REG - SysGroup PLC - Year End Trading Update

SysGroupAnnouncement

Tue 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250429:nRSc5175Ga&default-theme=true

RNS Number : 5175G  SysGroup PLC  29 April 2025

29 April 2025

 

SysGroup plc

("SysGroup" or the "Group")

 

Year End Trading Update

 

 

SysGroup plc (AIM:SYS), the technology services provider specialising in
digital and AI transformation for UK SMEs, is pleased to provide a trading
update for the year ended 31 March 2025 ("FY25").

 

Group Trading Performance

 

The Group expects to report revenues of £20.5m (FY24: £22.7m) and Adjusted
EBITDA(1) of £0.9m (FY24 £2.0m) in line with market expectation.

 

The Group ended the year with a strong gross cash balance of £8.7m (FY24:
£1.9m) and a net cash(2) position of £3.6m (FY24: net debt(2) of £3.4m),
excluding contingent consideration of £0.1m (FY24: £1.8m).  Following a
fund raising of £10.6m(3) in H1, the Group has made the following capital
 investments: (i) £1.8m relating to the final earn-out payment for the 2022
Truststream Security acquisition; (ii) £0.7m in capital expenditure,
including investment in our bespoke AI service desk platform; and (iii) £0.3m
for the acquisition of the trade and assets of Crossword Consulting Limited.

 

Heejae Chae, Executive Chair, commented:

Over the past year, we have made substantial investments to position the Group
as a leading provider of end-to-end solutions for SMEs on their AI and machine
learning journey.

Our rapid progress in hyper-scale cloud saw us achieve AWS Advanced Partner
status within six months - a significant milestone that reflects our technical
strength and execution capabilities. We are making strong progress towards
becoming the 13(th) AWS Managed Service Provider in the UK. This milestone
will enable us to deliver the scalable, future-proof cloud foundations SMEs
need to launch and accelerate their AI journey. We have also strengthened our
cybersecurity offering, becoming one of only three UK-based Advanced Partners
for Rubrik, a leader in data security and cloud data management. Our
acquisition of Crossword Security Consulting further expands our capabilities
into Cybersecurity-as-a-Service, penetration testing, and virtual CISO
services, allowing cross-selling opportunities.

Internally, we are transforming into an AI-led organisation, showcasing the
innovation we deliver to our clients. Backed by a strong balance sheet, we
remain well-positioned to drive growth both organically and through strategic
acquisitions.

Our investments in people and capabilities have positioned us for continued
progress in the new financial year. We are building a robust pipeline and
deepening our customer relationships to become the partner of choice across
their entire technology estate, supporting their growth journey. Over the past
year, we have focused on consolidating our customer base to align with our
strategic vision of partnering with SME clients committed to future
investment. We look forward to providing further details on our strategy and
momentum in our full year-end results announcement in July.

 

Notes

1.     Adjusted EBITDA is earnings before interest, taxation,
depreciation, amortisation of intangible assets, exceptional items and share
based payments.

2.     Net cash/debt represents cash balances less bank loans and lease
liabilities

3.     Net of advisor fees

 

 

 For further information please contact:

 SysGroup plc                             Tel: 0333 (tel:0333) 101 9000

 Heejae Chae, Executive Chairman

 Owen Phillips, Chief Financial Officer

 Zeus (Nominated Adviser and Broker)      Tel: 0161 831 1512

 Jordan Warburton

 Nick Cowles

 Alex Campbell-Harris

 Nick Searle

About SysGroup

SysGroup plc is a leading managed service provider of end-to-end, future-proof
technology solutions for UK SMEs, specializing in cybersecurity, cloud
services, connectivity, and digital transformation. We empower businesses to
scale and innovate through partnerships with world-class technology providers,
delivering resilient, AI-ready infrastructures for the data-driven economy.

 

The Group has offices in Manchester, Edinburgh, London and Newport.

 

For more information, visit http://www.sysgroup.com (http://www.sysgroup.com)

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  TSTBVLLLEZLLBBE