H1 2025 Trading Update

Personal Group Holdings Plc (AIM: PGH), the workforce benefits and insurance provider, is pleased to provide the following update for the six-month period ended 30 June 2025 ("H1 2025").

Financial Highlights

• Group revenue up 11% to £23.3m (H1 2024: £21.0m), with >90% from recurring revenue sources
• Adjusted EBITDA* up 41% to £5.5m (H1 2024: £3.9m)
• Growing levels of recurring revenues, providing good visibility for the full year ("FY 2025") and beyond
• Insurance Annualised Premium Income ("API") increased by 12% to £38.0m (H1 2024: £33.8m)
• Benefits Platform Annual Recurring Revenue ("ARR") increased by 10% to £6.9m (H1 2024: £6.3m)
• Pay & Reward ARR increase 6% to £0.76m (H1 2024: £0.71m)
• Record new H1 insurance sales of £7.4m API up 7% on previous year (H1 2024: £6.9m)
• Continued high retention rates across all areas of the business
• Strong balance sheet and liquidity with a cash position of £26.9m as at 30 June 2025 (31 December 2024: £27.4m) and no debt

Operational Highlights

Affordable Insurance

Insurance sales continue to grow, delivering another record month, quarter and half year, with annualised insurance sales up 7% to £7.4m (2024: £6.9m). Insurance API increased 12% to £38.0m (30 June 2024: £36.0m), underpinned by strong customer retention levels of over 80% year-on-year. Claims levels in H1 2025 remained consistent, as expected.

The Group has had a number of new customer wins in the period, resulting from its reinvigorated go to market efforts, unique face-to-face sales model and relevance of offering, increasing the amount of addressable potential employees and providing the opportunity for future revenue growth.

The Group continues to explore opportunities to expand its insurance offering and increase its routes to market. As part of this, digital insurance has been identified as a potential new growth avenue, with the development of the product progressing to plan and a proof of concept currently under trial with several customers. Work has also commenced on a Group cash plan, which is expected to launch later in the year.

Benefits & Rewards

The Group's digital benefits platform, Hapi and its SME-focused offering in partnership with Sage Group plc: Sage Employee Benefits ("SEB"), has experienced further ARR growth in the period of 10% to £6.9m as at 30 June 2025 (30 June 2024: £6.3m).

With the migration to the new Hapi platform now complete, initiatives are well progressed to increase this growth rate, including the previously announced expanded partnership with Sage, which includes the ability to offer SEB across multiple different solutions within Sage's portfolio. The first new territory launch of SEB, into the Republic of Ireland, commenced at the start of H2 2025.

The Group continues to explore further partnerships to target additional market sectors, with the first new partner, EB Now, an employee benefits provider for the SME market, signed in H1 2025 and due to go live during H2 2025.

The Pay & Reward division enjoyed further customer success, securing contracts with De Beers Group, Financial Services Compensation Scheme, the European Tour and the British Medical Association.

Outlook

Personal Group benefits from increasing levels of recurring revenues, a growing product offering and expanding partner programme, supported by a strong balance sheet. These factors, combined with the continued strong Insurance performance in H1 2025, provide the Board with confidence that trading remains in line with market expectations for the full year.

Paula Constant, Chief Executive of Personal Group, commented: "Momentum has continued to build across the business, with another record period for insurance sales, and new customers and partners secured. Our consistent growth speaks to the value provided by our offerings and growing market opportunity, underpinned by our strategic progress. Personal Group has all the ingredients to accelerate growth, with a strengthened senior leadership team, streamlined operations, and reinvigorated sales approach. We are confident in continuing our progress in the second half, and have line of sight to achieving our aspirations to deliver in excess of £100m revenues, Group EBITDA of £30m and SaaS ARR of £20m, by 2030."