Hargreaves Services (HSP) AGM 2026 presentation summary

FY26 performance and shareholder returns

• Services revenue rose 35% with margins maintained at 6%; cash position was £21.6m.

• £20m returned to shareholders in FY26; full-year dividend increased 8% to 40.0p.

• Underlying Group PBT rose 93%, Group EBITDA increased 9%, and ROCE reached 14.8%.

• Progressive dividend history and five-year services growth were supported by major infrastructure projects and improved service mix.

Strategy and market opportunity

• Strategy centres on growing critical infrastructure services, realising value from legacy land and optimising German assets, including zinc recycling investment.

• UK infrastructure plans imply over £700bn of investment through 2035, with up to £1.3tn more from the private sector; the water sector plans £104bn investment for 2025–2030.

• Clean-energy investment is targeted to exceed £30bn annually by 2035, with £200bn in private investment sought by 2030; recycled and secondary aggregates use is forecast to reach 130Mt by 2030.

• Opportunity areas include transport and digital connectivity, clean energy, water, waste management, land remediation and sustainable resources.

Execution and outlook

• Renewable-asset tranches sold for £15.6m plus £5m variable consideration; two Blindwells plots sold for £20.75m.

• Strategic land pipeline grew by seven sites to 12,014 plots; first material strategic land sale expected in FY27.

• FY27 services revenue is over 70% secured, with continued focus on major infrastructure projects and sustainable, profitable growth.

• Germany priorities include progressing the zinc recycling investment, improving operational resilience in DK and reviewing German assets.