Clarksons’ 2025 results in a nutshell
Clarkson PLC has posted preliminary numbers for the year to 31 December 2025 that show a step down in profit but a firm hand on cash, a bigger forward order book and yet another dividend rise. Management says the strong finish to 2025 has flowed into early 2026, with more new spot business than the same period last year.
| Metric | 2025 | 2024 | Comment |
|---|---|---|---|
| Revenue | £631.4m | £661.4m | Softer H1 and FX headwinds |
| Underlying profit before tax* | £90.6m | £115.3m | Underlying excludes acquisition-related costs |
| Reported profit before tax | £86.7m | £112.1m | Statutory result |
| Underlying basic EPS* | 225.8p | 286.9p | Tracks the profit dip |
| Dividend per share | 112p | 109p | 23rd consecutive annual increase |
| Forward order book for 2026 | US$244m | US$231m | More work already lined up |
| Free cash resources* | £232.0m | £216.3m | Strong balance sheet support |
*APMs: Alternative performance measures used by Clarksons to show underlying performance.
What drove the profit dip?
Macro and FX did some damage
Management is clear that 2025 was shaped by sanctions, tariffs and regional conflicts. That uncertainty slowed decision making in H1. A weaker US dollar against sterling also clipped results, since much of the Group’s revenue is earned in dollars but reported in pounds. The average GBP/USD was US$1.32 in 2025 versus US$1.28 in 2024, which Clarksons describes as an additional headwind.
Divisional mix changed
- Broking remains the profit engine but eased back as markets paused in H1, then rallied in H2. Operating profit was £93.9m (2024: £122.6m).
- Financial had a record year, with operating profit up to £12.9m (2024: £5.2m) on a buoyant Nordic high-yield market and solid deal flow.
- Support was softer at £4.8m (2024: £7.7m) amid UK offshore project delays and Suez disruption, partly offset by a 10-year Northern Europe agreement.
- Research increased operating profit to £10.6m (2024: £9.5m) on rising demand for data and a highly recurring revenue base.
Costs tracked activity
Underlying administrative expenses fell to £514.3m (2024: £526.0m), helped by a lower bonus charge aligned to performance. Finance income eased slightly to £14.0m as interest rates fell.
Dividend up, cash strong, order book bigger
The Board recommends a final dividend of 79p, taking the full year to 112p, up 3% and marking 23 straight years of growth. That is underpinned by hefty liquidity:
- Cash and cash equivalents of £401.1m, plus £70.4m in current investments.
- Net cash and available funds of £260.1m after reserving for bonuses.
- Free cash resources of £232.0m, which exclude regulated balances and provide a clean view of deployable cash.
Importantly, the forward order book for invoicing in 2026 sits at US$244m, up from US$231m. That gives visibility into the new year and supports ongoing investment and the dividend.
How the markets Clarksons serves actually looked
Dry bulk and tankers recovered in H2
Dry bulk earnings were softer year on year overall, but Q4 was the strongest quarter since 2022 and Capesize outperformed. Tankers remained strong, with VLCC earnings at a 10-year high and Suezmax also firmer. Product tankers cooled from the peaks of 2024 but stayed above long-term averages.
Containers stayed hot, LNG cooled
Container markets were again robust, with charter rates up and Red Sea rerouting adding demand, though unwinding that rerouting remains a risk. LNG carrier spot rates dropped amid record vessel deliveries and some project delays, albeit with brief strength in Q4.
Strategy in action: diversification, data and derivatives
- Broking footprint expanded with personnel moves across the Middle East, Europe, Asia Pacific and the Americas. The purchase of Euro-America Shipping & Trade added US government freight contract capability.
- Technology push continued. Sea, Clarksons’ chartering workflow platform, added over 60 customers in 2025 and launched AI-enabled features.
- Early 2026 acquisition of Zuma Labs brings Venetian, a market-leading freight derivatives platform for Forward Freight Agreements (FFAs), plus Prism, an AI capability. This complements Sea and tightens Clarksons’ grip across physical and derivative markets.
Why it matters: FFAs are financial contracts used to hedge or speculate on future freight rates. Owning the tools that brokers and clients use to trade FFAs deepens Clarksons’ ecosystem and creates sticky, high-margin, tech-enabled revenue alongside traditional broking.
Outlook and risks to watch
Management says momentum from Q4 2025 has continued into 2026, with positive sentiment and higher new spot business negotiated than the same period last year. The order book of US$244m for 2026 and a long-dated total order book provide earnings visibility. The balance sheet and cash generation support ongoing hiring, technology investment and selective M&A.
Risks remain. Geo-politics and sanctions continue to reshape trade routes. UK offshore wind and oil and gas project timing is still policy dependent. FX can swing reported results. Clarksons also faces an orderly CFO transition, with long-serving CFO & COO Jeff Woyda retiring in 2026 and a search underway.
My take for shareholders
The good
- 23rd straight dividend increase to 112p backed by £232.0m of free cash resources.
- Order book for 2026 higher at US$244m, giving near-term visibility.
- Financial division had a record year, showing the benefit of diversification beyond pure shipbroking.
- Clear tech strategy with Sea and Zuma that strengthens Clarksons’ position in both physical and derivative freight workflows.
The not-so-good
- Revenue and underlying profit stepped down year on year after a tough H1 and FX headwinds.
- Support division exposed to UK policy delays and Red Sea disruption.
- Broking profit fell, reminding investors that core markets remain cyclical.
Why it matters
Clarksons has shown it can defend margins and cash generation through choppy markets, then lean into the upturn. The blend of high-touch broking, data-led Research, a now well-performing Financial arm and an increasingly integrated tech stack is strategically attractive. If H2’s momentum carries through 2026, the higher order book and derivatives-led expansion should help earnings rebuild, while the cash pile keeps the dividend safe and optionality open for accretive M&A.
Bottom line
Profits dipped, but the franchise did not. With resilient cash, a bigger forward order book and growing technology reach, Clarksons looks set up to participate if shipping markets stay firm. The shares will remain sensitive to geo-politics and FX, but on the fundamentals in this RNS, the business comes across as steady, well funded and positioned to compound when conditions allow.
