YouGov (YOU) H1 2025 earnings summary

Executive summary

• Achieved record half-year revenue of £191.7m, up 34% year-over-year mainly due to the CPS acquisition, with underlying growth of 2%.

• Adjusted operating profit reached £30.1m (16% margin), up 7% reported, but fell 13% on an underlying basis due to higher staff and data costs.

• Cost optimisation plan targeting £20m in annualised savings, with 70% expected in FY25.

• Leadership transition: Steve Hatch stepped down, Stephan Shakespeare appointed interim CEO.

• Renewed focus on executing the SP3 vision and long-term growth.

Financial highlights

• Revenue stable at £191.7m; margin profile recovering to 16% from a low of 11% in the prior half.

• Adjusted EBITDA up 30% to £53.5m; adjusted profit before tax down 21% to £24.1m.

• Operating cash generation increased to £26.4m, despite a £12.2m net working capital outflow.

• Net debt at £154.7m; leverage ratio at 2.0x net debt to EBITDA; interest cover at 5.6x.

• Research business returned to moderate growth of 1%-2%, reversing prior declines.

Outlook and guidance

• On track to achieve £20m in cost savings, with 70% realized in FY25.

• Modest revenue growth expected for the remainder of FY25 amid challenging macro conditions.

• Expectation for margin and cash conversion normalization by FY2026.

• Strategic focus on accelerating SP3 vision and leveraging AI for product enhancement.

• Growth in data products and custom research anticipated, especially in the U.S. and U.K.