Yü Group PLC Reports Solid FY25 Trading Update with Revenue Growth and Positive Outlook

FY26 strategy: stepping up investment to win market share

Yü plans to increase investment in FY26 to underpin growth and lift market share over the next three years. Further detail will come with the FY25 results in March. The CEO reiterates a medium term ambition of 6% market share.

Importantly, management says the forward contract book is very strong. A forward contract book is the pipeline of contracted energy supply with prices and volumes locked in ahead of delivery. That provides visibility on revenues and margins and should help manage risk in a normalised pricing environment.

Why this update matters for investors

• Customer momentum is real: c.48% growth in meter points is a robust indicator of organic expansion in the SME and corporate segment.
• Revenue resilience in a normal market: growing to c.£700 million with normalised wholesale prices suggests the top line is underpinned by volume gains, not just price.
• No surprises on profit: EBITDA in line with expectations avoids the two extremes investors dislike – downgrades or overpromising.
• Dividend underpinned by cash: strong cash generation and a reiterated progressive dividend policy signal balance sheet confidence.
• Clear growth plan: stepped-up investment in FY26, a strong forward book, and a 6% market share ambition provide a coherent story for the next phase.

What’s not disclosed (and worth watching)

• Margins and unit economics: no gross margin or EBITDA margin disclosed.
• Cash and debt detail: strong cash generation is stated, but no net cash or working capital figures.
• FY26 numbers: the strategy is outlined, but there is no quantitative FY26 guidance yet.
• Profit impact of investment: higher investment can temporarily weigh on margins, though management remains confident in meeting key KPIs in FY26.

Context: market positioning and hedging discipline

Yü positions itself as a leading energy supplier to UK SMEs and corporates, blending digital tools with personalised service. The company highlights a £50 billion plus addressable market and a robust hedging policy. Hedging refers to locking in prices to reduce exposure to volatile wholesale energy markets.

Over the last four years, Yü reports a compound annual growth rate of over 60% and significantly improved margins and profitability performance. It also launched Yü Smart in 2023 to capitalise on smart metering installation – a useful adjacency that likely supports the sharp uptick in meter points.

CEO tone: confident in normalised conditions

CEO Bobby Kalar describes Yü as delivering market leading growth in normalised market conditions and reiterates confidence in reaching a 6% market share. The tone is upbeat but measured, with thanks to the team and a promise to update shareholders in due course.

Dates to note: full FY25 results

Mark your diary for Tuesday 17 March 2026 for the FY25 annual report. That is when we should get the full financial statements, cash flow detail, and the more granular FY26 investment plan.

My take: steady execution with sensible ambition

This is a tidy update. Customer growth is strong, revenue has risen despite price normalisation, and EBITDA is on script. The cash and dividend signals are reassuring. The decision to invest harder in FY26 to win share feels sensible given a strong forward contract book, though we will need detail on spend, payback, and any near-term margin effects.

Overall, it reads as controlled execution with an eye on a bigger prize. If management can convert meter point growth into durable margins while keeping credit and hedging discipline tight, Yü’s medium term trajectory looks promising.