Overview
UK AI solutions firm's H1 revenue rose about 5% yr/yr to £360 mln
Adjusted pretax profit for H1 rose to £24 mln from £18 mln last year
Company expects FY26 performance in line with guidance, citing segment growth and new AI product launch
Outlook
RWS expects FY26 performance in line with market expectations and existing guidance
Company anticipates low single digit OCC revenue growth, improved profitability, strong free cash flow
RWS says momentum continues to build, underpinning full-year expectations despite geopolitical risks
Result Drivers
GENERATE SEGMENT GROWTH - Strong double-digit organic revenue growth in Generate, led by TrainAI business unit with new and expanded client programs
PROTECT SEGMENT RENEWALS - Good organic revenue growth in Protect, driven by strong performance in the Renewals business
EFFICIENCY PROGRAMME - Adjusted pretax profit benefited from ongoing efficiency measures, including process rationalisation and scaling offshore delivery
Company press release: ID:nRSW5602Ba
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
GBP 360 mln
H1 Adjusted Pretax Profit
GBP 24 mln
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the business support services peer group is "buy"
Wall Street's median 12-month price target for RWS Holdings PLC is GBp159.00, about 88.8% above its April 22 closing price of GBp84.20
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)