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(Sharecast News) - GB Group reported a solid trading performance for the year ended 31 March on Thursday, with group revenue rising to around 283 million, representing 3% constant currency growth, although it warned of macroeconomic uncertainty affecting it in the short-term.
The AIM-traded firm said identity revenue grew 3%, supported by gains in EMEA and Asia-Pacific, while operations in the Americas stabilised under new leadership.
Location delivered over 6% growth, reflecting strong customer retention and a resilient partner channel, though performance in the fraud division declined 4% due to timing differences in licence renewals, with modest growth returning in the second half.
Adjusted operating profit was expected to rise 10% to around 67m, aided by continued cost discipline and business simplification initiatives.
The company said it incurred exceptional costs of 4.5m related to restructuring aimed at enhancing global alignment.
Cash conversion exceeded 90%, allowing net debt to fall to 48.5m from 80.9m the prior year, with 100m in undrawn facilities providing additional financial flexibility.
GBG said it remained well-positioned for long-term growth, backed by recurring revenue and strong net revenue retention.
Recent product innovation, including the launch of its new identity platform GBG Go, supported its strategic ambition to accelerate profitable growth, though the near-term outlook could be affected by macroeconomic uncertainty linked to tariffs.
"The digital economy has evolved at speed over the past 30 years - and GBG has evolved with it," said chief executive officer Dev Dhiman.
"Through relentless innovation, we've helped businesses connect with and trust their customers using our powerful identity and location intelligence.
"This year, I am proud of the major leap forward that the business has achieved."
Dhiman noted that as of 1 April, GBG was going to market as a single global brand and team with a unified identity platform, GBG Go.
"It's a step change, and only possible thanks to the dedication and focus of our team.
"We're now entering an exciting new chapter - driven by a refreshed purpose: enabling safe, rewarding digital lives for genuine people, everywhere.
"In June, I'll outline the strategic initiatives that will strengthen our market leadership and deliver the impact to accelerate our growth."
At 1153 BST, shares in GB Group were down 10.21% at 237.5p.
Reporting by Josh White for Sharecast.com.