Fonix plc (LSE:FNX) delivered another year of growth in FY26, reporting higher profitability, rising payment volumes and continued strong cash generation. Gross profit increased 12.9% to £21.0 million, while adjusted EBITDA rose 11.0% to £16.2 million, slightly ahead of market expectations. Total payment volume grew 8.0% to £303.3 million, enabling the company to increase its final dividend and launch a £2.0 million share buyback programme, highlighting the board’s confidence in the group’s financial position.
International expansion gathers pace with new product launches
During the year, Fonix strengthened partnerships with major UK media customers including Global and ITV while continuing to expand across Europe. The company launched commercial operations in Portugal, began pilot programmes in Switzerland and continued building its presence in France as well as a fifth European market.
Product innovation also remained a key growth driver. Fonix expanded the rollout of its PayFlex platform, advanced trials of its RichMessaging solution and continued promoting its award-winning CompsPortal offering. Combined with 100% platform uptime throughout the year, these developments position the business for further growth in FY27 as it broadens its international reach and enhances its mobile engagement services.
Strong financial position supports outlook
Fonix enters the new financial year with solid underlying financial momentum, supported by growing profitability, healthy cash generation and an attractive valuation. Recent strategic developments, including international expansion and continued shareholder returns through dividends and share buybacks, reinforce confidence in the company’s long-term growth strategy.
Technical indicators point to positive short-term momentum, although longer-term resistance levels could limit further gains. While management has provided limited additional commentary beyond the trading update, the company’s operational progress and expanding pipeline suggest continued opportunities for growth.
About Fonix
Fonix plc is a London-based provider of mobile payments and messaging technology, enabling organisations to generate revenue and increase customer engagement through mobile channels. Founded in 2006, the company serves clients across the media, charity, entertainment and enterprise sectors, including ITV, Global, Bauer Media, RTÉ, Comic Relief and BBC Children in Need. Its technology platform focuses on delivering secure, consumer-focused mobile payment and communication solutions.
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