UK's GB Group FY revenue up 3.2%, slightly misses estimates
UK's GB Group FY revenue up 3.2%, slightly misses estimates
Overview
UK identity tech firm's FY26 constant currency revenue up 3.2%, slightly missing analyst expectations
Adjusted diluted EPS rose 9.3% to 19.0p, driven by cost management and buyback accretion
Company completed £45 mln share buybacks, with £10 mln more committed
Outlook
GB Group expects mid-single-digit revenue growth in FY27
Company to invest £6 mln in FY27 to accelerate GBG Go platform innovation
Adjusted operating margins seen at 21-22% in FY27, returning to 23-24% in FY28
Result Drivers
AMERICAS IDENTITY RECOVERY - Return to growth in Americas Identity in Q4, driven by improved sales execution and customer commitments
GBG GO PLATFORM ADOPTION - Strong demand for GBG Go platform, with 100+ customer contracts since launch and 225+ qualified leads in the pipeline
OPERATIONAL EFFICIENCY - Simplified global operating model and cost management supported profitability and margin stability
Company press release: ID:nRSB6239Ga
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
FY Constant Currency Revenue | Slight Miss* | GBP 285 mln | GBP 285.06 mln (10 Analysts) |
FY Adjusted EPS |
| GBP 0.19 |
|
FY EPS |
| -GBP 0.31 |
|
FY Operating Profit |
| -GBP 68.1 mln |
|
FY Pretax Profit |
| -GBP 74.5 mln |
|
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy"
Wall Street's median 12-month price target for GB Group PLC is GBp390.00, about 58.2% above its June 1 closing price of GBp246.50
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 10 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)