REG - Record PLC - Half-year Financial Report
Today 07:00
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RNS Number : 5833G Record PLC 07 November 2025
RECORD PLC
INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2025
Highest ever AUM; interim dividend maintained; growth in higher margin
products
Record plc ("Record" or "the Company"), the specialist currency and asset
manager, today announces its unaudited results for the six months ended 30
September 2025 ("H1 FY26").
Financial headlines:
· AUM increased to a new high of $110.3bn driven by growth in
underlying assets, partially offset by outflows as clients rebalanced their
exposures. Overall net flows were positive.
· Management fees of £17.5m (H1 FY25: £19.0m) down 8% on prior
year following termination of certain client mandates last year.
· Another six months of solid performance fees of £0.8m (H1 FY25:
£1.6m).
· Careful cost management has pushed costs down 4% to £14.8m (H1
FY25: £15.4m).
· Profit after tax attributable to Record plc shareholders of
£3.7m (H1 FY25: £5.0m).
· Basic EPS of 1.93 pence (H1 FY25: 2.58 pence).
· Strong financial position with net assets of £27.8m (H1 FY25:
£27.7m), cash and cash equivalents of £11.4m (H1 FY25: £9.9m) and healthy
regulatory capital coverage.
· Interim dividend maintained at 2.15 pence per share (H1 FY25:
2.15 pence per share).
Key developments:
· Appointment of Dr Othman Boukrami to the Record Currency
Management Limited executive team strengthens our leadership and adds
unparalleled EM and Frontier currency expertise.
· First deployment of $120m of capital from the Record
Infrastructure Equity fund. Second investment signed.
· Continued growth in Solutions for Asset Managers business.
· Good new business momentum in Private Markets, locking in higher
margin recurring revenues.
Commenting on the results, Jan Witte, Chief Executive Officer of Record plc,
said:
"Our core business delivered another healthy performance this half. AUM ended
the half at the highest level we have ever reported following positive
underlying asset growth and good inflows into our growing Solutions for Asset
Managers business. Performance fees were £0.5m in the quarter, bringing the
total for the first half of the year to £0.8m.
But although not yet reflected in our AUM, it is in our Private Markets
segment where new business momentum has been strongest. We have completed the
first deployment of capital from the Record Infrastructure Equity fund, with a
second deployment also signed. And we continue progress towards closing the
world's first ever Sharia-compliant Deep Tier Supply Chain Finance fund.
The outlook for the current financial year relative to market expectations is
highly dependent on timing of closing certain projects. But we are in the
middle of an important transition to becoming a business with higher margins
and long-term recurring revenues, which will deliver sustained growth and
increased value."
Analyst presentation
There will be a presentation for analysts at 9.30am today held via a Teams
call. Please contact investorrelations@recordfg.com for further details. A
recording of the presentation will be made available on the Group's website at
www.recordfg.com.
For further information, please contact:
Record plc
Jan Witte - Chief Executive Officer
Richard Heading - Chief Financial Officer
investorrelations@recordfg.com
Panmure Liberum
Corporate Broking: David Watkins
Corporate Advisory: Atholl Tweedie
+44 (0)20 7886 2500
Chief Executive Officer's statement
Record is a business in transition. Over the last 40 years, we have
established ourselves as the leading provider of derivative solutions to large
institutional investors. Our reputation for exceptional client focus and
operational excellence is the core of our value proposition. But it is by
expanding our offering into new areas where we can pursue higher margin
products and lock in long-term recurring revenues, that we will deliver
sustained growth and increased value.
That transition is now well under way. Last year we restructured the business
into 3 distinct pillars: Risk Management, Absolute Return and Private Markets.
The Risk Management and Absolute Return pillars deliver the bulk of our
revenues and profits today, but it is in Private Markets where we see the
greatest momentum and opportunity in winning new business.
This quarter we completed the first deployment of capital from the Record
Infrastructure Equity fund, a $120 million investment in Pattern Energy, the
largest privately held clean energy infrastructure company in the US. We have
also agreed terms on a second €150 million investment in a major European
electricity transmission system operator. This means we are on track to deploy
the €1.1 billion of capital commitments within three years of launch, and
although the AUM is small compared to the more than $110 billion of currency
exposures that we manage, this deployed capital will deliver recurring
management fees at a substantially higher rate than we typically earn on our
traditional business and is committed for a minimum of 15 years.
In October, we announced the appointment of Dr Othman Boukrami to the Record
Currency Management Limited executive team. Othman is well known to us having
served as a non-executive director on the Record plc Board since July 2024.
Previously CIO and deputy CEO at The Currency Exchange Fund ("TCX"), Othman
will add considerable strength to our leadership team, alongside our recently
appointed Group CIO, Andreas Daenzer. Othman is one of the world's leading
experts on emerging and frontier market currencies, and under his leadership
we will aim to expand and grow our EM Local Debt offering, which currently
comprises primarily our flagship Emerging Market Sustainable Finance ("EMSF")
fund, launched in FY22. While the developed market currencies dominate world
trade by volume, there are over a hundred regularly traded EM and frontier
currencies. Record's annual trading volume in the top five developed market
currencies is close to $1 trillion annually, making up around 0.01% of global
volumes. Within frontier currencies, our market share is around 1% and has
been rising rapidly over the last years; we can play a large role here.
We continue with our plans to launch the world's first Sharia-compliant Deep
Tier Supply Finance Fund with a target of $1 billion. As previously described,
we are well advanced with structuring the fund and sourcing portfolios of
receivables. The financing to support Kore Potash also continues to progress,
and we are working on a pipeline of similar projects in Credit and Real
Estate.
Growth is not exclusively in Private Markets of course. I am very pleased with
progress in our Solutions for Asset Managers business, where we are broadening
the solutions offered to asset managers beyond traditional share class
hedging, where revenue has increased by 36% over the past 12 months off the
back of another $4.3 billion of inflows into AUM.
We are transforming Record into a higher margin, higher growth specialist
asset manager, but the shorter-term outlook for the business depends on the
timing of delivery of these new projects. In the first half of FY26,
management fees were hit by some isolated client losses, while performance
fees were lower compared to a very strong performance in H1 FY25. We maintain
our careful management of costs, which are down 4%, while maintaining our
investment for the future.
As a result of the lower management fees, EPS for the period was 1.93p, down
from 2.58p last year. Nevertheless, we have maintained the interim dividend
unchanged at 2.15p per share. The strength of our balance sheet allows us to
do this, and this decision reflects our confidence in the outlook for the
business and the value that it will deliver for shareholders.
Jan Witte
Chief Executive Officer
6 November 2025
Interim management review
AUM development
Another milestone reached as Assets Under Management ("AUM") finished the
period at a record high of $110.3 billion (FY25: $100.9 billion), up $9.4
billion since the start of the period, an increase of 9%.
AUM and Revenue are presented in our three product pillars: Risk Management,
Absolute Return and Private Markets.
AUM composition by product and movement analysis
30 Sep 2024 Net flows Equity & other market impact FX & scaling adj. 31 Mar 2025 Net flows Equity & other market impact FX & scaling adj. 30 Sep 2025
$bn $bn $bn $bn $bn $bn $bn $bn $bn
Passive Hedging 68.3 (0.7) (3.0) 0.5 65.1 (0.1) 0.1 6.9 72.0
Dynamic Hedging 16.8 (0.1) - (0.7) 16.0 (0.2) 1.4 - 17.2
Solutions for Asset Managers 12.3 2.1 (0.3) 0.2 14.3 2.2 0.1 0.6 17.2
Risk Management 97.4 1.3 (3.3) - 95.4 1.9 1.6 7.5 106.4
FX Alpha 6.0 (2.0) 0.5 (1.5) 3.0 (1.5) 0.1 0.1 1.7
Custom Opportunities 1.4 - - - 1.4 (0.5) (0.1) - 0.8
Cash 0.1 - - - 0.1 0.1 0.1 - 0.3
Absolute Return 7.5 (2.0) 0.5 (1.5) 4.5 (1.9) 0.1 0.1 2.8
EM Debt 1.1 (0.1) - - 1.0 - - - 1.0
Infrastructure - - - - - 0.1 - - 0.1
Private Markets 1.1 (0.1) - - 1.0 0.1 - - 1.1
Total AUM 106.0 (0.8) (2.8) (1.5) 100.9 0.1 1.7 7.6 110.3
Favourable foreign exchange movements were the biggest driver of increases in
AUM during the period. AUM is reported in US dollars but the underlying assets
are denominated in multiple underlying currencies, and we earn management fees
in those underlying currencies. Approximately 60% of AUM is denominated in
Swiss francs and the strengthening of the Swiss Franc against the US dollar
during the period had a significant impact on reported AUM, but a minimal
impact on our GBP revenues.
The composition of AUM by underlying currency at 30 September 2025 is as
follows:
Swiss franc 60%
US dollar 25%
Euro 6%
Sterling 6%
Australian dollar 1%
Other 2%
Risk Management
AUM in our core Risk Management products increased by 12% during the period to
$106.4 billion (FY25: $95.4 billion).
Passive Hedging AUM increased 11% during the period in US dollar terms due to
favourable exchange rate movements from weakening of the US dollar against the
Swiss Franc, the currency in which the majority of Passive Hedging clients'
assets are predominantly denominated.
AUM of Dynamic Hedging clients is more heavily weighted to US dollars, and was
therefore not impacted by foreign exchange movements. During the period, the
value of underlying assets increased by $1.2 billion driven by growth in the
value of underlying assets.
Solutions for Asset Managers (previously Hedging for Asset Managers) continues
to see strong inflows with AUM up 20% during the period. AUM inflows in
Solutions for Asset Managers have two components: we expect to grow by winning
new clients, and also to grow as existing clients launch new funds.
Absolute Return
AUM for Absolute Return products tends to be more volatile as clients are more
likely to move in and out of Absolute Return strategies. The decrease in AUM
is as a result of the deferred impact of the wind up of a client in late FY25
reduced FX Alpha.
Private Markets
In EM Debt, AUM was unchanged at $1.0 billion. This is the AUM in our EMSF
fund launched in FY22.
The first $120 million capital deployment for the Record Infrastructure Equity
fund took place in H1 FY26. While not yet reported as AUM, the remaining
balance of commitments to the fund total $1.1 billion.
Financial performance
Statutory operating profit of £4.5 million (H1 FY25: £5.6 million) was down
20%, driven by lower revenues, resulting in a decrease in operating margin
from 26.8% to 23.4%. In a period of slower revenues, our focus on cost
management has reduced operating costs by 4%. The net result is that EPS
decreased to 1.93 pence per share, down from 2.58p per share last year.
Six months ended Six months ended
30 September 2025 30 September 2024 Change
£m £m %
Revenue 19.2 21.1 (9%)
Cost of sales (0.1) (0.2) (66%)
Gross profit 19.1 20.9 (9%)
Operating costs (14.8) (15.4) (4%)
Other income/(expense) 0.2 0.1 140%
Operating profit 4.5 5.6 (20%)
Operating margin 23.4% 26.8%
Profit after tax 3.3 4.3 (23%)
Profit for the year attributable to
Equity holders of the Parent 3.7 5.0 (25%)
Non-controlling interests (0.4) (0.7) (34%)
3.3 4.3 (23%)
EPS 1.93 2.58 (25%)
Revenue
Total revenue of £19.2 million (H1 FY25: £21.1 million) was down 9%.
Management fees of £17.5 million (H1 FY25: £19.0 million) were down 8%
following the loss of a client with schemes across multiple products in late
FY25, which was partly offset by new growth. Performance fees of £0.8
million, while once again an important component of total revenue, were down
against stronger performance in H1 FY25. Other services income, which
comprises distribution fees and the closing fee for the first capital
deployment from the Record Infrastructure Equity fund, nearly doubled during
the period.
Revenue by product
Six months ended Six months ended
30 September 2025 30 September 2024 Change
£m £m %
Passive Hedging 5.5 5.8 (5%)
Dynamic Hedging 6.5 7.1 (8%)
Solutions for Asset Managers 2.3 1.7 36%
Risk Management 14.3 14.6 (1%)
FX Alpha 0.4 0.8 (50%)
Custom Opportunities 0.5 1.1 (59%)
Absolute Return 0.9 1.9 (55%)
EM Debt 2.3 2.5 (10%)
Infrastructure - - -
Private Markets 2.3 2.5 (10%)
Total management fees 17.5 19.0 (8%)
Performance fees 0.8 1.6 (50%)
Other services income 0.9 0.5 85%
Total revenue 19.2 21.1 (9%)
Risk Management
Management fees from Risk Management products decreased by 1% to £14.3
million (H1 FY25: £14.6 million). Passive Hedging management fees decreased
by 5% to £5.5 million (H1 FY25: £5.8 million) and Dynamic Hedging management
fees decreased by 8% to £6.5 million (H1 FY25: £7.1 million), both largely
due to the client loss at the end of the previous period as mentioned above,
with some offset through growth in AUM. Solutions for Asset Managers continued
to make good new business wins during the period, growing management fee
revenue by 36% to £2.3 million (H1 FY25: £1.7 million).
Absolute Return
Management fees from FX Alpha decreased by 50% to £0.4 million (H1 FY25:
£0.8 million). This is as a result of the full impact of the wind up of an FX
Alpha client late in FY25, with decreases in both AUM and management fees.
Custom Opportunities revenue was down due to the same client loss that also
impacted the Risk Management products.
Private Markets
EM Debt, which comprises our EMSF fund, generates high and consistent revenue
from a stable AUM base. AUM was unchanged in the period and revenue was
maintained at £2.3 million (H1 FY25: £2.5 million). Following the first
Record Infrastructure Equity fund deployment in H1 FY26, increased
Infrastructure revenues are expected to materialise in H2 FY26.
Revenue (continued)
Performance fees
Performance fees of £0.8 million were all earned on Enhanced Passive Hedging
mandates for H1 FY26.
Operating costs
Operating costs of £14.8 million (H1 FY25: £15.4 million) were down 4%. This
represents good progress in the restructuring of our cost base and aligning
investment to our strategic priorities.
Six months ended Six months ended
30 September 2025 30 September 2024 Change
£m £m %
Staff costs 1%
8.3 8.2
Technology (10%)
2.0 2.2
Professional fees (13%)
1.3 1.5
Occupancy -
0.5 0.5
Depreciation and amortisation 190%
0.7 0.3
Travel and marketing 35%
0.4 0.3
Operating costs excl. Group Bonus 2%
13.2 13.0
Group Bonus 2.4 (35%)
1.6
Total operating costs 15.4 (4%)
14.8
Headcount (average) 104 99 5%
Average headcount during the year was up from 99 to 104 with continued
investment to support the transition to higher margin and long-term recurring
revenues, however overall staff costs were managed flat. Although we are
capitalising some internally developed software we are doing so prudently, and
capitalisation is not a significant driver of lower costs.
Technology fees for external services have decreased, driven by the
efficiencies gained through our in-house tech development team, whose efforts
are now yielding tangible cost savings and operational improvements.
Professional fees, which include legal fees, have reduced as we have
completed much of the set up work in relation to new Private Markets
solutions. Travel and marketing costs have increased, in line with our
expanded presence in Germany and Switzerland.
Occupancy costs remain flat, although we are incurring higher depreciation and
amortisation relating to the new office. With the termination of our Windsor
office lease planned for December, occupancy costs are expected to reduce.
Depreciation and amortisation also includes the amortisation of the internally
developed software that is now in use by the business.
For H1 FY26 the Board approved a bonus pool of £1.6 million (H1 FY25: £2.4
million), down from H1 FY25, reflecting lower operating profits in the period.
Cashflow
The Group generated £4.6 million of cash from operating activities before tax
during the period (H1 FY25: £5.6 million). Taxation paid during the period
was lower at £1.3 million compared to £3.5 million for the same period last
year, which was due to timing of payments in the prior year. The Group also
paid dividends totalling £4.9 million in the period (H1 FY25: £5.9 million),
more information for which is given in note 6 to the condensed financial
statements.
Dividends and capital
The Board has declared an interim dividend of 2.15 pence per share in respect
of the six-month period to 30 September 2025 (H1 FY25: 2.15 pence). This will
equate to a distribution of approximately £4.2 million (H1 FY25: £4.2
million), following which the business will retain cash and money market
instruments on the balance sheet, which sufficiently cover financial resource
requirements required for operations and regulatory purposes. The Board will
continue to balance the expectations of shareholders for dividends with the
needs of the business to maintain a healthy balance sheet and preserve capital
for future growth.
The Group has no external debt and is cash-generative with capital and
dividend policies aimed at ensuring continued balance sheet strength to
support future growth. Net assets were £27.8 million at 30 September 2025 (H1
FY25: £27.7 million).
Principal risks and uncertainties
The principal risks currently facing the Group and those that we anticipate
the Group will be exposed to in the short term remain broadly the same as
those outlined in the 2025 Annual Report.
These risks are:
· Strategic - the top two strategic risks are concentration and
competitive threats, other notable strategic risks are delivery of strategy,
regulatory trends, product innovation and third-party products;
· Operational and systems - primarily trade configuration and
execution, as well as cyber and data security risks;
· Investment risk - we naturally embrace the risk that our products
underperform, while market liquidity is a risk we continually review; and
· People - key person and succession, as well as talent acquisition
and retention.
Cautionary statement
This Interim Report contains certain forward-looking statements with respect
to the financial condition, results, operations and business of Record. These
statements involve risk and uncertainty because they relate to events and
depend upon circumstances that will occur in the future. There are a number of
factors that could cause actual results or developments to differ materially
from those expressed or implied in this Interim Report. Nothing in this
Interim Report should be construed as a profit forecast.
Statement of Directors' responsibilities
The interim financial report is the responsibility of the Directors, who
confirm that to the best of their knowledge:
· the condensed set of consolidated financial statements has been
prepared in accordance with UK-adopted IAS 34 - "Interim Financial Reporting";
and
· the Interim management review includes a fair review of the
information required by:
o DTR 4.2.7R of the Disclosure and Transparency Rules, being an indication
of important events that have occurred during the first six months of the
financial year and their impact on the condensed set of consolidated financial
statements; and a description of the principal risks and uncertainties for the
remaining six months of the year; and
o DTR 4.2.8R of the Disclosure and Transparency Rules, being related party
transactions that have taken place in the first six months of the current
financial year and that have materially affected the financial position or
performance of the entity during that period; and any changes in the related
party transactions described in the Annual Report 2025 that could do so.
Related party transactions are disclosed in note 10.
The Directors of Record plc are listed on the Record plc website at:
https://recordfg.com/team-member-groups/record-plc-board/
David Morrison
Chairman
Richard Heading
Chief Financial Officer
6 November 2025
Consolidated statement of comprehensive income
Unaudited Unaudited Audited
Six months ended Six months ended Year ended
30 September 2025 30 September 2024 31 March 2025
Note £'000 £'000 £'000
Revenue 4 19,200 21,115 41,615
Cost of sales (60) (176) (472)
Gross profit 19,140 20,939 41,143
Administrative expenditure (14,797) (15,379) (30,845)
Loss on share of joint venture - - (4)
Other income/(expense) 144 60 364
Operating profit 4,487 5,620 10,658
Finance income 142 294 446
Finance expense (175) (5) (162)
Profit before tax 4,454 5,909 10,942
Taxation (1,176) (1,656) (1,837)
Profit after tax 3,278 4,253 9,105
Foreign exchange gains on translation of foreign operations (98) 77 55
Other reclassifiable comprehensive income (98) 77 55
Total comprehensive income for the period net of tax 3,180 4,330 9,160
Profit for the period attributable to
Equity holders of the parent 3,747 4,964 9,719
Non-controlling interests 10 (469) (711) (614)
3,278 4,253 9,105
Other comprehensive income for the period attributable to
Equity holders of the parent (58) 45 31
Non-controlling interests 10 (40) 32 24
(98) 77 55
Total comprehensive income for the period attributable to
Equity holders of the parent 3,689 5,009 9,750
Non-controlling interests 10 (509) (679) (590)
3,180 4,330 9,160
Earnings per share for profit attributable to the equity holders of the parent
during the period
Basic earnings per share (pence per share) 5 1.93 2.58 5.03
Diluted earnings per share (pence per share) 5 1.87 2.53 4.94
The notes on pages 11 to 13 are an integral part of these condensed
consolidated financial statements.
Consolidated statement of financial position
Unaudited Unaudited Audited
Six months ended Six months ended Year ended
30 September 2025 30 September 2024 31 March 2025
Note £'000 £'000 £'000
Intangible assets 589 125 358
Right-of-use assets 6,551 535 7,007
Property, plant and equipment 2,090 84 2,147
Investments 8 4,172 3,873 4,123
Deferred tax assets 1,526 346 1,365
Total non-current assets 14,928 4,963 15,000
Corporation tax assets 288 - 289
Trade and other receivables 14,521 13,653 13,729
Derivative financial assets 9 - 254 84
Money market instruments 7 - 4,422 1,500
Cash and cash equivalents 7 11,378 9,883 11,798
Total current assets 26,187 28,212 27,400
Total assets 41,115 33,175 42,400
Trade and other payables (5,636) (4,600) (5,739)
Corporation tax liabilities (39) (164) (51)
Provisions (161) - (186)
Lease liabilities (695) (218) (263)
Derivative financial liabilities 9 (39) (4) -
Total current liabilities (6,570) (4,986) (6,239)
Provisions (250) (122) (250)
Lease liabilities (6,499) (324) (6,842)
Total non-current liabilities (6,749) (446) (7,092)
Total liabilities (13,319) (5,432) (13,331)
Total net assets 27,796 27,743 29,069
Issued share capital 50 50 50
Share premium account 1,809 1,809 1,809
Capital redemption reserve 26 26 26
Foreign currency translation reserve (14) 58 44
Retained earnings 25,939 26,455 27,131
Equity attributable to the equity holders of the parent 27,810 28,398 29,060
Non-controlling interests 10 (14) (655) 9
Total equity 27,796 27,743 29,069
The notes on pages 11 to 13 are an integral part of these condensed
consolidated financial statements.
Approved by the Board on 6 November 2025 and signed on its behalf by:
David Morrison
Chairman
Richard Heading
Chief Financial Officer
Consolidated statement of changes in equity
Share capital Share premium Capital redemption reserve Foreign currency translation reserve Retained earnings Equity attributable to owners of the parent Non-controlling interests Total
equity
Note £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000
As at 1 April 2024 50 1,809 26 13 27,051 28,949 5 28,954
Total comprehensive income for the period net of tax - - - 45 4,964 5,009 (679) 4,330
Non-controlling interests acquired in subsidiaries - - - - - - 19 19
Dividends paid - - - - (5,881) (5,881) - (5,881)
Own shares acquired by EBT - - - - (760) (760) - (760)
Release of shares held by EBT - - - - 1,150 1,150 - 1,150
Tax on share-based payments - - - - 37 37 - 37
Other share-based payment reserve movements - - - - (106) (106) - (106)
Transactions with shareholders - - - - (5,560) (5,560) 19 (5,541)
As at 30 September 2024 50 1,809 26 58 26,455 28,398 (655) 27,743
Total comprehensive income for the period net of tax - - - (14) 4,755 4,741 89 4,830
Non-controlling interests acquired in subsidiaries - - - - 571 571 (571) -
Share of additional equity reserve contribution - - - - (1,146) (1,146) 1,146 -
Dividends paid - - - - (4,168) (4,168) - (4,168)
Own shares acquired by EBT - - - - - - - -
Release of shares held by EBT - - - - 182 182 - 182
Tax on share-based payments - - - - (52) (52) - (52)
Other share-based payment reserve movements - - - - 534 534 - 534
Transactions with shareholders - - - - (4,079) (4,079) 575 (3,504)
As at 31 March 2025 50 1,809 26 44 27,131 29,060 9 29,069
Total comprehensive income for the period net of tax - - - (58) 3,747 3,689 (509) 3,180
Non-controlling interests acquired in subsidiaries 10 - - - - - - - -
Share of additional equity reserve contribution - - - - (486) (486) 486 -
Dividends paid 6 - - - - (4,880) (4,880) - (4,880)
Own shares acquired by EBT - - - - (721) (721) - (721)
Release of shares held by EBT - - - - 1,781 1,781 - 1,781
Tax on share-based payments - - - - 56 56 - 56
Other share-based payment reserve movements - - - - (689) (689) - (689)
Transactions with shareholders - - - - (4,939) (4,939) 486 (4,453)
As at 30 September 2025 50 1,809 26 (14) 25,939 27,810 (14) 27,796
The notes on pages 11 to 13 are an integral part of these condensed
consolidated financial statements.
Consolidated statement of cash flows
Unaudited Unaudited Audited
Six months ended Six months ended Year ended
30 September 2025 30 September 2024 31 March 2025
Note £'000 £'000 £'000
Profit after tax 3,278 4,253 9,105
Non-cash adjustments 2,275 2,295 3,240
Change in working capital (918) (960) 154
Cash generated from operations 4,635 5,588 12,499
Corporation tax (paid) (1,286) (3,499) (5,153)
Net cash inflow from operating activities 3,349 2,089 7,346
Purchase of intangible assets (285) (123) (365)
Purchase of property, plant and equipment (151) (28) (2,118)
Purchase of investments - (27) (60)
Sale of investment in subsidiary - - 4
Redemption of other investments 76 1,124 1,120
Purchase of money market instruments - (1,923) (4,922)
Disposal of money market instruments 1,500 7,030 12,952
Interest received 142 325 479
Net cash inflow from investing activities 1,282 6,378 7,090
Lease principal payments (90) (73) (217)
Lease interest payments (3) (5) (15)
Proceeds from issue of shares in subsidiary - 25 24
Purchase of own shares - (325) (325)
Dividend paid to equity shareholders 6 (4,880) (5,881) (10,049)
Cash outflow from financing activities (4,973) (6,259) (10,582)
Net (decrease)/increase in cash and cash equivalents (342) 2,208 3,854
Exchange (losses)/gains (78) (280) (11)
Cash and cash equivalents at the beginning of the period 11,798 7,955 7,955
Cash and cash equivalents at the end of the period 11,378 9,883 11,798
Closing cash and cash equivalents consists of:
Cash 7 7,486 7,361 6,739
Cash equivalents 7 3,892 2,522 5,059
Cash and cash equivalents at the end of the period 11,378 9,883 11,798
The notes on pages 11 to 13 are an integral part of these condensed
consolidated financial statements.
Notes to the condensed consolidated financil statements for the six months
ended 30 September 2025
The information contained within the condensed consolidated financial
statements and related disclosures in this Interim Report have not been
audited or reviewed by the Company's independent auditor. Accordingly, no
assurance is provided on these financial statements.
These condensed consolidated financial statements exclude disclosures that are
immaterial and judged to be unnecessary to understand our results and
financial position.
1. Basis of preparation
The condensed set of consolidated financial statements included in this
interim financial report has been prepared in accordance with UK-adopted
International Accounting Standard 34 - "Interim Financial Reporting". The
financial information set out in this Interim Report does not constitute
statutory accounts as defined in section 434 of the Companies Act 2006. The
Group's statutory financial statements for the year ended 31 March 2025 were
prepared in accordance with UK-adopted IFRS and have been delivered to the
Registrar of Companies. The auditor's report on those financial statements was
unqualified and did not contain statements under section 498(2) or section
498(3) of the Companies Act 2006.
The accounting policies for recognition, measurement, consolidation and
presentation as set out in the Group's Annual Report for the year ended 31
March 2025 have been applied in the preparation of the condensed consolidated
half-year financial information.
Application of new standards
There have been no new or amended standards adopted in the financial year
beginning 1 April 2025 which have a material impact on the Group or any
company within the Group.
Going concern
The Directors are satisfied that the Company and the Group have adequate
resources with which to continue to operate for the foreseeable future. In
arriving at this conclusion, the Directors have considered various assessments
including capital and liquidity positions, the current economic and
geopolitical environment and the market in which the Group operates, and its
stakeholders. These assessments show that the Group should be able to operate
at adequate levels of both liquidity and capital for at least twelve months
from the date of signing this report.
Consequently, the Directors have reasonable expectation that the Group has
adequate financial resources to continue operations for at least twelve months
from the date of signing the report and therefore have continued to adopt the
going concern basis in preparing the financial statements.
2. Critical accounting estimates and judgements
All estimates and judgements applied in the interim financial statements are
consistent with those applied in the financial statements for the year ended
31 March 2025.
3. Segmental analysis
The Group's segmental reporting is consistent with the reporting segments
disclosed in the financial statements for the year ended 31 March 2025. Only
the Group's segmental revenue is reviewed by the Group's Chief Operating
Decision Maker ("CODM") on a regular basis. Note 4 provides further detail on
this.
4. Revenue
Management fees have been split by reporting segment; Risk Management,
Absolute Return and Private Markets. All performance fees have been earned by
Risk Management products. Other income includes fees from signal hedging and
fiduciary execution, as well as distribution fees.
Six months ended Six months ended Year ended
30 September 2025 30 September 2024 31 March 2025
£'000 £'000 £'000
Risk Management 14,342 14,535 28,739
Absolute Return 858 1,922 3,530
Private Markets 2,271 2,525 4,977
Total management fees 17,471 18,982 37,246
Performance fees 820 1,641 3,175
Other services income 909 492 1,194
Total revenue 19,200 21,115 41,615
5. Earnings per share
Basic earnings per share is calculated by dividing the profit attributable to
equity holders of the parent for the period by the weighted average number of
ordinary shares in issue during the period. Diluted earnings per share is
calculated as basic earnings per share with a further adjustment to the
weighted average number of ordinary shares to reflect the effects of all
potential dilution.
There is no difference between the profit for the financial period used in the
basic and diluted earnings per share calculations.
Six months ended Six months ended Year ended
30 September 2025 30 September 2024 31 March 2025
Weighted average number of shares used in basic calculation 194,406,566 192,588,856 193,200,901
Effect of potential dilutive ordinary shares - share options 5,462,162 3,764,304 3,410,882
Weighted average number of shares used in diluted calculation 199,868,728 196,353,160 196,611,783
Basic earnings per share 1.93p 2.58p 5.03p
Diluted earnings per share 1.87p 2.53p 4.94p
The potential dilutive shares relate to the share options and Long-Term
Incentive Plan ("LTIP") awards granted in respect of the Group's Share Scheme.
At the beginning of the period there were 14,134,776 Group Share Scheme share
awards outstanding. During the six-month period, 8,407,963 LTIP awards were
granted, 1,450,000 share options and 726,989 LTIP awards were exercised, and
8,125 JSOP awards vested. Additionally, 1,426,875 share options and 1,494,498
LTIP awards lapsed in the period.
As at 30 September 2025, there were 7,701,125 share options and 9,735,127 LTIP
awards in place. Following the JSOP vesting, there are no remaining JSOP
awards in place.
6. Dividends
The dividends paid during the six months ended 30 September 2025 totalled
£4,879,709. The final ordinary dividend in respect of the year ended 31 March
2025 was 2.50 pence per share. An interim dividend of 2.15 pence per share was
also paid for the six months ended 30 September 2024, thus the full ordinary
dividend in respect of the year ended 31 March 2025 was 4.65 pence per share.
The dividends paid during the six months ended 30 September 2024 totalled
£5,880,711. The total dividend paid was 3.05 pence per share, being a final
ordinary dividend in respect of the year ended 31 March 2024 of 2.45 pence per
share and a special dividend of
0.60 pence per share. An interim dividend of 2.15 pence per share was also
paid for the six months ended 30 September 2023, thus the full ordinary
dividend in respect of the year ended 31 March 2024 was 4.60 pence per share.
The interim dividend declared in respect of the six months ended 30 September
2025 is 2.15 pence per share.
7. Cash management
In the Group's judgement, bank deposits and treasury bills that mature in
excess of 3 months after origination date do not meet the definition of
short-term or highly liquid and are held for purposes other than meeting
short-term commitments. In accordance with IFRS, these instruments are not
categorised as cash or cash equivalents and are disclosed as money market
instruments.
The table below summarises the instruments managed by the Group as cash, and
their IFRS classification:
As at As at As at
30 September 2025 30 September 2024 31 March 2025
£'000 £'000 £'000
Money market instruments - 4,422 1,500
Cash 7,486 7,361 6,739
Cash equivalents 3,892 2,522 5,059
Cash and cash equivalents 11,378 9,883 11,798
Total assets managed as cash 11,378 14,305 13,298
8. Investments
All investments are measured at fair value through profit or loss.
As at As at As at
30 September 2025 30 September 2024 31 March 2025
£'000 £'000 £'000
Investment in funds 2,635 2,341 2,586
Other investments 1,537 1,532 1,537
Total investments 4,172 3,873 4,123
9. Fair value measurement
The following table presents financial assets and liabilities measured at fair
value in the consolidated statement of financial position in accordance with
the fair value hierarchy based on the significance of inputs used in measuring
their fair value.
The hierarchy has the following levels:
· Level 1: quoted prices (unadjusted) in active markets for
identical assets or liabilities;
· Level 2: inputs other than quoted prices included within Level 1
that are observable for the asset or liability, either directly (i.e. as
prices) or indirectly (i.e. derived from prices); and
· Level 3: inputs for the asset or liability that are not based on
observable market data (unobservable inputs).
The level within which the financial asset or liability is classified is
determined based on the lowest level of input to the fair value measurement.
The financial assets and liabilities measured at fair value in the statement
of financial position are grouped into the fair value hierarchy as follows:
Total Level 1 Level 2 Level 3
£'000 £'000 £'000 £'000
As at 30 September 2025
Financial assets at fair value through profit or loss
Investment in funds 2,635 967 - 1,668
Other investments 1,537 - - 1,537
Forward foreign exchange contracts held to hedge non-sterling assets - - - -
Financial liabilities at fair value through profit or loss
Forward foreign exchange contracts held to hedge non-sterling assets (39) - (39) -
Total 4,133 967 (39) 3,205
Total Level 1 Level 2 Level 3
£'000 £'000 £'000 £'000
As at 30 September 2024
Financial assets at fair value through profit or loss
Investment in funds 2,341 944 - 1,397
Other investments 1,537 - - 1,537
Forward foreign exchange contracts held to hedge non-sterling assets 254 - 254 -
Financial liabilities at fair value through profit or loss
Forward foreign exchange contracts held to hedge non-sterling assets (4) - (4) -
Total 4,128 944 250 2,934
Total Level 1 Level 2 Level 3
£'000 £'000 £'000 £'000
As at 31 March 2025
Financial assets at fair value through profit or loss
Investment in funds 2,586 1,023 - 1,563
Other investments 1,537 - - 1,537
Forward foreign exchange contracts held to hedge non-sterling assets 84 - 84 -
Financial liabilities at fair value through profit or loss
Forward foreign exchange contracts held to hedge non-sterling assets - - - -
Total 4,207 1,023 84 3,100
There have been no transfers between levels in any of the reported periods.
Basis for classification of financial instruments within the fair value
hierarchy:
· Level 1: Listed funds and other listed investments are classified
as level 1. These investments are valued using market prices and coupon rates
as applicable.
· Level 2: Forward foreign exchange contracts are classified as
level 2. The fair value of forward foreign exchange contracts is established
using interpolation of observable market data rather than a quoted price.
· Level 3: Direct investments in private funds and share capital of
start-up companies in the digital sector have been classified as level 3.
There is no observable market for these investments, therefore fair value
measurements have been derived from valuation techniques that include inputs
that are not based on observable market data. The private funds are valued at
net asset value, and the direct investments in capital of the start-up
companies are measured using the valuation technique that is most suitable to
the applicable investment. These valuation methods are applied in accordance
with International Private Equity and Venture Capital Valuation Guidelines.
9. Fair value measurement (continued)
Movements in assets and liabilities classified as level 3 during the period:
As at As at As at
30 September 2025 30 September 2024 31 March 2025
£'000 £'000 £'000
At start of period 3,100 3,988 3,988
Additions - 27 72
Disposals - (1,024) (1,024)
Net gain or loss 105 (57) 64
At end of period 3,205 2,934 3,100
10. Related parties
Related parties of the Group include key management personnel, close family
members of key management personnel, subsidiaries and the EBT. Transactions or
balances between Group entities have been eliminated on consolidation and, in
accordance with IAS 24, are not disclosed in this note. The Group has
recognises non-controlling interest ("NCI") in Record Asset Management GmbH,
the 41% owned subsidiary of Record plc.
There have been no changes in related parties from those disclosed in the
Annual Report 2025.
Key management personnel
The compensation given to key management personnel is as follows:
Six months ended Six months ended Year ended
30 September 2025 30 September 2024 31 March 2025
£'000 £'000 £'000
Short-term employee benefits 5,970 5,107 9,699
Post-employment benefits 217 251 431
Share-based payments 516 758 1,212
Total 6,703 6,116 11,342
Compensation to key management personnel includes variable remuneration paid
through the Group Bonus Scheme as well as inflationary increases and
promotions. More detail on the Group's expenditure is provided in the Interim
management review on page 5.
The dividends paid to key management personnel in the six months ended 30
September 2025 totalled £217,914 (six months ended 30 September 2024:
£368,694; year ended 31 March 2025: £607,027).
11. Commitments and contingencies
On 2 October 2024, the Group signed a ten-year lease for a new office in
London. The commitment is to 1 October 2034 and, following the completion of
the 12-month rent-free period, the rent payment commitment is £977,574 per
annum.
12. Post-reporting date events
On 14 October 2025, we announced that Dr Othman Boukrami will be appointed as
an Executive Director for Record Currency Management Limited, a Group
subsidiary, from 1 December 2025, and as a result has stepped down as a
Non-Executive Director of the Record plc Board with immediate effect. This is
a significant non-adjusting event.
No other adjusting or significant non-adjusting events have occurred between
the reporting date and the date of approval.
Information for shareholders
Record plc
Record plc is a public limited company incorporated in the UK
Registered in England and Wales
Company No. 1927640
Registered office
3 Sheldon Square
London
W2 6HY
United Kingdom
Tel: +44 (0)20 3892 1300
Principal UK trading subsidiaries
Record Currency Management Limited
Registered in England and Wales
Company No. 1710736
Record Group Services Limited
Registered in England and Wales
Company No. 1927639
Both principal UK trading subsidiaries are based in London.
Dates for the H1 FY26 interim dividend
Ex-dividend date 20 November 2025
Record date 21 November
2025
Interim dividend payment date 19 December 2025
Registrar
MUFG
Central Square
29 Wellington Street
Leeds
LS1 4DL
United Kingdom
Further information about the Registrar is available on their website:
mpms.mufg.com
Further information on Record plc can be found on the Group's website:
recordfg.com (https://www.recordfg.com)
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