REG - Personal Group - Preliminary Results and Final Dividend
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RNS Number : 8553X Personal Group Holdings PLC 24 March 2026
24 March 2026
Personal Group Holdings plc
("the Company", "Personal Group" or "Group")
Preliminary Results and Final Dividend
Double-digit revenue growth and adjusted EBITDA ahead of market expectations**
41% increase in full year dividend
Personal Group Holdings Plc (AIM: PGH), the workforce benefits and insurance
provider, is pleased to announce its preliminary results for the year ended
31 December 2025 ("FY25").
Financial Highlights
· Group revenue up 11% to £48.4m (2024: £43.8m), with growth across all
divisions
· Annualised recurring revenue streams (ARR) up 12% to £48.6m as at 31 December
2025 (31 December 2024: £43.4m), with over 90% of reported revenue for 2025
deriving from the recurring revenue sources of insurance and SaaS
subscriptions
· Adjusted EBITDA* up 22% to £12.1m (2024: £10.0m), ahead of market
expectations**
· Profit before tax up 23% to £8.4m (2024: £6.8m)
· Basic EPS up 32% to 23.3p (2024: 17.7p)
· Strong balance sheet and liquidity with a cash and bank deposits position of
£29.0m as at 31 December 2025 (December 2024: £27.4m) and no debt
· Cash generated from operating activities of £9.9m (2024: £11.4m)
· Final dividend of 15.1p per share, making a full year dividend for 2025 of
23.3p, an increase of 41% (2024: 16.5p)
* Adjusted EBITDA is defined as earnings before interest, tax, depreciation,
amortisation of intangible assets, goodwill impairment, share-based payment
expenses, profit or loss on disposal of subsidiaries, corporate acquisition
costs and restructuring costs.
** For the purpose of this announcement, the Company believes market
expectations for FY25 to be Adjusted EBITDA of £11.6m.
Operational Highlights
· Record year for new Insurance sales driven by increased operational grip,
unique face-to-face model, and growing relevance of the Group's offering
o Annualised new insurance sales increased 11% to £15.4m and Annualised Premium
Income (API) increased 12% to £40.5m (2024: £36.0m), supported by strong
customer retention of 81.7%.
o Increased penetration of the Group's existing Top 100 sites and delivering
against key KPIs.
o New clients wins, including Avery, Securitas and Harbour Healthcare, added
over 50,000 new employees to the Group's addressable customer base available
for insurance.
o Commenced testing of new digital insurance propositions for hospital cover and
death plan, with positive early response from customers.
· Continued uptake and expanded reach within Benefits & Rewards
o Benefit Platform ARR of £7.3m (2024: £6.7m) driven by continued uptake and
30 new Benefits clients, including University of St Andrews, Rehability UK and
Hampshire Trust Bank.
o Renewed partnership with Sage, expanding into new products and geographies,
entering the first new territory, Ireland, in Q2 2025.
o Secured a new partner, EB Now, with 15 clients now live on the platform.
o Pay & Reward secured a significant number of new wins, including De Beers,
FSCS and B&Q and launched a new Digital offering, Pathfinder, with initial
sales orders at the end of Q4 2025.
Outlook
· Entered 2026 with strong momentum, well positioned to capture the growth
opportunities in an expanding market and deliver further progress towards the
Group's strategic aspirations.
· The strength of the Group's balance sheet, power of its offerings, growth of
its recurring revenue streams and depth of its senior leadership team provide
the Board with confidence in continued progress in the year ahead and
continued progression towards the Group's 2030 aspirations of delivering
£100m revenue, £30m EBITDA and £20m SaaS ARR.
Paula Constant, Chief Executive of Personal Group, commented: "It's been a
brilliant year of progress for the Group, with double-digit growth, adjusted
EBITDA ahead of market expectations and continued high retention levels of
over 80%. Insurance sales delivered another record year, driven by the
strength of our face-to-face model and improved operational grip, and Benefits
& Rewards saw growing levels of ARR and new and expanded partnerships.
Against a backdrop of increasing cost-of-living pressures, high levels of
workforce illness and ongoing challenges for employers to attract and retain
employees, our Insurance and Benefits offerings are more relevant than ever,
and we are proud at Personal Group to deliver products that have such
meaningful impact.
We have entered 2026 with momentum and a laser focus on further delivering
across our strategic pillars of Adoption, Expansion, Innovation and
Partnering, supported by a strong balance sheet and growing levels of
recurring revenues."
Investor Presentation
Personal Group Holdings will host a webinar for investors at 9.00am on Friday,
27 March 2026. If you would like to register for the webinar, please follow
this link:
https://www.investormeetcompany.com/personal-group-holdings-plc/register-investor
(https://www.investormeetcompany.com/personal-group-holdings-plc/register-investor)
For more information please contact:
Personal Group Holdings Plc
Paula Constant (CEO) / Sarah Mace (CFO) Via Alma
Canaccord Genuity Limited (Nominated Adviser & Broker)
Max Hartley / Harry Rees +44 (0)20 7523 8000
Alma Strategic Communications +44 (0)20 3405 0205
Caroline Forde / Kinvara Verdon / Rose Docherty personalgroup@almas (mailto:personalgroup@almastrategic.com) trategic.com
(mailto:personalgroup@almastrategic.com)
Notes to Editors
Personal Group Holdings Plc (AIM: PGH) is a workforce benefits and insurance
provider. Its vision is to be the champion of affordable and accessible
insurance and benefits, keeping businesses and their employees happy, healthy
and protected. The Group is proud to support the health and wellbeing of c.
1.25 million UK employees.
The Group's insurance provides employees with access to affordable, individual
policies for hospital (https://www.hapi.co.uk/insurance/hospital-cash-plan)
, recovery (https://www.hapi.co.uk/insurance/convalescence-plan) and death
benefit (https://www.hapi.co.uk/insurance/death-benefit-plan) plans. The
Group's award-winning benefits platform, Hapi, brings together extensive
employee benefits, discounts and rewards, in one responsive platform. As well
as being sold direct to employers, the Hapi platform supports Sage's Employee
Benefits offerings for SMEs.
This comprehensive range of offerings, powerful platform and unique sales
model of face-to-face, one-to-one engagement with employees, provides Personal
Group with a strong market position from which to grow.
Head-quartered in Milton Keynes, the Group has built an extensive blue-chip
customer list over its 40-year history, including Airtanker, B & Q,
Barchester Healthcare, British Transport Police, British Airways, Merseyrail,
Office of National Statistics, Randstad, Royal Mail Group, The Royal Mint,
Stagecoach Group plc, and The University of York.
For further information on the Group please see www.personalgroup.com
(http://www.personalgroup.com)
CHAIR'S STATEMENT
2025 has been a strong year of execution, building on the foundations put in
place during 2024. The management team has delivered across every dimension -
customer acquisition, customer penetration, retention, and strong operational
and financial discipline - and the resulting substantial increases in customer
satisfaction, profitability and cash generation are extremely pleasing.
Relevance of offerings against a backdrop of increased financial pressure
The relevance of, and demand for, Personal Group's offerings remain strong due
to the clear value provided to employees with otherwise limited benefits and
protections. This is reflected in the Group's high retention rates at both
partner and customer level, providing the Group with a long runway of growth
ahead.
Strategic execution delivering strong financial performance
The team's relentless focus on the execution of the growth strategy has
resulted in excellent progress in all financial and operational KPIs. Revenue
grew 11% to £48.4m (2024: £43.8m), adjusted EBITDA was up 22% to £12.1m
(2024: £10.0m) and our balance sheet remains robust, with a cash position of
£29.0m at 31 December 2025 (2024: £27.4m) and no debt. The Group continues
to build its recurring revenues across all business lines, with over 90% of
reported revenue for 2025 deriving from the recurring revenue sources of
insurance and SaaS subscriptions, providing clear visibility into FY26 and
beyond.
Strong and passionate team
The Group continues to benefit from an experienced leadership team,
strengthened in the year through key hires across sales and delivery. As the
scale and ambition of the business increase, we have remained focused on
ensuring the team has the experience and capacity required to execute the
strategy effectively and support sustainable growth.
Reinforced governance
I am particularly pleased to have strengthened our Board across a number of
areas.
Earlier in the year, we were pleased to welcome Rachel Webb to the Board as
Non-Executive Director and as Chair of the Audit and Risk Committees, bringing
with her over 20 years' of experience in financial services. Rachel has
brought a strong commercial focus to the Board as well as a thorough refresh
of our audit and risk governance. In addition, Ciaran Astin assumed the
position of Remuneration Chair in late H2, bringing strong discipline and
critical thinking to our Executive remuneration plans as we continue to ensure
a motivating trajectory aligned with our shareholder delivery plans.
Subsequently, Maria Darby Walker assumed a dedicated role as Senior
Independent Director, increasing our governance rigour.
As announced in December 2025, Sarah Mace, CFO, will step down from the Board
at the time of the Company's Annual General Meeting in May 2026, after 12
years at Personal Group. On behalf of the Board, I would like to thank Sarah
for her considerable contribution to Personal Group during her tenure,
successfully steering the business through the challenges of the pandemic and
leaving it on a strong financial footing. Sarah has also been instrumental in
working alongside Paula to implement and execute the refined strategy, placing
the Group on a strong growth trajectory.
We look forward to welcoming Matthew Cohen to the Group as CFO, joining from
the end of H1 FY26. Matthew will bring to the role significant insurance
experience and depth of knowledge, and the Board is confident that Matthew
will help the team drive growth and deliver on its ambitions.
ESG
Our ESG strategy is closely aligned to our purpose: to improve people's
health, happiness and financial wellbeing, and we operate with a clear, and
crucially, shared responsibility. We met all targets set for our ESG
initiatives in 2025, across energy consumption, DEI, volunteering and
governance, testament to the commitment and enthusiasm across the
organisation.
Dividend
As announced in our FY25 Interim Results in September 2025, the Group
continues to grow strongly whilst generating significant cash to augment a
very strong balance sheet. In light of this, the Board reviewed the dividend
policy at that time and concluded that given the continued confidence in the
Group's business model and prospects, it is appropriate to amend the dividend
policy to enhance returns to shareholders. For FY25 and going forward, the
Group intends to pay dividends equivalent to approximately one times basic
earnings per share for the full year, confident that dividends will continue
to grow in line with increased earnings.
As a result, I am pleased to announce that the Board has recommended a final
ordinary dividend of 15.1 pence per share which will be paid on 12 May 2026 to
members on the register as at 7 April 2026 (the record date). Shares will be
marked ex-dividend on 2 April 2026. This makes a total ordinary dividend for
2025 of 23.3 pence per share, representing an increase of 41% year-on-year
(2024: 16.5p).
Outlook
The successes and operational vigour of the past year have given us more scope
to grow than ever before, providing the opportunity for further momentum. The
strength of the Group's balance sheet, power of its offerings, growth of its
recurring revenue streams, ongoing cash generation and depth of its senior
leadership team provide the Board with confidence in continued progress in the
year ahead.
Martin Bennett
Non-Executive Chair
24 March 2026
GROUP CHIEF EXECUTIVE'S STATEMENT
I am thrilled to report on a brilliant year of progress for Personal Group,
which has seen the team execute with pace and passion, resulting in
double-digit growth, continued strong retention levels of 80%+, adjusted
EBITDA ahead of market expectations, and considerable growth in our
addressable customer base.
At Personal Group we are proud to deliver products that are genuinely
meaningful against a backdrop of increasing financial pressure. Affordable,
simple to understand and providing significant cover, our insurance products
and benefits platform help employers protect their employees, reduce absences
and create workplaces where people feel supported, valued and secure. In the
current economic environment, with increasing cost-of-living pressures,
continued high levels of workforce illness and a growing struggle for
employers to attract and retain their workforce, our products and services are
more relevant than ever.
It is a privilege to lead a business with this degree of purpose, and I am
excited by the significant opportunity we see to expand our reach to serve
more of the UK workforce beyond the 1+ million employees we support today.
Operational Review
Affordable Insurance
2025 was another strong year for our Insurance division, driven by our unique
face-to-face sales model, increased operational grip and growing relevance of
our offerings. As a result, the Group delivered another record sales
performance, with new annualised insurance sales up 11% to £15.4m, and API up
12% to £40.5m, supported by strong retention of over 80%.
Adoption
Our efforts to improve operational grip continue to increase the penetration
of our existing customer base. In particular, the sales team has been focused
on further penetrating our top 100 sites through increased field force
efficiency, improved time-to-competence across every competency level in our
workforce and continued focus on effective planning of field force visits. As
a result, we reached penetration levels of 20%+ in our top 100 sites and an
overall improved penetration rate of 14.5% as at 31 December 2025 (31 December
2024: 13.0%). Policies sold are up 6.8% year-on-year; enrolments (new
customers signed) are up 6%, and the average value of our policy sales per
person per day has increased by 7%.
We have continued to invest effort in improving the customer experience, once
again achieving a Trustpilot score of 4.9 (out of 5), which we believe to be
outstanding in our industry. In addition, claims processes have improved
throughout the year, with the business processing more than 98% of claims
within 48 hours in Q4. We expect this standard to be maintained going forward.
We have retained excellent compliance standards in the field, retaining scores
of 97%+, in addition to improving early life cancellations with enhanced data
and insight. All customer service metrics pertaining to resolving and
answering queries have improved year on year and our continued spotlight on
vulnerable customer treatment has been recognised through our win of the
Customer Focus (SME) award at the Institute of Customer Service awards in
March 2026.
Expansion
An increased focus on winning new insurance clients added over 50,000 new
employees to our addressable customer base at the end of the year, providing a
significant opportunity for further growth in the year ahead. This is a result
of the success of our reinvigorated go-to-market initiatives, including the
introduction of a more rigorous process for targeting clients and progressing
leads, particularly in the food distribution and logistics sectors. Notable
wins include Avery, Securitas and Harbour Healthcare.
Innovation
New Digital Insurance offerings have the potential to accelerate growth
further in the year ahead, expanding our portfolio, increasing our routes to
market, and adding to our recurring revenue stream. We are pleased to have
started the testing of our new digital insurance propositions for hospital
cover and death plan, which have proved out various test cases. We plan to
test these digital offerings across our wider base in 2026. We have also
finalised the development of our Group Cash plan offerings, which we intend to
test on our direct base as well as through partnership.
Partnering
We are progressing a number of interesting Insurance partnerships, including
the provision of face-to-face and digital employee-paid cash plans.
In March 2025, we were pleased to announce the tender award from a significant
employee benefits business for the provision of both employee and
employer-paid insurances to their clients. In our FY25 Interim Results in
September 2025, we confirmed an additional contract with Sante to supplement
its insurance offerings with our own digital and face-to-face employee-paid
insurance options. Initial referrals from these partners are now starting to
come through.
Post-period end, the Group secured a partnership with Simplyhealth, the UK's
leading healthcare services and cash plan provider, providing access to
Simplyhealth's 12,000 business relationships to deliver face-to-face employee
engagement to support the sale of both Personal Group and Simplyhealth's
insurance plans.
These partnerships provide accelerated access to clients and employees that we
would otherwise pursue through individual direct B2B sales channels.
Benefits & Rewards
The Group's digital benefits platform, comprising Hapi and SEB, saw continued
uptake, resulting in ARR growth to £7.3m (2024: £6.7m). Importantly, we
renewed and expanded our multi-year partnership with Sage, providing a
long-term growth platform, which saw us launch our proposition into Ireland in
Q2. Innecto, our Rewards consultancy, also delivered a suitably strong
performance, driven by new contract wins and the introduction of the
Pathfinder SaaS platform, contributing to digital ARR growth of 14% and in
excess of 80 live digital platforms to date.
Adoption
Post completion of the migration of our clients to Hapi 2.0 our Net Retention
Rate (NRR) increased to 93.6% (2024: 91.0%) and we have seen an increased
uptake of benefits, resulting in a 23% increase in monetisation from
commission on the third-party products that sit on the platform. Alongside
that our Trustpilot score for Hapi has increased to 4.4 (2024: 4.3) evidencing
the quality of our offerings.
Expansion
Hapi's steady performance in the year resulting in ARR of £2.71m as at 31
December 2025 was underpinned by 30 new Benefits clients won in 2025, an
increase of 15% on the previous year. Notable new client wins for Hapi include
University of St Andrews, Rehability UK and Hampshire Trust Bank.
The new contract for Sage Employee Benefits (SEB) commits to expanding the
volume of clients across additional UK customer segments in addition to new
geographies and with additional products and services including digital
insurance and in July 25 we entered our first new territory of Ireland. We
were also excited to launch our first new partner, EB Now, in Q3, with 15
clients already live on the platform.
The Group's Pay & Reward division enjoyed impressive new wins, including
De Beers, FSCS and B&Q. We secured c. 200 project wins, including 36 new
clients and 17 new digital platform sales.
Partnering
We see considerable opportunity to expand our market reach into new business
segments through partnerships. We were delighted to secure our first new
partnership in the year, with EB Now, an employee benefits provider for the
small and midsize business market, with the first customers going live via the
platform in H2 FY25.
Innovation
We were excited to bring to market our new Innecto Digital offering,
Pathfinder, which facilitates career mapping across all roles in a Company,
and to secure initial sales orders at the end of Q4. Together with our
RoleSense proposition, which provides an umbrella stand-alone digital
capability for our existing pay and reward toolkits, we enter 2026 with an
impressive opportunity to really exploit digital sales which will further
strengthen our ARR opportunity alongside Hapi and SEB.
Progressing towards our aspirational targets
Important progress was made in FY25, putting in place the foundations to
enable us to progress towards our 2030 ambitions. We are delivering across our
four pillars of Adoption, Expansion, Innovation & Partnering, and are well
positioned to enter the first full year of our 5-year strategy.
Looking ahead, in Insurance, we are focused on the continued growth of our
existing book of business (Adoption), whilst winning an increased level of new
customers through improved commercial focus (Expansion); and we see these
initiatives as the key drivers of growth for Insurance in the short- to
medium-term. Alongside this, we plan to fully launch our new insurance
offering and our digital sales channel (Innovation), and secure new partners
(Partnering).
In Benefits & Rewards, Partnerships presents the greatest avenue for
growth, both in terms of Expanding with our existing partner, Sage, and
reaching new Hapi SME customers through additional partnerships. We will also
continue the monetisation of our award-winning Hapi platform (Adoption), as
well as Expanding through winning new Hapi Enterprise customers and new Pay
& Reward customers. Also, following the strong progress this year, we will
take the Innecto Digital offering to market more widely (Innovation).
Passionate about our Purpose
At Personal Group, our Purpose is at our core: to keep businesses and their
employees happy, healthy and protected. Our already impressive internal
engagement score increased from 73% to 80% at the end of the year. We have
continued to add industry-leading people policies and were pleased to feature
in the HR magazine as an example of living and breathing our employee benefit
values in our own practices.
Outside of the organisation, Personal Group is committed to ensuring our
customers are cared for above and beyond the FCA's Consumer Duty regulations,
and last year we established an internal working group to deliver these
requirements.
Practising our Purpose within our community is also incredibly important to us
as an organisation, and we continue to do this through our targeted Personal
Assurance Charitable Trust donations, where we pledge at least 1% of EBITDA or
a minimum of £100k each year. In 2025 alone, PACT have donated to over 65
charities, helping organisations make a real difference where it matters most.
There was also a pleasingly high uptake of our volunteering programme across
all levels of the business, supporting a range of community projects.
Outlook
We are delighted with our performance during 2025 with double digit growth,
adjusted EBITDA ahead of market expectations, further strong cash generation
and enhanced returns to shareholders through an increased dividend. As such,
given the backdrop of our continued delivery of customer and shareholder
outcomes, we enter 2026 with strong momentum, well positioned to capture the
growth opportunities our strategic aspirations outline, and with growing
market demand for our products and services. We are laser focused on executing
against our strategic initiatives of adoption, expansion, innovation and
partnering. It is fantastic to lead a business with such highly motivated
individuals, delivering our purpose with passion and pace, and I look forward
with confidence to another fruitful year in 2026.
Paula Constant
Group Chief Executive
24 March 2026
CHIEF FINANCIAL OFFICER'S STATEMENT
Group revenue
Group revenue from continuing operations grew by 11% to £48.4m (2024:
£43.8m), reflecting continued momentum across all business lines.
Our Affordable Insurance segment delivered further growth, supported by
another strong year of new policies written and continued high retention
levels. Annualised Premium Income increased to £40.5m (2024: £36.0m), with
the majority of policies continuing to renew on weekly or monthly rolling
contracts, providing a high degree of revenue visibility.
The Benefits & Reward segment continued to grow, with income increasing to
£10.9m (2024: £10.3m). Growth was driven by a combination of SaaS
subscription income and consultancy revenues, supported by further expansion
of our platform footprint and strong customer engagement.
Other income again delivered to £1.3m (2024: £1.3m), reflecting continued
optimisation of cash deposits held by the insurance subsidiaries despite
falling deposit interest rates.
The Group continues to build its recurring revenues across all business lines,
with over 90% of reported revenue for 2025 deriving from the recurring revenue
sources of insurance and SaaS subscriptions. This provides confidence and
visibility as we continue to execute against our strategy.
Adjusted EBITDA*
Adjusted EBITDA* from continuing operations increased by 22% to £12.1m (2024:
£10.0m). This reflects increased contribution from the insurance segment,
where underwriting profit continued to deliver strong margins while growing
broadly in line with the size of the insurance book.
The Benefits & Reward segment continued to drive growth in adjusted
EBITDA, with contribution increasing to £6.1m (2024: £5.2m). This was driven
by new platform sales across both Hapi and Sage Employee Benefits, as well as
continued strong performance across consultancy and digital reward solutions.
During the year, we completed the Hapi 2.0 client migration, an important
milestone that enhances platform capability and positions the business for
future scalability.
Group administration and central costs increased modestly year on year,
reflecting inflationary pressures and continued investment in people, systems
and infrastructure to support long-term growth.
We believe adjusted EBITDA* remains the most appropriate measure of
performance for the Group, reflecting the underlying profitability of the
business and removing the impact of non-underlying items arising from historic
acquisitions. The definition remains unchanged.
Profit before and after tax
Statutory profit before tax from continuing operations for the year was £8.4m
(2024: £6.8m). The tax charge for the year was £1.1m (2024: £1.3m),
reflecting the benefit of a £0.4m R&D tax claim in respect of benefits
platform development, resulting in profit after tax from continuing operations
of £7.3m (2024: £5.5m).
EPS
Earnings per share from continuing operations increased to 23.3p (2024:
17.7p), reflecting improved profitability enhanced by the reduced tax rate.
Dividend
During the year, the Board implemented its new policy to increase returns to
shareholders, reflecting confidence in the Group's cash generation, balance
sheet strength and long-term prospects.
The Board has recommended a final ordinary dividend of 15.1p per share making
a total ordinary dividend for 2025 of 23.3 pence per share (2024: 16.5 pence
per share). This level is in line with the revised dividend policy announced
in September 2025 which was determined after considering the Group's
underlying growth, strong cash generation and capital requirements to support
future investment.
Balance sheet
As at 31 December 2025, the Group's balance sheet remained strong, with cash
and deposits of £29.0m (31 December 2024: £27.4m) and no debt.
The Group's underwriting subsidiaries continued to maintain prudent solvency
positions well in excess of regulatory requirements. This conservative
approach underpins the resilience of the insurance business and supports
sustainable growth.
Personal Assurance Plc (PA), continues to maintain a conservative solvency
ratio of 299% (unaudited), with a £10.1m surplus over its Solvency Capital
Requirement of £5.1m. The Company has consistently maintained a prudent
position in relation to its Solvency UK requirement. Personal Assurance
(Guernsey) Limited, the Group's subsidiary which underwrites the death benefit
policy, also maintained a healthy solvency ratio of 487% (unaudited), with a
£3.7m surplus under its own regime.
Cash flow
Cash generation remains a key strength of the Group. Cash generated from
operating activities in 2025 was £9.9m (2024: £11.4m including £3.9m
generated by the sale of Let's Connect which was disposed of on 9 July 2024),
reflecting the Group's strong underlying trading and disciplined working
capital management.
With capital requirements of approximately £12.0m to support the insurance
business and working capital, the Group retains flexibility to invest in
product development and platform enhancement, maintain increased returns to
shareholders through dividends and consider suitable acquisitions which could
accelerate growth.
Segmental results
The Group reports across two core segments as detailed in the table below.
Segment Description Income Streams
Affordable Insurance A directly owned benefit, provision of simple insurance products underwritten Insurance income.
by Group subsidiaries.
Benefits & Reward Provision of a benefits platform to employers both directly and through Digital platform subscriptions, commissions from third party benefits which
channel partners, currently Sage for our SME solution. sit on the platform.
Provision of a full reward service to employers through the Group's pay and Consultancy, industry surveys and digital platform subscriptions.
reward subsidiary, Innecto.
For each of the segments, the adjusted EBITDA contribution comprises the gross
profit of that segment together with any costs associated directly with the
operation of that segment. Sales and marketing costs and other central costs
that are not directly attributable to a segment, such as Finance, HR,
depreciation, amortisation and Group Board expenses are not allocated to a
segment and are shown separately as 'Group Admin and Central Costs'.
We believe this presentation provides transparency to enable the impact of top
line growth on adjusted EBITDA contribution for each area of the business to
be better understood.
Affordable insurance
Insurance revenue increased by 13% to £36.2m (2024: £32.2m).
Our face-to-face sales activity delivered another record year, with new
policies written of £15.4m (2024: £13.8m). This remains a key differentiator
for the Group, directly engaging employees with their employers' benefit
provision and supporting strong retention.
As at 31 December 2025, Annualised Premium Income stood at £40.5m (2024:
£36.0m), with over 103,000 insurance payers.
The claims ratio for the year reduced slightly to 27.1% (2024: 29.1%) but
remained within our expected range.
Adjusted EBITDA contribution from the segment was £14.6m (2024: £12.4m),
reflecting increased revenue and disciplined cost control alongside the
benefit of a lower claims ratio.
Benefits & Reward
Revenue from digital platform subscriptions and commissions on our benefits
platform increased to £8.1m (2024: £7.8m).
Subscriptions for Hapi continued to build, supported by the completion of the
v2 migration and new client wins during the year. ARR increased slightly to
£2.71m (2024: £2.66m), with 30 new clients added (2024: 27).
Our relationship with Sage continued to strengthen, with Sage Employee
Benefits driving further SME market penetration. ARR increased to £4.6m
(2024: £4.1m), and, with the new contract signed in March 2025, we remain
focused on maximising the opportunity presented by this partnership.
Consultancy and proprietary digital reward solutions also performed well,
building on the 2024 performance with further significant client wins.
Adjusted EBITDA contribution from the segment increased to £6.1m (2024:
£5.2m), highlighting the scalability of the platform-led model.
Group administration expenses and central costs
Group administration and central costs of £9.8m (2024: £8.9m) reflects
investment in sales and go to market activity and recruitment of senior hires
alongside increased staff bonus payments and inflationary cost increases.
Outlook
The Group enters 2026 with strong momentum. Our priorities remain clear:
continued growth of our face-to-face sales activity, maximising our Sage
relationship, exploring additional white-labelled partnership opportunities,
increasing shareholder returns through a progressive dividend policy.
The strength of our recurring revenue base, combined with strong cash
generation and a robust balance sheet, positions the Group well to deliver
sustainable long-term value for shareholders.
Sarah Mace
Chief Financial Officer
24 March 2026
Consolidated Income Statement
2025 2024
£'000 £'000
Insurance Revenue 36,217 32,166
Employee benefits and services 10,900 10,277
Other income 98 136
Investment income 1,153 1,197
( ) (_________) (_________)
Revenue 48,368 43,776
( ) (_________) (_________)
( ) ( ) ( )
Insurance service expenses (18,678) (16,915)
Net expenses from reinsurance contracts (66) (79)
Employee benefits and services expenses (7,662) (7,810)
Other expenses (73) (73)
Group administration expenses (13,064) (11,788)
Share based payments expenses (388) (202)
Unrealised gain on equity investments 176 123
Charitable donations (122) (100)
(___________) (___________)
Expenses (39,877) (36,844)
(___________) (___________)
Results of operating activities 8,491 6,932
Finance costs (77) (106)
(_________) (_________)
Profit before tax from Continuing Operations 8,414 6,826
Taxation (1,128) (1,298)
(_________) (_________)
Profit for the year from Continuing Operations 7,286 5,528
Discontinued Operations^
Other owned benefits revenues - 2,572
Other owned benefits costs - (2,837)
Gain on disposal - 1,167
Taxation on Discontinued Operations - 66
(_________) (_________)
Profit for the year from Discontinued Operations - 968
(_________) (_________)
Profit for the year 7,286 6,496
(_________) (_________)
The profit for the year is attributable to equity holders of Personal Group
Holdings Plc.
Basic Earnings per share Pence Pence
From Continuing Operations 23.3 17.7
From Discontinued Operations - 3.1
Total Basic EPS 23.3 20.8
Diluted Earnings per share Pence Pence
From Continuing Operations 22.1 17.1
From Discontinued Operations - 3.0
Total Basic EPS 22.1 20.1
There is no other comprehensive income for the year and, as a result, no
statement of comprehensive income has been produced.
^ Following the Group's disposal of its entire issued share capital of Let's
Connect on 09 July 2024, Let's Connect has been classified as a discontinued
operation, and the 2024 figures have been stated accordingly in line with IFRS
5: Non-current Assets Held for Sale and Discontinued Operations.
Consolidated Balance Sheet at 31 December 2025
2025 2024
£'000 £'000
ASSETS
Non-current assets 2,684 2,684
Goodwill
Intangible assets 5,199 4,854
Property, plant and equipment 3,959 4,479
(_________) (_________)
11,842 12,017
(__)(______) (________)
Current assets
Financial assets 5,721 9,912
Trade and other receivables 13,914 9,994
Cash and cash equivalents 25,011 19,060
Current tax assets 870 304
(_________) (_________)
45,516 39,270
(___)(______) (_________)
Total assets 57,358 51,287
(__________) (__________)
Consolidated Balance Sheet at 31 December 2025
2025 2024
£'000 £'000
EQUITY
Equity attributable to equity holders
of Personal Group Holdings Plc
Share capital 1,563 1,562
Share premium 1,134 1,134
Share based payment reserve 24 24
Capital redemption reserve 704 495
Other reserve (32) (27)
Profit and loss reserve 33,420 31,652
(_________) (_________)
Total equity 36,813 34,840
(_________) (_________)
LIABILITIES
Non-current liabilities
Deferred tax liabilities 1,056 1,158
Trade and other payables 106 343
(_________) (_________)
1,162 1,501
(__)(______) (________)
Current liabilities ( )
Reinsurance assets 2 5
Trade and other payables 18,477 14,052
Insurance contract liabilities 904 889
(_________) (_________)
19,383 14,946
(_________) (_________)
(_________) (_________)
Total liabilities 20,545 16,447
(_________) (_________)
(_________) (_________)
Total equity and liabilities 57,358 51,287
(_________) (_________)
( )
Consolidated Statement of Changes in Equity for the year ended 31 December
2025
Equity attributable to equity holders of Personal Group Holdings Plc
Share capital Share Capital redemption reserve Share Based Payment reserve Other reserve Profit and loss reserve Total equity
Premium
£'000 £'000 £'000 £'000 £'000 £'000 £'000
Balance as at 1 January 2025 1,562 24 1,134 495 (27) 31,652 34,840
(________) (______) (______) (______) (______) (________) (________)
Dividends - - - - - (5,689) (5,689)
Employee share-based compensation - - - 366 - 22 388
Proceeds of SIP* share sales - - - - - 17 17
Cost of SIP shares sold - - - - 24 (24) -
Cost of SIP shares purchased - - - - (29) - (29)
Clearance of SBP Reserve for Lapsed Options 1 - - (157) - 156 -
(________) (________) (________) (________) (________) (________) (________)
Transactions with owners 1 - - 209 (5) (5,518) (5,313)
(________) (________) (________) (________) (________) (________) (________)
Profit for the year - - - - - 7,286 7,286
(________) (________) (________) (________) (________) (________) (________)
(________) (_______) (________) (________) (________) (________) (________)
Balance as at 31 Dec 2025 1,563 24 1,134 704 (32) 33,420 36,813
(________) (______) (______) (________) (__________) (_________) (_________)
*PG Share Ownership Plan (SIP)
Consolidated Statement of Changes in Equity for the year ended 31 December
2024
Equity attributable to equity holders of Personal Group Holdings Plc
Share capital Share Capital redemption reserve Share Based Payment reserve Other reserve Profit and loss reserve Total equity
Premium
£'000 £'000 £'000 £'000 £'000 £'000 £'000
Balance as at 1 January 2024 1,562 24 1,134 513 (36) 28,798 31,995
(________) (______) (______) (______) (______) (________) (________)
Dividends - - - - - (3,857) (3,857)
Employee share-based compensation - - - 178 - 24 202
Proceeds of SIP* share sales - - - - - 86 86
Cost of SIP shares sold - - - - 91 (91) -
Cost of SIP shares purchased - - - - (82) - (82)
Clearance of SBP Reserve for Lapsed Options - - - (196) - 196 -
(________) (________) (________) (________) (________) (________) (________)
Transactions with owners - - - (18) 9 (3,642) (3,651)
(________) (________) (________) (________) (________) (________) (________)
Profit for the year - - - - - 6,496 6,496
(________) (________) (________) (________) (________) (________) (________)
(________) (_______) (________) (________) (________) (________) (________)
Balance as at 31 Dec 2024 1,562 24 1,134 495 (27) 31,652 34,840
(________) (______) (______) (________) (__________) (_________) (_________)
*PG Share Ownership Plan (SIP)
Consolidated Cash Flow Statement
2025 2024
£'000 £'000
Net cash from operating activities (see next page) 9,876 11,441
(__________) (__________)
Investing activities ( ) ( ) ( )
Additions to property, plant and equipment (387) (103)
Additions to intangible assets (2,706) (2,665)
Proceeds from disposal of property, plant and equipment 28 74
Purchase of financial assets - (2,828)
Proceeds from disposal of financial assets 4,367
Interest received 1,153 1,197
Proceeds from the disposal of Let's Connect - 1,840
(__________) (__________)
Net cash used in investing activities 2,455 (2,485)
(__________) (__________)
Financing activities
Proceeds from share issue 1 -
Purchase of own shares by the SIP (29) (81)
Proceeds from disposal of own shares by the SIP 17 85
Payment of lease liabilities (680) (614)
Dividends paid (5,689) (3,857)
(__________) (__________)
Net cash used in financing activities (6,380) (4,467)
(__________) (__________)
Net change in cash and cash equivalents 5,951 4,489
Cash and cash equivalents, beginning of year 19,060 14,571
(__________) (__________)
Cash and cash equivalents, end of year 25,011 19,060
(_________) (_________)
Consolidated Cash Flow Statement
2025 2024
£'000 £'000
Operating activities
Profit after tax 7,286 6,496
Adjustments for 1,022 1,145
Depreciation
Amortisation of intangible assets 2,217 1,429
Loss on disposal intangible assets 144 -
Profit on disposal of property, plant and equipment (7) (9)
Profit on disposal of discontinued operations - (1,167)
Realised and unrealised investment (gains)/losses (176) (123)
Interest received (1,153) (1,197)
Interest charge 77 106
Share-based payment expenses 388 202
Taxation expense recognised in income statement 1,128 1,232
Changes in working capital
Trade and other receivables (3,920) 5,106
Trade and other payables 4,658 (839)
Insurance liabilities 15 154
Inventories - 52
Taxes paid (1,803) (1,146)
(__________) (__________)
Net cash from operating activities 9,876 11,441
(_________) (_________)
Notes to the Financial Statements
1 Segment analysis
The segments used by management to review the operations of the business are
disclosed below.
1) Affordable Insurance
Personal Assurance Plc (PA), a subsidiary within the Group, is a PRA regulated
general insurance Company and is authorised to transact accident and sickness
insurance. It was established in 1984 and has been underwriting business since
1985. In 1997 Personal Group Holdings Plc (PGH) was created and became the
ultimate parent undertaking of the Group.
Personal Assurance (Guernsey) Limited (PAGL), a subsidiary within the Group,
is regulated by the Guernsey Financial Services Commission and has been
underwriting death benefit policies since March 2015.
This operating segment derives the majority of its revenue from the
underwriting by PA and PAGL of insurance policies that have been bought by
employees of host companies via bespoke benefit programmes.
2) Benefits and Reward
Revenue this segment relates to the annual subscription income and other
related income arising from the licensing of Hapi, the Group's employee
benefit platform. This includes sales to both the large corporate and SME
sectors. This segment includes agency revenue generated from the resale of
vouchers. Revenue also includes consultancy, surveys, and licence income
derived from selling digital platform subscriptions.
3) Other
The other operating segment consists exclusively of revenue generated by
Berkeley Morgan Group (BMG) and its subsidiary undertakings along with any
investment and rental income obtained by the Group.
Discontinued Operations - Other Owned Benefits
This segment constitutes any goods or services in the benefits platform supply
chain which was owned by the Group, prior to its disposal in July 2024. As
such, this segment is treated as discontinued operations within these
accounts.
Segment analysis
2024
2025
£'000 £'000
Revenue by segment
Affordable Insurance 36,217 32,166
Benefits & Reward 13,750 13,024
Benefits & Reward - Group Elimination (2,850) (2,747)
Other Income
Other 98 136
Investment income 1,153 1,197
(__________) (__________)
Group Revenue 48,368 43,776
(__________) (__________)
Adjusted EBITDA* contribution by segment
Affordable Insurance 14,623 12,424
Benefits & Reward 6,089 5,215
Other 1,354 1,382
Group admin and central costs (9,796) (8,937)
Charitable Donations (122) (100)
(__________) (__________)
Adjusted EBITDA* 12,148 9,984
(__________) (__________)
Interest (77) (106)
Depreciation (1,022) (1,111)
Amortisation (2,217) (1,415)
Restructuring costs (30) (324)
Share Based Payments Expenses (388) (202)
(__________) (__________)
Profit before tax 8,414 6,826
(__________) (__________)
2025
2024
£'000
£'000
Revenue by segment
Affordable Insurance
36,217
32,166
Benefits & Reward
13,750
13,024
Benefits & Reward - Group Elimination
(2,850)
(2,747)
Other Income
Other
98
136
Investment income
1,153
1,197
(__________)
(__________)
Group Revenue
48,368
43,776
(__________)
(__________)
Adjusted EBITDA* contribution by segment
Affordable Insurance
14,623
12,424
Benefits & Reward
6,089
5,215
Other
1,354
1,382
Group admin and central costs
(9,796)
(8,937)
Charitable Donations
(122)
(100)
(__________)
(__________)
Adjusted EBITDA*
12,148
9,984
(__________)
(__________)
Interest
(77)
(106)
Depreciation
(1,022)
(1,111)
Amortisation
(2,217)
(1,415)
Restructuring costs
(30)
(324)
Share Based Payments Expenses
(388)
(202)
(__________)
(__________)
Profit before tax
8,414
6,826
(__________)
(__________)
2. Taxation comprises United Kingdom corporation tax of
£1,128,000 (2024: £1,232,000) including a deferred tax credit of £102,000
(2024: £368,000 charge)
3. The basic and diluted earnings per share from continuing
operations are based on profit for the financial year of £7,286,000 (2024:
£5,528,000) and on 31,245,014 basic (2024: 31,226,632) and 33,006,565 diluted
(2024: 32,402,281) ordinary shares, the weighted average number of shares in
issue during the year.
4. The total dividend paid in the year was £5,689,000 (2024:
£3,857,000)
This preliminary statement has been extracted from the 2025 audited financial
statements that will be posted to shareholders in due course. The statutory
accounts for each of the two years to 31 December 2025 and 31
December 2024 received audit reports, which were unqualified and did not
contain statements under section 498 (2) or (3) of the Companies Act
2006. The 2024 accounts have been filed with the Registrar of Companies but
the 2025 accounts are not yet filed.
Alternative Performance Measures
The Group uses an alternative (non-Generally Accepted Accounting Practice
(non-GAAP)) financial measure when reviewing performance of the Group,
evidenced by executive management bonus performance targets being measured in
relation to Adjusted EBITDA*. As such, this measure is important and should be
considered alongside the IFRS measures.
For Adjusted EBITDA*, the adjustments taken into account in addition to the
standard IFRS measure, are those that are considered to be non-underlying to
trading activities and which are significant in size. For example, goodwill
impairment is a non-cash item relevant to historic acquisitions; share-based
payments are a non-cash item which have historically been significant in size,
can fluctuate based on judgemental assumptions made about share price and have
no impact on total equity; corporate acquisition costs and restructuring costs
are both one-off items which are not incurred in the regular course of
business.
This methodology is unchanged from previous years.
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