PayPoint (PAY) H2 2025 earnings summary

Executive summary

• Achieved double-digit growth in EBITDA and underlying profit before tax, with underlying EBITDA up 10.7% to £90.0m and underlying profit before tax up 10.2% to £68.0m, reflecting operational resilience despite a challenging second half and subdued consumer confidence.

• Net revenue grew 3.7% to £187.7m, with growth across all four operating businesses, driven by strong e-commerce performance and steady gains in Shopping, Payments & Banking, and Love2shop divisions.

• Net corporate debt increased to £97.4m, reflecting investments, acquisitions, and an enhanced share buyback programme.

• Increased second interim/final dividend by 2.1% to 19.6p per share, totaling 39p for the year.

Financial highlights

• Net revenue rose 3.7% year-over-year to £187.7m; total revenue up 1.4% to £310.7m.

• Underlying EBITDA increased 10.7% to £90.0m; diluted underlying EPS up 10.4% to 69.1p.

• Underlying profit before tax increased 10.2% to £68.0m.

• Net debt at year-end was £97.4m, within expectations.

• Statutory profit after adjusting items was £26.3m; adjusting items rose to £41.7m, mainly due to legal settlements, amortisation, and restructuring.

Outlook and guidance

• New three-year targets: net revenue growth of 5–8% per annum to FY28, £100m EBITDA for the current year, and a 20% reduction in share capital via buybacks.

• Continued focus on automation, process simplification, operational agility, and customer experience to support growth.

• Encouraging start to the current year, with confidence in meeting expectations and delivering further progress, supported by new contract wins.