RNS Number : 8167Q
Quantum Base Holdings PLC
29 January 2026
29 January 2026
Quantum Base Holdings plc
("Quantum Base", the "Company" or the "Group")
Unaudited results for the six-month period ended 31 October 2025
Quantum Base (AIM: QUBE), the UK-based quantum science company creating a new global standard in authentication, is pleased to announce its unaudited interim results for the six months ended 31 October 2025 ("H1 FY26", "Half Year" or the "Period").
Highlights
· £346,000 expansion of the key contract with Customer #1, a major international security printer, expanding the scope of work and increasing the number of smartphone devices supported to 170 models. This revenue is due in the current financial year ending 30 April 2026.
· Further strengthened the Board and leadership team, appointing founder and ex-CEO Phillip Speed as a Non-Executive Director in July 2025.
· Increased investment in recruitment and infrastructure, supporting commercial and research and development ("R&D") scale-up, and bringing the number of employees to 21.
· Multiple new UK patents granted during the Period, with further patents at intention-to-grant stage and additional filings made.
· Continued material R&D activity to enhance ink durability, substrate versatility and new printing methods.
· Enhancements to the smartphone app and authentication algorithms have improved performance, accuracy and user experience.
· The Company continues to apply for non-dilutive grant funding to accelerate scientific and product development.
Post-Period Highlights
· In December 2025, the Company completed a successful fundraise of £4.26 million, including £217,000 from retail investors, to provide working capital for growth and support costs across staffing, operations and development.
· Signed a major partnership agreement to provide Q-IDs to Customer #2, an international art registry, for the authentication of fine art. The 15-year deal is worth a total of £9.4 million and includes exclusivity in the art market. This includes revenues of £135,000 in FY2026, with expected annual recurring revenue growing incrementally from £175,000 in 2027 to £880,000 in 2032 onwards, with additional scope for extension.
· Ongoing partnership discussions and print trials with additional international security-printing companies throughout Europe, the Middle East and Asia.
· The Company remains on track to sign four commercial contracts in the current financial year, adding to the over one billion Q-IDs now in circulation.
Financial Results Overview
H1 FY26 £'000
H1 FY25 £'000
Revenue
260
-
Operating loss
1,410
2,518
Adjusted EBITDA
1,287
435
Capitalised R&D and patent investment
609
435
Net cash outflow from operating activities
985
371
Cash and cash equivalents
533
175
Tom Taylor, CEO of Quantum Base, commented:
"We've made a fantastic start to the 2026 financial year, securing the expansion of a key contract, being awarded multiple new patents, and further strengthening the leadership team. We have also enhanced our anti-counterfeit solution and progressed conversations around new commercial contracts.
"This momentum has carried into the post-period, having signed an exciting partnership agreement with an international art registry for the authentication of fine art. This is an indication of the wide-ranging applicability of the Company's Q-ID and Q-RAND technology, and a vindication of the Board's belief in the scalability of the product and its ability to solve real-world problems.
"We look forward to maintaining our progress over the rest of the financial year and providing further updates as new commercial contracts materialise."
The Interim Report and Financial Statements will be available to view in full on the Quantum Base website: https://quantumbase.com/
This announcement contains inside information as defined in Article 7 of the EU Market Abuse Regulation No 596/2014, as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018, as amended, and has been announced in accordance with the Company's obligations under Article 17 of that Regulation.
For further information, please contact:
Quantum Base Tom Taylor, CEO Rob Young, Chief Science Officer
info@quantumbase.com www.quantumbase.com
Strand Hanson Limited (Financial and Nominated Adviser) Christopher Raggett James Bellman David Asquith Edward Foulkes
+44 (0)207 409 3494
Cavendish Capital Markets Limited (Broker) Ed Frisby / Isaac Hooper - Corporate Finance Andrew Burdis - Corporate Broking Michael Johnson / Dale Bellis / Jasper Berry - Sales
+44 (0)20 7220 0500
BlytheRay (Financial PR) Tim Blythe Megan Ray Will Jones
quantumbase@blytheray.com +44 (0)20 7138 3204
About Quantum Base
Quantum Base is a quantum science company creating a new global standard in authentication through its patented Q-ID solution - unbreakable and non-replicable authenticity tags that can be applied to a vast array of products, significantly mitigating counterfeiting.
The technology underpinning Q-IDs harnesses randomness at the atomic level, and this volume and variation ensure that there is virtually an infinite number of combinations that can be created. The Q-ID is practically impossible to replicate using even the most advanced available technology.
Q-IDs can be applied to almost any print line and can be entirely non-intrusive to a product's existing design, meaning that they can be utilised in a vast number of end markets. The authentication process to identify printed tags is undertaken using existing and unmodified smartphone technology, providing easy authentication and proven security for global brands, governments and consumers.
QUANTUM BASE HOLDINGS PLC
UNAUDITED RESULTS FOR THE SIX MONTH PERIOD
ENDED 31 OCTOBER 2025
Highlights
Operational Highlights - six months ended 31 October 2025
Commercial Progress and Partnerships
• Expansion of key contract with Customer #1 to cover additional scope, additional compatible devices and new features development.
• Growth of pipeline and marketing activities, including presenting at the International Tax Stamp Forum in Cape Town (April 2025) and approval to join as a member of the International Tax Stamp Association (ITSA).
• Initial sales efforts into the brand protection vertical are seeing strong interest and engagement from security printers and brands.
• Growing international interest across Europe, Middle East and Asia.
Technology and Intellectual Property
• Patent portfolio expansion: Multiple new UK patents granted during the period, with further patents at intention-to- grant stage and additional filings made.
• Continued material R&D activity to enhance ink durability, substrate versatility and new printing methods.
• Numerous enhancements to the smartphone app and authentication algorithms have improved performance and accuracy.
• Design updates, driven by user research projects, have improved the design, user experience and usability of the smartphone app.
• Mobile compatibility extended to 170 smartphone models, increasing accessibility for end-users.
• We continue to apply for non-dilutive grant funding to accelerate scientific and product development. Applied for the Future Leaders Fellowship from UK Research and Innovation.
• We remain on track to sign four commercial contracts in the current financial year.
Governance and People
• Strengthened Board, adding founder and ex-CEO Phillip Speed in July 2025 as a Non-Executive Director to support with industry experience, commercialisation and growth.
• Employee numbers increased to 21 as the Group built out technical, operations and commercial functions.
• Increased recruitment and infrastructure investment to support commercial and R&D scale-up.
Post-Period Developments (after 31 October 2025)
• Completed a successful fundraise of £4.26 million (including £217k from retail investors) to provide working capital for growth In December 2025.
• Signed a major partnership agreement to provide Q-ID*s to an international art registry ("Customer #2") for the authentication of fine art. The 15-year deal is worth a total of £9.4 million and includes exclusivity in the art market. This includes revenues of £135,000 in FY2026, with expected annual recurring revenue ("ARR") growing incrementally from £175,000 in 2027 to £880,000 in 2032 onwards, with additional scope for extension.
• Ongoing partnership discussions and print trials with additional international security-printing companies throughout Europe, Middle East and Asia.
Note*: Q-ID® is a registered trademark of Quantum Base Limited, hereafter referred to as Q-ID.)
Financial highlights - six months ended 31 October 2025
• Growing revenue: £260k (six months ended 31 October 2024: £nil)
• Expansion of key contract: Secured a total of £346k expansion of an existing contract with "Customer #1" - a major international security printer. This revenue is due in the current financial year ending 30 April 2026.
• Operating loss narrowed: £1,410k. (six months ended 31 October 2024: £2,518k)
• Adjusted EBITDA** loss: £1,287k (six months ended 31 October 2024: £435K)
• Capitalised R&D and patent investment increased: £609k (six months ended 31 October 2024: £435k)
• Net cash outflow from operating activities: £985k (six months ended 31 October 2024: £371k)
• Cash and cash equivalents: £533k (31 October 2024: £175k), increased post-period end following the fundraise of £4.26 million in December 2025.
Note ** : Adjusted EBITDA represents earnings before interest, tax, depreciation, amortisation, impairment and share-based payment charges, and is presented as a key performance indicator of the Group's underlying operational performance.
Outlook
Quantum Base has had a strong 2025 with growing revenues, winning an additional contract and continued product development. With the fundraise of £4.26m post-period end, the business is in a fantastic position to capitalise on its IP and deliver on its growth plans.
The Group's immediate focus is expanding within the global security-printing market, building on its first government tax-stamp deployment while developing a pipeline of additional international partners. This is in addition to the large contract (total £9.4m over 15 years) signed post-period with Customer #2, an international art registry, for the use of Q-ID*s to authenticate and give provenance to fine art.
Beyond these initial sectors, Quantum Base continues to evaluate opportunities across pharmaceuticals, apparel, luxury goods, automotive, aerospace and precious-metals markets, where Q-ID*'s combination of security, scalability and smartphone-based verification offers significant differentiation.
With global counterfeiting estimated to cost more than $2.8 trillion*** annually, the Board believes that Quantum Base's scientifically proven, mass-producible quantum-security solutions and its scalable design-and-license model provide a strong foundation for sustained growth and long-term shareholder value creation.
*** Source: Frontier Economics 2017 Report "The Economic Impacts of Counterfeiting and Piracy"
Group statement of comprehensive income For the period ended 31 October 2025
Notes
Unaudited 6 months to 31 October 2025 £'000
Unaudited 6 months to 31 October 2024 £'000
Audited 12 months to 30 April 2025 £'000
Revenue
3
260
-
18
Cost of sales
(9)
-
-
Grossprofit
251
-
18
Other operating income
-
-
111
Administrative expenses
(1,661)
(2,518)
(5,246)
Operating loss
5
(1,410)
(2,518)
(5,117)
AdjustedEBITDA
4
(1,287)
(435)
(1,313)
Depreciation, amortisation and impairment
5
(123)
(32)
(178)
(Loss)/profit on disposal of fixed assets
5
-
(15)
63
Share-basedpaymentexpense
10
-
(1,833)
(2,759)
Costs of listing
-
(203)
(930)
Interest received
13
1
1
Finance costs
9
(5)
-
-
Lossbeforetaxation
(1,402)
(2,517)
(5,116)
Taxation
209
117
276
Loss and total comprehensive expense for the year
(1,193)
(2,400)
(4,840)
Loss and total comprehensive expense for the financial period is all attributable to the owners of the parent company.
Earningspershare
Basic and diluted (£)
6
(0.02)
(0.07)
(0.13)
Group statement of financial position
For the period ended 31 October 2025
Notes
Unaudited 31 October 2025 £'000
Unaudited 31 October 2024 £'000
Audited 30 April 2025 £'000
Non-current assets
Intangible assets
7
1,925
1,125
1,411
Property, plant and equipment
130
10
37
Right of use asset
108
-
-
2,163
1,135
1,448
Current assets
Trade and other receivables
8
552
62
514
Current tax recoverable
474
313
266
Cash and cash equivalents
533
175
2,234
1,559
550
3,014
Current liabilities
Trade and other payables
776
661
437
Lease liability
9
24
-
-
Borrowings
3
3
3
803
664
440
Net current assets / (liabilities)
756
(114)
2,574
Non-current liabilities
Borrowings
-
2
1
Lease liability
9
91
-
-
Net assets
2,828
1,019
4,021
Equity
Calledupsharecapital
11
83
-
83
Share premium account
12
4.277
2,827
4,277
Merger reserve
414
414
414
Share-basedpaymentreserve
10
146
2,230
146
Retainedearnings
(2,092)
(4,452)
(899)
Totalequity
2,828
1,019
4,021
Group statement of changes in equity
For the period ended 31 October 2025
Share capital
Share premium account
Merger reserve
Share-based payment reserve
Retained earnings
Total
Notes
£'000
£'000
£'000
£'000
£'000
£'000
Balance at 1 May 2024
-
2,056
414
391
(2,052)
809
Period ended 31 October 2024:
Total comprehensive loss
-
-
-
-
(2,400)
(2,400)
Transactions with owners:
Issueofsharecapital
11
-
837
-
-
-
837
Costs of issue set against premium
-
(66)
-
-
-
(66)
Share-basedpaymentexpense
10
-
-
-
1,839
-
1,839
Balance at 31 October 2024
-
2,827
414
2,230
(4,452)
1,019
Period ended 30 April 2025:
Total comprehensive loss
-
-
-
(2,440)
(2,440)
Transactions with owners:
Issueofsharecapital
11
33
4,974
-
-
-
5,007
Bonusissue
11
50
(50)
-
-
-
-
Share-basedpaymentexpense
-
-
-
920
-
920
Costs of warrants
11
-
-
-
146
-
146
Capitalreduction
11
-
(2,843)
-
-
2,843
-
Costsofissuesetagainstpremium
12
-
(631)
-
-
-
(631)
Share options exercised
10
-
-
-
(3,150)
3,150
-
Balance at 30 April 2025
83
4,277
414
146
(899)
4,021
Period ended 31 October 2025:
Total comprehensive loss
-
-
-
-
(1,193)
(1,193)
Transactions with owners:
Issueofsharecapital
-
-
-
-
-
-
Bonusissue
-
-
-
-
-
-
Share-basedpaymentexpense
-
-
-
-
-
-
Costs of warrants
-
-
-
-
-
-
Balance at 31 October 2025
83
4,277
414
146
(2,092)
2,828
Group statement of cash flows
For the period ended 31 October 2025
Notes
Unaudited 6 months to 31 October 2025 £'000
Unaudited 6 months to 31 October 2024 £'000
Audited 12 months to 30 April 2025 £'000
Cash flows from operating activities
Loss and total comprehensive expense for the period
(1,193)
(2,400)
(4,840)
Interest income
(13)
(1)
(1)
Interest expense
5
-
-
Taxcredit
(209)
(117)
(276)
Loss on disposal of property, plant and equipment
6
-
15
2
Profit on disposal of intangibles
-
-
(65)
Other income
-
-
(111)
Amortisation and impairment of intangible assets
6
95
30
174
Depreciation of property, plant and equipment
6
28
2
4
Impairment of irrecoverable debt
-
-
260
Equity settled share-based payment expense
6
-
1,839
2,759
Warrants expense
-
-
99
Movements in working capital:
Increase in trade and other receivables
(38)
(11)
(462)
Increase in trade and other payables
340
272
52
Cashabsorbedbyoperations
(985)
(371)
(2,405)
Corporation tax refunded
-
-
206
Net cash outflow from operating activities
(985)
(371)
(2,199)
Purchase of intangible assets
(609)
(435)
(936)
Purchase of property, plant and equipment
(108)
(5)
(36)
Interest received
13
1
1
Netcashusedininvestingactivities
(704)
(439)
(973)
Proceeds from issue of shares
11
-
837
5,655
Shareissuecosts
11
-
(66)
(649)
Proceeds from directors' loans
-
-
188
Payment of lease liabilities
10
(11)
-
-
Repayment of bank loans
(1)
(1)
(3)
Net cash generated from financing activities
(12)
770
5,191
Netincrease/(decrease)incashand cashequivalents
(1,701)
(40)
2,019
Cash and cash equivalents at beginning of period
2,234
215
215
Cashandcashequivalentsatendofperiod
533
175
2,234
Notes to the Group Financial Statements
1. Accounting policies
Company information
Quantum Base Holdings PLC is a public company limited by shares incorporated in England and Wales. The registered office is Alpha House, 4 Greek St, Stockport, Cheshire, United Kingdom, SK3 8AB. The Group's principal activity continued to be that of the development of practical, simply quantum security systems with mass market appeal.
The Group consists of Quantum Base Holdings PLC and all of its subsidiaries.
The consolidated financial information (or "interim financial statements") incorporates the financial information of the Company and entities (its subsidiaries) controlled by the Company (collectively comprising the "Group").
1.1 Accounting convention
The interim financial statements have been prepared in accordance with UK-adopted International Accounting Standards (UK-adopted IAS) and with those parts of the Companies Act 2006 applicable to companies reporting under IFRS.
The financial statements are prepared in sterling, which is the functional currency of the Group. Monetary amounts in these financial statements are rounded to the nearest £'000.
The financial statements have been prepared under the historical cost convention. The material accounting policies adopted are set out below.
The financial information set out in these interim consolidated financial statements for the six months ended 31 October 2025 is unaudited. The financial information presented is not statutory accounts prepared in accordance with the Companies Act 2006, and is prepared only to comply with AIM requirements for interim reporting. It should be read in conjunction with the 30 April 2025 Annual Report and Financial Statements. The financial information for the half years ended 31 October 2025 and 31 October 2024 do not constitute statutory accounts within the meaning of Section 434 (3) of the Companies Act 2006 and both periods are unaudited. The financial information has not been prepared (and is not required to be prepared) in accordance with IAS 34 Interim Financial Reporting.
The Group's annual report and financial statements for the year ended 30 April 2025 have been filed with the Registrar of Companies. The independent auditor's report on the annual report and financial statements for the year ended 30 Apri 2025 was i) unqualified, ii) did not draw attention to any matters by way of emphasis, and iii) did not contain a statement under 498(2) - (3) of the Companies Act 2006.
1.2 Basis of consolidation
The interim financial statements consist of the financial statements of the parent company Quantum Base Holdings PLC together with all entities controlled by the parent Company (its subsidiaries).
All intra-group transactions, balances and unrealised gains on transactions between Group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.
A subsidiary is an entity controlled by the parent company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
Subsidiaries are consolidated in the group's financial statements from the date that control commences until the date that control ceases.
Merger accounting
The combination of companies under common control has been treated as if the companies had always been combined and is usually referred to as merger accounting.
IFRS does not prescribe how such a merger is accounted for in the preparation of consolidated financial statements. The use of merger accounting has been applied to treat the combining entities as if they had always been a single entity, with adjustments made for the elimination of transactions between the merged companies.
1.3 Significant accounting policies
The Group has presented below key extracts of its accounting policies. The Group has applied the same accounting policies and methods of computation in its interim financial statements as in its 2025 Annual financial statements with the addition of accounting policy 1.7 in relation to new leases recognised in the interim period. Those that relate to new standards and interpretations effective for the first time for periods beginning on (or after) 1 May 2025 will be adopted in the 2026 financial statements. Adoption of these new standards and interpretations is not expected to have a material impact on the Group's financial statements. The accounting policies applied are based on the recognition and measurement principles of IFRS in issue as adopted by the UK and are effective at 30 April 2026 or are expected to be adopted and effective at 30 April 2026.
1.4 Intangible assets other than goodwill
The Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Development costs are capitalised, provided that the recognition criteria of an intangible asset are met. Capitalised development costs are stated at cost less accumulated amortisation and impairment losses. Research costs are expensed when incurred.
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Patents and licences 10% straight line
Development costs 10% straight line
1.5 Equity instruments
Equity instruments issued by the parent company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer payable at the discretion of the company.
The following describes the nature and purpose of each reserve within equity:
· Share capital - Ordinary Shares are classified as equity. The nominal value of Ordinary Shares is included within share capital.
· Share premium - Represents the excess of the subscription price over the nominal value of shares issued.
· Retained earnings - Represents all other net gains and losses and transactions with shareholders (e.g. dividends) not recognised elsewhere.
· Merger reserve - Represents the transactions in reserves under the merger acquisition rules where the entities are under common control.
· Share-based payment reserve - Represents the fair value of options granted, valued using a Black- Scholes option pricing model and spread across the vesting period. Warrants have also been valued using a Black-Scholes option pricing model and recognised when the service that they relate to is considered to be delivered.
· Share capital to be issued - Represents advanced subscriptions for share capital which was not issued as at the year end.
1.6 Share-based payments
Equity-settled share-based payments are measured at fair value at the date of grant by reference to the fair value of the equity instruments granted using the Black-Scholes model. The fair value determined at the grant date is expensed on a straight-line basis over the vesting period, based on the estimate of shares that will eventually vest. A corresponding adjustment is made to equity.
When the terms and conditions of equity-settled share-based payments at the time they were granted are subsequently modified, the fair value of the share-based payment under the original terms and conditions and under the modified terms and conditions are both determined at the date of the modification. Any excess of the modified fair value over the original fair value is recognised over the remaining vesting period in addition to the grant date fair value of the original share-based payment.
Cancellations or settlements (including those resulting from employee redundancies) are treated as an acceleration of vesting and the amount that would have been recognised over the remaining vesting period is recognised immediately.
1.7 Leases
At inception, the group assesses whether a contract is, or contains, a lease within the scope of IFRS 16. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Where a tangible asset is acquired through a lease, the group recognises a right-of-use asset and a lease liability at the lease commencement date.
The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date plus any initial direct costs and an estimate of the cost of obligations to dismantle, remove, refurbish or restore the underlying asset and the site on which it is located, less any lease incentives received.
The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term. The estimated useful lives of right-of-use assets are determined on the same basis as those of other property, plant and equipment. The right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability.
The lease liability is initially measured at the present value of the lease payments that are unpaid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the group's incremental borrowing rate. Lease payments included in the measurement of the lease liability comprise fixed payments, variable lease payments that depend on an index or a rate, amounts expected to be payable under a residual value guarantee, and the cost of any options that the group is reasonably certain to exercise, such as the exercise price under a purchase option, lease payments in an optional renewal period, or penalties for early termination of a lease.
The lease liability is measured at amortised cost using the effective interest method. It is remeasured when there is a change in: future lease payments arising from a change in an index or rate; the group's estimate of the amount expected to be payable under a residual value guarantee; or the group's assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset or is recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.
The group has elected not to recognise right-of-use assets and lease liabilities for short-term leases of machinery that have a lease term of 12 months or less, or for leases of low-value assets including IT equipment. The payments associated with these leases are recognised in profit or loss on a straight-line basis over the lease term.
2. Critical accounting estimates and judgements
In the application of the Group's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets, liabilities and equity instruments are outlined below.
Critical judgements
Capitalised development costs
Development expenditure is recognised as an expense except that costs incurred on development projects are capitalised as intangible assets to the extent that such expenditure is expected to generate future economic benefits. Significant judgement is applied in determining if development costs meet the criteria to be capitalised as intangible assets. IAS 36 also requires that an assessment of recoverable amount is prepared for all intangible assets not available for use at the reporting date, and for any intangible asset where there is an indicator of impairment.
Useful lives
Amortisation is provided so as to write down intangible assets, comprising capitalised development costs, patents and trademarks, to their residual values over their estimated useful lives.
All intangible assets are currently amortised on a 10% straight-line basis, reflecting a typical useful life of ten years. This period has been selected because it aligns with the expected commercial life of the Group's technologies and the duration of patent protection, which together represent the period over which future economic benefits are expected to be realised. The useful lives are reviewed annually to confirm that this assumption remains appropriate in light of technological and commercial developments.
The principal area of judgement relates to determining which development costs meet the criteria for capitalisation under IAS 38 and confirming on review that the ten-year life remains reasonable.
By contrast, property, plant and equipment (principally laboratory and computer equipment) are depreciated over short, fixed lives of approximately three years on a straight-line basis. Given their limited carrying value and predictable consumption pattern, these assets are not considered a significant source of estimation uncertainty.
Share-based payments
The determination of the fair values of share options has been made by reference to the Black-Scholes model. The input with the greatest amount of estimation being volatility, which has been benchmarked against historic share price movements of comparable listed competitors due to the company not having a sufficient historic trading record. Other key inputs are set out in note 10.
Deduction of share issuance costs
Costs directly attributable to the issue of new shares are recognised as a deduction to share premium. Management have applied judgement by using a two-tiered approach to determine costs to recognise against share premium and costs to expense in the statement of comprehensive income, in line with IAS 32 Financial instruments: presentation. Costs clearly and wholly related to the placing (such as broker commissions and placing fees) have been allocated in full against share premium, while costs of a mixed nature (principally legal, accounting, and NOMAD fees) have been apportioned using a 32.3%. This percentage corresponds to the proportion of new shares issued on admission (20.83 million) relative to the enlarged share capital (64.50 million). On this basis, total costs deductible and recognised in the statement of comprehensive income amount to approximately £nil (period to 31 October 2024 - £137,000, year ended 30 April 2025 - £650,000).
Warrant valuation and classification
The determination of the fair value of warrants has been made by reference to the Black-Scholes model. The input with the greatest amount of estimation being volatility which has been estimated using historic share price movements.
Additionally, the classification of the warrants as share-based payment under IFRS 2 was a key judgement with management basing the classification on the vesting conditions attached to the warrants.
3. Revenue
IFRS 8, Operating Segments, states that an operating segment is a component of an entity; that engages in business activities from which it may earn revenue and incur expenses, whose operating results are regularly reviewed by the entity's chief operating decision maker, and, for which discrete financial information is available. The chief operating decision maker of the Group is considered to be the Board of Directors. The Group has one single operating segment and therefore all revenue is derived from the licensing of the Q-ID technology.
There is only one customer in place with a major security printer, whereby the group has signed the Call-off Agreement to apply its Q-ID technology to tax stamps for a government customer.
Unaudited 6 months to 31 October 2025 £'000
Unaudited 6 months to 31 October 2024 £'000
Audited 12 months to 30 April 2025 £'000
Revenueanalysedbyclassofbusiness
Licences
260
-
18
£'000
£'000
£'000
Revenueanalysedbygeographicalmarket
UK
260
-
18
4. Adjusted EBITDA
Unaudited 6 months to 31 October 2025 £'000
Unaudited 6 months to 31 October 2024 £'000
Audited 12 months to 30 April 2025 £'000
Operating loss
(1,410)
(2,518)
(5,117)
Add back/(deduct):
Depreciation, amortisation and impairment
123
32
178
Loss/(profit) on disposal of intangible fixed assets
-
15
(65)
Loss on disposal of tangible fixed assets
-
-
2
Share-basedpaymentexpense
-
1,833
2,759
Costs of listing
-
203
930
Adjusted EBITDA
(1,287)
(435)
(1,313)
The calculation of Adjusted EBITDA is consistent with the presentation of Adjusted Earnings before Interest, Tax, Depreciation, and Amortisation, as presented on the face of the Group Statement of Comprehensive Income.
The Directors have presented this Alternative Performance Measure ("APM") because they feel it most suitably represents the underlying performance and cash generation of the business, and allows comparability between the current and comparative period in light of the rapid changes in the business, and will allow an ongoing trend analysis of this performance based on current plans for the business.
Adjusted EBITDA is not an IFRS measure of performance and, as such, may not be comparable with similar metrics reported by other entities.
5. Operating loss
Operating loss for the year is stated after charging/(crediting):
Unaudited 6 months to 31 October 2025 £'000
Unaudited 6 months to 31 October 2024 £'000
Audited 12 months to 30 April 2025 £'000
Depreciation of property, plant and equipment (included within administrative expenses)
15
2
4
Loss on disposal of property, plant and equipment
-
-
2
Amortisation of intangible assets (included within administrative expenses)
95
30
106
Impairment of intangible assets
-
-
68
Depreciation of right of use asset (included within administrative expenses)
13
-
-
Loss/(profit) on disposal of intangible assets
-
15
(65)
Share-basedpayments
-
1,833
2,759
6. Earnings per share
Unaudited 6 months to 31 October 2025 number
Unaudited 6 months to 31 October 2024 number
Audited 12 months to 30 April 2025 number
Number of shares
Weighted average number of ordinary shares for basic earnings per share
64,080,319
34,134,517
36,695,186
Earnings
£'000
£'000
£'000
Continuingoperations
Loss for the period from continued operations
(1,193)
(2,400)
(4,840)
£ per share
£ per share
£ per share
Basicearningspershare
From continuing operations
(0.02)
(0.07)
(0.13)
The loss per Ordinary Share is calculated based on the weighted average number of Ordinary Shares in issue and the reported loss of the Group for each reporting period. There has been no dilution due to losses.
7. Intangible assets
Patents and licences
Development costs
Total
£'000
£'000
£'000
Cost
At 1 May 2024
562
384
946
Additions
120
315
435
Disposals
(18)
-
(18)
At 31 October 2024
664
699
1,363
Additions
55
446
501
Disposals
(150)
-
(150)
At 30 April 2025
569
1,145
1,714
Additions
36
573
609
Disposals
-
-
-
At 31 October 2025
605
1,718
2,323
Amortisation and impairment
At 1 May 2024
212
-
212
Charge for the period
30
-
30
Eliminated on disposals
(4)
-
(4)
At 31 October 2024
238
-
238
Charge for the period
30
46
76
Impairment loss
-
68
68
Eliminated on disposals
(79)
-
(79)
At 30 April 2025
189
114
303
Charge for the period
30
65
95
At 31 October 2025
219
179
398
Carryingamount
At 31 October 2025
386
1,539
1,925
At 30 April 2025
380
1,031
1,411
At 31 October 2024
426
699
1,125
An impairment review was carried out as at 31 October 2025, which concluded that no impairment charge was required.
8. Trade and other receivables
Unaudited 31 October 2025 £'000
Unaudited 31 October 2024 £'000
Audited 30 April 2025 £'000
Tradereceivables
187
-
16
VATrecoverable
277
57
326
Other receivables
17
-
98
Prepayments
71
5
74
552
62
514
Trade receivables are stated net of a specific impairment for estimated irrecoverable amounts of £312k (October 2024 - £nil, April 2025 - £312k).
9. Lease liabilities
Future gross minimum lease payment are due under leases as follows:
Maturity analysis
Unaudited 31 October 2025 £'000
Unaudited 31 October 2024 £'000
Audited 30 April 2025 £'000
Within one year
36
-
-
In two to five years
100
-
-
Total undiscounted liabilities
136
-
-
Future finance charges and other adjustments
(21)
-
-
Lease liabilities in the financial statements
115
-
-
These are disclosed in the financial statements on a net basis (excluding future finance charges) as follows:
Unaudited 31 October 2025 £'000
Unaudited 31 October 2024 £'000
Audited 30 April 2025 £'000
Current liabilities
24
-
-
Non-current liabilities
91
-
-
115
-
-
Amounts recognised in profit or loss include the following:
Unaudited 6 months to 31 October 2025 £'000
Unaudited 6 months to 31 October 2024 £'000
Audited 12 months to 30 April 2025 £'000
Interest on lease liabilities
5
-
-
Depreciation of right of use assets
13
-
-
18
-
-
10. Share-based payments
Quantum Base Holdings Plc operates two equity-settled share-based remuneration schemes: a United Kingdom tax authority approved scheme for certain employees and an unapproved scheme for advisers of Quantum Base Holdings Plc. For the avoidance of doubt, the 49,704 options present below cover both schemes.
Number of share options
Average exercise price
Oct 2025
Oct 2024
Apr 2025
Oct 2025
Oct 2024
Apr 2025
Outstanding start of period
-
49,704
49,704
-
0.005
0.005
Granted in the period
-
-
-
-
-
-
Exercised in the period
-
-
(49,704)
-
-
(0.005)
Outstanding at end of period
-
49,704
-
-
0.005
-
Exercisableatend of period
-
49,704
-
-
0.005
-
Options outstanding
All options were exercised on 31 March 2025. No options were outstanding at the period end (October 2024 - 49,704 options outstanding at an exercise price of 0.005 pence, April 2025 - none).
The following information is relevant in the determination of the fair value of options granted during the period/year under the equity share-based schemes operated by the Group.
Unaudited 6 months to 31 October 2025 £'000
Unaudited 6 months to 31 October 2024 £'000
Audited 12 months to 30 April 2025 £'000
Expenses
Share option costs recognised within employee costs
-
1,833
2,759
Warrant costs recognised within costs of listing
-
-
99
Warrant costs recognised directly in share premium
-
-
47
11. Share capital
Oct 2025
Oct 2024
Apr 2025
Oct 2025
Oct 2024
Apr 2025
Ordinary share capital
Number
Number
Number
£'000
£'000
£'000
Issued and fully paid
Ordinary A of 0.005p each
-
331,359
-
-
-
-
Ordinary B of 5p each
-
1
-
-
-
-
Ordinary C of 0.005p each
-
15,779
-
-
-
-
Ordinary of 0.1p each
64,080,319
-
64,080,319
64
-
64
Deferred of 4.415p each
423,404
-
423,404
19
-
19
64,503,723
347,139
64,503,723
83
-
83
Reconciliation of movements during the year:
AOrdinary
B Ordinary
C Ordinary
Ordinary
Deferred
Number
Number
Number
Number
Number
At 1 May 2024
315,580
1
15,779
-
-
Shares issued
15,779
-
-
-
-
At 31 October 2024
331,359
1
15,779
-
-
Bonus issue of shares
954,976,638
-
45,475,078
-
-
Consolidation of shares
(954,976,638)
-
(45,475,078)
-
-
Share issued
42,340
-
33,925
-
-
Sub-division of shares
-
-
-
-
373,699
Sub-division of shares
-
-
-
-
49,704
Sub-division of shares
36,996,201
-
-
-
-
Sub-division of shares
-
-
4,920,696
-
-
Change of share class name
-
(1)
-
-
1
Change of share class name
(37,369,900)
-
-
37,369,900
-
Change of share class name
-
-
(4,970,400)
4,970,400
-
Shares issued
-
-
-
908,003
-
Shares issued on admission to AIM
-
-
-
20,832,016
-
At 30 April 2025 and 31 October 2025
-
-
-
64,080,319
423,404
12. Share premium account
Unaudited 6 months to 31 October 2025 £'000
Unaudited 6 months to 31 October 2024 £'000
Audited 12 months to 30 April 2025 £'000
At the beginning of the period/year
4,277
2,056
2,056
Issue of new shares
-
837
5,810
Bonusissueofshares
-
-
(50)
Other movements
-
(66)
(3,539)
At the end of the period/year
4,277
2,827
4,277
13. Events after the reporting date
In November 2025, Quantum Base Group Signed a major partnership agreement to provide Q-IDs to an international art registry ("Customer #2") for the authentication of fine art. The 15-year deal is worth a total of £9.4 million and includes exclusivity in the art market. This includes revenues of £135,000 in FY2026, with expected annual recurring revenue ("ARR") growing incrementally from £175,000 in 2027 to £880,000 in 2032 onwards, with additional scope for extension. In December 2025, Quantum Base Holdings Plc completed an equity fundraising that raised gross proceeds of £4,260,237 of growth working capital to strengthen the statement of financial position, and support costs across staffing, operations and development. This was satisfied by the issue and admission of 20,286,845 new Ordinary Shares to trading on AIM on 22 December 2025.
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