Trading Update

The Board of Eleco plc (AIM: ELCO), the specialist software provider for the built environment, is pleased to provide a trading update for the six months ended 30 June 2026 (the 'Period'), based on unaudited management accounts for the Period.

Trading highlights

• Annualised Recurring Revenue ("ARR")1 at 30 June 2026 increased 16% to c.£35.5m (£30.7m at 30 June 2025), reflecting a further new record for the Group's ARR.

o Organic3 ARR increased approximately 23% to c.£34.7m (H1 2025: £28.3m).

• Total Recurring Revenue ("TRR")2 increased by 14% to c.£16.9m (H1 2025: £14.8m), representing 85% of total revenue (H1 2025: 81% of total revenue).

o Organic3 TRR increased approximately 20% to c.£16.4m (H1 2025: £13.8m).

• Headline total revenue for the period increased by 8% to c.£19.9m (H1 2025: £18.4m); and in constant currency terms approximately £19.6m.

o Organic3 total revenue for the period increased by 15%, taking into account the effect of several acquisitions and the divestment of the Group's former Visualisation business.

• Cash at 30 June 2026 was £15.4m (at 30 June 2025: £12.2m; at 31 December 2025: £16.3m) reflecting strong cash generation; outside of acquisition payments, dividends and other non operational costs totalling £5.5m.
• The Group remains free of debt.

The Interim Results will be reported in full in September with a date to be confirmed in due course.

1 ARR is defined as normalised annualised recurring revenues and includes revenues from subscription licenses, contract values of annual support and maintenance, and SaaS contracts. This ARR figure is calculated with the inclusion of contributions from acquisitions as part of the Group business going forward.

3 H1 of 2026 included approximately four and a half months contribution of the Kivue acquisition and excludes any trading contribution from the disposal of Veeuze, the Group's former German-based visualisation business. The prior interim period included approximately five and a half months contribution of the PEMAC acquisition.

Jonathan Hunter, Chief Executive Officer of Eleco plc said:

"Eleco delivered a strong first half, with growth across our key financial metrics and clear progress against our strategy."

"Organic recurring revenue rose 20% to £16.9m and now represents 85% of Group revenue, while Annualised Recurring Revenue reached £35.5m, providing strong visibility into the second half. Group revenue grew 8% to £19.9m (H1 2025: £18.4m), with organic growth of 15%. With effective cost and cash management, the Group continues to see improved profitability, remains debt free and closes the period with cash of £15.4m."

"We further focused effort on our core businesses, disposing of the non-core Veeuze operation to improve margins, while continuing to invest in our AI-enabled R&D. During the half we launched Asta Vision Plus, our API-led solution, and Asta Estimate, which integrates planning, scheduling and cost estimation. We also rebranded the Group under the Eleco name and refreshed the visual identity across the portfolio to strengthen our market presence and positioning. During the period, our Pemac maintenance management solution made further progress in the USA by securing a strategically important order from a leading medical device manufacturer, where implementation has commenced and evaluations are taking place to expand into additional USA manufacturing sites."

"With the ongoing digitalisation of construction and asset-intensive industries and the increasing regulatory and sustainability demands placed on our customers, the Board remains confident in delivering full year 2026 results in line with market expectations."

Eleco plc is an AIM-listed (AIM: ELCO) specialist international provider of software and related services to the built environment through its operating brands Eleco, Elecosoft, BestOutcome, Pemac, and Eleco Technologies from centres of excellence in the UK, Ireland, Sweden, Germany, the Netherlands, Romania, Australia and the USA.

For further information please visit www.ir.eleco.com.