Full Year Trading Update
RentGuarantor Holdings PLC reported a strong full-year trading update for 2025, with revenue increasing by 88% year-on-year to approximately £2.39 million, exceeding market expectations by 9%. This growth was driven by an 85.2% increase in tenant contracts signed, although the average revenue per contract saw a slight decrease of 1.2% year-on-year. The company expects its operating loss for FY 2025 to be approximately £280,000 higher than market expectations due to accelerated marketing costs related to the Renters' Rights Act, and further increased by revaluation adjustments on convertible loan notes. In Q4 2025, RentGuarantor successfully raised £2.5 million in gross proceeds and ended the year with approximately £2.1 million in cash. The company also expanded its partnership network by 103 new agents, charities, councils, and universities, bringing the total to 622 partners.
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RentGuarantor (AIM: RGG), a leading provider of rent guarantee services to prospective tenants seeking to rent property in the UK1 private rental sector provides an unaudited quarterly and full year ("FY") trading update for the three-month and twelve-month period ended 31 December 2025.
Highlights
Continued strong growth
Q4 2025 revenue increased by 83% year-on-year ("YoY"), delivering FY 2025 growth of 88%, demonstrating continued strong demand for our guarantee services. Full year revenue is expected to be approximately £2.39 million, 9% ahead of market expectations2 for the period. This growth was driven primarily by the number of tenant contracts signed, with the average revenue per tenant contract increasing YoY by 1.2%.
A summary of revenue performance is presented in the table below. These figures are unaudited and rounded:
| Q4 2025 | Q4 2024 | FY 2025 | FY 2024 | |
|---|---|---|---|---|
| Revenue | £669,000 | £365,000 | £2,389,000 | £1,274,000 |
| YoY growth (%) | 83.3% | 87.5% | ||
| Avg. revenue per tenant contract | £799 | £808 | £764 | £755 |
| YoY growth (%) | -1.1% | 1.2% | ||
| Number of tenant contracts completed | 837 | 452 | 3,125 | 1,687 |
| YoY growth (%) | 85.2% | 85.2% |
· The Company currently expects for its operating loss for FY 2025, adjusted for AIM admission costs and Q4 2025 fundraising fees, to be increased by approximately £280k relative to market expectations3 for the period, predominantly due to accelerated marketing-related costs in Q4 2025 in order to capture the opportunities from the Renters' Rights Act being passed into law. The majority of these marketing-related costs were originally anticipated to be incurred in FY 2026. The Company also currently expects for its adjusted loss before tax for FY 2025 to be further increased relative to market expectations3 for the period, predominantly due to revaluation adjustments associated with the convertible element of Convertible Loan Notes held as at 31 December 2025.
Successful subscription raising £2.5m
In Q4, the Company raised gross proceeds of £2,543,254 by way of an issue of 20,346,034 new ordinary shares of 10 pence each ("Ordinary Shares") at a price of 12.5p per new Ordinary Share by way of subscriptions, with each new Ordinary Share being accompanied by one warrant to subscribe for a new Ordinary Share. Following this fundraise, unaudited cash as at 31 December 2025 was approximately £2.1 million.
Expansion of partnership network
In Q4, the Company expanded its partnership network by adding a total of 103 new lettings agents, charities, councils and universities, taking the total number of partners to 622. The total number of entities now accepting RentGuarantor is 1,794. This includes partnership agreements with Winkworth and Jones Lang LaSalle.
Paul Foy, CEO of RentGuarantor, said: "FY 2025 saw the delivery of another strong year of growth, driven by solid execution of our strategy. In addition, the passing of the Renters' Rights Act during Q4 enhances the importance of our service to both renters and landlords. We are working with other industry participants to ensure we maximise the opportunity afforded when the majority of the Act's provisions come into effect in May 2026.
In Q4 we delivered a 4x increase in the number of partnership agreements, including with Winkworth and Jones Lang LaSalle. The scale and calibre of these agreements was made possible by our increasing profile in the industry and our recruitment ahead of growth, that positions us to pursue the significant opportunities in FY 2026.
We continue to actively engage with investors, which assisted in our raising £2.5m gross in Q4 to capitalise on the opportunities presented by the Renters' Rights Act. I'm grateful to shareholders for their continued support and I look forward to keeping our stakeholders updated with our progress as 2026 progresses."
1 Currently excluding Northern Ireland.
2Market expectations are believed to be £2.187 million of Revenue for the year ended 31 December 2025
3Market expectations are believed to be an £416k adjusted operating loss and an £446k adjusted loss before tax for the year ended 31 December 2025 (both being adjusted to exclude IPO costs)
To engage with this announcement on our Investor Hub, please use the following link: https://investorhub.rentguarantor.com/link/r8Kxge
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.