REG - Tribal Group PLC - Interim Results for six months ended 30 June 2025
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RNS Number : 8015V Tribal Group PLC 19 August 2025
Tribal Group plc
("Tribal" or "the Group")
Interim Results for the six months ended 30 June 2025
Strengthening underlying financial performance with strong ARR and core
revenue growth and increased adjusted EBITDA margins
Tribal (AIM: TRB), a leading provider of software and services to the
international education market, is pleased to announce its interim results for
the six months ended 30 June 2025.
Results 2025 H1 2024 H1 Change %
6 months to 30 June 2024 H1 Reported Constant Currency(3) (Constant Currency)
Revenue £45.3m £44.9m £44.3m 2.3%(3)
Adjusted EBITDA (2) £8.3m £7.4m £7.0m 18.4%(3)
Adjusted EBITDA Margin (2) 18.4% 16.4% 15.9% -
Annual Recurring Revenue (ARR) at period end (1) (versus 31 Dec 2024) £59.9m £57.0m £56.8m(1) 5.5%(3)
Net Debt £(3.9)m £(10.0)m £(10.0)m 61.0%
Statutory Profit after Tax £3.9m £1.4m £0.9m 323.6%
Statutory Earnings per Share (basic) 1.8p 0.6p 0.4p 322.9%
Financial performance (all numbers on a constant currency basis)
· ARR increased 5.5% in six months to £59.9m (£56.8m as at 31 Dec 2024).
Successful launch of the Higher Education Full-Service (HEFS) proposition,
with 16 additional customers signed by the end of June generating £1.3m ARR.
· Revenue increased 2.3% to £45.3m:
o Student Information Systems revenue grew 4.2% to £36.1m (H1 2024: £35.2m). A
strong 9.6% growth in core revenues, including 16.5% in Foundation Cloud
services which more than offset the expected decline in legacy contracts.
o Etio revenue decreased 4.5% to £9.2m (H1 2024: £9.7m) following the
successful completion of two major projects, offset by the commencement of the
Attendance Monitors contract.
· Adjusted EBITDA grew 18.4% to £8.3m, with a 2.5ppt increase to 18.4% margin,
reflecting increases in SIS revenues and cost efficiencies across both SIS and
Etio, which more than offset the decline in high margin legacy contracts.
Etio operating profit increased to £1.1m, an increase of 24.3% in constant
currency.
· Statutory Profit after Tax increased to £3.9m mainly driven by improved
EBITDA and decreased exceptional costs of £0.6m (H1 2024: £3.4m), of which
£2.8m in the prior year related to the NTU settlement.
· Overall cash performance continues to improve. Net debt at 30 June 2025
improved by £6.1m to £(3.9)m (H1 2024: £(10.0)m). Free cash outflow,
reflecting traditional weighting of renewals to H2 improved by £1.1m to
£(0.8)m (H1 2024: £(1.9)m).
Operational highlights
SIS
· Successful roll-out of Higher Education Full-Service subscription pricing
model, with 54 customers now signed up, providing basis for future cloud
transition.
· Cloud migration revenues increased 16.5% from successful customer migrations
and upsells across the existing base.
· Strong H1 for Vocational Education offerings, with 7 new logos secured.
· Ongoing strategic product improvements, including three major software
upgrades released: Tribal Cloud v3, SITS v7 and EBS v4, supporting customer
transition to the cloud and entry into new markets.
Etio
· Etio performed well within a challenging market, benefitting from strengthened
operations and a more efficient team following the review of the business in
FY24.
Outlook
· Since 30(th) June, a further £4.0m of new business has been signed, including
two significant new SIS wins, London South Bank University, for the
implementation of a full SITS Student Management System, and Durham
University, for the implementation of SITS Admissions, and a further 34
existing SITS customers have taken the HEFS proposition, which would take ARR
to £64.0m, 12.7% growth since the start of the year.
· As a result of the positive trading performance, coupled with the operational
benefits of running as a full-service SaaS business and the anticipated
continuation of legacy Australian contracts into H2, the Board is increasingly
positive about delivering FY25 results ahead of current market expectations.
Mark Pickett, Chief Executive, commented: "The first half of FY25 has been
defined by solid trading and strong progress in our transformation into a
full-service, SaaS-business, delivering across all our strategic objectives.
This includes the rapid adoption of our new subscription licence, with 49% of
our long-term SITS customers already onboard, reflecting the strength of our
offering. This shift has underpinned 12.7% growth in ARR to £64.0m by
mid-August, as the first wave of adoption gathers pace, which alongside the
launch of our next generation Tribal Cloud supports further cloud adoption in
coming years. Tribal has entered the second half with a robust foundation of
annual recurring revenue, long-term customer relationships and clear momentum
in our journey towards becoming a pure-play EdTech SaaS company."
(1 ) Annual Recurring Revenue (ARR) at period end includes Software and
Cloud Services and is assessed as contracted ARR at 30 June 2025 and 31
December 2024, of which some is still to be delivered.
(2 )Adjusted EBITDA and Adjusted EBITDA Margin are in respect of continuing
operations and are calculated by taking the Adjusted EBITDA after the
allocation of Central Overheads and excludes Interest, Tax, Depreciation and
Amortisation and exceptional items of £2.4m (2024: £5.7m).
(3 )2024 H1 results restated to "constant currency" using 2025 rates to
exclude foreign currency impact. All change movements are to prior year
constant currency.
(4) In so far as the Board is aware, prior to this announcement, consensus
market expectations for FY25 were for revenue of £89.9m, adjusted EBITDA of
£14.6m and net debt of £4.9m.
Tribal Group plc Tel: +44 (0) 330 016 4000
Mark Pickett, Chief Executive Officer
Diane McIntyre, Chief Financial Officer & Company Secretary
Investec Bank plc (NOMAD & Joint Broker) Tel: +44 (0) 20 7597 5970
Virginia Bull, Nick Prowting, James Smith
Singer Capital Markets Limited (Joint Broker) Tel: +44 (0) 20 7496 3000
Sara Hale, Tom Salvesen, Alex Bond
Alma Strategic Communications Tel: +44 (0) 203 405 0205
Caroline Forde, Hannah Campbell, Emma Thompson
About Tribal Group plc
Tribal Group plc is a pioneering world-leader of education software and
services. Its vision is to enable student success through expertise,
software and services on its journey to becoming a pure-play EdTech SaaS
business, with global reach. Its portfolio includes Student Information
Systems; a broad range of education services covering quality assurance, peer
review, benchmarking and improvement; and student surveys that provide the
leading global benchmarks for student experience. Working with Higher
Education, Further and Tertiary Education, schools, Government and State
bodies, training providers and employers, in over 55 countries; Tribal Group's
mission is to empower the world of education with products and services that
underpin student success.
Chief Executive's review
H1 FY25 has been defined by a healthy trading performance for the Group and
continued progress in the transformation of Tribal into a full-service, SaaS
business, with a growing proportion of our long-term SITS customer base now
having adopted Higher Education Full-Service licence (HEFS), introduced in
FY24. As a result, Group ARR grew by 5.5% to £59.9m at the end of the period,
and took another step forward by mid-August 2025 rising 12.7% to £64.0m since
the start of last year, reflecting the success of the first wave of customer
adoption and new customer contracts.
Growth in ARR, combined with a steady performance by Etio, saw overall Group
adjusted EBITDA and revenue growth in line with the Board's expectations. In
addition, net debt reduced by £6.1m to £3.9m at 30(th) June 2025.
Strategy
Our key strategic goal remains the transformation of Tribal to a pureplay
EdTech, SaaS business, making all our SIS products available in the cloud and
developing our modules to meet the evolving needs of education providers.
In line with this strategy, the principal focus this period has been
transitioning SITS customers onto the new subscription pricing model. In FY24,
Tribal introduced the HEFS licence, which involves offering a
subscription-based comprehensive package of products and services at one
transparent price. This licence supports customers in transitioning to a
cloud-based as-a-Service model, offering additional modules as part of the
bundle at no extra cost to the customer and without the need for a long
procurement cycle. This promotes standardisation and consistency across the
customer base, while enabling universities to improve efficiency and
ultimately achieve long-term cost savings.
Part of this strategy includes a new cloud proposal for customers, as
presented to customers at the Tribal Empower customer conference in July 2025,
which offers a lower initial cost for cloud services, made possible through
the optimisation work we have carried out in recent months, with the intention
of incentivising customer migration to the cloud.
Pleasingly, strong progress was made this half with 54 universities having
migrated to the new subscription-based pricing by mid-August 2025, accelerated
by ramped price incentives over a 3-5 year period and the strong value
proposition, as universities increasingly recognise the long-term value of the
full-service offering and subsequent streamlined transition to the cloud.
The subscription packages allow Tribal to benefit from a steady stream of
revenue, driving growth in high margin recurring SaaS revenues, as well as
increased cash flow generation, greater visibility and stable, long-term
customer relationships.
Within the vocational education market, we will continue to progress with
moving our offerings into the cloud and seeking to capitalise on a changing
competitive environment to grow our market share.
Market backdrop
The higher education sector continues to face a complex market backdrop as
mounting cost pressure on universities is causing a slowdown in market
activity. Factors contributing to this include declining international student
numbers, putting universities under financial strain with domestic students
not covering the costs of courses alone, resulting in course closures at many
universities.
Although these institutions still face financial pressures that may continue
to impact spending and we continue to support them in the best way we can,
this also serves as an opportunity for Tribal and our customers alike. The
stable costs offered by our standardised pricing and reduction in sales cycle
lengths, in addition to the value of our products themselves, supports
institutions to optimise operations and cost efficiencies and in turn drives
growth for the Group.
The opportunity in the vocational education market remains robust, with
changes in the competitive landscape and the prior investment into
improvements to the Tribal EBS and Maytas products enhancing the appeal of our
offering. While not a significant standalone market, vocational education
providers are seeking to modernise systems, boost efficiency, and comply with
evolving funding and policy reforms, providing us with the opportunity to
extend our share of the market.
Student Information Systems (SIS)
Higher Education
Our focus in the period has been the transition of existing higher education
customers to the new full-service subscription package, which has been
progressing well. This period has also seen the roll out of the first paid-for
SITS re-implementation program, to ensure universities are as best prepared as
possible for full cloud adoption.
We have continued to progress to plan the instalment of several key customers
on our SITS, Cloud, Dynamics and Maytas solutions following contract wins in
prior years. Key go-lives during the half include the University of Warwick
and the University of Wolverhampton which have both migrated to the Tribal
Cloud, as well as Cranfield University where we have implemented our Marketing
and Recruitment solution.
Post period end, we secured two major new SITS contracts: with Durham
University for the implementation of SITS Admissions, and with London South
Bank University for the full implementation of SITS, together generating ARR
of c1.0m.
This period also saw the launch of several upgrades across the product range
including a major Cloud-First SITS release, featuring new SaaS modules, over
800 APIs, and new database technology optimised for SaaS. Alongside this, a
new Cloud environment has been launched within AWS infrastructure to power the
future of our products, and our latest version of our Student Support &
Wellbeing solution now offers a new UI built on Microsoft Dynamics. Ongoing
developments include the transformation of our Admissions product to a next
generation, full-SaaS AI-ready solution, as well as upgrades to our TermTime
product for SaaS, both of which are expected to be available for sale to the
wider market during 2026.
Further Education and Vocational Education
Tribal's Further Education and Vocational Education offerings, EBS and Maytas,
have both performed well this period. We were particularly pleased to deliver
our first customer in the Scottish education sector, with North East Scotland
College (NESCol) now live with Tribal EBS, providing a strong case study as we
seek to win more of the 20+ colleges in Scotland. There were also four
customer implementations during the half with Malvern University, Somerset
Council, Stockton on Tees borough council and Inspire.
We continue to enhance customer value and experience through regular product
improvements, with this period seeing the launch of the latest EBS version
that includes new functionality for the Scottish market as we support
expansion into new end markets. We have continuously driven product
development this period and are currently progressing the latest version of
our Maytas product, built for SaaS, which is expected to be released in H2.
Etio
As part of our strategy for targeting sustainable growth, 2024 saw the
development of Etio as a standalone business, bringing all our Education
Services businesses worldwide under a single, unified brand. As a result, H1
benefitted from more efficient operations, a strengthened global team and
repositioning in key markets. Performance was in line with expectations,
delivering £1.0m Operating Profit thanks to strong performance on ongoing
contracts and careful cost management.
While market activity remains subdued during H1 we have focussed on the
successful implementation of cost controls and strategic restructuring to
further develop our operating model. Through this we have achieved back-office
cost savings without reversing the benefits from investment in 2024. We
renewed our long-term project with Massachusetts Department of Elementary and
Secondary Education and signed a number of smaller contracts with government
customers in Saudi Arabia. We completed the mobilisation of our major new DfE
contract, Attendance Mentors Programme, successfully supporting 1,000 pupils
through our first wave of attendance support.
Continuing uncertainty in each of our core markets (UK, US and Middle East)
has limited the release of new education-based tenders. However, as we enter
H2 we are seeing encouraging signs from customers in the UK and Middle East
with some near and medium term opportunities entering the funnel and are
confident in a positive full year performance.
Operations and people
As our pricing strategy has evolved, so too has our organisational structure.
To meet the differing demands of operating as a Full-Service SaaS business, we
have been focusing on the people and culture behind the service we provide and
removing internal inefficiencies to maximise full impact, which has led to
improvements to all facets of customer engagement and delivery.
We introduced a new Customer Delivery organisation this year which brought
together core teams across Customer Services and Support, expert Advisory and
Professional Services teams and Project Delivery professionals. Over H1 this
has enabled the streamlining across our operations, reducing friction in the
customer experience and ensuring that we are equipped to meet increasing
customer demands and growth opportunities.
The significant improvements in how we support customers is evidenced this
period by an increase in customer satisfaction KPIs. So far, we have already
seen an improvement in average call resolution times from 14 days in January
25 to 6.4 days in July 2025. This progress is occurring against a backdrop of
sustained and successful delivery of a range of projects in all product areas,
delivering time to value for our customers with earlier go lives and
increasing satisfaction.
Elsewhere, Tribal team members have continued their commitment to
educationally focussed social initiatives. Our volunteering partnership with
Chapter One centres on transforming children's futures with 1:1 reading
support. Tribal has been shortlisted for an award in the Chapter One School
Recognition Awards 2025 for our consistent commitment, evidenced by hundreds
of hours of direct support to young learners in need.
Focus for H2 2025 and Outlook
Having achieved our principal aim in H1 of transitioning a large proportion of
existing HE customers onto the full-service licence, the strategy for H2 and
beyond re-focusses on migrating customers onto the Tribal Cloud to drive cloud
services revenue growth, building on the momentum in our Further Education and
Vocational Education software offering and returning Etio to growth and margin
contribution.
Trading in H2 has started very well, with two new major SITS customers secured
and the adoption of HEFS by an additional 34 customers, taking Group ARR to
£64.0m.
With our strong foundation of recurring revenue and long-term customer
relationships, underpinned by the operational benefits of running as a
full-service SaaS business and the anticipated continuation of legacy
Australian contracts into H2, the Board is increasingly positive about
delivering FY25 results ahead of current market expectations.
Mark Pickett
Chief Executive Officer
Financial
review
Results
£m 2025 H1 2024 H1 2024 H1(2) Change constant currency Change constant currency %
Reported
Constant currency
Revenue 45.3 44.9 44.3 1.0 2.3%
Student Information Systems 36.1 35.2 34.6 1.5 4.2%
Etio 9.2 9.7 9.7 (0.4) (4.5)%
Gross Profit 22.3 21.8 21.3 1.0 4.5%
Gross Profit Margin 49.2% 48.5% 48.1% 1.0% 1.0pp
Adjusted Operating Margin
(Before Central Overheads) 14.8 14.4 13.8 0.9 6.8%
Student Information Systems 13.8 13.5 13.0 0.7 5.7%
Etio 1.1 0.9 0.8 0.2 24.3%
Central Overheads(3) (6.7) (6.8) (6.6) (0.1) 1.2%
Net Foreign exchange (losses)/gain 0.2 (0.2) (0.2) 0.4 208.3%
Adjusted EBITDA(1) 8.3 7.4 7.0 1.3 18.4%
Adjusted EBITDA(1) Margin 18.4% 15.9% 2.5% 2.5pp
16.4%
Statutory Profit Before Tax 5.6 1.0 0.6 5.0 848.6%
Statutory Profit After Tax 3.9 1.4 0.9 3.0 323.6%
Annual Recurring Revenue 59.9 57.0 56.8 3.1 5.5%
1. Adjusted EBITDA and Adjusted EBITDA Margin are in respect of continuing
operations and are calculated by taking the Adjusted EBITDA after the
allocation of Central Overheads and excludes Interest, Tax, Depreciation and
Amortisation and exceptional items of £2.4m (2024: £5.7m), refer to Note 5.
2. 2024 results updated for constant currency - the Group has applied 2025
foreign exchange rates to 2024 results to present a constant currency basis.
On a constant currency basis there is a decrease in Revenue of £0.6m and a
decrease to Adjusted EBITDA of £0.4m.
3. Central Overheads are made up of costs that are not directly attributable to
either Student Information Systems or Education Services.
The financial review presents the reported results for H1 2025 and H1 2024,
together with the H1 2024 results restated to 'constant currency' using 2025
exchange rates. The year-on-year change is shown against the H1 2024 constant
currency numbers. In addition to EBITDA and Adjusted EBITDA, the presentation
disclosed as "Constant currency" is an alternative performance measure, not a
statutory reporting measure prepared in line with International Financial
Reporting Standards (IFRS). The Group has chosen to present its results on a
constant currency basis to reflect the year-on-year performance of the
business and eliminate the translational impact of foreign exchange movements
in the period. 26.8% (H1 2024: 33.2%) of Tribal's revenue in the period was
generated outside the UK.
Revenue in the six months ended 30 June 2025 was up 2.3% to £45.3m (H1 2024:
£44.3m) consisting of £1.5m growth in SIS and £0.4m reduction in Etio.
Student Information Systems revenue increased by 4.2% to £36.1m (H1 2024:
£34.6m).
Core revenue increased by 9.6% to £32.9m (H1 2024: £30.1m).
Software and support grew by 10.5% to £21.1m (H1 2024: £19.1m) with strong
growth across SITS, EBS, Timetabling and Student Support & Wellbeing,
driven through new customers and upsells to the existing base.
Foundation cloud services grew by 16.5% to £7.2m (H1 2024: £6.1m)
benefitting from both Warwick and Wolverhampton Universities going live and
increased student numbers across the base. Cloud services were also assisted
by the increased EBS sales.
Professional Services revenues were stable at £4.7m (H1 2024: £4.8m).
Other Software and Services revenue saw an expected decrease to £3.1m (H1
2024: £4.5m) due to the completion of two out of the three legacy contracts
in Australia. H1 includes £2.0m of legacy contract revenue. The last
remaining contract is now expected to conclude during the second half of 2025,
which is later than anticipated and the timing remains uncertain.
Etio revenue decreased by 4.5% to £9.2m (H1 2024: £9.7m). School Inspections
and Related Services decreased to £7.9m (H1 2024: £8.3m) with the completion
of the Subject Specific Training Online (SSTO) for the Emirates School
Establishment and National Tutoring Programme for the DfE in the UK, offset by
the commencement of the Attendance Monitors contract.
Surveys and Data Analytics revenue stayed stable at £1.3m (H1 2024: £1.3m)
with £0.2m upside in surveys offset by £0.2m decline in Benchmarking.
Adjusted EBITDA increased £1.3m to £8.3m (H1 2024: £7.0m) and adjusted
EBITDA margin increased to 18.4% (H1 2024: 15.9%), through a strong
performance in both SIS and Etio (£0.9m increase) combined with a £0.4m
forex shift. Following the good H1 trading performance and with certain
Australian contracts now expected to continue into H2, the Board anticipates
an improved H2 EBITDA performance, albeit not as strong as H2 FY24, which
benefitted from the recognition of certain delayed one-off revenue in relation
to student numbers, and a positive Forex impact.
Student Information Systems
Adjusted Operating Margin increased to £13.8m (H1 2024: £13.0m) and margin
increased to 38.2% (H1 2024: 37.7%) due to continuing efficiency improvements
in Property, Cloud and Professional Services, which more than offset the
decline in high margin legacy contracts.
Etio Adjusted Operating Margin increased to £1.1m (H1 2024: £0.8m) and
Adjusted Margin increased to 11.4% (H1 2024: 8.7%). Higher margin contracts
and back-office efficiencies led to improved margins despite lower revenues.
Central Overheads representing costs in HR, IT, Finance, Marketing, Management
and Board that aren't directly attributable to lines of business were stable
at £6.7m (H1 2024: £6.6m) despite inflationary pressures. The Group
continues to focus on standardisation of processes across the Group to
drive efficiency.
Statutory Profit after Tax for the year increased by £3.0m to £3.9m (H1
2024: £0.9m), mainly driven by increased Adjusted EBITDA of £1.3m, a
reduction of exceptional costs of £2.8m to £0.6m (H1 2024: £3.4m) offset by
an increased tax charge of £2.1m to £1.7m (H1 2024: £0.3m credit).
Exceptional costs in the prior period included £2.8m for the NTU settlement
agreement and associated legal fees. The higher tax charge is due to the prior
period benefitting from a one-off recognition of deferred tax assets.
Product Development Costs
The Group invested £5.5m (H1 2024 reported: £5.4m) in product development
activity in relation to Admissions, Timetabling and Dynamics products, of
which £1.7m was capitalised (H1 2024: £2.5m). As previously announced,
development activities reached their peak during 2022, and the team was
reduced part way through 2023 to align to our development strategy. Expensed
product development increased 32.0% to £3.7m (2024: £2.8m) due to
investments across SITS, EBS and timetabling.
Key performance indicators (KPIs)
£m H1 2025 H1 2024 Reported H1 2024 Constant Currency Change Constant Currency Change Constant Currency %
Revenue 45.3 44.9 44.3 1.0 2.3%
- Student Information Systems 36.1 35.2 34.6 1.5 4.2%
- Etio 9.2 9.7 9.7 (0.4) (4.5)%
Adjusted EBITDA(1) 8.3 7.4 7.0 1.3 18.4%
Adjusted EBITDA Margin(1) 18.4% 16.4% 15.9% 2.5% 2.5pp
Annual Recurring Revenue (ARR)vs Dec 2024(2) 59.9 57.0 56.8 3.1 5.5%
Gross Revenue Retention (GRR)(3) 93% 94% (0.7pp)
Net Revenue Retention (NRR) (3) 105% 107% (2.0pp)
Etio Committed Income (Order Book) vs Dec 2024(6) 32.3 35.1 34.2 (1.8) (5.4)%
Operating Cash Conversion(5) 47.7% 51.4% 53.6% (8.7%) (8.7pp)
Free Cash (Out)/In Flow (0.8) (1.9) (1.9) 1.1 57.9%
Staff Retention 95.9% 94.2% 94.2% 1.7% 1.7pp
Revenue per SIS FTE(4) £54.1k £52.0k £51.1k £3.0k 5.9%
1. Adjusted EBITDA and Adjusted EBITDA Margin are in respect of continuing
operations and exclude charges reported in 'Exceptional Items' of £0.6m (H1
2024: £3.4m), refer to note 6. EBITDA is calculated by taking the Adjusted
Operating Profit after the allocation of Central Overheads and excludes
Interest, Tax, Depreciation and Amortisation.
2. Annual Recurring Revenue is a forward-looking metric. Includes exit rate
annualised recurring revenue, plus future contracted recurring revenue yet be
delivered, and known losses within the next 12 months where customers have
given notice.
3. GRR is calculated as a 12-month rolling percentage of recurring revenue
retained from existing customers at 1 July including contract expiry,
cancellations or downgrades in the year. NRR is calculated as a percentage of
recurring revenue retained from existing customers at 1 July including upsells
as well as contract expiry, cancellations or downgrades in the year.
4. Revenue per SIS FTE is the average SIS and Group overhead FTE for the year
excluding average FTE associated with capitalised Product Development. In H1
2025 48 FTE were capitalised (H1 2024: 72). Revenue used is that generated by
SIS and excludes Etio revenue.
5. Operating cash conversion is calculated as net cash from operating activities
before tax, excluding cash outflow of £nil (H1 2024: £0.3m) from an aborted
takeover, £0.6m (H1 2024: £1.4m) of restructuring costs and £0.8m (2024:
£nil) of NTU settlement as a proportion of Adjusted EBITDA.
6. Committed Income (Order Book) refers to the Total Contract Value of booked
sales orders which have not yet been delivered. This has only been stated in
respect of Etio as Annual Recurring Revenue is a more suitable metric for SIS.
Annual Recurring
Revenue
ARR is a key forward-looking financial metric of the Group and is an area of
strategic focus. Our aim is to grow ARR in our core products through the
delivery of SaaS contracts, providing increased quality of earnings. The
HEFS proposition provides a number of customers a stepped increase to the new
price, over a 3 or 5 year period. The ARR number reflects the final position
that will be reached in accordance with their contract.
ARR increased by 5.5%, £3.1m in six months to £59.9m (FY2024: £56.8m).
Core product ARR increased by 5.7% to £57.7m (FY 2024: £54.5m). Software and
Support increased £2.4m, 5.8% to £43.1m (FY 2024: £40.7m), with an
additional £1.3m from 16 existing SITS customers moving to HEFS, £0.3m from
new customers mainly from our EBS product, with the remaining growth through
smaller uplifts across the base. Increases in ARR due to HEFS will typically
be phased over a 5-year period, with average revenue recognised equally over
the length of the contract. Foundation Cloud Services increased 5.6%, £0.8m
to £14.6m (FY 2024: £13.8m) with uplifts across our existing customer base.
Other software and services ARR has remained stable at £2.2m (FY 2024:
£2.2m). All of the major non-core Australian contracts have already been
removed from ARR, with a slower rate of decline expected going forward in
relation to SchoolEdge.
GRR 93% (H1 2024: 94%) has decreased 1pp. The metric was impacted by the
completion of two non-core legacy Australian contracts with both the
Department of Education and British Council. Excluding these items our core
underlying GRR is running at an excellent 98%, demonstrating the consistent
retention by customers of our core products.
NRR 105% (H1 2024: 107%) has decreased by 2pp mainly driven by the reduction
in GRR.
Committed Income (Order Book)
Committed Income (Order Book) relates to the total contract value of orders
across Etio, which have been signed on or before, but not delivered by 30 June
2025. Annual Recurring Revenue is used by the Board as a more suitable
metric for SIS. At 30 June 2025 this decreased to £32.3m (2024: £34.2m) as
long term contracts have unwound within Etio such as NCETM.
Operating cash conversion
Operating cash conversion has decreased to 47.7% (H1 2024: 53.6%) and reflects
the traditional seasonality of software renewals which are weighted to the
second half of the year. It is calculated as net cash from operating
activities before tax, excluding cash outflows from exceptionals and movements
in restricted cash, as a proportion of Adjusted EBITDA. Exceptional cash
outflows include £0.6m (H1 2024: £1.4m) of restructuring costs and £0.8m
(H1 2024: £nil) in relation to the NTU settlement.
Free cash flow
Free cash flow is included as a key indicator of the cash that is generated
(or absorbed) by the Group and is available for acquisition-related
investment, financing costs or distribution to shareholders. It is calculated
as net cash generated, before dividends, interest and finance charges. Free
cash flow in H1 2025 improved to an outflow of £(0.8)m (H1 2024 outflow of
£(1.9)m reported) as net cash from operating activities before tax increased
to £2.4m (H1 2024: £2.0m) and investment in capitalised product development
decreased to £1.7m (H1 2024: £2.5m).
Full time equivalent (FTE) and staff retention
Our overall workforce has increased by 2.2% to a total FTE of 901 at 30 June
2025 from 882 at 30 June 2024. Largely due to the employment of mentors for
the Etio DfE Attendance Mentors contract.
On an operational FTE basis (excluding Capitalised Product Development), the
revenue per average SIS FTE increased to £54.1k (H1 2024: £51.1k).
The reduction in headcount reflects our drive for operational efficiencies and
reduction in Edge product development, whilst growing our Philippines global
business centre. Staff retention has increased to 95.9% (H1 2024: 94.2%).
Exceptionals
The Group has adopted a policy of disclosing separately on the face of its
Group income statement the effect of any components of financial performance
considered by the Directors to be not directly related to the trading business
or significant one-off events, for which separate disclosure would assist in a
better understanding of the financial performance achieved. The charge in H1
2025 was £0.6m (H1 2024: £3.4m)
A full explanation of 'Exceptional items' is included in Note 6, however the
main items are as follows:
· Group restructuring and associated costs: £0.6m relates to restructuring
costs as the operating model transitions to an Edtech SaaS business (H1 2024:
£0.5m).
· NTU Settlement and associated costs: Costs of £Nil relates to the settlement
agreed in May 2024 and associated legal fees (H1 2024: £2.8m).
· The remaining costs in H1 2024 were £0.1m relating to of the lapsed offer for
Tribal Group plc.
Net Cash and Cash Flow
£m H1 2025 H1 2024 Change
Net cash flow from operating activities before tax 2.4 2.0 0.4
Tax paid (0.8) (1.0) 0.2
Purchases of PPE (0.3) (0.1) (0.2)
Net lease payments (0.4) (0.4) 0.0
Capitalised product development (1.7) (2.5) 0.8
Proceeds from shares 0.0 0.1 (0.1)
Free cash flow (0.8) (1.9) 1.1
Net cash outflow from other financing activities (0.3) (2.6) 2.3
Net decrease in cash & cash equivalents (1.1) (4.5) 3.4
Cash & cash equivalents at beginning of the year 5.3 6.8 (1.5)
Effect of foreign exchange rate changes 0.1 (0.3) 0.5
Net cash & cash equivalents at end of period 4.3 2.0 2.4
Restricted cash (0.2) - (0.2)
Borrowings (8.0) (12.0) 4.0
Net debt at end of period (3.9) (10.0) 6.2
Net debt and cash equivalents excluding restricted cash of £0.2m at 30 June
2025 were (£3.9)m (H1 2024: (£10.0)m). The opening position in 2025 was
significantly improved by positive cashflows in H2 2024.
Operating cash inflow before tax for the period was £2.4m (H1 2024: £2.0m),
£0.4m higher than last year with higher operating profits offset by working
capital movements. This was after the cash impact of exceptional items of
£1.4m (2024: £1.7m).
Spend on product development decreased to £1.7m (H1 2024: £2.5m) in line
with the Group's product investment programme.
Cash outflow from other financing activities (per table above) decreased to
(£0.3m) (H1 2024: £(2.6)m), due to £2m repayment of the net loan facility
in the previous year and lower bank interest paid of £0.3m (H1 2024: £0.6m).
Restricted cash relates to funds of £0.2m (2024: £Nil) to settle contractual
payments under a grant scheme that the Group administers for the Department
for Education.
Funding arrangements
On 29 December 2023 the Group entered a three-year £20m multicurrency
revolving facility with a further £5m accordion with HSBC, with the option to
extend by a further two years. In January 2025 the first one-year extension
was activated with the second available later in 2025. The facility was put in
place to cover general corporate and working capital requirements of the Group
and as at 30 June 2025 £8.0m (H1 2024: 12.0m) of the loan was utilised. The
Group has a £2m committed overdraft facility in the UK and an AUD $2m
committed overdraft facility in Australia; both facilities are committed for a
12-month period ending August 2025 and October 2025 respectively. As at 30
June 2025 none of the overdraft facilities were utilised (30 June 2024: £2.9m
drawn of the GBP facility).
Shareholders returns and dividends
As announced on 28 May 2025, an interim dividend in respect of the year ended
31 December 2024 of 0.65p per share was paid on 24 July 2025.
Diane McIntyre
Chief Financial Officer
Condensed consolidated income statement
For the six months to 30 June 2025
Six months Six months Year
ended ended ended
30 June 30 June 31 December
Note 2025 2024 2024
£'000 £'000 £'000
Revenue 4 45,286 44,942 90,008
Cost of sales (23,014) (23,149) (46,513)
Gross profit 22,272 21,793 43,495
Total administrative expenses (16,311) (20,143) (36,602)
Operating profit 4 5,961 1,650 6,893
Analysed as:
Operating profit (before exceptional items) 6,521 5,059 12,465
Exceptional items 6 (560) (3,409) (5,572)
Operating profit (EBIT) 5,961 1,650 6,893
Finance income 0 1 137
Finance costs 7 (317) (628) (1,172)
Profit before tax 5,644 1,023 5,858
Tax credit/(charge) 8 (1,730) 329 (370)
Profit attributable to the owners of the parent 3,914 1,352 5,488
Earnings per share
Basic 9 1.8p 0.6p 2.6p
Diluted 9 1.8p 0.6p 2.5p
All activities are from continuing operations.
Condensed consolidated statement of comprehensive income and expense
For the six months to 30 June 2025
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Profit for the period 3,914 1,352 5,488
Other comprehensive expense
Items that will not be reclassified subsequently to profit or loss:
Re-measurement of defined benefit pension schemes - - (89)
Deferred tax on measurement of defined benefit pension schemes (8)
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translation of foreign operations (671) (61) (1,453)
Other comprehensive expense for the period net of tax (671) (61) (1,550)
Total comprehensive income for the period attributable to equity holders of 3,243 1,291 3,938
the parent
Condensed consolidated balance sheet
As at 30 June 2025
30 June 30 June 31 December
2025 2024 2024
Note £'000 £'000 £'000
Non-current assets
Goodwill 10 27,258 28,354 27,600
Other intangible assets 11 50,527 50,787 50,041
Property, plant and equipment 665 655 621
Right of use assets 1,157 1,998 1,693
Deferred tax assets 6,854 7,306 6,873
Retirement benefit scheme assets 102 81 102
86,563 89,181 86,930
Current assets
Trade and other receivables 13 13,025 13,369 16,197
Contract assets 2,988 4,408 3,441
Current tax assets 163 212 1,206
Cash and cash equivalents 12 4,355 4,853 5,293
20,531 22,842 26,137
Total assets 107,094 112,023 113,067
Current liabilities
Trade and other payables 14 (6,055) (7,660) (7,034)
Contract liabilities (24,562) (21,343) (29,783)
Accruals (6,881) (9,524) (9,193)
Current tax liabilities (2,080) (1,741) (2,352)
Lease liabilities (530) (685) (706)
Borrowings 18 - (2,888) -
Provisions 15 (268) (475) (502)
(40,376) (44,316) (49,570)
Net current liabilities (19,845) (21,474) (23,433)
Non-current liabilities
Contract liabilities (32) (165) (26)
Lease liabilities (577) (1,208) (903)
Other payables 14 (32) (975) (66)
Deferred tax liabilities (2,634) (2,940) (2,547)
Borrowings 18 (8,000) (12,000) (8,000)
Provisions 15 (485) (431) (489)
(11,760) (17,719) (12,031)
Total liabilities (52,136) (62,035) (61,601)
Net assets 54,958 49,988 51,466
Equity
Share capital 16 10,709 10,679 10,693
Share premium 83 83 83
Other reserves 29,520 29,047 29,287
Accumulated profits 14,646 10,179 11,403
Total equity attributable to equity holders of the parent 54,958 49,988 51,466
Condensed consolidated cash flow statement
For the six months to 30 June 2025
Six months ended 30 June Six months ended 30 June Year ended 31 December
2025 2024 2024
£'000 £'000 £'000
Note
Net cash from operations 17 1,538 1,025 12,710
Investing activities
Purchases of property, plant and equipment (246) (87) (273)
Expenditure on intangible assets 11 (1,725) (2,517) (4,427)
Payment of deferred contingent consideration for acquisitions - - -
Proceeds from sub-leases - 17 17
Net gain on forward contracts - - -
Net cash outflow from investing activities (1,971) (2,587) (4,683)
Financing activities
Interest paid (288) (612) (1,066)
Loan arrangement fees - 34 -
Loan drawdown 18 - 5,000 8,000
Loan repayment 18 - (7,000) (14,000)
Gross proceeds on issue of shares 16 16 68 82
Equity dividend paid - - (1,389)
Principal paid on lease liabilities (374) (420) (768)
Interest paid on lease liabilities (26) (38) (76)
Net cash used in financing activities (672) (2,968) (9,217)
Net decrease in cash and cash equivalents (1,105) (4,530) (1,190)
Net cash and cash equivalents at beginning of period 5,293 6,797 6,797
Effect of foreign exchange rate changes 167 (302) (314)
Net cash and cash equivalents at end of period 12 4,355 1,965 5,293
Condensed consolidated statement of changes in equity
For the six months to 30 June 2025
Share Capital Share Premium Other reserves Accumulated profits Total Equity
£'000 £'000 £'000 £'000 £'000
Balance at 31 December 2023 10,611 83 28,893 8,888 48,475
Profit for the period - - - 1,352 1,352
Other comprehensive expense for the period - - - (61) (61)
Total comprehensive income for the period - - - 1,291 1,291
Issue of equity share capital 68 - - - 68
Credit to equity for share-based payments - - 154 - 154
Contributions by and distributions to owners 68 - 154 - 222
Balance at 30 June 2024 10,679 83 29,047 10,179 49,988
Profit for the period - - - 4,136 4,136
Other comprehensive expense for the period - - - (1,489) (1,489)
Total comprehensive income for the period - - - 2,647 2,647
Equity dividend paid - - - (1,389) (1,389)
Issue of equity share capital 14 - - - 14
Credit to equity for share-based payments - - 240 - 240
Tax credit on credit to equity for share-based payments - - - (34) (34)
Contributions by and distributions to owners 14 - 240 (1,423) (1,169)
Balance at 31 December 2024 10,693 83 29,287 11,403 51,466
Profit for the period - - - 3,914 3,914
Other comprehensive expense for the period - - - (671) (671)
Total comprehensive income for the period - - - 3,243 3,243
Issue of equity share capital 16 - - - 16
Credit to equity for share-based payments - - 233 - 233
Contributions by and distributions to owners 16 - 233 - 249
Balance at 30 June 2025 10,709 83 29,520 14,646 54,958
Notes to the condensed consolidated financial information
for the six months to 30 June 2025
1. General information
The condensed consolidated financial information for the six months ended 30
June 2025 was approved by the Board of Directors on 18 August 2025. This
condensed consolidated interim financial information does not comprise
statutory accounts within the meaning of section 434 of the Companies Act
2006.
Statutory accounts for the year ended 31 December 2024 were approved by the
Board of Directors on 26 March 2025. A copy of the statutory accounts for
that year has been delivered to the Registrar of Companies. The auditor
reported on those accounts: its report was unqualified, and did not contain a
statement under section 498(2) or (3) of the Companies Act 2006.
2. Accounting policies
The condensed consolidated set of financial statements included in this
half-yearly financial report has been prepared in accordance with the
Disclosure and Transparency Rules of the Financial Services Authority and IAS
34 "Interim Financial Reporting".
The condensed consolidated financial information should be read in conjunction
with the annual financial statements for the year ended 31 December 2024 which
have been prepared in accordance with international accounting standards in
conformity with the requirements of the Companies Act 2006.
In preparing these condensed interim financial statements, the significant
judgements made by management in applying the Group's accounting policies and
the key sources of estimation uncertainty were as stated within the
consolidated financial statements for the year ended 31 December 2024.
The accounting policies applied are consistent with those of the annual
financial statements for the year ended 31 December 2024.
3. Going concern
Tribal had cash and cash equivalents of £4.4m at the end of H1 2025, and
borrowings of £8.0m. The Group has access to a £2.0m committed overdraft
facility in the UK and a $AUD 2.0m committed overdraft facility in Australia.
As at 30 June 2025 there was $2.0m available but undrawn in respect of the AUS
overdraft facility and £2.0m available but undrawn in respect of the UK
overdraft facility. Tribal Group plc has undertaken to make adequate financial
resources available to the Group to meet its current and future obligations as
and when they fall due.
Tribal's main business is software related through the provision of Student
Information Systems (SIS) to education institutions globally. Revenue is
generated from the sale of software licenses and related implementation work,
and the ongoing provision of support & maintenance and cloud/hosting
services. The Group benefits from strong annual recurring revenues and cash
generation, it also has a significant pipeline of committed income for the
remainder of 2025 and into 2026 which provides a good level of protection and
certainty to the business. The Group's net current liability position has
decreased to £19.8m from £23.4m, mainly driven by net contract liabilities
relating to deferred customer revenue recognised in accordance with IFRS 15.
The Group had a positive start to the year, closing several significant sales
to new and existing customers, and expanding its global footprint. The
investments the Group continue to make position Tribal at the forefront of
this evolution in the industry. The start of the year has been cash generative
and although management anticipates an improved cash position by year end, a
net debt position is still expected. Management is monitoring costs closely
and would also introduce cost saving measures to mitigate the impact on profit
and cash if necessary.
The Company has guaranteed the year-end liabilities of its subsidiaries.
In assessing the Group's going concern position the Directors have considered
all relevant facts, latest forecasts, an assessment of the risks faced by the
Group, and considered potential changes in trading performance. In addition,
management have sufficiently stress tested the latest forecasts to the point
where either the Group cannot meet its liabilities or is in breach of banking
covenants and have concluded that this position is highly unlikely, and
therefore does not have a significant impact on the Group's ability to
continue as a going concern. Accordingly, the Directors have a reasonable
expectation that the Group and the Company have adequate resources to continue
in operational existence for at least 12 months from the date of approval of
the financial statements and the foreseeable future. Thus, they continue to
adopt the going concern basis in preparing the financial statements.
4. Segmental analysis
Information reported to the Group's Chief Executive Officer for the purposes
of resource allocation and assessment of segment performance is focused on the
nature of each type of activity. The Group's reportable segments and principal
activities under IFRS 8 are detailed below:
· Student Information ("SIS") represents the delivery of software and subsequent
maintenance and support services and the activities through which we deploy
and configure our software for our customers, including software solutions,
asset management and information managed services; and
· Etio ("Etio") represents inspection and review services which support the
assessment of educational delivery, and a portfolio of performance improvement
tools and services, including analytics.
In accordance with IFRS 8 'Operating Segments' information on segment assets
is not shown as this is not provided to the Chief Operating decision-maker,
being the Chief Executive. Inter-segment sales are charged at prevailing
market prices.
Total Revenue Adjusted segment operating profit
Six months Six months Year Six months Six months Year
ended ended ended ended ended ended
30 June 30 June 31 December 30 June 30 June 31 December
2025 2024 2024 2025 2024 2024
£'000 £'000 £'000 £'000 £'000 £'000
SIS 36,060 35,208 72,742 12,477 12,210 24,938
Etio 9,226 9,734 17,266 981 768 409
Total 45,286 44,942 90,008 13,458 12,978 25,347
Unallocated corporate expenses (6,659) (7,236) (11,921)
Amortisation of acquired software and customer contracts & relationships
(278) (683) (961)
Adjusted operating profit 6,521 5,059 12,465
Exceptional items (560) (3,409) (5,572)
Operating profit 5,961 1,650 6,893
Depreciation and amortisation is allocated to segment profits and is included
in adjusted segment operating profit as above. The amount included in SIS is
£1.5m (30 June 2024: £1.3m; 31 December 2024 £2.7m) and within Etio £0.1m
(30 June 2024: £0.1m; 31 December 2024: £0.2m). The accounting policies of
the reportable segments are the same as the Group's accounting policies.
Segment profit represents the profit earned by each segment, without the
allocation of central administration costs, including Directors' salaries,
finance costs and income tax expense. This is the measure reported to the
Group's Chief Executive for the purpose of resource allocation and assessment
of segment performance.
Within Etio revenues of approximately 9% (31 December 2024: 9%) have arisen
from the Segment's largest customer: within SIS revenues of approximately 4%
(31 December 2024: 4%) have arisen from the Segment's largest customer. These
percentages are calculated against total revenue.
Geographical information:
Revenue from external customers, based on location of the customer, are shown
below:
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
UK 33,151 30,040 62,589
Australia 6,902 7,650 14,479
Other Asia Pacific 2,176 2,479 4,988
North America 1,782 2,259 3,243
Rest of the world 1,275 2,514 4,709
45,286 44,942 90,008
5. Alternative Performance Measures (APM)
A number of non-IFRS adjusted profit measures are used in this Annual Report
and financial statements. Exceptional items are excluded from our headline
performance measures by virtue of their size and nature, in order to reflect
management's view of the underlying performance of the Group.
Summarised below is a reconciliation between statutory results to adjusted
results. The Group believes that alternative performance measures such as
adjusted EBITDA are commonly reported by companies in the markets in which it
competes and are widely used by investors in comparing performance on a
consistent basis without regard to factors such as depreciation and
amortisation, which can vary significantly depending upon accounting methods
(particularly when acquisitions have occurred), or based on factors which do
not reflect the underlying performance of the business. The adjusted profit
after tax earnings measure is also used for the purpose of calculating
adjusted earnings per share.
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Statutory operating profit 5,961 1,650 6,893
Amortisation of Development cost and acquired Intellectual Property 961 927 1,910
Amortisation of other intangibles 4 4 8
Depreciation on Property, Plant & Equipment 182 233 433
Depreciation of right of use assets 402 445 889
Amortisation of software and customer contracts & relationships 278 683 961
Exceptional costs 560 3,409 5,572
Adjusted Operating Profit (EBITDA) 8,348 7,351 16,666
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Adjusted EBITDA 8,348 7,351 16,666
Exceptional items (560) (3,409) (5,572)
EBITDA before exceptional items 7,788 3,942 11,094
Depreciation & amortisation (1,827) (2,292) (4,201)
Operating profit (EBIT) 5,961 1,650 6,893
Net financing costs (317) (627) (1,035)
Profit before tax 5,644 1,023 5,858
6. Exceptional items
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Takeover costs - (88) (191)
Etio restructure - (274) (288)
Impairment of development costs - - (1,405)
NTU Settlement and associated costs - (2,844) (3,023)
Group restructuring and associated costs (560) (203) (665)
Total exceptional items (560) (3,409) (5,572)
Exceptional items are not part of the Group's underlying trading activities
and include the following:
Restructuring and associated costs relate to the restructuring of the Group's
operations, including properties and the Etio Restructure £0.6m. (30 June
2024: £0.5m; 31 December 2024: £1.0m). These costs relate to one-off
initiatives that support the Group's transition to a Pureplay EdTech, SaaS
business.
Takeover costs: Amounts relating to the lapsed offer for Tribal Group plc by
Ellucian. Costs of £nil (30 June 2024: £0.1m; 31 December 2024: £0.2m) were
spent on due diligence and external advisors.
NTU Settlement and associated costs: Amounts payable in respect of the full
and final settlement with Nanyang Technological University ("NTU") resolving
all outstanding issues in relation to the contract between Tribal and NTU
which was terminated on 23 March 2023 of £nil (30 June 2024: £2.8m; 31
December 2024 £3.0m) .
Impairment of development costs: Amounts relating to the impairment of TDE
(The Data Engine) asset following an impairment review at 31 December 2024.
7. Finance costs
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Interest on bank overdrafts and loans 287 613 1,105
Loan arrangement fees - (34) (24)
Interest expense on lease liabilities and dilapidation provisions 26 49 76
Unwinding of 4 - 15
discounts
Total finance costs 317 628 1,172
8. Tax
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Current tax
UK Corporation tax - - (72)
Overseas tax 1,643 1,828 2,630
Adjustments in respect of prior periods - - 9
1,643 1,828 2,567
Deferred tax
Current period 87 (1,370) (2,197)
Adjustments in respect of prior periods - (787) -
87 (2,157) (2,197)
Tax charge/(credit) 1,730 (329) 370
The Group continues to hold appropriate Group provisions.
Taxes on income in the interim periods are accrued using the tax rate that
would be applicable to expected total annual earnings.
9. Earnings per share
Earnings per share and diluted earnings per share are calculated by reference
to a weighted average of ordinary shares calculated as follows:
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
thousands thousands thousands
Basic weighted average number of shares in issue 213,858 213,507 213,520
Dilutive weighted average number of employee share options 1,886 2,067 2,515
Total weighted average number of shares outstanding for dilution calculations 215,744 215,574 216,035
Diluted earnings per share only reflects the dilutive effect of share options
for which performance criteria have been met.
The maximum number of potentially dilutive shares, based on options that have
been granted but have not yet met vesting criteria, is 1,886,190 (31 December
2024: 2,737,673).
The "adjusted" basic and diluted earnings per share figures are included as
the Directors believe that they provide a better understanding of the
underlying trading performance of the Group.
A reconciliation of how these figures are calculated is set out below:
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Net profit 3,914 1,352 5,488
Earnings per share
Basic 1.8p 0.6p 2.6p
Diluted 1.8p 0.6p 2.5p
Net profit (before exceptional items)* 4,415 3,975 10,138
Adjusted earnings per share
Basic 2.1p 1.9p 4.7p
Diluted 2.0p 1.8p 4.7p
*Net profit (before exceptional items) is calculated as below:
Operating profit (before exceptional items) 6,521 5,059 12,465
Finance income - 1 137
Finance costs (317) (628) (1,172)
Operating profit (before exceptional items) before tax 6,204 4,432 11,430
Tax charge (before exceptional items) (1,789) (457) (1,292)
Net profit (before exceptional items) 4,415 3,975 10,138
10. Goodwill
£'000
Cost
At 1 January 2025 108,831
Exchange differences (342)
At 30 June 2025 108,489
Accumulated impairment losses
At 1 January 2025 81,231
At 30 June 2025 81,231
Net book value
At 30 June 2025 27,258
At 31 December 2024 27,600
The Group tests annually for impairment, or more frequently if there are
indicators that goodwill could be impaired. At the half year, a review has
been undertaken to ascertain if any indicators have arisen of potential
impairments. Based on the review performed, no impairment indicators that
would require an impairment review have been noted.
11. Other intangible assets
Acquired Software Acquired Customer Development Business Software Total
£'000 contracts and costs systems licences £'000
relationships Acquired intellectual property £'000 £'000 £'000
£'000 £'000
Cost
At 1 January 2025 11,654 9,507 1,873 66,295 75 43 89,447
Additions - - - 1,725 - - 1,725
Exchange differences (200) (85) - (85) - (1) (371)
At 30 June 2025 11,454 9,422 1,873 67,935 75 42 90,801
Amortisation
At 1 January 2025 8,889 7,990 1,144 21,325 15 43 39,406
Charge for the period 133 145 49 912 4 - 1,243
Exchange differences (200) (85) - (89) - (1) (375)
At 30 June 2025 8,822 8,050 1,193 22,148 19 42 40,274
Carrying amount
At 30 June 2025 2,632 1,372 680 45,787 56 - 50,527
At 31 December 2024 2,765 1,517 729 44,970 60 - 50,041
Software and customer contract and relationships have arisen from
acquisitions, and are amortised over their estimated useful lives, which are 3
to 8 years and 3 to 15 years respectively. The amortisation period for
development costs incurred on the Group's product development is 3 to 15
years, based on the expected life-cycle of the product. Amortisation and
impairment of development costs, amortisation for software, customer contracts
and relationships, intellectual property, business systems and software
licences are all included within administrative expenses.
12. Cash and cash equivalents
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Cash and cash deposits 4,136 4,853 4,845
Bank overdrafts - (2,888) -
Other deposits 219 - 448
4,355 1,965
Net cash and cash equivalents 5,293
Other deposits relate to restricted funds of £0.2m (31 December 2024: £0.4m)
to settle contractual payments under a grant scheme that the Group administers
for the Department for Education.
13. Trade and other receivables
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Amounts receivable for the sale of services 8,366 8,490 11,637
Less: loss allowance (517) (493) (819)
7,849 7,997 10,818
Other receivables 903 976 648
Prepayments 4,273 4,396 4,731
13,025 13,369
16,197
14. Trade and other payables
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Current 690 1,662 960
Trade payables
Other taxation and social security 3,739 3,848 3,450
Other payables 1,626 2,150 2,624
6,055 7,660 7,034
Non-current
Other payables 32 975 66
Total 6,087 8,635 7,100
15. Provisions
Property
related Restructuring Other Total
£'000 £'000 £'000 £'000
At 1 January 2025 563 225 203 991
Net movement in provision (13) - 25 12
Unwinding of discount 3 - - 3
Utilisation of provision (7) (221) - (228)
Exchange rate movement (8) (4) (13) (25)
At 30 June 2025 538 - 215 753
The provisions are split as follows:
Within one year 52 - 215 268
More than one year 485 - - 485
Total 537 - 215 752
Provisions are recognised when the Group has a present obligation as a result
of a past event, and it is probable that the Group will be required to settle
the obligation. Provisions are measured at the Directors' best estimate of the
expenditure required to settle the obligation at the balance sheet date and
are discounted to present value where the effect is material.
Property related provision relates to the estimated future dilapidation costs
arising from exiting leasehold properties, under IAS 37. This provision is
discounted by property and is between 2.65% and 6.25%.
Other provision relates to the recoverability of input VAT in the Philippines.
This provision is not discounted.
Restructuring provision represents amounts provided in respect of the Group's
restructuring and reorganisation and principally reflects redundancy costs.
16. Share capital.
Six months Six months Six months Six months Year
ended ended ended ended ended Year ended
30 June 30 June 30 June 30 June 31 December 2024 31 December
2025 2025 2024 2024 number 2024
number £'000 number £'000 £'000
Allotted, called up and fully paid
At beginning of the period 213,854,698 10,693 212,221,746 10,611 212,221,746 10,611
Issued during the period 326,284 16 1,357,429 68 1,632,952 82
At end of the period 214,020,604 10,709 213,579,175 10,679 213,854,698 10,693
The Company has one class of ordinary shares of 5p which carry no right to
fixed income. 326,284 shares were issued during the period in order to satisfy
exercises of share-based payment schemes. The exercise costs of 5p per share
for the LTIPs resulted in cash receipts of £0.01m.
17. Notes to the cash flow statement
Six months
ended Six months Year
30 June ended ended
2025 30 June 31 December
£'000 2024 2024
£'000 £'000
Operating profit from continuing operations 5,961 1,650 6,893
Depreciation of property, plant and equipment 182 233 433
Depreciation of right of use assets 402 445 889
Amortisation and impairment of other intangible assets 1,243 1,614 2,879
Impairment of development costs - - 1,405
Share-based payments 281 163 394
Research and development tax credit - (50) 44
Net pension credit - - 13
Other non-cash items (55) (63) (280)
Operating cash flows before movements in working capital 8,014 3,992 12,670
Decrease/(increase) in receivables 3,621 1,787 (81)
(Decrease)/Increase in payables (9,276) (3,736) 2,273
Net cash from operating activities before tax 2,359 2,043 14,862
Net tax paid (821) (1,018) (2,152)
Net cash from operating activities 1,538 1,025 12,710
Net cash from operating activities before tax can be analysed as follows:
Continuing operations 2,359 2,043 14,862
18. Analysis of net debt
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Cash and cash deposits (see Note 12) 4,136 4,853 4,845
Overdrafts - (2,888) -
Borrowings (8,000) (12,000) (8,000)
(3,864) (10,035) (3,155)
Net debt
Reconciliation of changes in net debt
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Opening net debt (3,155) (7,203) (7,203)
Movement in borrowings - 2,000 6,000
Net (decrease)/increase in cash and cash equivalents (1,105) (4,530) (1,190)
Restricted cash movement in the period (see Note 12) 229 - (448)
Non-cash effect of foreign exchange rate changes 167 (302) (314)
Closing net debt (3,864) (10,035) (3,155)
19. Contingent liabilities
The Company and its subsidiaries have provided performance guarantees issued
by their banks on their behalf, in the ordinary course of business totalling
£0.2m (30 June 2024: £0.1m; 31 December 2024: £0.2m). These are not
expected to result in any material financial loss and the likelihood of using
these guarantees is assessed as remote.
20. Related party disclosures
Transactions between the Company and its subsidiaries, which are related
parties, have been eliminated on consolidation and are not disclosed in this
note.
The remuneration of the key management personnel of the Group is set out below
in aggregate for each of the categories specified in IAS 24 'Related Party
Disclosures'. The members of the Group Board and the Group's Executive Board
are considered to be the key management personnel of the Group.
30 June 30 June 31 December
2025 2024 2024
£'000 £'000 £'000
Salaries and short-term employee benefits 1,533 1,413 2,756
Share-based payments 204 121 445
1,737 1,534 3,201
21. Seasonality
There is limited annual seasonality within the Group. Our SIS customers are on
an annual billing cycle with implementation projects being invoiced based on
milestones being met. There is some seasonality within the Etio business as
Surveys revenue is reduced as institutions only participate in the Southern
Hemisphere International Student Barometer every other year.
Responsibility statement
The Directors confirm that these condensed interim financial statements have
been prepared in accordance with the Disclosure and Transparency Rules (DTR)
of the Financial Services Authority and that the interim management report
includes a fair review of the information required by DTR 4.2.7 and DTR 4.2.8,
namely:
• An indication of important events that have occurred during the first six
months and their impact on the condensed set of financial statements, and a
description of the principal risks and uncertainties for the remaining six
months of the financial year; and
• Material related-party transactions in the first six months and any
material changes in the related-party transactions described in the last
annual report
The Directors of Tribal Group plc are listed in the Tribal Group plc Report
and accounts for the 12 month period ended 31 December 2024. A list of
current Directors is maintained on the Tribal Group plc website:
www.tribalgroup.com (http://www.vernalis.com) .
The Directors are responsible for the maintenance and the integrity of the
Group's website. Legislation in the United Kingdom governing the preparation
and dissemination of financial statements may differ from legislation in other
jurisdictions.
By order of the Board
Mark
Pickett
Chief
Executive
18 August 2025
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