REG - NAHL Group PLC - Year End Trading Update

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RNS Number : 4432Q  NAHL Group PLC  27 January 2026

Prior to publication, the information contained within this announcement was
deemed by the Group to constitute inside information for the purposes of the
UK Market Abuse Regulations.

27 January 2026

 

 

NAHL Group plc

("NAHL" or the "Group")

  

Year End Trading Update

 

NAHL (AIM: NAH), a leading marketing and services business focused on the UK
consumer legal market, is pleased to provide an update on trading for the
financial year ended 31 December 2025 (the "Period").

 

Group Results

 

Since the Interim Results on 24 September 2025, the Group continued to trade
in line with the Board's expectations. Revenues for the Period are expected to
be 3% ahead of the previous year at c. £40.0m (2024: £38.8m), while
underlying operating profit is expected to have increased by 86% to c. £7.3m
(2024: £3.9m). These increases are primarily due to higher revenues and lower
marketing costs within the Group's Personal Injury business, in addition to a
reduction in amortisation of intangibles assets which were fully amortised in
2024.

 

Underlying profit before tax is expected to be c. £5.0m (2024: £1.4m), which
is over 250% ahead of the previous year. The Group incurred £0.6m of
exceptional costs in the Period, associated with the exploration of a sale of
Bush & Co. and cost saving initiatives in the Group's Personal Injury
business.

 

The Group continued to deliver strong levels of cash generation, and free cash
flow increased 37% in the Period to £3.9m (2024: £2.6m). As a result, net
debt at 31 December 2025 reduced by 55% to a 10-year low of £3.2m (31
December 2024: £7.1m).

 

As previously announced by the Group, the Board has been working with its
advisers to explore options to accelerate value for shareholders. This work is
ongoing, and the Board will update the market when it is appropriate to do so.

 

Divisional Performance

 

In the Group's Consumer Legal Services division, revenues are expected to be
4% higher than the previous year at c. £23.8m (2024: £22.9m).  Underlying
operating profit is expected to be 120% higher at approximately £4.4m (2024:
£2.0m).

 

National Accident Law ("NAL"), the Group's fully integrated law firm,
performed well during the Period and settled 3,197 claims. This generated
approximately £10.7m of cash from settlements, which was 26% higher than in
2024 (2024: £8.5m). During the Period, NAL also created a new Serious Injury
team to progress more complex, higher-value claims for our customers, which
are expected to attract higher margins.

 

The Group directed 4,276 new enquiries into NAL, representing 32% (2024: 30%)
of the total number of new enquiries generated in the Period.  Management
believes that these new enquiries will be worth £5.8m in future revenue and
cash at maturity. The embedded value of NAL's existing book of claims was
further upgraded by £3.5m in the year, reflecting an increase in the average
value of claims settled in the Period. This resulted from higher levels of
litigation by NAL and clear evidence of sustained claims inflation. At 31
December 2025, management estimates that this book was worth £13.0m in future
cash (31 December 2024 estimate: £14.4m).

 

During the year, management took positive action to maintain enquiry
acquisition costs in line with historical norms, following the one-off changes
to Google algorithms and the introduction of 'AI Overviews' which pushed up
costs in 2024. As a result, there was a planned reduction in enquiries in Q4
2024 to match panel demand and investment capacity in NAL, and enquiry numbers
were maintained at this level through the year, with 13,389 new enquiries
generated (2024: 19,744). Consequently, this is expected to begin to impact
the outcome for financial year 2026 and beyond, and whilst the Board
anticipates this level of enquiry generation will continue for the short-term,
several new lead channels were developed during the year and this is expected
to reduce future reliance on paid search activity and improve the resilience
of lead generation.

 

In Critical Care, revenues are expected to be approximately £16.3m, 2% higher
than the previous year (2024: £15.9m). Underlying operating profit is
expected to be flat compared to prior year at around £4.8m (2024: £4.9m).

 

Bush & Co. continued to experience strong demand for its expert witness
services, driving revenue growth of approximately 9%. The softness that has
been experienced in the case management market persisted, with revenues 6%
lower in the Period, whilst Bush & Co. Care Solutions grew revenues by 20%
in the year.

 

Bush & Co. Kids, a new initiative focused on children and young people
that was launched at the end of 2024, has been well received by customers and
the increased focus on insurer instructions is yielding encouraging results.

 

The sale process of Bush & Co caused understandable distraction and
uncertainty in the business.  Since its cessation in June 2025, and a change
of leadership for the division, the Board has been developing plans to deliver
meaningful profitable growth over the medium-term.

 

Trading in 2026 has started well in both divisions, however, the lower level
of enquiries being placed into NAL over the recent past will likely result in
a lower outcome for the Consumer Legal Services division in FY26 compared to
the exceptional results experienced in FY25.

 

NAHL intends to announce its final results for the year ended 31 December 2025
in May 2026.

 

All figures stated in this announcement are unaudited.

 

 

 

For further information:

 

 NAHL Group PLC                                               via FTI Consulting

 James Saralis (CEO)                                          Tel: +44 (0) 20 3727 1000

 Chris Higham (CFO)

 Allenby Capital (AIM Nominated Adviser & Broker)             Tel: +44 (0) 20 3328 5656

 Jeremy Porter (Corporate Finance)

 Amrit Nahal/Kelly Gardiner (Sales & Corporate Broking)

 FTI Consulting (Financial PR)                                Tel: +44 (0) 20 3727 1000

 Alex Beagley                                                 NAHL@fticonsulting.com

 Amy Goldup

Notes to Editors

 

NAHL Group plc (AIM: NAH) is a leader in the Consumer Legal Services market.
The Group provides services and products to individuals and businesses in the
through its two divisions:

 

· Consumer Legal Services provides outsourced marketing services to law
firms through National Accident Helpline and claims processing services to
individuals through National Accident Law, Law Together and Your Law.  In
addition, it also provides property searches through Searches UK.

· Critical Care provides a range of specialist services in the catastrophic
and serious injury market to both claimants and defendants through Bush &
Co.

 

More information is available at www.nahlgroupplc.co.uk
(http://www.nahlgroupplc.co.uk/) , www.national-accident-helpline.co.uk
(http://www.national-accident-helpline.co.uk) ,

www.national-accident-law.co.uk (http://www.national-accident-law.co.uk)
 and www.bushco.co.uk (http://www.bushco.co.uk/) .

 

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