PCI Pal (LSE:PCIP) reported a robust first half for the six months to 31 December 2025, supported by strong new customer wins and more efficient deployment of its solutions. Annualised recurring revenue climbed to a record £20.3m, representing growth of 21% year on year, or 25% on a constant-currency basis, while contracted ARR increased 18% to £24.0m.
Revenue for the period rose 7% to £11.3m, increasing to 14% on a normalised basis, underpinned by continued platform reliability with 100% cloud uptime. Customer metrics remained solid, with gross retention holding at 95% and net retention improving to 105%. The group reported ongoing expansion across both SMB and enterprise customers, including deeper traction in the US healthcare sector, alongside growing contribution from its partner-led sales model.
The balance sheet remains relatively strong, with £2.6m of cash on hand and no bank debt. Management said the business enters the second half of FY26 with a healthy sales pipeline and increasing momentum from its integrated partner ecosystem, supporting confidence in delivering against strategic goals and board expectations.
From an investment perspective, recent corporate progress and supportive technical indicators provide positives, although these are tempered by ongoing profitability challenges and valuation concerns. While strategic execution and market demand remain encouraging, further progress on margins and earnings will be key to sustaining the investment case.
More about PCI Pal
PCI Pal PLC is a global provider of cloud-based, software-as-a-service secure payment solutions for business communications. Its platform enables organisations to take payments securely across voice, chat, social, email and contact centre channels, helping customers meet regulatory compliance requirements and reduce the risk of data breaches. PCI Pal operates its cloud infrastructure on Amazon Web Services, with regional deployments across EMEA, North America and ANZ, and distributes its solutions through integrations and partnerships with leading business communications vendors and payment service providers.
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