Princes Group (PRN) H2 2025 earnings summary

Executive summary

• Achieved a landmark year with a successful London Stock Exchange listing and entry into the FTSE 250, transforming the financial profile and governance structure.

• Pro forma revenue reached £1.92bn, with Adjusted EBITDA up 22% to £150m and net income up fivefold to £57.9m year-over-year.

• Strategic focus on margin-accretive growth, operational efficiency, and disciplined M&A, supported by a robust net cash position of £394.6m.

• Integration into NewPrinces Group delivered synergy activation, operational leverage, and procurement efficiencies.

Financial highlights

• Pro forma Adjusted EBITDA margin expanded 181bps to 7.8% (FY24: 6.0%).

• Statutory revenue was £1.87bn, Adjusted EBITDA £148m, and net profit £37.1m (vs. £1.28bn, £65m, and -£8.3m in FY24).

• Gross profit rose 15% to £388m, with gross margin improving 374bps to 20.2%.

• Underlying free cash flow of £128m, with FCF conversion at 86%.

• Return on Capital Employed improved to 11.6% (FY24: 5.7%).

• Net cash position (excl. IFRS 16) of £394.6m, a swing from £366m net debt in FY24.

• Earnings per share increased to 60p from 13p year-over-year.

Outlook and guidance

• Medium-term guidance: revenue to surpass £3bn, EBITDA margin to improve by 300bps from FY24, and FCF conversion rate above 60%.

• Capital allocation priorities: organic growth, innovation, value-accretive M&A, and balance sheet discipline.

• Positioned to act as a consolidator in a fragmented sector, leveraging strong cash generation and balance sheet.