GB Group, the global identity and location technology business, expects to report first-half revenue of £139.5m for the six months to 30 September, up 1.4% on a constant currency basis, with growth concentrated in the Location and Identity divisions that make up roughly 95% of group revenue.
Those two core segments grew 4.5% on a constant currency basis, led by an 8.9% rise in Location revenue driven by enterprise channel partnerships and the APAC region, while Identity grew 2.4% on double-digit growth outside the Americas, particularly in EMEA gaming and financial services and the ramp-up of new GBG Go customers.
Americas Identity remained a weak spot, with previously flagged attrition among a small number of material direct customers continuing to weigh on the division; GBG said further detail on recovery actions would come at the interim results.
The non-core Global Fraud Solutions business, about 5% of group revenue, declined more sharply than expected on the timing of licence renewals, higher customer churn and fewer new wins, though GBG said it remains profitable and cash generative while strategic options are assessed.
First-half adjusted operating profit is expected to be £27m, down from £29.5m a year earlier, reflecting previously announced additional investment to accelerate GBG Go, which remains on track and due to conclude by the end of the financial year.
The group incurred about £4.5m of exceptional costs in the first half as it accelerated cost efficiency actions to offset the Americas Identity headwind, and expects to book a non-cash goodwill impairment tied to that business, which it said would be treated as exceptional with no impact on adjusted operating profit or cash.
GBG said its full-year outlook is in line with recently revised market expectations, guiding to FY27 revenue growth of 1-3%, with continued cost efficiency progress underpinning the board's confidence in delivering adjusted operating profit in line with current market expectations.
"Our resilient performance, led by strong growth in Location, EMEA Identity and the momentum behind GBG Go, demonstrates that the business fundamentals are strong and that our capabilities are highly trusted by customers across attractive, structurally growing markets," said chief executive Dev Dhiman.
GBG will announce its interim results on Tuesday, 24 November.