REG - Skillcast Group PLC - Final Results
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RNS Number : 2884C Skillcast Group PLC 29 April 2026
The information contained within this announcement is deemed by the Company
to constitute inside information pursuant to Article 7 of EU Regulation
596/2014 as it forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 as amended.
29 April 2026
Skillcast Group PLC
("Skillcast", the "Group" or the "Company")
Results for the twelve months ended 31 December 2025.
Strong SaaS execution delivers step‑change in profitability, cash
generation and dividend growth
Skillcast (AIM: SKL), the Governance, Risk and Compliance ("GRC") software and
e-learning provider, is pleased to announce its audited results for the twelve
months ended 31 December 2025.
Highlights
2025 2024 % YOY
Financial
ARR* at 31 December £m 13.8 11.6 19%
ARR YoY Growth % % 19% 25% -6%
Total Revenue £m 15.3 13.2 16%
Subscription revenue £m 13.3 11.0 21%
Recurring revenue mix % 87% 83% 4%
Total Gross Margin % 75.7% 73.6% 2%
EBITDA £m 1.5 0.5 202%
Rule of 40*** % 29% 29% 0%
Basic EPS p 1.450 0.572 154%
Total dividend per share p 0.620 0.517 20%
Cash in bank £m 12.7 9.1 39%
Free cash flow** £m 3.7 2.0 87%
Non-Financial
Average ARR per client (excl Core) £ 11,133 10,206 9%
ARR from Core/Enhanced/Premium at 31 December £m 1.9 0.8 125%
% Total ARR from Core/Enhanced/Premium % 14% 7% 90%
Net revenue retention (NRR) % % 101% 101% 0%
Churn % 7.4% 11.4% -4%
Headcount at 31 December 125 120 4%
*Annualised Recurring Revenue (ARR) is calculated by annualising revenue
recognised in a given month from all client subscriptions on annual contracts.
** Free cash flow is calculated as net cash flows from operations less capital
expenditure and lease costs.
*** The Rule of 40 is defined as the addition of the EBITDA percentage margin
in the year and the ARR percentage growth on the previous year.
Financial Highlights
· ARR* increased to 19% to £13.8 million (December 2024: £11.6
million) driven primarily by new client wins acquisitions and continued demand
for subscription-based compliance solutions.
· Total revenues increased to 16% £15.3 million (2024: £13.2
million).
o Revenue increase was again driven by strong growth in recurring
subscription revenues, up 21% at £13.3 million (2023: £11.0 million).
o Recurring subscriptions contributed to 87% of total revenues (2024: 83%).
o Professional services revenues declined 9% to £2.0 million (2024: £2.3
million) as the Group continued to prioritise scalable, high-margin
subscription revenues.
· Gross margin increased by 2.1ppts to 75.7% (2024: 73.6%).
· EBITDA increased 202% to £1.5 million (2024: £0.5 million) through
operational gearing.
o Overhead increased £0.9m/9% to £10.4m on the prior year (2024: £9.5
million).
o Research and development fully expensed.
· Strong cash generation increased net cash to £12.7 million at 31
December 2025 (31 December 2024: £9.1 million), equating to c. 14 pence per
ordinary share in the Company.
o Up-front payments on increased subscription revenues.
o Faster cash conversion following the introduction of auto-renewal terms in
2024.
o Free cash flow** of £3.7 million (2024: £2.0 million).
· Basic EPS 1.450 pence per share (2024: 0.572 pence).
· Total dividend up 20% to 0.620 pence per share (2024: 0.517 pence).
o Final dividend proposed: 0.418 pence (2024: 0.349 pence).
o Interim dividend paid: 0.202 pence (2024: 0.168 pence).
Operational highlights
· Total client numbers (excluding Core Compliance) grew 8% to 1,221
(2024: 1,133).
· Average ARR per client increased 9% to £11,133, 2024: (£10,206).
· Net retention of 101% in line with last year (2024: 101%)
o Lower price rises of 3% in 2025 (2024: 7%).
o Churn returning to normal levels of 7% (2024: 11%)
o Supported by product upsells
· Non-standard plans ARR increased 125% in the year to represent 14% of
total ARR (2024: 7%).
· AI adoption accelerated across products and operations.
o Digital assistant (Aida) launched across courses and software tools.
o Internal use extended from developers to all functions.
· Strengthened commercial tech stack to increase automation and improve
client experience.
· New EU library developed for 2026 launch.
· New website and rebrand in March 2025, Advisory Board launched.
· Maintained excellent customer service records (Feefo Platinum Service
Award 4.9/5.0, CSAT >93%).
· SOC Type 2 and Cyber Essentials Plus reaccredited.
· Headcount increased by 4% to 125 at 31 December 2025 (2024: 120).
Current trading and outlook
ARR has continued to grow strongly in 2026, supported by new customer wins,
resilient net retention and disciplined pricing. Growth rates have moderated
to around 15% due to slower decision-making as a result of the global
uncertainty, particularly among larger clients. We continue to attract many
new logos and grow our pipeline. Net retention has remained above 100%, with
slightly lower-than-expected churn and downsell offset by similarly lower
upsells.
Our professional services business is typically lumpy and has poor visibility,
but has had a strong start to the year.
The Group remains confident of meeting EBITDA expectations through
productivity improvements and continued operational leverage.
Vivek Dodd, Chief Executive Officer of Skillcast, said:
"We delivered a strong performance in 2025, marked by continued ARR growth, a
step-change in profitability and improved cash generation. Clients continue to
recognise the value of our Enhanced and Premium plans, reflected in strong
upsell performance and sustained net retention above 100%.
AI is becoming a key part of our product strategy and operations. After
successfully launching Aida, our AI-powered compliance assistant, to
higher-tier plans last year, we are now offering it to Standard Plan clients.
In addition, clients will soon be able to use Aida to customise our trusted,
readymade courses with their business profiles and policy documents. These
developments strengthen our confidence in growing ARR, improving margins, and
delivering strong shareholder returns."
*Further details on the calculation of adjusted EBITDA. ARR and free cash flow
are set out in the Financial Review below
Enquiries:
Skillcast Group plc +44 (0)20 7929 5000
Richard Amos, Chairman
Vivek Dodd, Chief Executive Officer
Richard Steele, Chief Financial Officer
Cavendish (Nominated Adviser & Broker) +44 (0)20 7220 0500
Jonny Franklin-Adams / Isaac Hooper (Corporate Finance)
Sunila de Silva (Corporate broking)
Chairman's Statement
Dear Shareholders
Introduction
I am pleased to introduce Skillcast's Annual Report for the year ended 31
December 2025. This has been another successful year for the Group with
continued growth in subscription revenues and demonstration of the strong
operational gearing of our business model, with profitability returning
towards levels achieved historically following the period of investment post
our IPO.
Results and Dividend
The year has seen another encouraging set of results, with subscription
revenues increasing more than 20%. Importantly, EBITDA margins increased to
10% as a high proportion of the new revenue dropped through to profit due to
the high gross margin associated with the SaaS business model. Margins do
still remain below the level historically achieved by the business before it
embarked on its investment phase, and hence there remains the opportunity for
further progress in this area going forward.
The business retains a strong balance sheet with net cash at 31 December 2025
of £12.7m (2024: £9.1m). The Board's previously stated policy is to
increase dividends broadly in line with increases in subscription revenues,
and therefore, at the AGM on 23 June 2026, the Board will propose a final
dividend to be paid in July of 0.418p, up 20% on the 0.349p paid as the final
dividend for 2024. Taken in conjunction with the interim dividend paid in
October 2025, this will result in a full-year dividend per share of 0.620p
(2024: 0.517p), an increase of 20%.
Strategy
Skillcast's overall strategy remains unchanged and is set out in detail within
this report, where we also explain how we expect AI to impact us and the
challenges and opportunities it presents. In summary, our strategy is to
focus on growing the recurring subscription revenue streams associated with
our core SaaS business that provides small and medium-sized businesses with
the digital training and technology to manage efficiently and effectively
their workforce compliance challenges.
Historically, the business has been built entirely on organic growth, and this
remains our principal focus. With a strong customer service culture that
targets high net retention of the subscription base and a maturing sales and
marketing organisation to drive new sales acquisition we continue to target
long term subscription revenue growth of 20% and target margins of the same
level to achieve the "Rule of 40" (as explained in further detail in the CEO
Report) by which world-class SaaS businesses are measured.
However, our increasing cash reserves have naturally encouraged us to look at
accelerating this organic growth with targeted bolt-on acquisitions that can
both increase our scale and augment our strategy. We seek content-based
bolt-on acquisitions, where we can leverage our existing technology stack for
cross-selling opportunities. Progress in this regard over the last twelve
months has been limited, not least because of the challenges that we have
faced in matching private company valuation expectations to what we receive as
a public company. We intend to accelerate efforts in this regard in 2026,
while retaining our primary focus on organic growth and only acting when
confident that the returns we can expect for deploying our capital will be
attractive to shareholders.
AGM and Shareholder Engagement
We have enjoyed meeting with investors over the last twelve months at both
formal meetings and investor conferences and events. Topics covered in
meetings with shareholders have included strategic priorities, plans for
utilising the strength of our balance sheet, including dividend policy, and
the challenges and opportunities that AI brings. We welcome opportunities to
speak with existing and prospective investors and look forward to welcoming
shareholders to our AGM on 23 June.
People and Organisation
The results that have been achieved over the last twelve months have been
delivered against a challenging commercial backdrop with instability in the
political and economic climate. That has made the task of executing the
strategy that much harder. It is to the undoubted credit of the whole
Skillcast team that they have successfully navigated these challenges and
delivered as presented in this Report. I am grateful to everyone in the
organisation for the positive, collaborative and pragmatic ways in which they
have approached their task and on behalf of the Board, thank them for their
achievements.
Current trading and outlook
ARR has continued to grow strongly in 2026, supported by new customer wins,
resilient net retention and disciplined pricing. Growth rates have moderated
to around 15% due to slower decision-making as a result of the global
uncertainty, particularly among larger clients. We continue to attract many
new logos and grow our pipeline. Net retention has remained above 100%, with
slightly lower-than-expected churn and downsell offset by similarly lower
upsells.
Our professional services business is typically lumpy and has poor visibility,
but has had a strong start to the year.
The Group remains confident of meeting EBITDA expectations through
productivity improvements and continued operational leverage.
Richard Amos
Non-Executive Chairman
28 April 2026
CEO's Review
Results
I am pleased to report another year of strong, organic growth for Skillcast in
2025. In addition to sustaining above-20% subscription revenue growth for the
fourth consecutive year, our EBITDA surged by 202% to £1.5 million, our
profit margin rose to 10% margin, and we generated £3.7 million of free cash.
The ARR at the end of the year was £13.8 million, +19% up on the previous
year. Total revenue grew 16% and overheads by 9%, generating £1.5m of EBITDA,
a £1.1 million improvement over 2024.
Subscriptions to our technology and content are the key drivers in our growth
strategy. These subscriptions constitute a book of high-quality annual
recurring revenue (ARR) contracts, which grew organically by 21% to £13.3
million in December 2025 (2024: 25% to £11.6 million in December 2024).
In 2025, 87% (2024: 83%) of our revenues came from such subscriptions, with
the rest from professional services, which include bespoke content development
and customisation of OTS courses and were lower at £2.0 million (2024: £2.3
million) as demand for large bespoke work continued to fall. While not core to
our growth strategy, we remain committed to helping our clients with
professional services that make compliance more relevant and engaging for
their staff.
We typically serve our clients with annual subscription contracts, invoiced
upfront and standard 30-day payment terms. This gives us healthy cash flows
from operations and strong revenue visibility over the next 12 months. Our
EBITDA margin should continue to grow further in the coming periods due to
continued operational gearing.
Strategic progress in 2025
Our focus in 2025 remained on growing the subscription business and ensuring
we delivered the productivity gains from our prior-year investments to expand
our EBITDA margin and achieve our medium-term ambition of reaching the Rule of
40. We believe Skillcast has a tremendous growth opportunity to help companies
simplify staff compliance by digitising, automating, and streamlining
processes to reduce costs, improve the employee experience, and reduce the
risk of breaches amid ever-growing regulations. Progress on our six strategic
pillars included:
1) Continue to organically grow New ARR
We continued to grow subscriptions, adding £1.9m in ARR from 232 new clients,
excluding the retail Core Compliance plan. This included several major logos
that diversified our customer base, such as a large multinational manufacturer
adopting our compliance tools and a leading public-sector regulator
subscribing to our compliance content.
2) Maintain net retention over 100%
The foundations of our subscription business are built on client retention,
and we're proud to have achieved a net retention rate of over 101% for the
year. Client churn returned to a more normal level for our business at 7%
(2024: 11%), partly offset by product upsells and a 3% price rise (2024: 7%),
in line with prevailing inflation.
3) Innovate product and strengthen differentiation
We have also continued to innovate our product to offer more process
automation and employee engagement. While the ARR from our Standard Plan
subscriptions (e-learning only) grew by 10%, the ARR from other plans,
featuring recent innovations, grew 125% year on year, doubling their share of
total ARR to 14%. The ARR from our Premium Plan, which helps digitise and
automate the widest range of compliance processes, grew 69% in 2025,
accounting for 9% of total ARR by December 2025 (December 2024: 6%). In Q1
2025, we launched the Enhanced Plan, with engaging e-learning elements such as
FastTrack, and it accounted for 3% of total ARR by December 2025 (December
2024: nil). Both the Enhanced and Premium Plans help embed Skillcast more
deeply in our client organisations and aid retention. CoreCompliance, our
retail, self-serve compliance offering for small businesses, increased sales
by 169% in 2025 to account for 1.5% of total ARR by December 2025 (December
2024: 0.6%)
As AI adoption in compliance accelerates, we are confident that Skillcast is
well-positioned to help our clients with both advisory and agentic AI tools.
Our clients rely on us to provide updated, verified, and engaging content,
automate sometimes complex workflows, and provide accurate reporting. We've
built these capabilities and trust over many years, and we're enhancing them
with AI tools to deliver superior compliance capabilities to our clients. In
H2 2025, we also rolled out our AI assistant Aida to all participating
Enhanced and Premium Plan clients and are extending it to all other clients in
2026. We are shortly due to release an agent that enables our clients to adapt
our high-quality content to their business risks and policies almost
instantly.
In Q4 2025, we released our EU Compliance library for our EU clients and our
UK clients with a substantial presence in the EU. We expect this library to
improve client retention and drive new client acquisition in the EU,
particularly in Germany, France and Benelux.
4) Maintain a Professional Services presence
We continue to maintain our professional services capability, which enables us
to maintain major logos and help our clients make compliance more relevant and
engaging for their staff. However, we've been pragmatic and managed capacity
as the demand for large bespoke projects continued to fall. Consequently, we
improved gross margins for this business line by 9% to 62% (2024: 53%) from
headcount reductions made in 2024 and enhanced productivity.
5) Deliver operational gearing benefits to further
strengthen EBITDA margin
Our Gross Profit Margin increased by 2% to 78% (2024: 76%) due to economies of
scale, and our EBITDA margin improved by 6% points to 10% (2024: 4%), despite
our policy of expensing all R&D, including that on AI development, due to
our SaaS operational gearing and operational efficiency drive. Free cash flow
increased to £3.7m (2024: £2.0m), assisted by a faster order-to-cash cycle
following the introduction of standard auto-renewal terms in 2024 and stronger
debtor management.
6) Maintain a strong balance sheet and optionality
(including M&A)
We maintained a strong balance sheet in 2025 and continue to do so, with a
large cash position that provides the Group with a high degree of stability
and flexibility in decision-making. We engaged a deal origination firm to
identify acquisition opportunities in the staff compliance market. However, we
did not find suitable and willing targets during the year. We remain convinced
about the value of scaling up with acquisitions that enable us to leverage our
technology platform and AI developments.
Operational progress/highlights:
Our drive to increase productivity through process improvement and automation
continued in 2025, which is reflected in an average headcount increase of just
3% compared to a 16% increase in revenues. We strengthened our sales and
marketing tech stack with internally developed tools and externally sourced
apps to increase our marketing reach, improve the prospect experience, enhance
automation, and increase straight-through processing.
We improved our customer service productivity, contributing to the 2% increase
in gross profit margin, whilst maintaining our 4.9/5.0 Platinum Customer
Service Rating on Feefo and Customer Satisfaction (CSAT) score above 91%,
which we introduced as a new measure in 2025.
Environmental, Social and Governance (ESG)
Increasing regulatory requirements and stakeholder expectations around ESG
continue to drive demand for our products and services. Through our staff
compliance and governance solutions, we help clients build ethical and
resilient workplaces. Our digital-first delivery model reduces waste and
carbon intensity.
We are equally committed to managing our own environmental and social impact.
We have a long-term ambition to achieve net zero by 2050. During the year, we
reduced our scope 3 upstream emissions by 27% and reaccredited with SOC 2, ISO
27001 and Cyber Essentials Plus and attained G-cloud accreditation for the
public sector.
We maintained our accreditation as a Living Wage Employer and pride ourselves
on our competitive employee value proposition. We offer wellbeing and benefits
that include mental health training and support, medical and dental cover,
share option grants, which all support engagement and retention, evidenced by
our low employee turnover rate of 12% during the year. We are strongly
committed to promoting inclusivity, sustainability, and integrity, and
fostering diversity and well-being in our organisation.
Vivek Dodd
Chief Executive Officer
28 April 2026
Financial Review
2025 clearly demonstrated the financial strength of our business model. A
fourth consecutive year of over 20% growth in subscription revenues and 2%
gross margin growth led to a 202% increase in EBITDA on the year and 145% cash
conversion. By ending the year with a 19% increase in ARR and £12.7m of net
cash we are well-positioned for future growth both organically and by
acquisition should opportunities arise.
Revenues for the year ended 31 December 2025 increased by 16% to £15.3
million (2024: £13.2 million), driven by new subscription customers, with
ARR* growing 19% on the year to £13.8 million (2024: £11.6 million). In
contrast, overheads increased by £0.9m/9% with average headcount increasing
4%. EBITDA increased by £1m to £1.5m on the year (2024 EBITDA: £0.5m). Net
cash at year-end of £12.7 million, 39% above last year (2024: £9.1 million),
with free cash flow of £3.7 million (2024: 2.0 million).
Key Performance Indicators
Key performance indicators (KPIs) tracked through monthly reviews against
targets approved by the Board.
2025 KPI's 2025 2024 % YOY
Financial
ARR* at 31 December £m 13.8 11.6 19%
ARR YoY Growth % % 19% 25% -6%
Total Revenue £m 15.3 13.2 16%
Subscription revenue £m 13.3 11.0 21%
Recurring revenue mix % 87% 83% 4%
Total Gross Margin % 75.7% 73.6% 2%
EBITDA £m 1.5 0.5 202%
Rule of 40*** % 29% 29% 0%
Basic EPS p 1.450 0.572 154%
Total dividend per share p 0.620 0.517 20%
Cash in bank £m 12.7 9.1 39%
Free cash flow** £m 3.7 2.0 87%
Non-Financial
Average ARR per client (excl Core) £ 11,133 10,206 9%
ARR from Core/Enhanced/Premium at 31 December £m 1.9 0.8 125%
% Total ARR from Core/Enhanced/Premium % 14% 7% 90%
Net revenue retention (NRR) % % 101% 101% 0%
Churn % 7.4% 11.4% -4%
Headcount at 31 December 125 120 4%
* defined later in the financial report in Alternative Performance Measures
section
Revenues
62% of total revenue were derived from clients in the financial services
sector, materially consistent with the previous year (2025: 61%). 81% of total
revenues were derived from the UK (2024: 78%), 8% from the EU (2024: 11%) and
11% from elsewhere (2024: 11%). The top 10 customers accounted for 16% of
total revenues in line with 2024.
Subscription revenues typically accrue from twelve-month contracts, invoiced
up front, for our compliance e-learning libraries and compliance technology.
During 2025, subscription revenue growth helped grow the proportion of
revenues from subscriptions to 87% (2024: 83%) of total revenues.
ARR
The Group monitors Annual recurring revenue (ARR*) as a key performance
indicator to measure subscription sales progress. ARR grew by 19% to £13.8
million over the past 12 months (31 December 2024: £11.6 million). Average
ARR per client increased 9% (excluding Core Compliance) on the previous year
to £11,133 (2024: £10,206), and the number of ARR clients increased 8% to
1,221 (2024: 1,133).
New sales lifted ARR by 18% from December 2024, and the net retention rate was
101% (2024: 101%), which included 7% churn (2024: 11%). 2025 net retention was
boosted by a standard 3% price rise on new business and renewals throughout
the year (2024: 7%). Since the IPO in December 2021, ARR has achieved a 4-year
compound annual growth rate of 24%.
ARR growth was supported by several recently launched products or plans. In
January 2024, Skillcast Premium was launched, an all-inclusive service bundle
that includes e-learning and all our compliance management "GRC" products to
support upsells. ARR from Premium Plan increased 69% on the year in 2025 to
account for 9.1% of total ARR at 31 December 2025 (6.4% at 31 December 2024).
In December 2023, we released Skillcast Core Compliance, our self-serve,
cost-effective compliance e-learning solution for small businesses with up to
50 users. ARR from CoreCompliance increased 169% on the year in 2025 to
account for 1.5% of total ARR at 31 December 2025 (0.6% at 31December 2024).
In January 2025, we launched our Enhanced Learning plan which bundles our
collection of features designed to enhance the learning experience and improve
efficiency. Enhanced Learning accounted for 3% of total ARR at 31 December
2025.
The combined ARR from our three new products/plans described above increased
125% at 31 December 2025 on the same date in the prior year, with their
contribution to mix of total ARR increasing by 90% to 13.6% (31 December 2024:
7.1%).
ARR mix by package 2025 (000s) 2024 (000s) YOY % 31.12.25 31.12.24 Change
Standard £11,920 £10,807 10% 86.4% 92.9% -6.4%
Core £202 £75 169% 1.5% 0.6% 0.8%
Enhanced £413 £9 4561% 3.0% 0.1% 2.9%
Premium £1,261 £748 69% 9.1% 6.4% 2.7%
Non-standard sub-total £1,875 £832 125% 13.6% 7.1% 6.4%
Total ARR £13,795 £11,639 19% 100.0% 100.0% 0.0%
Revenue from Professional Services was £2.0 million, which was 9% below the
same period last year (2024: £2.3 million). The reduction reflects the
continued challenges faced in the non-strategic bespoke e-learning market.
Gross profit
Gross profit margin increased by 2.1 percentage points to 75.7% (2024: 73.6%).
The increase was primarily due to a continued reduction in the Professional
Services team in response to falling demand for bespoke Professional Services.
As a result of headcount reductions made in 2024 as a response to the falling
demand, gross margins for Professional Servies increased by 9% points to 62%
(2024: 53%). Gross Margin from our SaaS revenues remained level on the year
at 78%.
Overheads
Overheads were £10.4 million in the period, a 9% increase on the prior year
of £0.9 million (2024: £9.5 million). 74% of overheads are
employee-related in line with the previous year (2024: 78%), and the 9%
increase in overhead employment costs was driven by a 4% average employment
cost increase and 5% increase in average headcount. The 6% increase in the
year from non-people costs was mainly from increased marketing, professional
fees and share-based payment charge from 3.3 million share options which were
granted to employees during the year.
Overheads excluding depreciation and amortisation as a percentage of ARR
continued to fall during the year and represented 73% of ARR in 2025, 6
percentage points below 2024.
Headcount
On 31 December 2025, the total headcount had increased by 5 to 125 (31
December 2025: 120). Total average headcount increased in 2025 by 3% to 125
(2024: 121). The largest growth area was in the client services function, with
an increase of four heads during the period. Total staff costs increased 8% to
£10.2 million (2024: £9.5 million), with average salary increases of 4%
awarded in January 2025.
EBITDA
As a consequence of continued operational gearing in the business, increasing
gross margin and slower overhead growth, the Group delivered a 202% increase
in EBITDA of £1.5 million (2024: £0.5 million).
The Group's stated medium-term aim is to achieve The Rule of 40***, which was
29% in 2025 (ARR increase +19%, EBITDA margin +10%) and in line with the prior
year (ARR increase +25%, EBITDA margin +4%).
Depreciation and amortisation
The Group incurred £0.2 million in depreciation and amortisation (December
2024: £0.3 million) relating to office and IT equipment and leases for its
two offices in London and Malta. The Group does not capitalise any research or
development costs.
Interest receivable
£0.4 million of bank interest was received on cash balances during the year
(2024: £0.3 million) as the Group benefited from increased surplus cash on
deposit.
Tax
The Group reported a profit before tax of £1.6 million (2024: £0.5 million).
The taxation charge for the Group in 2025 was £0.3 million. The effective tax
rate in 2025 is 21% due primarily to the lower corporation tax rate of 5% in
the Maltese subsidiaries compared to 25% in the UK.
Earnings per share (EPS)
The basic earnings per share for the period was 1.450 pence on 89.5 million
shares (2024: 0.572 pence). On a diluted basis, on 91.3 million shares, the
EPS was 1.421 pence (2024: 0.570p).
Dividends
With a business backed by strong ARR growth supporting future recurring
revenues that provide strong cash generation, the Board is committed to paying
dividends. Our stated dividend policy for the foreseeable future is to
increase dividends broadly in line with increases in subscription revenues.
Accordingly, at the AGM on 23 June 2026, the Board will propose a final
dividend per share of 0.418 pence per share, up 20% on the 0.349 pence paid as
the final dividend for 2024. Taken in combination with an interim dividend
per share of 0.202 pence that was paid in October 2025 this will result in a
full year dividend per share of 0.620 pence (2024: 0.517 pence) an increase of
20%. The final dividend will be paid on 24 July 2026 to shareholders on the
register on 4 July 2026.
Balance sheet and cash flow
Net assets at 31 December 2025 were £7.0 million (31 December 2024: £5.8
million). The £1.2 million increase in the year was due to the £1.3 million
in comprehensive income in the year and £0.3 million increase in the share
option reserve, less £0.5 million of dividend payments.
Non-current assets of £0.7 million at 31 December 2025 in line with the prior
year. Reductions in property, plant and equipment and right-of-use assets were
offset by increases in deferred tax asset principally from the increase in the
intrinsic value of employee share options. The Group does not capitalise any
intellectual property additions to its products' content or technology, and
costs are expensed as they are incurred.
Current assets, excluding cash, were £3.6 million at 31 December 2025 (31
December 2024: £4.3 million). This predominantly includes trade receivables,
which reduced 7% to £2.9 million at 31 December 2025 (31 December 2024: £3.1
million) despite the 16% growth in revenue on the year through improved cash
collection and the introduction of standard subscription contract auto-renewal
terms introduced during 2024. As a consequence, debtor days at 31 December
2025 were 45 (31 December 2024: 54). Debtors more than 60 days overdue
represented 6% of trade receivables at 31 December 2025 (31 December 2024:
11%). Other non-trade receivables were £0.8m at 31 December 2025, a £0.5m
reduction due to a receipt of Maltese withholding tax relating to tax rebates
on dividends declared from subsidiary companies (31 December 2024: £1.3m).
Total liabilities at 31 December 2025 of £10.0 million increased by £1.7
million on the year (31 December 2024: £8.3 million). The biggest contributor
to the increase was a £1.6 million increase in unrecognised revenue from
signed contracts, representing a 28% increase on the year reflecting the
growth in ARR and the more efficient renewal process.
The Group has no bank debt and at 31 December 2025, held cash of £12.7
million (31 December 2024: £9.1 million). Free cash flow** during the year
was £3.7 million (2022: £2.0 million) as the Group generated cash from a
return to profitability of £1.6 million (2024: £0.5 million), and upfront
payments from a growing contractual book of £1.6 million (2024: £1.8
million) and £0.5 million withholding tax credit receipt relating to prior
years.
Alternative Performance Measures
The Group elects to report certain financial measures not defined or
recognised under IFRS, including EBITDA. See note 3 of the Group Consolidated
Accounts, Annual Recurring Revenue (ARR) and Free Cash Flow defined below.
*Annual Recurring Revenue (ARR)
ARR is also used to assess the performance and the trend of subscription
revenue. ARR is calculated by multiplying the Monthly Recurring Revenue
("MRR") by twelve. MRR is defined as the subscription revenue recognised in a
month, excluding any retrospective upward adjustments arising at the end of
the contract where there have been more subscribers than a client originally
contracted for, less any contract losses (Churn) or downward adjustments
arising on contract renewal. The Directors consider that the ARR, derived from
software-as-a-service (SaaS) sales, is a key measure of the performance of the
business.
** Free cash flow is calculated as net cash flows from operations less capital
expenditure and lease costs.
*** Rule of 40
The Rule of 40 is defined as the addition of the EBITDA percentage margin in
the year and the ARR percentage growth on the previous year.
Richard Steele
Chief Financial Officer
28 April 2026
Skillcast Group PLC
Consolidated statement of profit or loss and other comprehensive income
For the year ended 31 December 2025
Note 2025 2024
£
Revenue 4 15,348,469 13,240,009
Cost of sales (3,731,716) (3,495,768)
Gross profit 4 11,616,753 9,744,241
Administrative expenses (10,351,289) (9,499,526)
Operating profit 1,265,464 244,715
Earnings before interest, tax, depreciation & amortisation 3 1,507,460 499,958
Other Income - 400
Finance income 375,825 328,330
Finance expense (9,206) (24,806)
Profit before taxes 5 1,632,083 548,639
Income tax 7 (335,357) (37,270)
Profit after tax and total comprehensive income 1,296,726 511,369
Earnings per share:
Basic 17 1.450p 0.572p
Diluted 17 1.421p 0.570p
Skillcast Group PLC
Consolidated statement of financial position
As at 31 December
Note 2025 2024
£ £
Assets
Non-current assets
Property, plant and equipment 10 213,867 265,146
Right-of-use assets 11 158,468 309,196
Intangible Assets 8,456 -
Deferred tax assets 14 328,630 84,611
709,421 658,953
Current assets
Trade and other receivables 8 3,605,942 4,330,686
Cash and cash equivalents 9 12,684,596 9,115,118
16,290,538 13,445,804
TOTAL ASSETS 16,999,959 14,104,757
Issued capital and reserves attributable to owners
Share capital 16 89,459 89,459
Share Premium 3,490,541 3,490,541
Share Option Reserve 19 740,737 388,731
Retained earnings 2,672,665 1,868,861
Total equity 6,993,402 5,837,592
Liabilities
Current liabilities
Trade and other payables 12 2,228,984 2,200,156
Contract liability 13 7,270,906 5,684,309
Current lease liabilities 71,902 184,964
Income tax payable 13 344,345 35,414
9,916,137 8,104,843
Non-current liabilities
Long-term lease liabilities 90,420 162,322
90,420 162,322
Total liabilities 10,006,557 8,267,165
TOTAL EQUITY AND LIABILITIES 16,999,959 14,104,757
Skillcast Group PLC
Consolidated statement of changes in equity
For year ended 31 December 2025
Note Share capital Share Premium Share Option Reserve Retained earnings Total
1 January 2024 89,459 3,490,541 355,029 1,757,376 5,692,405
Comprehensive Income for the year
Profit for the year - - - 511,369 511,369
Total comprehensive Income for the period for the year - - - 511,369 511,369
Contributions by and distributions to owners
Share Option Reserve - - 33,702 - 33,702
Dividends - Prior Year 19 (249,592) (249,592)
Dividends - Current Year 19 - - - (150,292) (150,292)
Total contributions by and distributions to owners - - 33,702 (399,884) (366,182)
31 December 2024 89,459 3,490,541 388,731 1,868,861 5,837,592
1 January 2025 89,459 3,490,541 388,731 1,868,861 5,837,592
Comprehensive Income for the period for the year
Profit for the year - - - 1,296,726 1,296,726
Total comprehensive Income for the period for the year - - - 1,296,726 1,296,726
Contributions by and distributions to owners
Share-based payments: excess tax benefit credited to equity 15 - - 262,777 - 262,777
Share Option Reserve - - 89,229 - 89,229
Dividends - Prior Year 19 (312,214) (312,214)
Dividends - Current Year 19 - - - (180,708) (180,708)
Total contributions by and distributions to owners - - 352,006 (492,922) (140,916)
31 December 2025 89,459 3,490,541 740,737 2,672,665 6,993,402
Skillcast Group PLC
Consolidated statement of cash flows
For the year ended 31 December
Note 2025 2024
£ £
Cash flows from operating activities
Profit before tax 1,632,083 548,639
Adjustments for:
Depreciation of property, plant and equipment 3 90,641 102,051
Depreciation of right-of-use assets 3 150,728 150,728
Amortisation of Intangible assets 3
627 -
Finance income (375,825) (328,330)
Share based payment 89,229 33,702
Finance expense 9,206 24,806
Unrealised foreign exchange (gain)/ loss (6,718) 4,670
1,589,971 536,266
Changes in working capital
(Increase)/decrease in trade and other receivables 724,742 (90,918)
Increase in trade and other payables, including contract liabilities 1,615,422 1,812,620
Cash generated from operations 3,930,135 2,257,968
Income taxes paid (7,663) (98,263)
Net cash flows from operating activities 3,922,472 2,159,705
Cash flow from investing activities
Purchases of property, plant and equipment (39,362) (43,435)
Purchases of intangible assets (9,083)
-
Interest received 375,825 328,330
Net cash generated in investing activities 327,380 284,895
Cash flow financing activities
Principal paid on lease liabilities (184,964) (121,803)
Dividends paid (492,922) (399,884)
Interest paid on lease liabilities (9,206) (24,806)
Net cash (used in) financing activities (687,092) (546,493)
Net increase in cash and cash equivalents 3,562,760 1,898,107
Effects of foreign exchange fluctuations on cash and cash equivalents 6,718 (4,670)
Cash and cash equivalents at beginning of period 9,115,118 7,221,681
Cash and cash equivalents at end of period 12,684,596 9,115,118
Skillcast Group PLC
Notes to the consolidated financial statements
31 December 2025
1 General Information
Skillcast Group PLC ('Company') is registered in the United Kingdom with
registration number 12305914 and is limited by shares and registered on the
London AIM stock exchange. Its registered office is at 80 Leadenhall Street,
London, England, EC3A 3DH. The Company is the ultimate parent of Inmarkets
Ltd, Inmarkets Group Ltd and Inmarkets International Ltd.
This report and financial statements reflect the consolidated activities and
transactions of the Company and other group companies ('Group').
The Company is primarily involved in providing management services to other
entities in the group. The Group provides software and content subscriptions
and related professional services to enable companies to transform their staff
compliance. Operating from its two bases, in London and Malta, the Group helps
companies across a broad spectrum of industry sectors in the UK, EU and in the
rest of the world, to train their staff and demonstrate compliance with
various laws, regulations, and standards that are relevant for their business.
2.1 Basis of preparation and statement of compliance
The Financial information set out in this announcement does not constitute the
Company's statutory accounts for the years ended 31 December 2025 or 2024 but
is derived from the 2025 accounts.
A copy of the statutory accounts for the year to 31 December 2025 will be
available on the Company's website and will be delivered to the Registrar of
Companies following the Company's AGM. The auditors have reported on those
accounts, their report was (i) Unqualified, (ii) did not include a reference
to any matters to which the auditors drew attention by way of emphasis without
qualifying their report and (iii) did not contain a statement under section
498 (2) or (3) of the Companies Act 2006 in respect of the accounts for 2024
nor 2025.
Whilst the financial statements from which this announcement is derived have
been prepared in accordance with UK-adopted International Accounting Standards
and applicable law, this announcement does not itself contain sufficient
information to comply with the UK-adopted International Accounting
Standards. The Annual Report, containing full financial statements that
comply with UK-adopted International Accounting Standards, will be published
to shareholders later in May 2025.
The group meets its day to day working capital requirements from the cash
flows generated by its trading activities and it's available cash resources.
As at the 31st of December 2025 the group had £12.7 million of cash. The
group prepares cash flow forecasts and reforecasts regularly as part of the
business planning process. The directors have reviewed forecast cash flows for
the forthcoming 12 months for the group from the date of the approval of the
financial statements and consider that the group will have sufficient cash
resources available to meet its liabilities as they fall due.
2.2 Summary of material accounting policies
Revenue recognition
Software as a Service (SaaS) subscriptions
The Group provides subscriptions for the right of access to its content and
technology products to clients for subscription periods of typically twelve
months.
Revenue is recognised evenly (apportioned on a monthly basis), over the
contractual period of the subscription for all products and services
contracted for.
The Group has fulfilled its performance obligations once all products and
services have become available for use for the client, and recognises revenue
on this basis irrespective of whether the products or services are
subsequently used.
The balance of the revenue which has not been recognised at the reporting date
is deferred as a contract liability in current liabilities, until it is due to
be recognised as revenue.
Professional services
The Group provides customised and standard content to its clients provided
under fixed-price contracts which is generally non-recurring revenue.
Fixed price contracts are recognised on the percentage of completion method
unless the outcome of the contract cannot be reliably determined, in which
case contract revenue is only recognised to the extent of contract costs
incurred that are recoverable. This is because either the Group is creating an
asset with no alternative use to it and the contract contains the right to
payment for work completed to date, or the client is simultaneously receiving
and consuming the benefits of the Group's services as it performs.
Business development costs incurred as part of a bid or tender process are
expensed as incurred. There are no material costs incurred during the period
between the contract being awarded and service delivery commencing.
For fixed-price contracts, the client pays the fixed amount based on a payment
schedule. If the services rendered by the Group exceed the payment, an amount
recoverable on contract assets is recognised. Conversely, if the payments
exceed the services rendered, a liability is recognised.
Amounts recoverable on contracts are included in current assets and represent
revenue recognised on account.
Segmentation
IFRS 8 requires operating segments to be identified on the basis of internal
reports about components of the Group that are regularly reviewed by the chief
operating decision-maker (which takes the form of the Board of Directors of
the Group), in order to allocate resources to the segment and to assess its
performance. The Directors of the Group consider the Group is organised as one
business unit and all assets, liabilities, revenues and expenditure are
retained and recorded as such. However, the Group does segment revenue by type
of revenue, namely SaaS subscriptions and Professional Services, and on a
geographic basis.
However, the Group analyses and consider costs and gross profit of SaaS and
Professional Services. The Group apportions Cost of Sales between the two
operating segments on a time spent and notional allocation basis. It is
expected that this will continue in the future and be developed further. The
purpose of this is to provide more insight for decision making. See note 4 for
gross profit information.
Foreign currencies
The financial statements are presented in the Company's functional currency,
Pounds Sterling, being the currency of the primary economic environment in
which the Group operates. Transactions denominated in currencies other than
the functional currency are translated at the rates of exchange ruling on the
date of transaction. Monetary assets and liabilities denominated in currencies
other than the functional currency are re-translated to the functional
currency at the exchange rate ruling at year end. Exchange differences arising
on the settlement and on the re-translation of monetary items are dealt with
in the statement of comprehensive income. When deemed to be material these
will be disclosed.
Taxes
Current and deferred tax is recognised in profit or loss, except when it
relates to items recognised in other comprehensive income or directly in
equity, in which case the current and deferred tax is also dealt with in other
comprehensive income or in equity, as appropriate.
Current tax is based on the taxable result for the period. The taxable result
for the period differs from the result as reported in profit or loss because
it excludes items which are non-assessable or disallowed and it further
excludes items that are taxable or deductible in other periods. It is
calculated using tax rates that have been enacted or substantively enacted by
the end of the reporting period.
Deferred tax is accounted for using the balance sheet liability method in
respect of temporary differences arising from differences between the carrying
amount of assets and liabilities in the financial statements and the
corresponding tax bases used in the computation of taxable profit.
Deferred tax liabilities are generally recognised for all taxable temporary
differences and deferred tax assets are recognised to the extent that it is
probable that taxable profits will be available against which deductible
temporary differences can be utilised.
Deferred tax is calculated at the tax rates that are expected to apply to the
period when the asset is realised or the liability is settled, based on tax
rates that have been enacted or substantively enacted by the end of the
reporting period.
Current tax assets and liabilities are offset when the Group has a legally
enforceable right to set off the recognised amounts and intends either to
settle on a net basis, or to realise the asset and settle the liability
simultaneously.
Deferred tax assets and liabilities are offset when the Group has a legally
enforceable right to set off its current tax assets and liabilities and the
deferred tax assets and liabilities relate to income taxes levied by the same
taxation authority on either the same taxable entity or different taxable
entities which intend either to settle current tax liabilities and assets on a
net basis, or to realise the assets and settle the liabilities simultaneously,
in each future period in which significant amounts of deferred tax liabilities
or assets are expected to be settled or recovered.
For equity-settled share-based payments, the Group recognises a deferred tax
asset for the expected future tax deduction. The deferred tax credit is
allocated between profit or loss and equity: the portion that relates to the
cumulative IFRS 2 expense is recognised in profit or loss, and any excess tax
benefit is recognised directly in equity.
In 2025, the Group's Maltese subsidiaries elected to become members of a
Maltese Fiscal Unit, with Inmarkets Group Limited acting as the Principal
Taxpayer responsible for filing and settling a single Maltese tax return for
the unit. The arrangement affects only the measurement and allocation of
current and deferred taxation in accordance with IAS 12 Income Taxes. Each
Maltese entity continues to recognise its own taxable profit or temporary
differences, adjusted for amounts allocated under the Fiscal Unit mechanism.
Any resulting intra-group tax-allocation balances are eliminated on
consolidation. The Fiscal Unit does not affect the Group's consolidation
boundary or the basis of consolidation under IFRS 10.
3 Earnings before interest, tax, depreciation, and amortisation EBITDA
2025 2024
£ £
Operating profit 1,265,464 244,715
Other interest - 2,464
Depreciation - PPE 90,641 102,051
Depreciation - ROU 150,728 150,728
Amortisation - Intangible assets 627 -
EBITDA 1,507,460 499,958
EBITDA is not a term recognised under IFRS and therefore the reported figures
may not be comparable to other companies with similar measures.
4 Revenue & gross profit
2025 2024
£ £
Revenue by major product lines
Software as a Service (SaaS) subscriptions (i) 13,299,407 10,987,628
Professional services (ii) 2,049,062 2,252,381
15,348,469 13,240,009
(i) SaaS subscriptions - The Group provides right of access of subscriptions
to its content and technology products to the customer over time for the
subscription periods that are typically twelve months. The revenue is
recognised evenly over the period of the subscription. This revenue includes
subscriptions to: (a) Skillcast Portal - the Group's integrated compliance
management application that comes with a broad range of tools, namely SELMS,
Policy Hub, Compliance Declarations, Surveys, Compliance Registers, Training
360, Events Management and SMCR 360; and (b) the Skillcast OTS course
libraries, namely Essentials, FCA Compliance, Insurance Compliance and Risk.
(ii) Professional services - The Group provides customised and standard
content to its clients under fixed-price contracts. This non-recurring revenue
includes: (a) bespoke e-learning development projects for large corporates;
(b) translations of those bespoke courses; (c) customisation of OTS courses
for subscription clients; and (d) other content and technology consultancy.
2025 2024
£ £
Gross profit by product lines
Software as a Service (SaaS) subscriptions (i) 10,355,293 8,548,375
Professional services (ii) 1,261,460 1,195,866
11,616,753 9,744,241
The Group has analysed costs along product lines after having identifiable
direct costs and using judgement to allocate other direct costs such as staff
based on a proportion related to that product line.
2025 2024
£ £
Revenue geographic split by customer
UK 12,415,176 10,393,492
Europe 1,192,370 1,444,687
Rest of world 1,740,923 1,401,830
15,348,469 13,240,009
Non-current assets in which they are based are shown below:
Property, plant and equipment
UK 102,684 140,673
Malta 111,183 124,473
213,867 265,146
Right of use assets
UK 43,940 149,492
Malta 114,528 159,704
158,468 309,196
Intangible assets
UK 8,456
-
Malta -
-
8,456
-
5 Profit before taxes
The profit before taxation is stated after charging the following amounts:
2025 2024
£ £
Staff cost (CoS) 2,547,935 2,443,389
Subcontracted services (Admin and CoS) 731,728 667,124
Staff costs (Admin) 6,416,318 5,877,136
Directors' salary & wages 1,045,059 1,128,125
Professional fees 584,902 486,877
Depreciation and amortisation expense 241,996 252,780
Fees payable to the Company's auditor for the audit of Parent and Subsidiaries 75,485 99,425
The aggregate amount of research and development expenditure recognised as
expenses during the period is £1,482,709 (2024: £1,291,200).
6 Staff costs and employee information
2025 2024
£ £
Salaries & wages 8,477,640 8,291,777
Social security costs 997,575 841,545
Pension 534,077 189,440
Share-based payment expenses 89,223 33,702
Other payroll costs 122,114 92,186
10,220,629 9,448,650
The Group companies contribute towards the state pension in accordance with
local legislation. The only obligation of the companies is to make the
required contributions. Costs are expensed in the period in which they are
incurred. In April 2024 the Group switched to a salary sacrifice scheme in the
UK.
Number of staff
At 31 December At 31 December Average Average
2025 2024 2025 2024
Directors 7 7 7 7
Administration 5 5 6 5
Client Service 37 33 36 30
Operations/Production 13 18 15 20
Sales & Marketing 33 32 34 34
Finance 7 5 6 5
Technology 23 20 21 20
125 120 125 121
Key management personnel
The remuneration of key management personnel (considered to be the Directors
and Senior Management) is £1,531,210 (2024: £1,418,369) and is set out in
the table below in aggregate for each of the categories specified in IAS24:
Related Party Disclosures. See note 18 for additional information relating
to related party transactions that are included in the table below.
2025 2024
Directors Senior Management Total Directors Senior Management Total
£ £ £ £ £ £
Wages and Salaries 1,045,059 123,831 1,168,890 926,118 111,001 1,037,119
Social Security 137,193 2,429 139,621 149,600 2,410 152,010
Pension 55,188 3,328 58,516 44,651 0 44,651
Share-based payment expenses 11,743 904 12,647 563 13,343 13,906
Other benefits 7,193 0 7,193 7,193 0 7,193
Consultancy fees 0 144,342 144,342 0 163,490 163,490
1,256,376 274,834 1,531,210 1,128,125 290,244 1,418,369
The Company made contributions to defined contribution personal pension
schemes for three Directors in the period (2024: three).
Vivek Dodd is a Director and owns more than 50% of the shares in the parent
company and is the ultimate controlling party.
7 Income tax expense
2025 2024
£ £
Current year tax charge 344,345 19,120
Prior year tax charge (27,746) 80,123
Deferred tax movement (601) (61,973)
Prior year deferred tax charge 19,359
-
335,357 37,270
Areconciliation of the current income tax expense applicable to the profit
before taxation at the statutory rate to the current income tax expensed at
the effective tax rate of the Company is as follows:
2025 2024
£ £
Profit before taxation 1,632,083 548,639
Tax calculated at applicable UK statutory tax rate of 25% (2024: 25%) 408,021 135,757
Tax effects of:
-Expenses not deductible for tax purposes 25,879 21,951
-Utilisation of losses brought forward - (118,100)
-Differing tax rates due to trade in different jurisdictions (72,915) 23,080
-Prior year tax paid and adjustment (28,366) 83,089
-Deferred tax credited to equity 262,777
-
-Deferred tax movement and temporary differences (260,916) (119,508)
-Other adjustments 877 11,001
Current income tax 335,357 37,270
The Company provides for income taxes on the basis of its income for financial
reporting purposes, adjusted for items that are not assessable or deductible
for income tax purposes in accordance with the regulation of domestic tax
authorities.
The effective rate of tax for the year ended 31 December 2025 was 20.55%
(2024: 7%). This effective tax rate is a combination of the following items:
* the tax rates and tax regimes in the UK and Malta in which the businesses
of the Company operate;
* used capital losses;
* the tax loss carry forward regulations in different jurisdictions.
* the diverse tax treatments of deferred consideration amounts applied in
each jurisdiction;
* deferred tax;
* As at 31/12/2024 the Group had unutilised trading losses of £66,607.
The tax rates applicable in the jurisdictions are:
* UK: The applicable statutory tax rate for 2025 is 25% (2024: 25%)
* Malta: Income taxes are due at 5% (2024: 35%) of taxable income.
8 Current assets - trade and other receivables
2025 2024
£ £
Trade receivables 2,883,688 3,106,264
Less: Allowance for expected credit losses (61,996) (58,558)
2,821,692 3,047,706
Prepayments 425,713 404,704
Accrued Income 165,783 195,343
Maltese withholding tax 138,661 628,057
Other receivables 54,093 54,876
784,250 1,282,980
As of 31 December 2024, trade receivables totalled £2,883,688 (2024:
£3,106,574). Within this figure, £2,169,751 was not due (2024: £2,060,434).
The directors believe that the value of provisions is sufficient although any
actual impairment can be higher or lower.
The Maltese withholding tax relates to withholding tax rebate claim post a
Group restructure necessary for the IPO in December 2021. £0.5m was
received in 2025 relating to 2021. £0.1m outstanding relating to 2022
expected to be received in 2026. No further rebates expected following the
election made in 2024 to file as a Maltese Fiscal Group.
9 Current assets - cash and cash equivalents
2025 2024
£ £
Cash at bank 12,684,596 9,115,118
12,684,596 9,115,118
2025 2024
£ £
Geographic split
United Kingdom 12,123,992 8,715,774
Malta 560,604 399,344
12,684,596 9,115,118
2025 2024
£ £
Cash Held by Currency (in Pound Sterling)
Pound Sterling 12,326,517 8,520,192
Euro 337,754 538,828
Czech Koruna 374 135
US Dollar 19,951 55,963
12,684,596 9,115,118
10 Non-current assets - property, plant and equipment
The accounting policies for Property, Plant and Equipment ("PPE")are set out
in Note 2.4 (Accounting Policies). In accordance with IAS 16.73(d), the
Group discloses for each class of PPI the gross carrying amount and
accumulated depreciation at the beginning and end of the reporting period,
together with movements arising from additions, disposals, reclassifications,
and depreciation charges.
Reconciliation of Carrying Amounts
Cost/Valuation Computer Software & Hardware Furniture and Fixtures Office Equipment Leasehold Improvements Total
Gross carrying amount - 1 January 2024 614,617 210,325 49,407 225,190 1,099,539
Additions 39,054 3,850 490 76 43,470
Gross carrying amount - 31 December 2024 653,671 214,175 49,897 225,266 1,143,009
Gross carrying amount - 1 January 2025 653,671 214,175 49,897 225,266 1,143,009
Additions 35,283 1,190 2,324 565 39,362
Disposals *(see Disposals-Additional Required Detail) - 457,997 - 58,495 - 44,806 - - 561,298
Reclassifications/Transfers 3,355 - - - 3,355
Gross carrying amount - 31 December 2025 234,312 156,870 7,415 225,831 624,428
Accumulated Depreciation Computer Software & Hardware Furniture and Fixtures Office Equipment Leasehold Improvements Total
Accumulated depreciation - 1 January 2024 544,368 108,756 46,928 75,760 775,812
Depreciation charge for the year 46,919 15,690 1,273 38,169 102,051
Accumulated depreciation - 31 December 2024 591,287 124,446 48,201 113,929 877,863
Accumulated Depreciation Computer Software & Hardware Furniture and Fixtures Office Equipment Leasehold Improvements Total
Accumulated depreciation - 1 January 2025 591,287 124,446 48,201 113,929 877,863
Depreciation charge for the year 35,695 15,701 985 38,260 90,641
Disposals (relating to asset disposed) - 457,997 - 58,495 - 44,806 - - 561,298
Reclassifications/Transfers 3,355 - - - 3,355
Accumulated depreciation - 31 December 2025 172,340 81,652 4,380 152,189 410,561
Net Book Value Computer Software & Hardware Furniture and Fixtures Office Equipment Leasehold Improvements Total
Net Book Value - 31 December 2024 62,384 89,729 1,696 111,337 265,146
Net Book Value - 31 December 2025 61,972 75,218 3,035 73,642 213,867
Geographic Split UK Malta Total
Net Book Value - 31 December 2024 140,673 124,473 265,146
Net Book Value - 31 December 2025 102,684 111,183 213,867
Disposals - Additional required detail
In accordance with IAS 16's reconciliation requirements (para. 73e), disposals
must be disclosed as part of the movement schedule. The following table
provides a clear breakdown of the disposed assets, including carrying amounts,
proceeds, and gains or losses recognised:
Detailed Disposal Analysis Computer Software & Hardware Furniture and Fixtures Office Equipment Leasehold Improvements Total
Carrying amount of assets disposed 457,997 58,495 44,806 - 561,298
Less: Accumulated depreciation reversed on disposal - 457,997 - 58,495 - 44,806 - - 561,298
Net book value at disposal date - - - - -
Proceeds from disposal - - - - -
Gain/(loss) on disposal recognised in profit or loss - - - - -
During the year, the Group disposed of certain items of PPE primarily relating
to obsolete and discarded IT Equipment, Furniture & Fixtures and Office
Equipment.
11 Non-current assets - Right-of-use assets
The Group leases office premises. Right-of-use ("ROU") assets are recognised
at the present value of future lease payments and subsequently measured at
cost less accumulated depreciation and impairment, in accordance with IFRS
16. Depreciation is recognised on a straight-line basis over the shorter of
the asset's useful life and the lease term.
Carrying amounts of ROU Assets
Leasehold property Total
ROU assets - 1 January 2024 934,459 934,459
Additions (new leases) - -
Remeasurements/Modifications - -
Disposals/Lease terminations - -
ROU assets - 31 December 2024 934,459 934,459
ROU assets - 1 January 2025 934,459 934,459
Additions (new leases) - -
Remeasurements/Modifications - -
Disposals/Lease terminations - -
ROU assets - 31 December 2025 934,459 934,459
Accumulated Depreciation and Impairment
Accumulated depreciation - 1 January 2024 474,535 474,535
Depreciation charge for the year 150,728 150,728
Disposals/Lease terminations - -
Accumulated depreciation - 31 December 2024 625,263 625,263
Accumulated depreciation - 1 January 2025 625,263 625,263
Depreciation charge for the year 150,728 150,728
Disposals/Lease terminations - -
Accumulated depreciation - 31 December 2025 775,991 775,991
Net Book Value
Net book value - 31 December 2024 309,196 309,196
Net book value - 31 December 2025 158,468 158,468
Geographic Split UK Malta Total
Net book value - 31 December 2024 149,492 159,704 309,196
Net book value - 31 December 2025 43,940 114,528 158,468
12 Current liabilities - trade and other payables
2025 2024
£ £
Trade payables 286,490 179,695
Accruals 779,589 624,400
Amount due to shareholders 450 450
Sales and payroll taxes 687,920 1,294,594
Wages & Pension payable 474,535 101,017
2,228,984 2,200,156
13 Current liabilities - Contract liability
Subscriptions Professional Services Total
Balance at 1 January 2024 4,276,170 224,855 4,501,025
New Contracts 12,057,352 2,365,941 14,423,293
Revenue Recognised (10,987,628) (2,252,381) (13,240,009)
Balance at 31 December 2024 5,345,894 338,415 5,684,309
Balance at 1 January 2025 5,345,894 338,415 5,684,309
New Contracts 14,769,659 2,165,407 16,935,066
Revenue Recognised (13,299,407) (2,049,062) (15,348,469)
Balance at 31 December 2025 6,816,146 454,760 7,270,906
14 Current liabilities - Income tax
2025 2024
£ £
Corporation tax payable 344,345 35,414
15 Non-current liabilities - Deferred tax
2025 2024
£ £
Deferred tax asset 328,630 84,611
328,630 84,611
As at 31/12/2025 the Group derived £65,853 of the deferred tax asset from
temporary timing differences (2024: £84,611) and £262,777 from Share-based
payments (2024: NIL).
Breakdown of deferred tax by source
Share-based payments to equity 262,777 -
Other temporary differences 65,853 84,611
328,630 84,611
Movement in deferred tax during the year
Opening net deferred tax asset - 1 January 84,611 11,999
Prior Year Adjustment (19,359)
Deferred tax credit to profit 601 72,612
Deferred tax credit recognised directly in equity 262,777 -
Closing net deferred tax asset - 31 December 328,630 84,611
Deferred tax (credit) to profit or loss
2025 2024
£ £
Origination and reversal of temporary differences (18,758) 72,612
Share-based payments - P&L portion only - -
Deferred tax credit to profit (18,758) 72,612
Deferred tax recognised directly in equity
2025 2024
£ £
Shared-based payments - excess tax deduction 262,777 -
262,777 -
Deferred tax assets have been recognised as it is probable that there will be
sufficient future taxable profits available to recover or utilise them. The
Group returned to profitability in 2024 after a planned period of investment.
It has produced three year forecasts that support this judgement.
IAS 12 requires tax effects relating to items recognised in equity to also be
recognised in equity, including excess tax deductions arising from share-based
payments.
16 Equity - issued capital
2025 2024
£ £
Issued Shares 89,459,460 89,459,460
Par value per share 0.10p 0.10p
Total 89,459 89,459
All shares in the Company are fully paid up. Ordinary shares entitle the
holder to participate in dividends and the proceeds on the winding up of the
Company in proportion to the number of, and amounts paid, on the shares held.
On a show of hands, every member present at a meeting in person or by proxy
shall have one vote and upon a poll, each share shall have one vote.
17 Earnings per share
Earnings per share (EPS) is calculated on the basis of profit attributable to
equity shareholders divided by the weighted average number of shares in issue
for the year.
Diluted earnings per share has been calculated on the same basis as above,
except that the weighted average number of ordinary shares that would be
issued on the conversion of the dilutive potential ordinary shares as
calculated using the treasury stock method (arising from the Company's share
option scheme and warrants) into ordinary shares has been added to the
denominator.
2025 2024
£ £
Profit after tax 1,296,726 511,369
Weighted average number of ordinary shares (undiluted) 89,459,460 89,459,460
Effect of dilutive potential ordinary shares 1,796,711 274,595
Diluted average number of shares 91,256,171 89,734,055
Earnings per share (basic) 1.450p 0.572p
Earnings per share (diluted) 1.421p 0.570p
18 Dividends
2025 2024
Pence per £ Pence per £
share share
Dividend declared - Final 2024 0.349p 312,214
Dividend declared - Interim 2025 0.202p 180,708
Dividend declared - Final 2023 0.279p 249,592
Dividend declared - Interim 2024 0.168p 150,292
Dividend declared per share 0.551p 0.447p
During the period under review, the Group generated a profit after tax of
£1,296,726 (2024: £511,369). A final dividend of £312,214 (0.349p) was
declared and paid with regards to the year ended 2024 and £180,708 (0.202p)
interim dividend was declared and paid with regards to the year ended 2025.
The Group's policy is to at least maintain dividend payments.
The Board is proposing a final dividend of 0.418p per share. In combination
with the interim dividend, if confirmed by the shareholders at the AGM, this
will represent a total dividend for the year of £554,649 (2024: £462,282) or
0.620p per share based upon the number of shares currently in issue. If
further approved by shareholders at the AGM on 23 June 2026, the final
dividend will be paid on 24 July 2026 to shareholders on the register at the
close of business on 3 July 2026.
19 Share options and warrants
Share options
The share option scheme, adopted by the Company after admission to AIM on 1
December 2021, was established to reward and incentivise the executive
management team and staff for delivering share price growth. The option
schemes are equity settled.
The share scheme is administered by the Remuneration Committee.
3,380,000 options were granted during 2025 with a weighted average fair value
of 6 pence (2024: no options granted). 210,000 options lapsed during 2025
(2024: 600,000) with a weighted average fair value of 10 pence (2024: 10
pence) These fair values were based on the Company's share price at the date
of grant. Out of the 8,210,000 outstanding options (2024: 5,080,000),
5,649,749 options were exercisable (2024: 3,193,033).
A charge of £89,223 (2024: £39,094) has been recognised in the consolidated
statement of comprehensive income for the year relating to these options.
Options are exercisable in accordance with the contracted vesting schedules;
if an employee leaves the employment of the Company prior to the options
vesting, then unless otherwise agreed, the share options will lapse.
Details of the share options outstanding at the year-end are as follows:
Number WAEP* Number WAEP*
2025 2025 2024 2024
Outstanding at 1 January as per 2024 Reporting 5,080,000 32.5p 5,680,000 32.5p
Adjustments to prior years - 37.0p - -
Granted during the year 3,380,000 53.6p - -
Exercised during year - - - -
Lapsed during year 250,000 44.8p 600,000 35.1p
Outstanding at 31 December 8,210,000 40.6p 5,080,000 32.2p
Thereof exercisable at 31 December 5,649,749 34.3p 3,193,033 34.3p
* Weighted average exercise price
The weighted average remaining contractual life of the options outstanding at
the statement of financial position date is 7.59 years.
Share options granted are valued under the Black-Scholes model. All options
granted vest equally over 3 or 4 years. A dividend yield was assumed based on
the Group's stated policy of paying £400,000 per annum. In January 2025
1,360,000 Options were granted with an exercise price of 42.50 pence and in
October 2025 2,020,000 were granted with an exercise price of 61 pence. No
options were granted in 2024. An expected volatility of 30% has been assumed
for options granted in 2025. Options granted at the time of the IPO in 2021
had an exercise price equal to the IPO price of 37 pence.
20 Financing cash flows
A reconciliation of the financing cash flow is set out below:
2025 2024
£ £
Lease liability
At 1 January 347,286 469,089
Additions - -
Interest expense 9,206 24,806
Lease payments (194,170) (146,609)
At 31 December 162,322 347,286
Dividend liability
At 1 January - -
Dividends declared 492,922 399,884
Dividend payments (492,922) (399,884)
At 31 December - -
Net financing payments (687,092) (546,493)
Financing per statement of cash flows (687,092) (546,493)
A final dividend of £312,214 was declared and paid in 2025 with regards to
the year ended 31 December 2024 and £180,708 interim dividend was also
declared and paid for the year ended 31 December 2025.
21 Events after the reporting period
Apart from the final dividend declared as disclosed in note 20, no other
matter or circumstance has arisen since 31 December 2025 that has
significantly affected, or may significantly affect the Group's operations,
the results of those operations, or the Group's state of affairs in future
financial years.
8
Current assets - trade and other receivables
2025
2024
£
£
Trade receivables
2,883,688
3,106,264
Less: Allowance for expected credit losses
(61,996)
(58,558)
2,821,692
3,047,706
Prepayments
425,713
404,704
Accrued Income
165,783
195,343
Maltese withholding tax
138,661
628,057
Other receivables
54,093
54,876
784,250
1,282,980
As of 31 December 2024, trade receivables totalled £2,883,688 (2024:
£3,106,574). Within this figure, £2,169,751 was not due (2024: £2,060,434).
The directors believe that the value of provisions is sufficient although any
actual impairment can be higher or lower.
The Maltese withholding tax relates to withholding tax rebate claim post a
Group restructure necessary for the IPO in December 2021. £0.5m was
received in 2025 relating to 2021. £0.1m outstanding relating to 2022
expected to be received in 2026. No further rebates expected following the
election made in 2024 to file as a Maltese Fiscal Group.
9
Current assets - cash and cash equivalents
2025
2024
£
£
Cash at bank
12,684,596
9,115,118
12,684,596
9,115,118
2025
2024
£
£
Geographic split
United Kingdom
12,123,992
8,715,774
Malta
560,604
399,344
12,684,596
9,115,118
2025
2024
£
£
Cash Held by Currency (in Pound Sterling)
Pound Sterling
12,326,517
8,520,192
Euro
337,754
538,828
Czech Koruna
374
135
US Dollar
19,951
55,963
12,684,596
9,115,118
10
Non-current assets - property, plant and equipment
The accounting policies for Property, Plant and Equipment ("PPE")are set out
in Note 2.4 (Accounting Policies). In accordance with IAS 16.73(d), the
Group discloses for each class of PPI the gross carrying amount and
accumulated depreciation at the beginning and end of the reporting period,
together with movements arising from additions, disposals, reclassifications,
and depreciation charges.
Reconciliation of Carrying Amounts
Cost/Valuation
Computer Software & Hardware
Furniture and Fixtures
Office Equipment
Leasehold Improvements
Total
Gross carrying amount - 1 January 2024
614,617
210,325
49,407
225,190
1,099,539
Additions
39,054
3,850
490
76
43,470
Gross carrying amount - 31 December 2024
653,671
214,175
49,897
225,266
1,143,009
Gross carrying amount - 1 January 2025
653,671
214,175
49,897
225,266
1,143,009
Additions
35,283
1,190
2,324
565
39,362
Disposals *(see Disposals-Additional Required Detail)
- 457,997
- 58,495
- 44,806
-
- 561,298
Reclassifications/Transfers
3,355
-
-
-
3,355
Gross carrying amount - 31 December 2025
234,312
156,870
7,415
225,831
624,428
Accumulated Depreciation
Computer Software & Hardware
Furniture and Fixtures
Office Equipment
Leasehold Improvements
Total
Accumulated depreciation - 1 January 2024
544,368
108,756
46,928
75,760
775,812
Depreciation charge for the year
46,919
15,690
1,273
38,169
102,051
Accumulated depreciation - 31 December 2024
591,287
124,446
48,201
113,929
877,863
Accumulated Depreciation
Computer Software & Hardware
Furniture and Fixtures
Office Equipment
Leasehold Improvements
Total
Accumulated depreciation - 1 January 2025
591,287
124,446
48,201
113,929
877,863
Depreciation charge for the year
35,695
15,701
985
38,260
90,641
Disposals (relating to asset disposed)
- 457,997
- 58,495
- 44,806
-
- 561,298
Reclassifications/Transfers
3,355
-
-
-
3,355
Accumulated depreciation - 31 December 2025
172,340
81,652
4,380
152,189
410,561
Net Book Value
Computer Software & Hardware
Furniture and Fixtures
Office Equipment
Leasehold Improvements
Total
Net Book Value - 31 December 2024
62,384
89,729
1,696
111,337
265,146
Net Book Value - 31 December 2025
61,972
75,218
3,035
73,642
213,867
Geographic Split
UK
Malta
Total
Net Book Value - 31 December 2024
140,673
124,473
265,146
Net Book Value - 31 December 2025
102,684
111,183
213,867
Disposals - Additional required detail
In accordance with IAS 16's reconciliation requirements (para. 73e), disposals
must be disclosed as part of the movement schedule. The following table
provides a clear breakdown of the disposed assets, including carrying amounts,
proceeds, and gains or losses recognised:
Detailed Disposal Analysis
Computer Software & Hardware
Furniture and Fixtures
Office Equipment
Leasehold Improvements
Total
Carrying amount of assets disposed
457,997
58,495
44,806
-
561,298
Less: Accumulated depreciation reversed on disposal
- 457,997
- 58,495
- 44,806
-
- 561,298
Net book value at disposal date
-
-
-
-
-
Proceeds from disposal
-
-
-
-
-
Gain/(loss) on disposal recognised in profit or loss
-
-
-
-
-
During the year, the Group disposed of certain items of PPE primarily relating
to obsolete and discarded IT Equipment, Furniture & Fixtures and Office
Equipment.
11
Non-current assets - Right-of-use assets
The Group leases office premises. Right-of-use ("ROU") assets are recognised
at the present value of future lease payments and subsequently measured at
cost less accumulated depreciation and impairment, in accordance with IFRS
16. Depreciation is recognised on a straight-line basis over the shorter of
the asset's useful life and the lease term.
Carrying amounts of ROU Assets
Leasehold property
Total
ROU assets - 1 January 2024
934,459
934,459
Additions (new leases)
-
-
Remeasurements/Modifications
-
-
Disposals/Lease terminations
-
-
ROU assets - 31 December 2024
934,459
934,459
ROU assets - 1 January 2025
934,459
934,459
Additions (new leases)
-
-
Remeasurements/Modifications
-
-
Disposals/Lease terminations
-
-
ROU assets - 31 December 2025
934,459
934,459
Accumulated Depreciation and Impairment
Accumulated depreciation - 1 January 2024
474,535
474,535
Depreciation charge for the year
150,728
150,728
Disposals/Lease terminations
-
-
Accumulated depreciation - 31 December 2024
625,263
625,263
Accumulated depreciation - 1 January 2025
625,263
625,263
Depreciation charge for the year
150,728
150,728
Disposals/Lease terminations
-
-
Accumulated depreciation - 31 December 2025
775,991
775,991
Net Book Value
Net book value - 31 December 2024
309,196
309,196
Net book value - 31 December 2025
158,468
158,468
Geographic Split
UK
Malta
Total
Net book value - 31 December 2024
149,492
159,704
309,196
Net book value - 31 December 2025
43,940
114,528
158,468
12
Current liabilities - trade and other payables
2025
2024
£
£
Trade payables
286,490
179,695
Accruals
779,589
624,400
Amount due to shareholders
450
450
Sales and payroll taxes
687,920
1,294,594
Wages & Pension payable
474,535
101,017
2,228,984
2,200,156
13
Current liabilities - Contract liability
Subscriptions
Professional Services
Total
Balance at 1 January 2024
4,276,170
224,855
4,501,025
New Contracts
12,057,352
2,365,941
14,423,293
Revenue Recognised
(10,987,628)
(2,252,381)
(13,240,009)
Balance at 31 December 2024
5,345,894
338,415
5,684,309
Balance at 1 January 2025
5,345,894
338,415
5,684,309
New Contracts
14,769,659
2,165,407
16,935,066
Revenue Recognised
(13,299,407)
(2,049,062)
(15,348,469)
Balance at 31 December 2025
6,816,146
454,760
7,270,906
14
Current liabilities - Income tax
2025
2024
£
£
Corporation tax payable
344,345
35,414
15
Non-current liabilities - Deferred tax
2025
2024
£
£
Deferred tax asset
328,630
84,611
328,630
84,611
As at 31/12/2025 the Group derived £65,853 of the deferred tax asset from
temporary timing differences (2024: £84,611) and £262,777 from Share-based
payments (2024: NIL).
Breakdown of deferred tax by source
Share-based payments to equity
262,777
-
Other temporary differences
65,853
84,611
328,630
84,611
Movement in deferred tax during the year
Opening net deferred tax asset - 1 January
84,611
11,999
Prior Year Adjustment
(19,359)
Deferred tax credit to profit
601
72,612
Deferred tax credit recognised directly in equity
262,777
-
Closing net deferred tax asset - 31 December
328,630
84,611
Deferred tax (credit) to profit or loss
2025
2024
£
£
Origination and reversal of temporary differences
(18,758)
72,612
Share-based payments - P&L portion only
-
-
Deferred tax credit to profit
(18,758)
72,612
Deferred tax recognised directly in equity
2025
2024
£
£
Shared-based payments - excess tax deduction
262,777
-
262,777
-
Deferred tax assets have been recognised as it is probable that there will be
sufficient future taxable profits available to recover or utilise them. The
Group returned to profitability in 2024 after a planned period of investment.
It has produced three year forecasts that support this judgement.
IAS 12 requires tax effects relating to items recognised in equity to also be
recognised in equity, including excess tax deductions arising from share-based
payments.
16
Equity - issued capital
2025
2024
£
£
Issued Shares
89,459,460
89,459,460
Par value per share
0.10p
0.10p
Total
89,459
89,459
All shares in the Company are fully paid up. Ordinary shares entitle the
holder to participate in dividends and the proceeds on the winding up of the
Company in proportion to the number of, and amounts paid, on the shares held.
On a show of hands, every member present at a meeting in person or by proxy
shall have one vote and upon a poll, each share shall have one vote.
17
Earnings per share
Earnings per share (EPS) is calculated on the basis of profit attributable to
equity shareholders divided by the weighted average number of shares in issue
for the year.
Diluted earnings per share has been calculated on the same basis as above,
except that the weighted average number of ordinary shares that would be
issued on the conversion of the dilutive potential ordinary shares as
calculated using the treasury stock method (arising from the Company's share
option scheme and warrants) into ordinary shares has been added to the
denominator.
2025
2024
£
£
Profit after tax
1,296,726
511,369
Weighted average number of ordinary shares (undiluted)
89,459,460
89,459,460
Effect of dilutive potential ordinary shares
1,796,711
274,595
Diluted average number of shares
91,256,171
89,734,055
Earnings per share (basic)
1.450p
0.572p
Earnings per share (diluted)
1.421p
0.570p
18
Dividends
2025
2024
Pence per
£
Pence per
£
share
share
Dividend declared - Final 2024
0.349p
312,214
Dividend declared - Interim 2025
0.202p
180,708
Dividend declared - Final 2023
0.279p
249,592
Dividend declared - Interim 2024
0.168p
150,292
Dividend declared per share
0.551p
0.447p
During the period under review, the Group generated a profit after tax of
£1,296,726 (2024: £511,369). A final dividend of £312,214 (0.349p) was
declared and paid with regards to the year ended 2024 and £180,708 (0.202p)
interim dividend was declared and paid with regards to the year ended 2025.
The Group's policy is to at least maintain dividend payments.
The Board is proposing a final dividend of 0.418p per share. In combination
with the interim dividend, if confirmed by the shareholders at the AGM, this
will represent a total dividend for the year of £554,649 (2024: £462,282) or
0.620p per share based upon the number of shares currently in issue. If
further approved by shareholders at the AGM on 23 June 2026, the final
dividend will be paid on 24 July 2026 to shareholders on the register at the
close of business on 3 July 2026.
19
Share options and warrants
Share options
The share option scheme, adopted by the Company after admission to AIM on 1
December 2021, was established to reward and incentivise the executive
management team and staff for delivering share price growth. The option
schemes are equity settled.
The share scheme is administered by the Remuneration Committee.
3,380,000 options were granted during 2025 with a weighted average fair value
of 6 pence (2024: no options granted). 210,000 options lapsed during 2025
(2024: 600,000) with a weighted average fair value of 10 pence (2024: 10
pence) These fair values were based on the Company's share price at the date
of grant. Out of the 8,210,000 outstanding options (2024: 5,080,000),
5,649,749 options were exercisable (2024: 3,193,033).
A charge of £89,223 (2024: £39,094) has been recognised in the consolidated
statement of comprehensive income for the year relating to these options.
Options are exercisable in accordance with the contracted vesting schedules;
if an employee leaves the employment of the Company prior to the options
vesting, then unless otherwise agreed, the share options will lapse.
Details of the share options outstanding at the year-end are as follows:
Number
WAEP*
Number
WAEP*
2025
2025
2024
2024
Outstanding at 1 January as per 2024 Reporting
5,080,000
32.5p
5,680,000
32.5p
Adjustments to prior years
-
37.0p
-
-
Granted during the year
3,380,000
53.6p
-
-
Exercised during year
-
-
-
-
Lapsed during year
250,000
44.8p
600,000
35.1p
Outstanding at 31 December
8,210,000
40.6p
5,080,000
32.2p
Thereof exercisable at 31 December
5,649,749
34.3p
3,193,033
34.3p
* Weighted average exercise price
The weighted average remaining contractual life of the options outstanding at
the statement of financial position date is 7.59 years.
Share options granted are valued under the Black-Scholes model. All options
granted vest equally over 3 or 4 years. A dividend yield was assumed based on
the Group's stated policy of paying £400,000 per annum. In January 2025
1,360,000 Options were granted with an exercise price of 42.50 pence and in
October 2025 2,020,000 were granted with an exercise price of 61 pence. No
options were granted in 2024. An expected volatility of 30% has been assumed
for options granted in 2025. Options granted at the time of the IPO in 2021
had an exercise price equal to the IPO price of 37 pence.
20
Financing cash flows
A reconciliation of the financing cash flow is set out below:
2025
2024
£
£
Lease liability
At 1 January
347,286
469,089
Additions
-
-
Interest expense
9,206
24,806
Lease payments
(194,170)
(146,609)
At 31 December
162,322
347,286
Dividend liability
At 1 January
-
-
Dividends declared
492,922
399,884
Dividend payments
(492,922)
(399,884)
At 31 December
-
-
Net financing payments
(687,092)
(546,493)
Financing per statement of cash flows
(687,092)
(546,493)
A final dividend of £312,214 was declared and paid in 2025 with regards to
the year ended 31 December 2024 and £180,708 interim dividend was also
declared and paid for the year ended 31 December 2025.
21
Events after the reporting period
Apart from the final dividend declared as disclosed in note 20, no other
matter or circumstance has arisen since 31 December 2025 that has
significantly affected, or may significantly affect the Group's operations,
the results of those operations, or the Group's state of affairs in future
financial years.
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