REG - Public Policy Hldg - H1 2025 Trading Update

Public Policy HoldingAnnouncement

Mon 07:00

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RNS Number : 7359R  Public Policy Holding Company, Inc.  21 July 2025

 21 July 2025

 

Public Policy Holding Company, Inc.

 

("PPHC", the "Group" or the "Company")

 

H1 2025 Trading Update

 

+24% growth in revenue (of which +8% organic) drives Group to record EBITDA

 

Public Policy Holding Company, Inc., the leading government relations, public
affairs and strategic communications group, provides an unaudited trading
update for the six months ended 30 June 2025 ("H1 2025"). The Group delivered
a strong performance in the first half of the year, driven by robust organic
growth across core service lines and sustained client demand in the U.S.
post-election environment. Activity levels remained high across federal,
state, and international markets, with particular strength in Public Affairs
and continued momentum in Government Relations since the second half of 2024.
The period also marked meaningful progress in the integration of TrailRunner
International LLC, which continues to elevate the Group's position in
strategic communications. As a result, the Board remains confident in the
Group's outlook for FY2025, which is expected to deliver revenue and
Underlying EBITDA in line with market expectations.

 

Financial Highlights

•   Revenue increased 24% to $87.9m (H1 2024: $71.1m), driven by a
combination of organic growth, our recent acquisition of TrailRunner
International LLC ("TrailRunner International") which completed on 1 April
2025, and the continued benefit from the acquisitions of Lucas Public Affairs
and Pagefield Communications in 2024.

•   Organic growth was 8%, supported by increased client demand
post-election, particularly in Public Affairs and Strategic Communications,
combined with sustained demand for Government Relations.

•    By segment, organic and reported growth in H1 2025 were as follows:

 All in $m, unless otherwise noted   H1 2025  % of total          Reported growth         Organic growth
 Segment                                      H1 '25  FY'24       H1 '25    FY'24         H1 '25    FY '24
 Government Relations                $53.5m   61%     69%         6%        7%            4%        4%
 Public Affairs and Strategic Comms  $28.1m   32%     24%         82%       13%           15%       -5%
 Diversified Services                $6.3m    7%      7%          19%       47%           19%       23%
 Total                               $87.9m   100%    100%        24%       11%           8%        3%

 

 

•    Underlying EBITDA for H1 2025 increased by 21% to $21.2m (H1 2024:
$17.4m). This represents a margin of 24.1% (H1 2024: 24.5%), primarily
reflective of the changes in the Group's business mix.

•    As of 30 June 2025, the Group had cash of $9.7m (2024: $5.5m) and
gross debt of $52.2m (2024: $33.8m), resulting in net debt of $42.5m (2024:
$28.3m). The increase in cash is partially driven by the reduced dividend
policy that went into effect in 2025 in order to support funding M&A
initiatives for growth. The increase in debt is driven by the additional
facility acquired in relation to the acquisition of TrailRunner International
on 1 April 2025, while offset by ongoing repayments enabled by the Group's
strong cash generation.

 

Increased demand for services and well positioned for H2

•  The Group continues to see strong demand for government relations,
public affairs, and regulatory advisory services, with particular strength in
U.S. federal and state-level mandates.

•    Following 2024 U.S. elections and anticipated further regulatory
activity, the Group believes it is well-positioned to deliver continued growth
in the H2 2025 and beyond.

•   Increasing demand for the Group's strategic communications services
following the addition of TrailRunner International is strong, as clients
increasingly seek integrated support to manage complex reputational,
regulatory, and stakeholder challenges.

•    Our strategy will continue to be based on a combination of organic
growth and disciplined M&A. On 14 July 2025, the Group announced an
agreement to acquire the business and assets of Pine Cove Capital, LLC, a
strategic consulting firm based in Austin, Texas and led by the former Texas
Land Commissioner George P. Bush. This transaction is expected to be completed
on or around 1 August 2025. Following completion, under Commissioner Bush's
leadership and operating under a new name, Pine Cove Strategies ("Pine Cove")
intends to establish and build a Texas state government relations practice in
addition to its existing strategic consulting offering.

 

Outlook

•   The Board remains confident in the ongoing prospects for the Group,
as reflected in its stated ambition to achieve $500 million in profitable
revenues in the medium term.

 

Enhancing Liquidity and Capital Markets Profile

•    As announced on 27 January 2025, the Group continues to explore
steps to broaden its investor base and improve liquidity, including the
ongoing evaluation of a dual listing in the U.S. alongside its existing AIM
listing. Further updates will be provided as appropriate.

 

Stewart Hall, CEO of PPHC, commented:

"We're extremely pleased with the Group's strong performance in the first half
of the year, which reflects the ongoing trust our clients place in us and the
value they derive from the PPHC platform. The momentum we're seeing across
government relations, public affairs, and strategic communications is a
testament to the strength of our model and the commitment of our teams. As our
clients navigate a fast-moving policy landscape, they continue to turn to us
as their partner of choice. That confidence is fueling growth and reinforcing
excitement in our outlook."

 

 

Enquiries

 Public Policy Holding Company, Inc.             +1 (202) 688 0020

 Stewart Hall, CEO

 Roel Smits, CFO

 Stifel (Nominated Adviser & Joint Broker)       +44 (0) 20 7710 7600

 Fred Walsh, Brough Ransom, Ben Good

                                                 +44 (0) 20 7523 8000

 Canaccord Genuity (Joint Broker)

 Simon Bridges, Andrew Potts

 Burson Buchanan (Media Enquiries)               +44 (0) 20 7466 5000 pphc@buchanan.uk.com

 Chris Lane, Toto Berger, Jesse McNab

 

About PPHC

 

Incorporated in 2014, PPHC is a global government relations, public affairs
and strategic communications group providing clients with a fully integrated
and comprehensive range of services including government and public relations,
research, and digital advocacy campaigns. Engaged by approximately 1,300
clients, including companies, trade associations and non-governmental
organisations, the Group is active in all major sectors of the economy,
including healthcare and pharmaceuticals, financial services, energy,
technology, telecoms and transportation. PPHC's services support clients to
enhance and defend their reputations, advance policy goals, manage regulatory
risk, and engage with federal and state-level policy makers, stakeholders,
media, and the public.

 

PPHC operates a holding company structure and currently has eleven operating
entities operating globally. The Group has a strong track record of organic
and acquisitive growth, the latter focused on enhancing its capabilities and
establishing new verticals, either within new geographies or new related
offerings.

 

For more information, see www.pphcompany.com (http://www.pphcompany.com)

 

 

 

 

 

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