Directorate Change and Trading Update

Directorate Change

iomart Group plc (AIM: IOM), the secure cloud services company, announces that Scott Cunningham, Chief Financial Officer, has notified the Board of his intention to step down from his role to take up a new opportunity in a private company outside of the IT sector. To ensure a smooth transition, Scott will continue in his role and work closely with Richard Last, Executive Chair, and the wider leadership team through the completion of the March year‑end reporting cycle. It is expected that Scott will leave the Board and the Company in June 2026.

Scott has served iomart with dedication for over seven years, playing a significant leadership role across the Group's financial, operational and strategic development. The Board would like to express its thanks to Scott for his contribution during a period of considerable organisational evolution and transformation. The process to appoint Scott's successor will commence immediately.

Richard Last, Executive Chair of iomart Group plc, commented: "On behalf of the Board and the wider iomart team, I wish to thank Scott for his significant commitment and contribution to iomart over the last seven years and wish him every success in his new role."

Trading Performance

The Group experienced a softening in trading during December and January, including an increase in customer churn compared to the earlier part of the financial year, particularly in certain high margin areas. Growth, albeit lower than expected, has been achieved in Azure, security and Microsoft 365 where margins are traditionally lower.

Net order bookings are expected to be positive for the financial year, and the sales pipeline is encouraging.

The Group continues its cost optimisation and efficiency program, with annualised savings of over £5.0m now having been achieved. We continue to pursue further efficiency opportunities which will generate further profit benefits, operational efficiencies and service quality improvements.

Overall, for the year to 31 March 2026, the Board now expects Group revenue to be broadly in line with, and EBITDA to be just below, the lower end of current market expectations.

Cash performance and capital expenditure discipline remain strong, and the Group continues to operate within its current bank facilities.

Note: Company compiled range is based on known sell-side analyst estimates. The latest known sell-side analyst estimates for the full year ended 31 March 2026 are:

• Revenue in the range of £157.6m to £159.1m;
• Adjusted EBITDA(1) in the range of £27.7m to £28.5m; and
• Adjusted loss before tax (2 in the range of £(2.1)m to £(1.0)m
• Net Debt in the range of £98m to £107m

(1)adjusted EBITDA means earnings before interest, tax, depreciation, amortisation, share based payment charges, forex gains or losses on long term cash flow hedges, acquisition related costs and non-recurring items.

(2)adjusted loss before tax means profits before, tax, share based payment charges, amortisation of acquired intangibles, forex gains or losses on long term cash flow hedges, acquisition related costs and non-recurring items.

The person responsible for releasing this announcement on behalf of the Company is Richard Last, Executive Chair.