Knights Group Holdings plc (LSE:KGH) reported strong full-year results for the year ended 30 April 2026, with underlying revenue increasing 28% to £207.7 million. Organic revenue growth improved to 7% for the year, accelerating to 12% in the second half. Underlying EBITDA rose 20% to £51.5 million, while underlying profit before tax climbed 19% to £33.2 million, supporting a 17% increase in the total dividend. Cash conversion reached 163%, and net debt remained broadly unchanged despite approximately £17 million of acquisition-related payments.
Organic Growth and Acquisitions Strengthen Market Position
Knights continued to expand through a combination of organic growth and targeted acquisitions. The group strengthened its regional presence by adding new operations in the South East and Cardiff while growing its Cardiff office further through selective recruitment.
The company also broadened its expertise by investing in specialist practice areas including tax, ESG and competition law. At the same time, it continued enhancing its technology-led operating model with AI-powered client onboarding and workflow systems designed to improve efficiency across the business.
To support future expansion, Knights increased its committed revolving credit facility to £159 million through 2029, providing additional financial flexibility as it continues to consolidate the evolving UK regional legal services market through both organic investment and strategic acquisitions.
Strong Fundamentals Offset by Premium Valuation
The company’s outlook remains supported by robust financial performance, healthy operating cash generation and positive technical indicators, with the share price continuing to trade above key moving averages. However, these strengths are partly offset by a demanding valuation, reflected in a high price-to-earnings ratio, while technical indicators suggest the shares may be approaching overbought territory, increasing the potential for short-term volatility.
More about Knights Group Holdings Plc
Knights Group Holdings plc is one of the UK’s largest legal and professional services businesses, ranking among the country’s top 50 law firms by revenue. Operating from 29 offices across major regional centres outside London, the group provides specialist legal services for businesses and private wealth clients and was one of the first firms to adopt a corporate structure in place of the traditional partnership model.
The company continues to expand across regional hubs including Birmingham, Manchester, Leeds and Bristol, offering clients a nationally integrated, technology-enabled platform. Its corporate structure, centralised support functions and unified technology systems are designed to improve operational efficiency while attracting experienced legal professionals from traditional law firms.
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