Keystone Law Group (KEYS) H1 2025 earnings summary

Executive summary

• Revenue grew 8.3% year-over-year to £46.5m for H1 2025, with adjusted PBT up 7.2% to £6.1m and adjusted EPS rising to 14.6p.

• Strong recruitment activity: 30 new Principals joined, total Principals now 442, and total fee earners increased to 557.

• Interim ordinary dividend declared at 6.2p per share, up from 5.8p in H1 2024.

• Cash generated from operations was £6.2m, maintaining a debt-free position with net cash of £8.3m.

Financial highlights

• Revenue: £46.5m (H1 2024: £42.9m, restated).

• Adjusted PBT: £6.1m (H1 2024: £5.7m); reported PBT: £5.5m (H1 2024: £5.3m).

• Adjusted PBT margin stable at 13.1% (H1 2024: 13.3%).

• Adjusted basic EPS: 14.6p (H1 2024: 13.6p); basic EPS: 12.9p (H1 2024: 12.2p).

• Cash generated from operations: £6.2m (H1 2024: £6.3m); operating cash conversion 106%.

• Net cash at period end: £8.3m.

Outlook and guidance

• Revenue and adjusted PBT for FY 2025 now expected to be slightly ahead of current market expectations (£93.3m revenue, £11.5m adjusted PBT).

• Board remains confident in delivering ongoing sustainable growth despite UK economic and political uncertainties.