SysGroup plc (LSE:SYS) delivered better-than-expected results for the year ended 31 March 2026, supported by a strong second-half performance and the contribution from its December 2025 acquisition of Saxis Group.
Full-year revenue increased 7.6% to £22.1 million, with momentum building in the latter half of the year. Organic revenue in the second half rose 7.0% year on year, while total H2 sales climbed 17.2% compared with the same period last year, reflecting both underlying growth and the impact of the acquisition.
Profitability also improved, with adjusted EBITDA expected to reach £1.2 million, up from £0.9 million and ahead of market expectations. The group ended the period with £7.7 million in gross cash and £2.7 million in net cash, even after funding the Saxis transaction. Management also pointed to early gains from the integration of artificial intelligence into sales processes and service delivery, helping to position the business for continued progress into FY27.
Despite these positives, the company’s broader outlook remains constrained by ongoing financial challenges, including continued losses and pressure on operating and free cash flow. Technical indicators also remain weak, with the share price trading below key moving averages and momentum signals negative. While recent contract wins and insider buying offer some support, they have yet to fully offset concerns around earnings quality and cash generation.
More about SysGroup
SysGroup plc is a UK-based provider of cloud, cybersecurity, and digital infrastructure services, primarily serving mid-sized organisations. The company offers end-to-end solutions designed to help businesses modernise, secure, and optimise their IT environments. With offices in Edinburgh, London, Manchester, and Newport, SysGroup operates close to key regional markets across the UK.
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