**Summary of Netcall PLCs Half-Year Report (H1 FY26, ended 31 December 2025)**
**Financial Highlights**
**Revenue Growth** 15% year-on-year to £26.5m (H1 FY25: £23.0m), driven by 11% organic growth and contributions from the Jadu acquisition (December 2025).
**Cloud Services Revenue** Increased 34% to £17.9m (H1 FY25: £13.4m), reflecting strong cloud momentum.
**Total Annual Contract Value (ACV)** Reached £50.5m, up 28% (H1 FY25: £39.4m), with Cloud ACV growing 42% to £42.6m (H1 FY25: £29.9m).
**Recurring Revenue** Improved to 83% of total revenue (H1 FY25: 79%), enhancing revenue quality.
**Adjusted EBITDA** Grew 13% to £6.45m (H1 FY25: £5.70m), with adjusted profit before tax up 11% to £5.43m.
**Profit Before Tax** Declined 31% to £2.54m (H1 FY25: £3.69m) due to acquisition-related costs.
**Cash Position** Net cash at £13.8m, down from £20.9m in H1 FY25, after £12.7m in acquisition-related payments.
**Operational Highlights**
**Cloud Momentum** Cloud ACV grew 42% year-on-year, with organic growth of 25%, strengthening forward revenue visibility.
**AI Adoption** AI-related bookings more than tripled, contributing significantly to new ACV, with accelerated adoption across agent-assist, voice automation, and self-service.
**Customer Expansion** Cloud net retention rate remained strong at 115%, driven by module adoption, cloud migration, and AI integration.
**Acquisition of Jadu** Expanded Netcalls addressable market, particularly in UK local government, and added a US partner network.
**New Customer Wins** Increased logo additions and higher value per new account, with a record contracted order book of £92.4m.
**Strategic Progress**
**Liberty Platform** Continued deepening customer adoption, with AI capabilities driving higher customer value.
**M&A Strategy** Jadu acquisition enhanced digital experience capabilities and expanded market reach.
**Innovation** Focused on embedding AI across the Liberty platform, improving governance, and enhancing sector-specific solutions (e.g., healthcare).
**Outlook**
**Positive Momentum** Strong pipeline and record contracted order book position Netcall for continued growth in H2 FY26.
**Market Dynamics** Favorable trends in AI adoption, cloud migration, and platform consolidation support Netcalls strategy.
**Integration of Jadu** Expected to contribute positively in H2, with cost efficiencies and expanded market reach.
**Management Commentary**
CEO James Ormondroyd highlighted double-digit revenue growth, improved profitability, and progress across key metrics, emphasizing cloud and AI as key drivers. The Board remains confident in delivering ongoing progress in FY26.
**Conclusion**
Netcall delivered a strong H1 FY26, with robust financial and operational performance driven by cloud and AI momentum, strategic acquisitions, and customer expansion. The company is well-positioned for continued growth, supported by a strong pipeline, record order book, and favorable market dynamics.