CVS Group Plc (LSE:CVSG) revealed on Thursday that its revenue for continuing operations grew by approximately 5.4% to £673.2 million in the fiscal year 2025 trading update.
The veterinary services provider reported a like-for-like sales increase of around 0.2%, with stronger performance noted in the fourth quarter. The company anticipates its adjusted EBITDA margin will rise to roughly 20%, with adjusted EBITDA reaching about £134 million.
CVS Group also announced a delay in its preliminary full-year results publication, now scheduled for October 7, pushed back from the original September 25 date. This postponement allows more clarity on the Competition and Markets Authority’s (CMA) provisional ruling, expected in September 2025.
During the fiscal year, CVS Group expanded its footprint in Australia, completing seven acquisitions that added 15 sites for a total spend of £29.2 million. Following the period end, two further deals were closed, growing the Australian portfolio to 30 practices across 45 locations. The company intends to continue making acquisitions in Australia throughout fiscal year 2026.
In contrast, merger and acquisition activity in the UK remains on hold pending the CMA’s market investigation outcome.
Earlier, in April 2025, CVS Group divested its Crematoria business for an initial cash consideration of £42 million, equating to 10 times adjusted EBITDA.
The company expects its leverage ratio to drop to approximately 1.2 times by June 30, down from 1.66 times a year earlier, with committed but undrawn bank facilities exceeding £200 million.
CVS Group has reaffirmed its commitment to invest between £30 million and £50 million annually—£33 million was invested in FY25 compared to £42 million in FY24—and to pursue over £50 million in overseas acquisitions, aiming to maintain leverage below 2.0 times.
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