MICROLISE GROUP PLC - Full year results for the year ended 31 December 2025

Microlise Group PLC delivered a strong FY2025 investor update, reporting 4% revenue growth to £84 million and an 8% increase in recurring revenue to £58.8 million, driven by 16% growth in high-margin direct customer revenues. The company generated £13.3 million in operating cash flow and closed the year with a robust £16.7 million cash position, supporting ongoing investment in AI, product development, and international expansion. Management highlighted resilient SaaS performance, with net revenue retention of 108% and customer churn remaining low at just over 1%, underlining the strength of its long-term recurring revenue model. A £5 million annualised cost-saving restructuring programme is expected to support EBITDA margin expansion through 2026 and 2027. While OEM revenues remain under pressure due to softer renewal activity and lower volumes, Microlise is accelerating growth in its direct customer business, particularly within transport management systems (TMS) and the mid-market fleet segment. The company also outlined its long-term strategy to build a unified AI-powered transport operating system through its “Microlise One” platform, integrating telematics, fleet management, and transport management capabilities. Management expects increased adoption of AI-driven automation, faster onboarding times, expanding order book momentum, and continued cross-sell opportunities to drive future ARR growth, operational efficiencies, and shareholder value creation.