**Summary of AdvancedAdvT Limiteds Interim Results for Six Months to 31 August 2025**
AdvancedAdvT Limited, an international software solutions provider, reported strong interim results for the six months ending 31 August 2025, highlighting significant growth in revenue, EBITDA, and operating profit. The companys performance was driven by organic growth and strategic acquisitions, positioning it well for future expansion in the software solutions, compliance, and human capital management sectors.
**Financial Performance**
**Revenue Growth** Revenue increased by 28.0% to £25.4 million, with 10.1% attributed to organic growth.
**Recurring Revenue** Recurring revenue rose to £20.6 million, representing 81.0% of total revenues, up from £16.0 million and 80.4% in 2024.
**Adjusted EBITDA** Adjusted EBITDA from operations surged by 76.3% to £7.2 million, exceeding management expectations, with 45.0% of this growth being organic.
**Operating Profit** Operating profit increased by 127.7% to £4.7 million.
**Cash Position** Cash reserves stood at £97.0 million as of 31 August 2025, up from £88.5 million at the end of February 2025.
**Strategic Acquisitions**
**GOSS Technology Group Limited** Acquired in May 2025 for £7.4 million net of cash acquired, GOSS provides a digital transformation platform for public sector organizations.
**HFX Limited** Acquired in May 2025 for £5.0 million net of cash acquired, HFX offers a workforce management SaaS platform for both public and private sectors.
**Operational Highlights**
**Integration and Onboarding** Efficient integration of acquisitions, with both GOSS and HFX performing in line with expectations.
**Operational Improvements** Continued focus on operational and go-to-market improvements, enhancing customer engagement and service delivery.
**Future Outlook**
**Organic Growth Opportunities** The company sees potential for organic growth, particularly in AI, automation, and SaaS offerings.
**Acquisition Strategy** AdvancedAdvT remains committed to exploring acquisition opportunities to expand its market presence and capabilities.
**AI and Automation** Investment in AI and automation is central to the companys technology roadmap, with applications in resource management, workforce planning, and public sector finance operations.
**Financial Highlights and Metrics**
**Margin Expansion** Supported by operational efficiencies and a balanced revenue mix, contributing to more predictable margins.
**Cloud Strategy** Gained traction with 72 public sector organizations adopting the Centros Integra solution and a 66% year-on-year revenue growth in the resource management SaaS platform.
**Cash Conversion** Adjusted operating cash flow represented 188% of adjusted EBITDA, benefiting from efficient working capital management.
**Corporate Governance and Risk Management:**
**QCA Code Compliance** Adopted the Quoted Companies Alliance Corporate Governance Code, ensuring high standards of corporate governance.
**Risk Management** Maintains a robust risk management framework, regularly reviewed by the Board and Executive Directors.
**Conclusion**
AdvancedAdvT Limiteds interim results reflect strong financial performance, strategic acquisitions, and operational improvements. The company is well-positioned for future growth, leveraging its expertise in software solutions and its focus on AI, automation, and SaaS offerings. With a solid cash position and a clear strategic direction, AdvancedAdvT is poised to capitalize on emerging opportunities in its target sectors.
| Metric | 2024 (£000s) | 2025 (£000s) | Change (£000s) | Change (%) |
|---|---|---|---|---|
| Revenue | 19,868 | 25,436 | 5,568 | 28.0% |
| Recurring Revenue | 16,000 | 20,606 | 4,606 | 28.8% |
| Adjusted EBITDA | 4,067 | 7,168 | 3,101 | 76.3% |
| Operating Profit | 2,054 | 4,677 | 2,623 | 127.7% |
| Cash and Cash Equivalents | 88,510 | 96,954 | 8,444 | 9.5% |
| Total Debt (Contract Liabilities) | 14,347 | 18,812 | 4,465 | 31.1% |