Forgent plc (LSE:FORG) said it has completed and expanded its previously announced cost optimisation programme, delivering an annualised reduction of more than 50% in its recurring operating cost base compared with the 2024 financial year.
The programme involved restructuring activities across several European locations, lowering rent and establishment expenses and streamlining the workforce to create a more efficient operating structure. These measures are intended to simplify the organisation and improve financial discipline as the company progresses its development plans.
Management said the significantly reduced cost base will strengthen the platform for executing Forgent’s strategy, allowing more focused investment in near-term exploration opportunities and priority gasification projects. The company also plans to maintain strict cost controls while advancing key operational milestones, reflecting a shift toward a more scalable and financially disciplined business model.
Despite the progress on cost management, Forgent’s outlook continues to be weighed down by financial challenges, including ongoing losses, leverage and negative cash flow. Technical indicators also remain weak, with the shares in a sustained downtrend. Valuation support is limited due to negative earnings and the absence of dividend data.
More about Forgent plc
Forgent plc is a technology-focused energy transition company developing gasification projects aimed at producing cleaner energy solutions. The group operates across several European markets, including Spain, the UK, France, Croatia and Ireland, and seeks to allocate capital toward near-term exploration and development opportunities in the evolving low-carbon energy sector.
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