
This is all made possible by the hard work and expertise of our people who work hard each day to ensure we deliver the excellent customer service that our clients deserve.
 
Our in-house discretionary fund manager, Ascencia Investment Management ("Ascencia"), continued to show that its conservative multi-asset investment approach delivers a smooth client investment experience, focused on asset protection.
 
Ascencia was recognised by Defaqto, taking home the top prize in their Defensive Comparator Sector, as well as being highly commended for three further investment solutions.
 
This continued into the current year, where we have seen Ascencia's key investment solutions outperforming benchmarks in Q1 2026:
 
 
 
 








YTD

%


Benchmark YTD

%


Outperformance

%




Safety First 2


0.61


-0.30


0.91




Safety First 3


0.50


-0.30


0.80




Safety First 4


0.50


-0.50


1.00




Safety First 5


0.63


-0.70


1.33




Safety First 6


0.89


-0.90


1.79




MPS Low Risk


0.34


-0.30


0.64




MPS Low to Medium


0.32


-0.50


0.82




MPS Medium Risk


0.39


-0.70


1.09




MPS Medium to High Risk


0.74


-0.90


1.64




MPS High Risk


0.57


-0.90


1.47






















Data as at 31.03.2026


































Benchmark = ARC Private Client Indices












 
Elsewhere in the Group, we have seen continued growth in our number of medico-legal expert witnesses, allowing us to handle higher volumes of work. This remains a key area for future growth and we continue to invest in developing our offering into new specialities, with new roles in place for 2026 covering Psychology and Physiotherapy.
 
We have seen challenges within our Costs segment, notably the Legal Aid Agency suffered a cyber security incident which had a direct impact on the number of new instructions received during the year. Whilst we are still experiencing some challenges from the eventual remediation of this incident, the situation is much improved and we move forward with renewed confidence. 
 
Chief Financial Officer's Statement
 
Revenue & Adjusted EBITDA
 
Recurring revenue has increased by 19% from £13.4m to £15.9m. As discussed within the Chairman and CEO's statements, this is the result of record levels of FUM and a reflection of the hard work and expertise of our sales teams and investment managers.
 
Non-recurring revenues have also grown, up 8% to £25.8m (2024: £24.0m), significantly aided by the increase in the number of medico-legal expert witnesses we have in place.
 
We continue to invest in our people and for future growth, meaning we have maintained our Adjusted EBITDA margin and increased Adjusted EBITDA to £9.0m (2024: £8.0m).
 
Share based compensation
 
During the year we have recognised a credit of £308k in relation to share-based payments. This relates to LTIP options granted to directors in 2021 and senior management in 2023 where KPIs were not met and options have lapsed.
 
Corporation Tax
 
The corporation tax charge in the period contains £0.3m relating to repayments to HMRC around historic returns regarding the treatment of unwinding the discounting on deferred consideration payments.
 
 
Working Capital and Net Debt
 
Pleasingly, pre-tax Cash Generated from Operations has increased by 91% to £6.5m (2024: £3.4m), aided by the increase in profits, partly driven by increased recurring revenue (£1.8m) which is paid monthly, one month in arrears.
 
However, we have seen a small increase in debtor days relating to our non-recurring revenue, with the impact continuing to be felt most in our Costs segment. This is due to continued delays within the courts, and we welcome the Justice Committee's enquiry into the County Court, launched in 2025, to seek to address these issues.
 
Additionally, within Court of Protection Costs, the Senior Courts Costs Office has increased staff numbers to try and address their own delays, which is also welcomed. We have also made some changes to payments terms in order to improve our cashflows and give certainty of payment timing to our post-settlement clients.
 
Regardless of the challenges faced, the overall increase in cash generation means we have been able to reduce our net debt position from £3.8m to £3.4m as at 31 December 2025.




 
 
 
group STATEMENT of comprehensive income
for the year ended 31 December 2025








 


2025 


2024 












£'000 


£'000 






















REVENUE






41,672


37,401




Direct staff costs






(26,365)


(23,025)












 _______


 _______




GROSS PROFIT






15,307


14,376








 












Administrative expenses






(8,493)


(9,706)












              


              




Adjusted profit from operations






8,039


7,153




Share based compensation






308


(133)




Other adjustments to profit from operations






(1,533)


(2,350)






























 _______


 _______




profit from operations






6,814


4,670






















Finance and other income






22


21




Finance costs






(761)


(744)




Revaluation of contingent consideration






(830)


204












 _______


 _______




profit BEFORE TAX






5,245


4,151






















Income tax expense






(2,205)


(1,120)












 ________


 ________




PROFIT FOR THE YEAR






3,040


3,031




ITEMS THAT WILL NOT BE SUBSEQUENTLY RECLASSIFIED TO PROFIT OR LOSS:
Gains on property revaluation arising net of tax






 
 
130


 
 
30












 _______


 _______




TOTAL COMPREHENSIVE INCOME FOR YEAR


3,170


3,061












 _______


 _______




 
profit ATTRIBUTABLE TO:
















Owners of the parent undertaking






2,845


2,795




Non-controlling interests






195


236












 _______


 _______




 
total comprehensive INCOME ATTRIBUTABLE TO:
















Owners of the parent undertaking






2,975


2,825




Non-controlling interests






195


236












 _______


 _______




Earnings per ordinary share - basic (pence)






2.3p


2.3p




Earnings per ordinary share - diluted (pence)






2.2p


2.1p




Adjusted earnings per ordinary share - basic (pence)






3.9p


3.9p




Adjusted earnings per ordinary share - diluted (pence)






3.8p


3.7p












 _______


 _______




 




 
 
group STATEMENT of FINANCIAL POSITION
As at 31 December
 








 


2025 


2024 












£'000 


£'000




assets
NON-CURRENT ASSETS
















Goodwill and other intangibles






30,602


30,602




Property, plant and equipment






3,622


3,450




Investments






-


-




Loans receivable






50


101












 _______


 _______












34,274


34,153




CURRENT ASSETS
















Accrued income






9,803


9,057




Trade receivables






13,297


12,480




Other receivables






897


911




Investments






125


114




Cash and cash equivalents






3,468


3,138












 _______


 _______












27,590


25,700












 _______


 _______




total assets






61,864


59,853












 _______


 _______




equity and liabilities
equity
















Share capital






640


640




Share premium






22,706


22,706




Merger reserve






6,038


6,155




Revaluation reserve






719


589




Other reserve






(341)


(341)




Own shares reserve






(2,112)


(2,130)




Retained earnings






15,197


14,324












 _______


 _______




Equity attributable to owners of the parent company






42,847


41,943




Non-controlling interests






229


308












 _______


 _______




TOTAL EQUITY






43,076


42,251








 


 _______


 _______




CURRENT LIABILITIES


 












Current taxation






1,464


1,015




Trade and other payables






8,487


6,306












 _______


 _______












9,951


7,321






















LONG TERM LIABILITIES






8,837


10,281












 _______


 _______




TOTAL EQUITY AND LIABILITIES






61,864


59,853












 _______


 _______








GROUP STATEMENT OF CHANGES IN EQUITY
 










Share Capital




Share Premium




Merger reserve




Other
Reserve




Own shares
Reserve




Retained Earnings


 
Revaluation reserve


Total
controlling
interest


Non-controlling interests


 


Total








£'000


£'000


£'000


£'000


£'000


£'000


£'000


£'000


£'000


£'000




Balance 1 January 2024


640


22,706


6,492


(341)


(2,134)


13,134


559


41,056


344


41,400


















































Share based compensation


-


-


-


-


4


27


-


31


-


31




Non-controlling interests acquired


-


-


(337)


-


-


58


-


(279)


(58)


(337)




Dividend paid


-


-


-


-


-


(1,690)


-


(1,690)


(214)


(1,904)








 _______


 _______


_______


_______


_______


_______


_______


_______


_______


_______




Total transactions with
owners recognised in equity


-


-


(337)


-


4


(1,605)


-


(1,938)


(272)


(2,210)








 _______


 _______


_______


_______


_______


_______


_______


_______


_______


_______




Profit for year


-


-


-


-


-


2,795


-


2,795


236


3,031




Other comprehensive income


-


-


-


-


-


-


30


30


-


30








 _______


 _______


_______


_______


_______


_______


_______


_______


_______


_______




Total comprehensive income


-


-


-


-


-


2,795


30


2,825


236


3,061








 _______


 _______


_______


_______


_______


 _______


 _______


_______


_______


_______




Balance at 1 January 2025


640


22,706


6,155


(341)


(2,130)


14,324


589


41,943


308


42,251


















































Share based compensation


-


-


-


-


18


(306)


-


(288)


-


(288)




Dividends paid


-


-


-


-


-


(1,690)


-


(1,690)


(250)


(1,940)




Non-controlling interests acquired


-


-


(117)


-


-


24


-


(93)


(24)


(117)






















































 _______


 _______


_______


_______


_______


_______


_______


_______


_______


_______




Total transactions with owners recognised in equity


-


-


(117)


-


18


(1,972)


-


(2,071)


(274)


(2,345)








 _______


 _______


_______


_______


_______


_______


_______


_______


_______


_______




Profit for year






















2,845


-


2,845


195


3,040




Other comprehensive income


-


-


-


-


-


-


130


130


-


130








 _______


 _______


_______


_______


_______


_______


_______


_______


_______


_______




Total comprehensive income


-


-


-


-


-


2,845


130


2,975


195


3,170








 _______


 _______


_______


_______


_______


 _______


 _______


_______


_______


_______




Balance at 31 December 2025


640


22,706


6,038


(341)


(2,112)


15,197


719


42,847


229


43,076








 _______


 _______


_______


_______


_______


_______


_______


_______


_______


_______








group CASHFLOW STATEMENT
 




   






 


 












2025


2024












£'000 


£'000 






















Profit before tax                                                    


 


5,245


4,151




Adjustments to reconcile profit before tax to cash generated from operating activities:
















Finance income






(22)


(21)




Finance costs






761


744




Revaluation of contingent consideration






830


(204)




Share based compensation






(126)


234




Depreciation and amortisation






914


852




(Increase)/decrease in accrued income, trade and other receivables






(1,554)
 


(2,547)




(Decrease)/increase in trade and other payables






414


192












_______


_______




Cash generated from operations






6,462


3,401




 






 








Income tax paid






(1,521)


(1,430)












_______


_______




Cash generated from operating activities






4,941


1,971






















Investing activities
















Acquisition of property, plant and equipment






(363)


(238)




Acquisition and deferred consideration payments






(1,167)


(5,115)




Cash acquired on acquisition of subsidiaries






-


232




 






_______


_______




Cash used in investment activities






(1,530)


(5,121)




 
















Financing activities
















Dividends paid






(1,940)


              (1,903)




Loans received






383


                7,179




Repayment of borrowing






(311)


(257)




Interest element of lease payments






(84)


(59)




Principal element of lease payments






(618)


(578)




Interest received






11


13




Other interest paid and foreign exchange losses






(522)


(532)












_______


_______




Cash (used in)/generated from financing activities






(3,081)


3,863




 
Decrease in cash and cash equivalents






 
330


 
                              713




Opening cash and cash equivalents






3,138


2,425












_______


_______




Closing cash and cash equivalents






3,468


              3,138












=========================================


=========================================








 
General information
The preliminary financial information does not constitute full accounts within the meaning of section 434 of the Companies Act 2006 but is derived from accounts for the years ended 31 December 2025 and 31 December 2024.  The figures for the year ended 31 December 2025 are audited.  The preliminary announcement is prepared on the same basis as set out in the statutory accounts for the year ended 31 December 2025. Those accounts upon which the auditors issued an unqualified opinion, did not include a reference to any matters to which the auditors drew attention by way of emphasis, without qualifying their report, and made no statement under section 498(2) or (3) of the Companies Act 2006, will be delivered to the Registrar of Companies following the Annual General Meeting.
 
Statutory accounts for the year ended 31 December 2024 have been filed with the registrar of Companies.  The auditors report on those accounts was unqualified did not include a reference to any matters to which the auditors drew attention by way of emphasis, without qualifying their report, and made no statement under section 498(2) or (3) of the Companies Act 2006.
 
While the financial information included in this preliminary report has been prepared in accordance with the recognition and measurement criteria of International Financial Reporting Standard (IFRS), as adopted by the U.K., this announcement does not in itself contain sufficient information to comply with IFRS.
 
Frenkel Topping Group Plc is incorporated and domiciled in the United Kingdom.
 
Notes to the financial statements for the year ended 31 Decmeber 2025:
 
1              revenue and SEGMENTAL REPORTING
 
                 All of the Group's revenue arises from activities within the UK.
Revenue arising from recurring and non-recurring sources is as follows:
 








2025


2024








£'000


£'000




 
Recurring


15,894


13,405




Non-recurring


25,778


23,996








 _______


 _______




Total revenue


41,672


37,401








 _______


 _______




 
OPERATING SEGMENTS
 
The Group's chief operating decision maker is deemed to be the CEO. The CEO has identified the following operating segments:
 
Financial Services:
This segment includes our independent financial advisory, discretionary fund management and financial services businesses.
 
Costs Law:
This segment includes each of our costs law services businesses.
 
Other Professional Services:
 

 

 
This segment includes our major trauma signposting, forensic accountancy, care and case management and medico-legal reporting businesses.
 
Central Services:
This is predominantly a cost centre for managing Group related activities or other costs not specifically related to a product.




 
2025


Financial services


Costs

Law


Other Professional Services


Central Services


Total








£'000


£'000


£'000


£'000


£'000




Revenue


16,760


10,272


14,524


116


41,672




Depreciation


450


184


280


-


914




Finance Income


22


-


-


-


22




Finance Costs


40


6


42


673


761




Profit before tax


6,773


1,543


2,658


(5,729)


5,245




Corporation tax


1,015


394


585


211


2,205




Profit After Tax


5,758


1,149


2,073


(5,940)


3,040






























Additions to plant property and equipment


413


302


1,179


-


1,894




Additions/(disposals) to Goodwill and other intangibles


-


-


-


-


-




                
 




 
2024


Financial services


Costs

Law


Other Professional Services


Central Services


Total








£'000


£'000


£'000


£'000


£'000




Revenue


14,207


9,852


13,206


136


37,401




Depreciation


419


166


267


-


852




Finance Income


18


1


1


1


21




Finance Costs


21


8


30


685


744




Profit before tax


4,312


1,769


2,628


(4,558)


4,151




Corporation tax


(412)


(228)


(513)


33


(1,120)




Profit After Tax


3,900


1,541


2,115


(4,525)


3,031






























Additions to plant property and equipment


536


179


558


-


1,273




Additions/(disposals) to Goodwill and other intangibles


-


-


-


1,392


1,392




 

 
Measures of total assets and total liabilities are not shown as they are not regularly reviewed by the CEO.
 


















2              TAXation


2025


2024








£'000


£'000




Analysis of charge in year












Current tax












 


UK corporation tax


1,641


1,163




 


Adjustments in respect of previous periods


304


(10)




 






 _______


 _______




 


Total current tax charge


1,945


1,153




 






 _______


 _______




 


Deferred tax












 


Temporary differences, origination and reversal


260


(33)




 






 _______


 _______




 


Total deferred tax charge/(credit)


260


(33)




 






 _______


 _______




 


Tax on profit on ordinary activities


2,205


1,120








 _______


 _______










                Factors affecting tax charge for year
                The effective standard rate of tax applied to reported profit on ordinary activities is 25 per cent (2023: 25 per cent).  There is no expiry date on timing differences, unused tax losses or tax credits.
The charge for the year can be reconciled to the profit per the income statement as follows:
 






















2025


2024








£'000


£'000




Profit before taxation


5,245


4,151








 _______


 _______




Profit multiplied by effective rate of corporation tax in the UK of 25% (2023: 25%)


1,311


1,038




Effects of:












Expenses not deductible less capital allowances


119


155




Revaluation of contingent consideration not tax allowable


208


(51)




Deferred tax relating to Share based payments


210


(6)




Previous period adjustments


304


(10)




Deferred tax


50


(27)




Other (deductions)/charges


3


21








 _______


 _______




Total tax expense for year


2,205


1,120








 _______


 _______








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

























2025


2024








£'000


£'000




Earnings












Earnings for the purposes of basic and diluted earnings per share (net profit for the year attributable to equity holders of the parent)


 
2,845


 
2,795




Earnings for the purposes of adjusted basic earnings per share (as above, adjusted for share based compensation, acquisition strategy, reorganisation costs and unwinding of the discount on deferred consideration)


4,841


4,759


















 












Number of shares


'000


'000




Weighted average number of ordinary shares for the purposes of basic earnings per share
Weighted average shares in issue
Less: weighted average own shares held
 


128,013
(5,096)
 


128,013
(5,128)
 








 _______


 _______




 
 


122,917


122,885




 
Effect of dilutive potential ordinary shares:
- Share options


5,997


7,254








 _______


 _______




Weighted average number of ordinary shares for the purposes of diluted earnings per share


128,914






130,139













 _______


 _______












Earnings per ordinary share - basic (pence)






2.3p


2.3p




Earnings per ordinary share - diluted (pence)






2.2p


2.1p




Adjusted earnings per ordinary share - basic (pence)






3.9p


3.9p




Adjusted earnings per ordinary share - diluted (pence)






3.8p


3.7p












 _______


 _______




 
 
 




This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
 
  END
 
 
FR SFDESMEMSESM