REACT Group Exceeds Expectations with Strong FY25 Performance

REACT Group Plc (AIM: REAT), a specialist support services provider, has announced a robust trading update for the year ended September 30, 2025 (FY25).

The company's performance surpassed previously revised market expectations, signaling a positive trajectory.

Revenues climbed to approximately £25.0 million, a notable increase from £20.7 million in FY24. This 21% year-on-year growth was fueled by sustained momentum across its core service lines and the strategic acquisition of 24hr Aquaflow in October 2024.

Gross Profit experienced a substantial surge, reaching approximately £8.0 million compared to £5.7 million in the previous year. This 40% increase reflects improved operational efficiency and a more diversified service mix.

Adjusted EBITDA is projected to be at least £3.0 million, a 25% increase from £2.4 million in FY24. This metric underscores the company's enhanced profitability and operational leverage.

Net debt stood at £5.3 million as of September 30, 2025, compared to net cash of £1.0 million at the end of FY24. This increase includes £2.9 million drawn from a new £3.5 million term loan, primarily used to finance the acquisition of 24hr Aquaflow Services.

The stronger trading performance in the final quarter of the year led to an expansion in the Company's working capital position, resulting in an increase in net debt.

Recurring revenues continue to exceed 85%, supported by the company's ability to respond rapidly and reliably to urgent customer needs across the UK.

The integration of 24-hour Aquaflow Services is said to be progressing well and performing in line with management expectations, contributing to immediate growth and unlocking new customer channels.

CEO Shaun Doak commented, “In a challenging economic environment, our focus on essential services – both time-sensitive and recurring maintenance – has delivered a strong second-half trading performance and exceeded previously revised market expectations.”

Doak further stated that the company has remained disciplined in executing its strategy, deepening customer relationships, driving cross-sell opportunities, and expanding its service offering through targeted acquisitions.