Adsure Services (LSE:ADS), the AQSE-listed holding company for TIAA, a specialist business assurance provider to the housing, healthcare, government and education sectors, reported net profit up 23% to £0.75m for the year ended 31 March, against £0.6m the prior year.
Revenue was broadly flat at £10m, down 0.5% from £10m, while profit before tax rose 22.7% to £1m and operating profit increased 18.4% to £1.07m. EBITDA climbed 13% to £1.34m, with the margin expanding to 13.4% from 11.8%, a gain the company attributed to realigning its skills mix and cutting direct staff costs while maintaining client retention.
Cash balances held steady at £1m, against £1.1m a year earlier, and the group remains debt-free.
The board proposed a final dividend of 0.95p per share, down from 1.14p, payable in September, saying it wants to build capacity to fund its growth strategy.
"With these strong foundations in place, we are now setting out an ambitious new chapter for the Group," said Kevin Limn, chief executive of Adsure Services.
The company said it plans to expand through selective acquisitions of specialist firms alongside organic growth, centred on its proprietary AI tool, TIAA Insight, currently in client testing ahead of full deployment across the group.
In the housing sector, client numbers grew to more than 130 organisations, and the group won three new university contracts worth £160,000 over the 2025/26 academic year.
Shareholders vote on the dividend at the AGM on 21 September, with payment due 25 September.
News Intelligence what this means for the company
Adsure Services grew net profit 23% to £0.75m on flat revenue of £10m, lifting EBITDA 13% to £1.34m by cutting direct staff costs while retaining clients. The board cut its final dividend to 0.95p from 1.14p to preserve cash for acquisitions, signalling a shift from income distribution to growth-focused capital deployment.
Margin expansion on static revenue shows operational leverage, but the company remains tiny (£10m revenue, £0.75m net profit, £1m cash) and debt-free with no material acquisition war chest yet. The dividend cut signals intent to grow by acquisition, but execution risk is high on a micro-cap with limited financial firepower.
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