Intercede Group (IGP) H1 2026 earnings summary

Executive summary

• H1 revenue was £8.21m, down 3.9% reported and 4.2% at constant currency, as delayed decisions weighed on performance; management expects H2 normalization and to meet FY26 expectations.

• Strategy focuses on organic growth, gradual conversion from perpetual licences to subscriptions, geographic expansion and enterprise credential management for human and non-human identities.

Financial highlights

• Revenue was £8.21m (H1 FY25: £8.54m); gross profit £7.82m (£8.24m) and operating profit £0.94m (£1.32m).

• Profit before tax was £1.26m (£1.67m); net profit £1.24m (£1.67m); basic EPS 2.1p (2.8p).

• Adjusted EBITDA was £1.3m (£1.8m); adjusted EPS was 2.2p basic and 2.1p diluted, versus 3.1p and 2.9p.

• Operating expenses were £6.9m, or 84% of revenue versus 81%; £2.1m of product investment was expensed, with continued development and IT investment.

Outlook and guidance

• Board expects to meet FY26 market expectations of £18.7m revenue and £4.6m adjusted pre-tax profit, supported by new orders, renewals and pipeline conversion.

• Professional services are expected to recover in H2, with a normalized full-year run rate of £3.5m–£4m.

• H2 priorities include product evolution, geographic expansion and targeted acquisitions; deferred revenue is expected to increase as multi-year subscription deals grow.

• Strategic ambition is sustained double-digit organic growth, with ongoing investment in products, people and partners.