JTC Plc (LSE:JTC) reported that first-half profit fell 62.6% to £6.9 million, down from £18.5 million a year earlier, as acquisition-related costs and share-based payments offset higher revenue. Basic earnings per share came in at 4.16 pence, compared with 11.41 pence in H1 2024.
Reported EBITDA declined 11.8% to £41 million, while underlying EBITDA rose 15.1% to £56.5 million, with the underlying EBITDA margin broadly stable at 32.8% versus 33.4% a year earlier. Revenue grew 17.3% to £172.6 million, supported by record new business wins of £19.5 million and 11% net organic growth. The lifetime value of work won during the period was £267.8 million, based on an average client tenure of 14.2 years, providing visibility of more than £2.4 billion in future revenues.
The Institutional Capital Services division reported revenue of £104.2 million, up 19.1%, with underlying EBITDA of £31.3 million and a 30.1% margin. The Private Capital Services division generated £68.4 million in revenue, up 14.8%, with underlying EBITDA of £25.2 million and a margin of 36.8%.
Geographically, UK and Channel Islands revenue rose to £73.6 million from £66.7 million. In the US, revenue increased to £53.1 million from £46.4 million, representing 30.7% of the group’s total. Revenue in the rest of Europe grew to £20.9 million, and the rest of the world rose to £25 million from £14.3 million, reflecting recent acquisitions.
Net debt at June 30 was £250.7 million, compared with £150.5 million a year earlier, with leverage at 2.06 times underlying EBITDA, slightly above the company’s stated 1.5–2.0 range. Cash conversion was 86%, down from 104% last year. The board declared an interim dividend of 5 pence per share, up 16.3% from 4.3 pence in 2024, payable 24 October to shareholders on the register 26 September, with ex-dividend date 25 September.
After the reporting period, JTC completed the acquisition of Citi Trust on 1 July and announced the proposed purchase of Kleinwort Hambros Trust Company, expected to close in Q4 2025 and anticipated to be earnings accretive in 2026. Full-year expectations remain unchanged, with results expected to align with management guidance.
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