YouGov (YOU) H2 2025 earnings summary

Executive summary

• Revenue increased to £389 million, up 16% year-over-year, with stable growth from normalized renewal rates and new client wins in Data Products, and modest growth in Research, especially in the Americas.

• Operating profit rose to £60.7 million, driven by contributions from YouGov Shopper, cost savings, and margin recovery as the SP3 strategy commenced.

• The company is emphasizing innovation, particularly in AI-driven data collection and analysis, with new methodologies and panel management strategies.

• Strategic priorities include expanding data products, enhancing panel quality, and leveraging AI to create scalable, actionable insights.

• Adjusted EPS was 31.7p, up 8%, with growth impacted by higher interest expense.

Financial highlights

• Revenue grew by 16% year-over-year, reaching £389 million, with strong performance in Data Products and Shopper segments.

• Operating profit margin improved year-over-year, driven by Shopper and cost optimization.

• Annualized savings of £20 million were initiated, with 70% realized in the year.

• Net debt/EBITDA closed at 1.7x, with a focus on deleveraging over the next two years.

• Operating cash generation increased to £63.3m, with cash conversion stable at 71%.

Outlook and guidance

• Modest improvement in revenue and margin expected for FY26, with investments in data science and technology.

• FY26 trading has started in line with expectations; incremental investments factored into guidance.

• Backlog entering the year is 3% higher than last year, supporting confidence in first-half performance.

• Inflationary price increases are being implemented after a period of flat pricing.

• Capital Markets Day planned to provide updated medium-term targets and guidance.