Cordel Group PLC

Latest Results (20.03.2026):

Cordel Group PLC — interim results for the six months ended 31 December 2024 (half‑year / Q2 of the fiscal year ending 30 June 2025): total revenue rose 16% to £2.28m (18% at constant currency), gross margin improved to ~70% after hosting costs fell, and the underlying EBITDA loss narrowed to £159k (72% improvement). Loss before tax was £253k (improved 65% year‑on‑year). Cash and receivables total c.£2.94m and the Group closed the period with net assets of £3.25m, while securing new customer contracts and advancing its PTC technology programme.

Revenue

Total revenue for the six months to 31 December 2024 was £2,276,925, up 16% on the prior year (18% at constant currency), driven by growth in Australia and the USA.

Profitability

Gross margin rose to c.70% (from 53%) after hosting and third‑party hardware costs fell 26% to £685k. EBITDA was a loss of £159k, an improvement of 72% vs the prior period; loss before tax was £253k (65% improvement).

Costs & operating spend

Total operating expenses increased 12% to £1.98m, mainly due to higher employee costs (+£156k) as the Group invests in growth and key AI hires for the PTC project; headcount remained 35 across UK, Australia and USA.

Cash, receivables and balance sheet

Cash at 31 December 2024 was £1,143,555 and trade & other receivables £1,798,487 (cash + receivables ~£2.94m). Total assets were £4.68m and net assets £3.25m.

Working capital & cash flow

Operating cash outflow was £702k in the period due to revenue growth and adverse working‑capital movements (slower customer payments and higher inventory). Cash increased £65k since 30 June 2024 after proceeds from an October placing.

Financing and liquidity

The Group completed a share placing in October 2024 (gross proceeds c.£977k) and entered a short‑term supplier financing arrangement (borrowings shown at £104,090; interest rate 6.99%, maturing 30 Aug 2025).

Customers, contracts and commercial progress

Number of clients rose from 8 to 11. Key new wins and milestones in the period include contracts with Southeastern, Genesee & Wyoming, Amtrak Metro‑North and Aurizon, Network Rail certification for Overhead Line Equipment, and an expansion/extension with ARTC.

Technology & strategic developments

Following October capital raising, Cordel launched its Positive Train Control (PTC) project, recruited AI engineers and secured industry collaboration; management highlights 3D object recognition and location‑resolution advances that will apply across products.

Outlook

Management expects continued contract wins and steady growth of track mileage under long‑term data management, supporting confidence in achieving the revenue plan for the year ending 30 June 2025.