Wilmington trading update: profit edges ahead as revenue reaches £120 million

Wilmington PLC has closed its financial year with revenue and profit growth of more than 30% across its ongoing businesses, helped by the recently acquired Conversia operation.

The Governance, Risk and Compliance technology group expects reported revenue of £120.0 million for the year ended 30 June 2026, up from £89.7 million in 2025. Adjusted profit before tax should reach at least £31.0 million, slightly ahead of market expectations.

That is a solid headline performance. However, investors should separate the acquisition-led growth from the more modest organic increase and keep an eye on the group's higher debt following the shift from net cash in the previous year.

Wilmington's key figures

Metric	2026 expectation	2025 comparison	Movement
Reported revenue	£120.0 million	£89.7 million	Higher by £30.3 million
Ongoing business revenue growth	Around 37%	Not disclosed	Led by Conversia
Organic revenue growth	Approximately 4%	Not disclosed	Positive underlying growth
Ongoing operating profit growth	Around 32%	Not disclosed	More than 30% growth
Adjusted profit before tax	At least £31.0 million	£27.7 million	At least £3.3 million higher
Market consensus adjusted profit before tax	£30.5 million	Not applicable	Result slightly ahead
Net debt	£53.1 million	Net cash of £42.2 million	Balance sheet moved into debt
Net debt to EBITDA	Less than 1.7 times	Not disclosed	Down from 1.98 times at December 2025

Investors can read the original company announcement or visit the dedicated Wilmington PLC share page for related coverage.

Conversia powers the headline growth

Revenue from Wilmington's ongoing businesses is expected to increase by around 37%. The company defines ongoing operations by excluding disposals, closures and businesses held for sale.

The recently acquired Conversia business was the main growth driver. This Spanish Governance, Risk and Compliance operation is expected to report like-for-like growth of more than 20%.

Like-for-like growth compares performance on a consistent basis, helping investors look beyond the mechanical revenue boost created when an acquired company joins the group.

Chief executive Mark Milner highlighted Conversia's high-quality recurring revenues. Recurring revenue can provide better visibility because customers make repeated payments rather than relying entirely on one-off purchases. The proportion of Wilmington's total revenue that is recurring was not disclosed in this update.

Eight of the group's nine ongoing businesses also grew year on year. That suggests growth was reasonably broad rather than entirely dependent on one operation, although Wilmington did not identify the business that failed to grow or disclose its performance.

Organic growth provides the reality check

The most important figure beneath the headline is organic revenue growth of approximately 4%.

Wilmington defines organic growth as the performance of ongoing businesses after removing acquisitions and exchange-rate movements. It is therefore a useful measure of how the existing portfolio performed under its own steam.

A 4% increase is positive, but it is clearly less eye-catching than the 37% growth reported across ongoing businesses. The difference shows how much the acquisition of Conversia contributed to the overall expansion.

That is not necessarily a problem. Acquisitions can create substantial value when the purchased business grows quickly, generates recurring revenue and fits the buyer's existing platform. Conversia appears encouraging on the limited information provided, with more than 20% like-for-like growth.

Still, investors will want the September results to explain whether the rest of the portfolio can accelerate and how successfully Conversia is being integrated.

Profit is slightly ahead of expectations

Operating profit from ongoing businesses is expected to rise by around 32%. Adjusted profit before tax should be at least £31.0 million, compared with £27.7 million in the prior year.

This is slightly ahead of the stated market consensus of £30.5 million. The expected result is at least £500,000 above that benchmark, providing a modest positive surprise rather than a dramatic earnings upgrade.

Adjusted profit before tax excludes amortisation and impairment of most intangible assets, alongside gains or losses from disposals and business closures. These adjustments aim to show underlying trading performance, but investors should also examine statutory profit when the full-year accounts arrive.

The update did not disclose margins, earnings per share, cash generation or dividend expectations. Those figures will be important when assessing the quality of the profit growth.

Net debt is the main point to watch

Wilmington finished June with net debt of £53.1 million, compared with net cash of £42.2 million one year earlier.

That is a substantial change in the balance-sheet position. Net debt includes cash, cash held for sale, bank loans and overdrafts, but excludes lease liabilities.

There are signs of progress within the year. Net debt has fallen from £65.0 million at 31 December 2025, while leverage has improved from 1.98 times earnings before interest, tax, depreciation and amortisation, known as EBITDA, to less than 1.7 times.

Falling debt and leverage are welcome, but the group now has less financial flexibility than when it held net cash. The update did not disclose interest costs, acquisition payments during the year or a future debt-reduction target.

What looks encouraging and what needs scrutiny

The positives

• Adjusted profit before tax is expected to be slightly ahead of consensus.
• Eight of nine ongoing businesses delivered year-on-year growth.
• Conversia is expected to achieve more than 20% like-for-like growth.
• Ongoing operating profit growth of around 32% broadly supports the strong revenue performance.
• Net debt and leverage have both improved since December 2025.

The open questions

• Organic revenue growth was approximately 4%, well below the acquisition-enhanced headline rate.
• Net cash of £42.2 million has become net debt of £53.1 million year on year.
• The performance of the one ongoing business that did not grow was not disclosed.
• Margins, cash conversion, statutory profit and dividend expectations were not disclosed.
• Conversia's integration costs and contribution to group profit were not separately disclosed.

September's results must fill in the gaps

This is a reassuring update overall. Wilmington has delivered broad-based growth, its largest recent acquisition appears to be performing strongly, and adjusted profit before tax is set to edge past expectations.

The key tension is between strong acquisition-led expansion and more moderate organic growth. Investors will also need to balance the earnings progress against a materially more leveraged balance sheet than a year ago.

Wilmington expects to publish its full-year results on 29 September 2026. The most useful details will be margins, cash conversion, statutory earnings, dividend plans and management's outlook for organic growth and debt reduction.