System1 Group (LSE:SYS1) reported FY26 group revenue of approximately £37m, in line with previous guidance, driven by a record second half where H2 revenues rose 4% year on year.
The company said platform revenue reversed earlier weakness, rising 3% to £35.6m, while bespoke consultancy fell 51% to £1.4m as clients migrated to standard platform solutions.
Adjusted EBITDA fell to c.£3.6m (FY25: £6.6m) after planned investment in sales and innovation and one‑off restructuring costs of about £0.5m; those actions are expected to deliver annualised cost savings of c.£1m. Adjusted profit before tax was £2.1m (FY25: £5.2m). Year‑end net cash was £12.4m.
New business helped: more than 300 new platform clients generated £10.7m (30% of platform revenue) and US new clients contributed £3.5m. Platform net revenue retention dropped to 72% (FY25: 106%), while active clients rose to 626.
"This progress against a challenging macro‑economic environment delivered a resilient FY26 performance, a record H2 performance and places the business on an upwards trajectory into FY27," James Gregory said:
The group says it is comfortable with consensus FY27 revenue assumptions and upgraded EBITDA expectations. FY26 results are due on 8 July.
