Trading Update

The Board of Built Cybernetics (AIM:BUC), the smart buildings group, announces an early look at trading for the financial year ended 30 September 2025 and other matters.

Trading update

We are pleased that total revenues for the year are currently expected to exceed those of the previous year.

Revenue at the Smart Buildings division in the second half of the financial year is unlikely to match the first as a result of an unexpectedly quiet August in Vanti, particularly in Stage Technology, that has not been recovered in September. Order intake in September however has been strong with projects set to start in the new financial year, and the performance of ecoDriver has been in line with expectations.

More pleasingly, the Architecture division had a stronger second half of the financial year. To support further growth, Veretec increased its headcount of architects by over a third, while a number of previously delayed projects for Aukett Swanke commenced in the fourth quarter.

At this stage the board's expectation is that the Group's overall outcome for the second half will be a small loss. Shareholders should note however that the full year results are subject to audit and are highly sensitive to revenue recognition in architecture, provisions and adjustments which typically take several months to finalise. Further announcements will be made in due course.

Proposed Disposal

In the prior year results, to 30 September 2024, the Group took the decision to impair the goodwill in respect of its Anders + Kern U.K. Limited subsidiary ("A+K"), in the light of the significant losses at that division. Disappointingly, further cost cutting has not had sufficient impact, and in the year just ended A+K will again be a sizeable component of the Group's loss for the period.

Accordingly, the board has resolved to dispose of A+K and has commenced discussions. An update on the disposal will be provided when appropriate.

Convertible Loan Note

We have been delighted by the take up of our loan note by both existing shareholders and new investors. The total amount now subscribed is £1.115 million which has provided valuable liquidity to the Group's balance sheet and a stronger basis on which to develop the Group's businesses.