Hercules plc (LON:HERC), a leading technology enabled labour supply company for the UK infrastructure and construction sectors, has announced its unaudited interim results for the six months ended 31 March 2025.
Continuing Operations – Financial Highlights:
| ● | Record revenue, and growing adjusted EBITDA and PBT in H1 2025 driven by labour supply division: · Record revenue achieved, increased 18% to £54.6m (H1 2024: £46.2m) · 24% increase in Adjusted* EBITDA to £2.6m (H1 2024: £2.1m) · 55% increase in Adjusted** pre-tax profit to £1.7m (H1 2024: £1.1m) · 19% increase in Adjusted** EPS to 2.11p (H1 2024: 1.77p) |
| ● | Cash of £9.8m as of 31 March 2025 (H1 2024: £1.7m) |
| ● | Interim dividend of 0.6p declared (H1 2024: 0.6p) |
Operational highlights:
| ● | Suction Excavator subsidiary sold, for a total gross cash consideration of £2.3m. The divestment materially reduced the Company’s debt and lease liabilities by approximately £9m |
| ● | Labour supply division has seen a 31% year-on-year increase in revenue |
| ● | Across all labour supply sites operative numbers continued to see steady growth |
| ● | Civil Projects division has won £12m of project contracts since the start of FY 2025 |
| ● | New clients gained with a high level of tenders completed in the period |
| ● | The Company is already supplying labour to the early works phase of the Sizewell C nuclear plant. Following the Government’s recent approval announcement, the Board believes Hercules will continue to support the project through its main construction phase, expected to span up to 20 years, with an estimated total cost of £30 billion |
| ● | The Hercules Academy has trained over 1,500 people since launch and is delivering in line with expectations |
Outlook:
| ● | With solid operational momentum, a healthy pipeline, and a positive outlook across the infrastructure sector, with committed spend between £700bn – £750bn for the next 10 years, the Board is confident in meeting market expectations for the full year |
Post-period Highlights:
| ● | Secured a place on the Wessex Water Civils Support Framework |
| ● | In May, the Company announced that it had changed its name to Hercules plc |
| ● | In June, successfully completed the acquisition of the business and assets of Quality Transport Training Ltd (QTT) |
*Adjusted EBITDA definition – earnings before interest, tax, depreciation, amortisation, profit/loss on sale of fixed assets, exceptional items and Research & Development expenditure.
**Adjusted pre-tax, post-tax profit & EPS definition – same adjustments as for EBITDA but also excluding extraordinary impairment and goodwill amortisation.
Brusk Korkmaz, Chief Executive Officer, commented: “Hercules is going from strength to strength, achieving further growth in the first half of FY 2025. We delivered record revenue and increased pre-tax profit and Adjusted EBITDA versus the same period last year, demonstrating clear evidence of our progress.
“During the period, we increased our supply of skilled operatives across key infrastructure projects, such as Sizewell C, while securing new labour supply frameworks that will support our long-term growth.
“Our progress is a testament to the strength of our management team, whose ambition and focus is driving the business forward. Progress we expect to continue as the UK carries out substantial construction and infrastructure upgrades within the nuclear, power and energy distribution, aviation, water, and rail sectors.
“With solid operational momentum, a healthy pipeline, and a positive outlook across the infrastructure sector, we remain confident in meeting market expectations for the full year.”
