Fintel (FNTL) H1 2025 earnings summary

Executive summary

• Achieved 18.6% revenue growth to £42.4m and 17% adjusted EBITDA growth to £11.2m in H1 2025, integrating nine acquisitions and transitioning to a two-division structure: Software & Data and Services.

• Strategic transformation completed, consolidating from three to two divisions, with all acquisitions fully integrated and leadership appointed for each division.

• SaaS and subscription revenue grew 21% to £24.2m, now representing 57% of group revenue, with recurring revenue a key strength.

• Transitioned to a platform business model focused on software, data, and services, enhancing recurring revenue streams and operational synergies.

• Performance remains in line with full-year expectations, with continued growth in revenue visibility and profitability.

Financial highlights

• Group revenues increased by £6.7m to £42.4m year-over-year, with organic revenue up 4%.

• Adjusted EBITDA rose 17% to £11.2m, with margin steady at 26.4%.

• Adjusted EPS grew 14% to 5.7p per share; interim dividend increased by 8.3% to 1.3p per share.

• Net debt at £30.1m, with net debt-to-EBITDA ratio of 1.3x and cash position of £8.4m.

• Strong cash conversion at 124% and free cash flow of £8.8m.

Outlook and guidance

• Positioned for further organic growth and margin enhancement through investment in both divisions and leveraging integrated platform capabilities.

• Enhanced revolving credit facility to £120m provides flexibility for future acquisitions and robust liquidity.

• Focus on growing products per customer and customers per product, with a strong M&A pipeline in a fragmented technology market.

• Confident in delivering full-year expectations, with a robust platform for long-term value creation.