REG - itim Group PLC - Trading Update

ITIMAnnouncement

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RNS Number : 0449X  itim Group PLC  18 March 2026

18 March 2026

 

itim Group plc

 

("itim" or "the Company" and together with its subsidiaries "the Group")

 

Trading Update

 

 

itim Group plc, a SaaS based technology company that enables store-based
retailers to optimise their businesses to improve financial performance,
announces an unaudited trading update for the financial year ended 31 December
2025.

 

Overview

 

·    Revenues broadly flat at £17.5m* (2024: £17.9m)

 

·    EBITDA for the year is expected to be lower at £1.7m* set against a
record year (2024: £2.5m)

 

·    Loss before tax for the year is £464k* (2024: Profit £175k),
impacted by a bad debt of a retail customer going into administration  in
early 2026

 

·    The Group ended the year with cash balances of £2.6m* (2023: £3.8m)

 

·    Acceleration of geographic diversification strategy with appointment
of a new Sales & Marketing Director (non-board position)

 

·    Post period end, launch of itimAIQ, a new AI platform specifically
designed for retail customers to deploy intelligent, agent-based AI solutions
quickly, at scale, and at low cost

 

The Group has delivered a robust performance set against a challenging
economic backdrop particularly in the retail sector. During this period, itim
has invested significantly in its technology, diversified geographically and
established a new AI product that positions the Group well for future growth.

The UK retail sector experienced a highly challenging trading environment in
2025, driven by sustained cost inflation, regulatory pressures, and weak
macroeconomic growth. These factors impacted retailer investment appetite and
led many market participants to prioritise cost control and cash preservation
over growth initiatives. One of the Group's customers Quiz Clothing has
recently entered administration which resulted in a write-off in the period
however the Board is confident that this shortfall in revenue will be replaced
by growth within its customer base and new prospects. As a result of these
pressures facing the retail industry, the Company's results are below current
market expectations. However, the Board took action in the second half of the
year by reducing the cost base by over £1m*, the effects of which will be
seen in 2026, which gives the Board further confidence for the year ahead.

 

 

Ali Athar, Chief Executive Officer, commented, "Based on a robust recurring
revenue model, 2025 can be summarised as a year of investment, geographic
diversification and product innovation. Both the Board and senior management
teams have been strengthened creating immediate tangible benefits as we
continue to roll out new products. The Group has responded well to the growing
demand of artificial intelligence in the retail sector with the exciting
launch of itimAIQ which highlights the growth intentions of the Group.

 

"Mindful of the ongoing challenging economic uncertainties, management
believes that it has invested well this year and that 2026 represents a
defining year for the execution of the Group's strategy and a potential
inflection point for accelerated growth. As a result, it views the future
prospects of the business with renewed confidence."

 

 

Publication of the Company's annual results are anticipated to be released in
May 2026.

 

*unaudited

 

This announcement contains inside information for the purposes of Article 7 of
the UK version of Regulation (EU) No 596/2014 which is part of UK law by
virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR").  Upon
the publication of this announcement via a Regulatory Information Service,
this inside information is now considered to be in the public domain.

 

Enquiries:

 

 Itim Group plc             Ali Athar, CEO    0207 598 7700

                            Ian Hayes CFO

 Zeus (NOMAD & Broker)      Katy Mitchell     0203 829 5000

                            Harry Ansell

                            Darshan Patel

 IFC Advisory               Graham Herring    0207 3934 6633

                            Florence Staton

 

 

ABOUT ITIM

itim was established in 1993 by its founder, and current Chief Executive
Officer, Ali Athar. itim was initially formed as a consulting business,
helping retailers effect operational improvement. From 1999 the Company began
to expand into the provision of proprietary software solutions and by 2004 the
Company was focused exclusively on digital technology. itim has grown both
organically and through a series of acquisitions of small, legacy retail
software systems and associated applications which itim has redeveloped to
create a fully integrated end to end Omni-channel platform.

 

 

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