Time Out Group (TMO) H2 2025 earnings summary

Executive summary

• Group revenue fell 29% to £73.2m (FY24: £103.1m), mainly due to a change in revenue accounting policy and a 26% decline in Media revenues, partially offset by 9% growth in Market revenues.

• Adjusted EBITDA dropped 43% to £7.1m (FY24: £12.4m), with Group operating loss widening to £49.7m (FY24: £0.4m loss), driven by £35.1m impairment and £9.2m exceptional items.

• Net loss for the year was £63.8m (FY24: £5.5m loss), with no dividend recommended.

Financial highlights

• Market revenue rose 9% to £46.7m, while Media revenue fell 26% to £26.6m.

• Gross margin improved to 83% (FY24: 82%).

• Adjusted net debt increased to £44.3m (FY24: £33.0m); total net debt including leases was £86.3m (FY24: £73.4m).

• Cash and cash equivalents decreased to £2.6m (FY24: £5.9m).

• Impairment charges of £35.1m recognized, mainly for underperforming Markets and Media units.

Outlook and guidance

• Strategic actions and cost reductions of £10m annualized are expected to improve profitability in FY26.

• FY26 trading to date is in line with management expectations, showing material improvement over FY25.

• Management expects Media to return to EBITDA profitability in H1 FY26.

• Going concern basis adopted, but material uncertainty exists due to required refinancing of €34.4m Crestline loan by Nov 2026 and reliance on new equity placing.