Norman Broadbent Reports 26% Q3 NFI Growth and Strong Year-to-Date Performance

Norman Broadbent Q3 2025: 26% NFI Growth and a Steady Pipeline Into Q4

Norman Broadbent (AIM: NBB) has posted another solid quarter. Net fee income (NFI) hit £2.9m in Q3 2025, up 26% year-on-year, and year-to-date NFI reached £8.9m, up 31% versus 2024. That’s a strong showing for an executive search and interim management firm in what management describes as “persistent market challenges”.

The CEO’s tone is upbeat: new project awards held up over the summer, the business turnaround is “complete”, and the platform is in place for the next stage of growth. The value of future contracted revenue heading into Q4 was in line with the start of Q3, suggesting a stable backlog as the company pushes for a strong finish to the year.

Key Numbers From Q3 and Year-to-Date

Metric	2025	2024	Change
Q3 NFI	£2.9m	£2.3m	+26%
Year-to-date NFI	£8.9m	£6.8m	+31%

That Q3 NFI of £2.9m “maintains a healthy run-rate”, in the words of the CEO. Year-to-date momentum looks even stronger, with a 31% uplift versus last year. Importantly, management says new awards have “held up” and contracted revenue into Q4 is in line with Q3’s starting point.

Quick refresher: what is NFI and why does it matter?

Net fee income (NFI) is the revenue the firm keeps after any pass-through costs. For search and interim businesses, it’s the clearest top-line indicator of activity and pricing. When NFI rises at this pace, it signals growing demand, improved productivity, or both.

Momentum and Pipeline: Future Contracted Revenue Holds Steady

Two lines stand out. First, “new project awards have held up over the summer trading months”. Second, “the value of future contracted revenue at the beginning of Q4 was in line with the position at the start of Q3”. That reads as stability: no obvious deterioration in the order book, and a platform to drive a strong Q4.

In practical terms, a stable contracted revenue book gives visibility on near-term delivery. It doesn’t guarantee an acceleration, but it reduces the risk of a sharp slowdown as the year closes out.

Strategy: Headcount-Led Organic Growth, With Optional M&A

Management states the “business turnaround [is] complete” and points to an “improved financial position”. The growth plan centres on “disciplined investment in headcount” to change the scale of the business over the medium term via “self-funded organic growth”. That is, reinvesting cash flows into fee-earning consultants and delivery capability rather than leaning on external capital.

On top of that, they will “continue to explore inorganic growth options” where it makes strategic and financial sense. In the search and interim space, that typically means bolt-on teams or niche practices to accelerate sector coverage, geographic reach, or leadership advisory depth. No deals are announced today.

Why This Update Matters for Shareholders

• Growth is broad-based at the top line: Q3 NFI up 26% and year-to-date up 31% versus 2024. That is meaningful momentum.
• Resilience through a choppy market: management still references “persistent market challenges”, yet reports steady awards and maintained run-rate.
• Pipeline looks stable into Q4: future contracted revenue started Q4 in line with Q3’s starting point, supporting delivery into year-end.
• Turnaround narrative: the “turnaround complete” comment, coupled with an “improved financial position”, sets the stage for growth investment.

Balanced view: what’s not disclosed

• Profitability and margins: no detail on gross margin, operating profit, or EBITDA. Not disclosed.
• Cash and balance sheet: no cash position, net debt, or working capital commentary. Not disclosed.
• Sector mix and pricing: no breakdown by practice area or fee rates. Not disclosed.
• Headcount metrics: we’re told investment in headcount is central, but no numbers on consultant count, productivity, or hires. Not disclosed.
• Pipeline trajectory: contracted revenue is “in line” with the prior quarter’s start – stable rather than higher. Direction of travel beyond that is not disclosed.

My Take: Positive Execution, Sensible Strategy, Watch the Finish

This is a clean, positive trading update. The combination of a 26% Q3 NFI jump and a 31% year-to-date uplift shows consistent delivery rather than a one-off spike. Stability in contracted revenue heading into Q4 is reassuring given the market backdrop the company references.

The strategy is straightforward and credible: grow the consultant base in a disciplined way, fund it from operations, and use selective M&A where it accelerates the plan. That approach can compound well in people businesses – provided productivity stays high and hires bed in quickly.

The main gap is the absence of profitability and cash data. Investors will want to see how much of the NFI growth is converting to profit and cash, and whether the “improved financial position” translates into flexibility for hiring and potential deals.

What to Watch Next Into Q4 and Year-End

• Q4 delivery versus the maintained run-rate: does NFI step up, hold flat, or soften?
• Order book momentum: any update on contracted revenue growth beyond “in line” would be useful.
• Profit and cash metrics: margins, operating cash flow, and year-end cash position.
• Headcount investment: any disclosed figures on consultant numbers and productivity.
• Inorganic moves: signs of bolt-on acquisitions or team hires that fit the stated strategy.

About Norman Broadbent (AIM: NBB)

Norman Broadbent is a professional services firm focused on executive search, senior interim management solutions, and bespoke leadership advisory services across the UK and internationally. Founded in 1979 as the first UK-headquartered search firm, it has a 40+ year track record across Consumer, Financial Services, Industrials, Life Sciences, Investor and TMT sectors.

Bottom Line

Strong NFI growth, a stable pipeline into Q4, and a clear plan to scale through disciplined hiring all point to encouraging momentum. The big remaining questions are profitability, cash generation, and the pace of headcount expansion. If those land well at year-end, the turnaround story starts to look like a growth story.