Empresaria Group (EMR) investor relations material

Executive summary

• Net fee income returned to growth in H1 2025, up 0.1% year-on-year (constant currency like-for-like), with Q2 reversing Q1's decline and showing 2% year-on-year growth and a 7% sequential increase.

• Adjusted operating profit grew 55% on a constant currency like-for-like basis and 70% on a reported basis, reaching £1.7m, reflecting strong cost management and improved performance in core US and Offshore Services.

• Core operations, especially the US (net fee income up 38%) and Offshore Services (up 11%), offset a 9% decline in the UK.

• The group is executing an accelerated strategy, focusing on core UK, US, and Offshore Services, and progressing with the exit of non-core operations.

• Strategic focus on cost control, operational efficiency, and targeted investments in sales, brand, and technology.

Financial highlights

• Revenue was £117.8m, down 3% year-on-year but up 3% on a constant currency like-for-like basis, driven by high-revenue, lower-margin commercial operations.

• Adjusted profit before tax was £0.9m, up from £0.2m in H1 2024; profit before tax improved to £0.1m from a £4.4m loss.

• Adjusted, diluted loss per share improved to 0.8p year-on-year; basic EPS at (3.1)p, improved from (8.4)p.

• Net debt increased to £16.1m at period end, mainly due to adverse FX movements; average net debt was stable at £15.1m.

• Net cash inflow from operating activities was £4.0m, up from £nil in H1 2024.

Outlook and guidance

• Full-year results are expected to be in line with Board expectations, supported by H1 performance and ongoing cost discipline.

• Encouraging momentum in core operations and cost control expected to support continued progress in H2.

• Broader market recovery signs remain limited; focus remains on performance improvement within current conditions.

• Macroeconomic headwinds are expected to persist through 2025, but management remains confident in delivering on guidance.