Hargreaves Services reports sharp rise in revenue, profits
By Josh White
Date: Wednesday 28 Jan 2026
(Sharecast News) - Hargreaves Services reported a sharp rise in revenue and profits for the six months ended 30 November on Wednesday, and announced plans to return up to £15m to shareholders, alongside a higher interim dividend and a planned chief executive succession.
Revenue increased 46.1% year-on-year to £183.1m, driven by growth in the services division on major infrastructure projects.
EBITDA rose 22.8% to £18.3m, while profit before tax almost tripled to £14.3m from £5.3m a year earlier.
Earnings per share climbed to 33.4p from 12.2p.
The interim dividend was raised by 5.4% to 19.5p, reflecting stronger profitability and improved forward visibility.
Its cash position strengthened materially, with cash and cash equivalents rising to £37.3m from £15.7m, supported in part by the sale of the first tranche of renewable energy land assets for initial proceeds of £8.8m.
Net asset values increased to £201.4m, or 608p per share, while leasing debt rose to £43.2m from £34.2m.
On capital returns, the board said the strong balance sheet underpins its intention to return up to £15m to shareholders before the end of the financial year through a tender offer.
The tender was expected to be priced at a premium of between 12% and 15%, implying a price of around 750p per share based on the recent share price, with further details to be announced.
Hargreaves also set out its CEO succession plans, confirming that Gordon Banham intended to step down as chief executive from 31 July after 20 years in the role.
He would be succeeded by current chief operating officer Simon Hicks, while Banham would retain executive responsibility for HRMS for the foreseeable future.
Looking ahead, the company said services revenue for the year to 31 May was now around 90% secured under contract.
Based on the strong first-half performance, the board said it expected services to outperform market expectations for revenue by around 6%, with a corresponding 4% improvement in both profit before tax and EBITDA.
It added that improving performance in HRMS and good visibility in land supported confidence in delivering full-year results ahead of current market expectations.
"I'm delighted to once again report a strong set of results for the group," said group chair Roger McDowell.
"This has been another period of substantial growth within our services business."
He added that the sale of renewable energy land assets was "a critical milestone" and had underpinned the decision to return capital to shareholders.
At 1402 GMT, shares in Hargreaves Services were up 6.89% at 716.19p.
Reporting by Josh White for Sharecast.com.
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