Pebble Beach Systems (LSE:PEB) reported first-half 2026 trading in line with market expectations, with revenue increasing around 10% to £6.5 million. Growth was driven by a 19% rise in project revenue alongside continued expansion in recurring service level agreement (SLA) income. Adjusted EBITDA improved to approximately £2.4 million, lifting the EBITDA margin to around 37%, supported by a greater proportion of higher-margin software licence sales. The company noted that this sales mix is expected to return to more typical levels during the second half of the year.
Robust operating cash flow enabled Pebble Beach Systems to reduce net debt significantly to approximately £0.8 million at the halfway stage of the year. Management expects the group to move into a net cash position by the end of 2026. The company also highlighted a healthy order book and a growing base of recurring revenue, which provide confidence in delivering full-year expectations while strengthening its financial position and competitive standing in the broadcast automation and streaming technology sectors.
The company’s outlook is supported by improving profitability and continued strong cash generation, although its balance sheet still reflects some leverage and historical equity weakness. Technical indicators remain favourable, with strong share price momentum, although they also suggest the stock may be approaching overbought territory. Valuation appears supportive, with the shares trading on a relatively low price-to-earnings multiple.
About Pebble Beach Systems
Pebble Beach Systems Group plc is a global software company specialising in automation, integrated channel management and virtualised playout solutions for broadcasters and streaming providers. Established in 2000, the company supplies scalable software platforms to leading media organisations, with its technology managing around 2,000 television channels across more than 70 countries.
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