Tavistock’s interim results: fintech pivot, AI focus and an 11% dividend uplift
Tavistock Investments has posted its unaudited interim results for the six months to 30 September 2025, alongside an 11% increase in the interim dividend. The big story is strategic: the Group is reshaping itself into a fintech business, blending regulated human advice with appropriate use of AI to reach the vast majority of UK adults who currently lack support.
Two recent corporate moves underpin this shift – the £36 million disposal of its advisory network to Saltus in 2024 and the earlier £31 million sale of Tavistock Wealth in 2021. With Alpha Beta Partners and Lifetime Financial now in the fold, the Group is building a hybrid model that aims to deliver compliant, lower-cost, scalable advice.
AI-driven hybrid advice – why Tavistock thinks timing is right
Tavistock is leaning into a clear market gap. The FCA’s 2024 Financial Lives Survey indicates that 91% of UK adults do not have access to the guidance they need to make informed financial decisions. At the same time, industry economics are tough: regulatory costs are up, pricing is under pressure, and many advice firms are withdrawing from lower-value clients.
Consumer behaviour is shifting too. According to Lloyds Banking Group’s Consumer Digital Index (22 September 2025), 56% of adults are now using AI to help manage their money. That said, 83% worry about data privacy and 80% worry about inaccurate or outdated information. Tavistock’s proposition is to plug those gaps with a human-plus-AI service that is compliant, scalable and more affordable.
The numbers at a glance
There are two lenses on performance. The statutory figures reflect the reshaped Group post-disposals. The Board also provides a like-for-like view of “ongoing activities” to show underlying progress.
Statutory results (six months to 30 September 2025)
| Metric | H1 FY26 | H1 FY25 |
|---|---|---|
| Revenue | £11.09 million | £19.62 million |
| Gross profit | £4.53 million | £7.13 million |
| Adjusted EBITDA | £(0.69) million | £0.67 million |
| Loss from operations | £(1.07) million | £(0.19) million |
| Loss before tax | £(1.83) million | £(0.99) million |
| Basic loss per share | (0.33)p | (0.18)p |
| Cash at period end | £3.68 million | not disclosed in prior period table |
| Net assets | £40.27 million | not disclosed in prior period table |
On the statutory view, revenue and profitability are lower year-on-year, which reflects the Group’s change in shape after disposals. Cash ended the period at £3.68 million and net assets at £40.27 million.
Like-for-like “ongoing activities”
- Gross revenues: £11.09 million vs £9.05 million – 23% increase.
- Adjusted EBITDA loss: £0.69 million vs £1.22 million – 44% improvement.
- Reported loss from operations: £1.07 million vs £1.68 million – 37% improvement.
- Loss per ordinary share: (0.33)p vs (0.44)p – 25% improvement.
- Net assets: £40.27 million vs £39.51 million – 2% increase.
- Cash resources: £3.68 million vs £2.91 million – 26% increase.
This paints a more encouraging underlying trend: revenue growth and narrowing losses from the continuing businesses.
Dividend increase and key dates
The Board is proposing an interim dividend of 0.1p per share, up 11%. Payment date is 26 January 2026, with an Ex-Dividend date of 2 January 2026 and a Record Date of 5 January 2026. For income-focused holders, it’s a small but positive signal of confidence during a transition phase.
Balance sheet and near-term cash catalysts
Cash at 30 September 2025 was £3.68 million. The big near-term catalyst is the expected receipt of about £9.5 million from Saltus in December 2025, as the first deferred consideration from the sale of Tavistock Partners Limited. A second and final deferred consideration of £4.7 million becomes unconditional and is receivable in December 2026.
These inflows, if received as planned, strengthen liquidity to fund the fintech build-out, while the Group retains net assets of £40.27 million.
Business unit updates you should know
Alpha Beta Partners (ABP)
ABP is flagged as a key component of the refocused proposition. Shortly after joining the Group, one of ABP’s largest clients was acquired by a competitor and terminated its relationship. Management has moved to mitigate the impact and has developed new initiatives. The benefits are expected to show in the last quarter of the current financial year and be fully reflected in the results to 31 March 2027.
Opinion: losing a large client is a clear negative in the near term, but the Group is signalling pipeline replacement. The timing guide – Q4 uplift and full visibility in FY27 – gives investors a realistic runway to judge execution.
LEBC recovery
Tavistock received a £2 million dividend from LEBC in September 2025 and currently expects a further £1.75 million in the next financial year and £3.75 million in the year after. The Board’s current best estimate is an ultimate recovery of about £7.5 million of the original £10 million LEBC investment. The carrying value has been adjusted to match this anticipated recovery.
Opinion: cash receipts are helpful and the recovery estimate is transparent. The staged timing matters for cash planning, but the direction is supportive.
Titan litigation update
On 11 December 2025, the Court expanded the scope of Tavistock’s counterclaims against Titan to include new causes of action related to breach of confidence, alleged misuse of trade secrets and copyright infringement linked to Titan’s Model Portfolio Service. The Court ruled in Tavistock’s favour on all matters it considered and awarded costs, ordering Titan to pay an initial £250,000 on account within 28 days.
Opinion: a procedural win with a cash cost award. While outcomes are never guaranteed, the expanded counterclaims increase leverage.
How the strategy ties back to the P&L
Adjusted EBITDA – a measure that strips out interest, tax, depreciation, amortisation and one-off non-cash items – is still negative at £0.69 million. That reflects the investment phase. The like-for-like improvement suggests the cost base is being reset while revenue builds in the continuing operations. The segment split shows the model in action: £2.69 million from Investment Management and £8.40 million from the Advisory Business in the half.
Cash outflow from operations of £3.67 million in the period highlights the need for the expected Saltus receipts and ongoing discipline while the AI-enabled proposition is finalised and rolled out.
Positives, watchouts and what matters next
- Positives: dividend up 11%; like-for-like revenue growth and narrowing operating losses; expected £9.5 million Saltus cash inflow in December 2025; court win versus Titan with £250,000 costs ordered; clear, data-backed market need for a hybrid advice model.
- Watchouts: statutory revenue and profit metrics are down year-on-year post-disposals; adjusted EBITDA is still a loss; ABP’s large client loss is a near-term headwind; cash fell to £3.68 million at period end pending receipts.
What to watch from here
- Confirmation of the £9.5 million Saltus payment and use of proceeds.
- Progress on AI development and the rollout of the hybrid retail service.
- ABP growth initiatives – signs of contribution in the last quarter of the current financial year.
- Further LEBC dividends and any updates on recovery timing.
- Developments in the Titan case and any additional cost awards.
- Full-year results to 31 March 2026 for a clearer view of post-transition earnings power.
Josh’s take
This is a transition set – messy on the statutory view, but with credible underlying progress. The strategy has a clear logic: combine regulated advice with AI to serve the 91% underserved market at a sustainable price point. Execution is everything, and the next six to twelve months will hinge on converting cash inflows into product delivery and client onboarding.
For shareholders, the mix of an 11% dividend increase, expected Saltus receipts, and a court win provides support while the fintech proposition beds in. Momentum now needs to show up in revenue growth, improving Adjusted EBITDA and cash generation as the hybrid model scales.
