Revenue rose 25.2% to £264.4 million, while EBITDA climbed 29.1% to £33.7 million
LONDON: Hargreaves Services plc (AIM: HSP), the diversified industrial and property services group, reported preliminary results for the year ended 31 May 2025 showing significant growth in revenue and EBITDA, alongside a return to profitability in its HRMS joint venture and a proposed final dividend uplift.
Revenue rose 25.2% year-on-year to £264.4m, while EBITDA climbed 29.1% to £33.7m, reflecting continued momentum in the Group’s Services division. Underlying profit before tax edged up 4.1% to £17.6m, supported by a 215% increase in the contribution from HRMS, which delivered £4.1m in post-tax profit.
Group Chair Roger McDowell attributed the performance to resilience in clean energy, water and infrastructure services, with more than 70 framework contracts now secured, covering 70% of next year’s projected revenue. “The completions at Blindwells continue to demonstrate the value within the portfolio,” he said.
While profits at Hargreaves Land moderated against last year’s strong comparatives, Blindwells drove a year-on-year revenue gain. Net assets rose marginally to £194.2m, and the cash position stood at £23.3m, with no debt on the balance sheet.
A final dividend of 18.5p was proposed, taking the full-year payout to 37.0p—up 2.8% from the prior year.
Looking ahead, Hargreaves Services is well-positioned to capitalise on its strong pipeline of opportunities within the infrastructure sector. The Services business has already secured over 70% of its budgeted revenue for the upcoming year, showcasing its resilience and strength in key areas such as clean energy, water, and infrastructure projects.
With further prospects emerging in these sectors, the Group continues to demonstrate its capacity to adapt and thrive amidst evolving market conditions, ensuring sustainable growth and delivering continued value to shareholders. Despite challenges faced by HRMS, the notable improvement in the second half of the year, gives us confidence in an improved contribution for the current financial year. We plan to continue the realisation of value from our renewable energy land assets.
The Group maintains a robust, debt free balance sheet, providing a solid foundation for growth, whilst giving optionality as we look to realise value through targeted asset disposals over the coming years.