Trading Statement

Croma Security Solutions Group plc (AIM: CSSG) is pleased to provide the following trading update for the financial year ended 30 June 2026 ("FY 2026").

FY 2026 Trading Update

The Group expects, subject to audit, to report increased revenue for FY 2026, with total revenues of approximately £11.0 million, slightly ahead of market expectations and representing growth of approximately 15% compared with the prior year (FY 2025: £9.6 million). EBITDA is also expected to be marginally ahead of expectations at around £1 million, reflecting the planned increased investment in the business, as referenced in the interim results announcement. (FY 2025: £1.1 million).

The performance reflects contributions from the two acquisitions completed during the second half of the financial year together with continued revenue growth, driven by healthy demand from both retail and commercial customers. Existing and new clients continued to invest in maintaining and enhancing their security infrastructure, supported by increasing regulatory requirements and a continued focus on protecting people, property and assets.

In June 2026, the Group received the final deferred consideration payment of £0.4 million, completing the £6.5 million disposal of Vigilant Security Limited ("Vigilant"), originally announced on 6 June 2023. The proceeds from the disposal have enabled the Group to focus on its higher-margin Croma Locksmiths and Croma Security Systems businesses while funding the continued expansion of its national security centre network through acquisition. Since the disposal, the Group has merged two sites resulting in synergistic benefits; and acquired 6 locksmith businesses, all of which have been successfully integrated into its growing network of 17 modern security centres.

The Group's balance sheet remains robust, with no bank debt, and net cash (excluding lease liabilities) at 30 June 2026 ahead of market forecasts at £4.9 million (31 December 2025: £4.4 million). This provides the financial flexibility to continue executing the Group's acquisition strategy while investing in the ongoing organic growth of the business.

During H2, Croma completed the acquisition of TLS Security Systems, an established locksmith and security business based in Taunton, Somerset, in January 2026, followed by the acquisition of Southern Security Services Limited, an established electronic security and specialist locksmith business based in Poole, Dorset, in March 2026. Both businesses have been successfully integrated and are trading in line with management's expectations.

Outlook

The Group remains focused on acquiring well-established locksmith and security businesses at attractive valuations in locations that complement and strengthen the Croma network. The Company has a healthy pipeline of acquisition opportunities and is actively progressing a number of discussions, providing a strong platform for further acquisitive growth.

Roberto Fiorentino, Chief Executive Officer, commented:

"Despite continuing macroeconomic uncertainty, the Group has delivered another year of growth. We have continued to strengthen our position across our core markets, particularly within the healthcare and leisure sectors, while successfully integrating our latest acquisitions and expanding our national network.

Receiving the final payment from the sale of Vigilant marks the successful completion of a transaction that has transformed the Group's strategic focus. Today, Croma is financially stronger than at any point in its history, with a debt-free balance sheet, growing cash resources and an attractive platform for further expansion. We believe this positions the Group as an excellent long-term home for high-quality independent locksmith businesses looking to benefit from being part of a larger organisation."