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Eleco PLC on Tuesday reported double-digit profit growth during the first half of 2025, with ‘record’ recurring revenue and ‘strong’ cash generation. The London-based software provider focused on the construction and built environment sectors said pretax profit for the six months that ended June 30 was £2.0 million, rising 25% from £1.6 million a year earlier. Revenue grew 13% to £18.4 million from £16.3 million, 81% of which was recurring revenue compared to 74% in the first half of 2024. Recurring revenue totalled £14.8 million, up 23% from £12.0 million the year before. Adjusted earnings before interest, tax, depreciation and amortisation improved 27% to £3.8 million from £3.0 million. Selling and administrative expenses increased 9.1% to £14.4 million from £13.2 million. ‘I am pleased to report ongoing improvement in revenue, recurring revenues and enhanced profitability measures in the first half of 2025, which is testament to our resilient business operating model in otherwise challenging geopolitical and macroeconomic times,’ said Chief Executive Officer Jonathan Hunter. ‘In addition to positive progress in introducing new customers and expansion of existing customers, we see promising opportunities following the successful acquisition of PEMAC in January 2025 which has broadened our customer base and geographic reach, building further on our CMMS software offering alongside our established ShireSystem solution.’ Eleco declared an interim dividend of 0.35 pence, up 17% on-year from 0.30p. Cash at June 30, following merger and acquisition activity, was £12.2 million, against £12.0 million the year before and £14.0 million at December 31, 2024. Shares in Eleco were down 6.6% at 148.00 pence in London on Tuesday afternoon. The stock remains up 11% over the past year. Hunter continued: ‘Leveraging our talent, technological capabilities and strong customer relationships, along with current initiatives to address services revenues, we remain confident in Eleco’s forward trajectory and delivery of full year 2025 results in line with market expectations.’ Copyright 2025 Alliance News Ltd. All Rights Reserved.
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