GlobalData FY25 at a glance: growth, margins and AI momentum
GlobalData’s full year numbers show a business in investment mode with clear AI traction. Reported revenue rose 13% to £322.1 million, although underlying growth was a modest 1% once currency and M&A are stripped out. Adjusted EBITDA fell 6% to £110.2 million, taking the margin down 7 points to 34% as the Group digested six acquisitions and ramped up sales and platform spend.
Operating profit jumped 25% to £81.2 million and profit before tax rose 26% to £69.2 million, but note this includes a non‑cash £20.5 million credit from share‑based payments following unmet LTIP targets. Contracted Forward Revenue (booked work not yet delivered) increased 5% to £179.7 million, underpinning the statement that around 80% of analyst revenue consensus for 2026 is already contracted.
Why this year matters: solutions‑led selling and AI Hub adoption
Management has overhauled go‑to‑market towards solutions‑led selling and strategic account management. It took time to embed in early 2025, but the exit run‑rate looks healthier, helped by three seven‑figure contracts in H2 and expanding wallet share at large clients.
The real bright spot is AI. More than 90% of customers are now on AI Hub‑enabled products, usage doubled in H1 to over 100,000 users, and active AI Hub users tripled. New AI products like digital workers and AVA, the AI research assistant, plus platform‑wide AI features are driving higher log‑ins, time on platform and downloads. In short, AI is boosting engagement and should support renewals and upsell.
Segment performance: Non‑Healthcare vs Healthcare
Non‑Healthcare delivered £198.8 million revenue, up 13% with 1% underlying growth. Contracted Forward Revenue here grew 5% on an underlying basis, helped by a 31% uplift in sales headcount since early 2024 and traction in Sales Intelligence, consumer innovation, and AI‑enabled solutions. The division continues to benefit from cross‑sell opportunities across complex enterprises.
Healthcare produced £123.3 million revenue, up 13% with 2% underlying growth. Integration of Deallus is central to building a competitive intelligence solution, although broader pharma market headwinds and US drug pricing pressure remain themes. At the company‑only level there was a £228.4 million impairment against the healthcare investment, which does not affect consolidated results.
Renewals and customer metrics: steady volumes, softer value
Volume renewal rates held at 83% for customers over £20k spend, showing a sticky base despite sales model changes. Value renewal rate dipped 4 points to 89%, reflecting FX movements and a shift to team and enterprise licences that initially deliver less price uplift. Average client value ticked up to £81.8k for >£20k customers and £50.0k across all clients over £5k.
Cash, debt and shareholder returns: what’s under the bonnet
Cash generation remained robust given the moving parts. Cash flow from operations was £83.3 million (2024: £97.6 million), with free cash flow up 5% to £34.4 million. Free cash flow conversion was lower at 35% due to higher adjusting cash costs for M&A, integration and restructuring. Capital expenditure stayed light at £7.9 million, just 2.5% of revenue.
Net bank debt closed at £114.2 million versus net cash of £10.1 million last year, reflecting M&A and hefty buybacks. Management returned over £100 million to shareholders during 2025, including a £60 million tender offer and multiple buyback tranches. The proposed final dividend is 1.2p, taking the year’s total to 1.5p (down 40% year on year due to the 2024 dividend rebasing).
Main Market listing and leadership bench
Admission to the Main Market of the London Stock Exchange is expected at 8.00am on 5 March 2026, with the last day on AIM being 4 March. A move to the Main Market typically broadens the investor base and can improve liquidity over time. On leadership, Robert Kingston is set to join as CFO in Q3 2026 following his notice period, with current CFO Graham Lilley to remain through an orderly handover.
Outlook for 2026: high visibility and a line of sight to margin recovery
Management enters 2026 with c.80% of analyst revenue consensus already contracted, consistent renewal rates, and acquisition contributions bedding in. The focus now shifts to:
- Accelerating underlying growth to mid‑single digits in the medium term.
- Recovering Adjusted EBITDA margins towards 40% as integrations complete and the sales engine reaches full productivity.
- Expanding AI Hub capabilities and launching more AI‑powered solutions to deepen workflows and productivity for clients.
- Prioritising revenue synergies from recent Non‑Healthcare acquisitions, while continuing bolt‑on M&A in Healthcare.
Put simply: the investment phase is largely done, now comes execution.
Key numbers investors should know
| Metric | FY25 | FY24 | Change |
|---|---|---|---|
| Revenue | £322.1m | £285.5m | +13% (underlying +1%) |
| Adjusted EBITDA | £110.2m | £116.8m | -6% (margin 34%, -7 pts) |
| Operating profit | £81.2m | £65.1m | +25% |
| Profit before tax | £69.2m | £54.9m | +26% (includes £20.5m SBP credit) |
| Adjusted EPS | 7.3p | 5.1p | +43% |
| Contracted Forward Revenue | £179.7m | £171.4m | +5% (underlying +3%) |
| Net (bank debt)/cash | (£114.2m) | £10.1m | Shift driven by M&A and buybacks |
| Final dividend (proposed) | 1.2p | 1.0p | +20% |
Jargon buster
- Underlying growth: growth excluding currency movements and the impact of acquisitions.
- Adjusted EBITDA: profit before interest, tax, depreciation and amortisation, adjusted to exclude items like acquisition and restructuring costs, share‑based payments and certain FX movements.
- Contracted Forward Revenue: revenue already contracted but not yet delivered or invoiced, plus invoiced revenue for future periods. A good indicator of near‑term visibility.
My take: the good, the bad, and what to watch
The good
- AI adoption is flying, with 90% of customers on AI‑enabled products and usage metrics rising sharply. That usually correlates with stickier renewals.
- Forward visibility is strong, with Contracted Forward Revenue up and c.80% of 2026 consensus already contracted.
- The platform and sales investments are largely complete, setting the stage for operating leverage as growth improves.
- Main Market move should broaden the shareholder base.
The less good
- Underlying revenue growth of 1% is muted and Adjusted EBITDA fell 6% with a 7‑point margin drop.
- Net bank debt is now £114.2 million after buybacks and acquisitions. Sensible to watch leverage and cash conversion.
- Value renewal rates softened and reported profit benefited from a non‑cash share‑based payments credit.
- Revenue synergies from the 2024‑2025 acquisitions have not yet landed in a material way.
What I’m watching next
- Evidence that underlying growth moves to mid‑single digits as the solutions strategy beds in.
- Margin progression back towards 40% as integrations complete and the sales organisation hits stride.
- Further AI product launches and whether AI Hub continues to lift usage, renewals and upsell.
- Cash conversion and leverage trend now that the heavy lifting on investment is done.
Bottom line: GlobalData has done the hard yards on sales and platform transformation while leaning into AI. The numbers still show some growing pains, but the combination of high revenue visibility, surging AI engagement and a clear plan for margin recovery gives a credible setup for 2026.
