Keystone Law Group (KEYS) H2 2025 earnings summary

Executive summary

• Achieved strong full-year results with revenue up 11.1% to GBP 97.7 million and adjusted PBT up 12.8% to GBP 12.7 million, reflecting robust client demand and effective recruitment of high-calibre lawyers.

• Fully regulated, tech-enabled law firm with over 500 vetted lawyers operating on a scalable, performance-based platform.

• Maintained a debt-free, cash-positive position with closing cash at GBP 9.7 million and strong operating cash conversion of 94.5%.

• Paid interim, final, and special dividends, returning over GBP 45 million to shareholders since IPO.

• Recruitment of 50 new principals, with total fee earners reaching 576, supporting ongoing growth and market leadership in the platform law firm sector.

Financial highlights

• Revenue increased 11.1% year-over-year to GBP 97.7 million; adjusted PBT up 12.8% to GBP 12.7 million, with a margin of 13%.

• Adjusted EPS was 30.4 pence, up 10.9%, impacted by higher corporation tax.

• Gross profit margin stable at 26.1%.

• Operating cash conversion was 94.5%, generating GBP 11.5 million in operating cash.

• Net cash position of GBP 9.7 million, debt free.

Outlook and guidance

• Confident start to the new financial year, expecting another strong year despite macroeconomic uncertainties.

• Rate card review planned, with some positive impact on revenue per principal anticipated.

• Ample room for growth in a GBP 12 billion addressable market, with continued focus on high-quality recruitment.

• Results expected to be in line with market expectations.