Journeo (JNEO) H1 2025 earnings summary

Executive summary

• Delivered strong H1 results with a growing opportunity and acquisition pipeline, including the recent acquisition of Crime and Fire Defence Systems.

• Focused on intelligent systems for transport networks, with four operating companies and expanding customer base.

• Strategy targets organic growth and acquisitions to reach £100 million revenue with double-digit margins in 3 years.

• Emphasis on recurring revenue, customer-centric R&D, and scalable cloud-based solutions.

• Largest ever framework award secured in May 2025 (£10m over three years); significant new orders in rail and US markets.

Financial highlights

• H1 revenue declined 4% year-over-year to £24.5m, mainly due to the absence of a large US contract; like-for-like revenue up 10%.

• Gross profit increased by 3% to £9.2m, with group gross margins up 3%.

• Adjusted PBT remained level at £2.8m; underlying PBT at £2.6m; EPS down to 12.51p.

• Cash and cash equivalents at period end were £18m, with over £9m remaining post-acquisition.

• Recurring revenue grew to 16% of group total, up from 13% in H1 last year.

Outlook and guidance

• Full year revenue expected at £56m and PBT at £5.6m, in line with upgraded market expectations.

• On track to deliver another record full-year result, supported by organic growth and recent acquisition.

• H2 anticipated to be stronger for Infotec and Journeo A/S segments due to contract wins and recurring revenue.

• U.S. market expansion planned via new subsidiary, targeting significant infrastructure opportunities.