LITIGATION CAPITAL MANAGEMENT LIMITED - Results for the six months ended 31 December 2025

Litigation Capital Management Limited’s latest investor update highlights a difficult period in which company performance and financial results were significantly impacted by two major trial losses, adverse cost exposure, and several smaller case setbacks, resulting in a substantial net loss, weaker revenue generation, pressure on margins, and a sharp reduction in net assets. The company said cash inflows from concluded cases remained limited, while net debt increased as it continued funding its existing portfolio and managing a 46-case order book. In response, Litigation Capital Management Limited has reduced operating costs by around 50%, re-underwritten its portfolio to address concentration risk, and paused new investments to focus on capital preservation, portfolio management, and balance sheet repair. Management said its strategic review is now at an advanced stage, with recapitalisation options under active discussion alongside lender support, covenant waivers, and an extended capital facility. While risks remain around appeals, liquidity, and the outcome of any capital transaction, the company’s recovery strategy is centred on stabilising financial performance, improving portfolio quality, protecting shareholder value, and positioning the business for a potential turnaround.