Q4 and FY25 Trading Update
Norman Broadbent plc reported a record financial performance for FY25, with Net Fee Income (NFI) reaching £12.3 million, a 32% increase from FY24, and underlying EBITDA soaring to £1.3 million, a 333% rise. The company's underlying EBITDA margin improved to 11.0% from 3.3%, and profit before tax turned positive at £0.7 million, compared to a £0.2 million loss in the prior year. Net cash significantly increased to £1.5 million from £0.1 million, demonstrating strong cash generation. The fourth quarter of 2025 was particularly strong, with NFI of £3.3 million, driven by executive search placements.
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Norman Broadbent (AIM: NBB), a leading Executive Search and Interim Management firm, provides the following trading update for the three months ended 31 December 2025 ("Q4 25") and the year ended 31 December 2025 ("FY25").
Financial Summary
| FY25 [1] | FY24 | ||
|---|---|---|---|
| £m (unaudited) | £m (audited) | Change | |
| Net Fee Income ("NFI") | 12.3 | 9.3 | 32% |
| Underlying EBITDA [ 2] | 1.3 | 0.3 | 333% |
| Underlying EBITDA margin [ 3] | 11.0% | 3.3% | - |
| Profit/(Loss) before tax | 0.7 | (0.2) | - |
| Net cash [4] | 1.5 | 0.1 | 1400% |
FY25 Highlights
- NFI of £12.3m and underlying EBITDA[2] of £1.3m reflects a strong trading performance against a tough market backdrop and delivers on the medium term EBITDA target set four years ago
- Year-end net cash[4] of £1.5m is a £1.4m positive swing from the prior year (FY24: £0.1m) reflecting the cash generative nature of the business as EBITDA grows
Q4 25 Highlights
- NFI of £3.3m for Q4 25 is up £0.8m on the prior year Q4 and is the Company's strongest quarter for FY25 (Q1 25: £3.0m; Q2 25: £3.0m; Q3 25: £2.9m)
- Executive Search underpinned the fourth quarter performance, contributing 87% of NFI with Placement income particularly strong
Kevin Davidson, CEO of Norman Broadbent, said:
"I am delighted to report the business delivered another strong trading performance in the fourth quarter to close the year with underlying EBITDA of £1.3m. This was despite persistent market challenges and is comfortably ahead of Board expectations.
We set the strategic plan to transform Norman Broadbent when I joined the business four years ago and as part of this plan, we set a medium-term EBITDA target of £1.25m. With the FY25 results we have both completed the turnaround phase of our strategy and delivered on this important financial commitment.
We have created a much stronger platform to fuel the next stage of growth for Norman Broadbent. Targeted investment in headcount to achieve a fundamental change in the scale of our business remains central to our growth plan. In addition, we continue to explore acquisition opportunities to accelerate the journey where it makes strategic and financial sense to do so. We will remain disciplined in executing on our plans and tenacious in managing the prevailing market environment which remains challenging. We have a clear strategy in place to grow the business and we are looking forward with real confidence to delivering on this plan and building shareholder value."
Footnotes
[1] FY25 results remain subject to audit
[2]Excludes share based payment charges
[3]Underlying EBITDA divided by NFI
[4]Excludes lease liabilities
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