REACT GROUP PLC - Interim Results

React Group PLC delivered a resilient H1 investor update, reporting strong revenue growth, recurring income, and improved operational efficiency despite challenging economic conditions. The group, which operates across specialist cleaning, hygiene maintenance, commercial window cleaning, and drainage services, generated revenue of £13.2 million, up 9% year-on-year, with EBITDA rising 7% to £1.5 million and gross margins strengthening to 32.4%. More than 85% of revenue remains recurring, supported by long-term customer contracts across sectors including the NHS, education, retail, hospitality, and facilities management. The company highlighted robust cash generation, with free cash flow of £824,000, alongside continued progress on its growth strategy following the acquisition of 24 Hour Aquaflow. Strategic initiatives such as the launch of a new pump division and the rollout of the tech-enabled “Project Sparkle” customer platform are enhancing operational scalability, customer retention, and service differentiation. React Group also reported renewed recurring contracts worth approximately £4 million and continued expansion through new customer wins and cross-selling opportunities. Management reaffirmed its long-term objective of achieving £5 million in annual free cash flow within three years, underpinned by strong market positioning, high-margin specialist services, and a diversified blue-chip customer base.