Trading Update and Notice of Results

Maintel Holdings Plc, a leading provider of cloud, network and security managed communications services, issues the following trading update for the six months ended 30 June 2024 (the "Period"), based on unaudited accounts.

The Company reported total revenue of £46.6 million, -1.8%, (H1 2023: £47.5 million), in line with expectations whilst EBITDA grew by 28.2% to £4.8 million (H1 2023: £3.7 million) driven largely by significant new wins within our focus pillars and target growth markets, as well as the benefit of a new streamlined business structure and price increases. The revenue performance, although slightly down on the previous year, represents underlying growth, as the first half of FY 2023 was flattered by the unwinding of the order book built up through previous years that had been impacted by the global semiconductor shortage.

During the Period Maintel continued to successfully execute its strategic pivot away from a communications generalist to a specialist, focused across three key strategic pillars: Unified Communications & Collaboration, Customer Experience and Security & Connectivity.

Maintel has continued to deleverage its business, following a period of higher restructuring exceptional cost and debt servicing charges, reporting a reduction in Net Cash Debt at £15.6 million (H1 2023: £21.4 million), further strengthening the Company's financial position.

As previously announced, a number of high value new contract wins, secured during the first half, were closed later in the Period than first anticipated. Subsequently, the Group expects that its performance will be second half weighted as the benefit of those new multi-year contracts are realised from H2 2024. Whilst gross margins have been impacted, due to continued inflationary pressures, these have been mitigated by last year's organisational restructure and a continued focus on cost control, resulting in an improved Adjusted EBITDA margin.

The Company remains focused on delivering higher margin new business opportunities in its high growth segments moving forward and meeting expectations for the current financial year.

The Company expects to announce its unaudited interim results for the six months to 30 June 2024 on Thursday 19 September 2024.