EARNZ yesterday evening announced H1 results to 30 June 2026, showing a 79% increase in revenue to £8.4m and a small EBITDA loss of £0.4m. The ‘buy and build’ energy services group also announced the conditional acquisition of certain assets of profitable London-based GEM Environmental Services for a maximum consideration of £23.6m over two years. EARNZ expects it to be earnings accretive in the first full year of ownership and a ‘step change’ in building a ‘c.£130m turnover business with a double digit EBITDA margin’.
In a trading update ahead of the group’s AGM, SDI reports that it has continued to see positive momentum in the first few months of the current financial year. Good organic growth has been assisted by strong contributions from businesses added more recently to the portfolio. The group expects to deliver FY27 results in line with market expectations, highlighting a resilient performance despite broader macroeconomic challenges. We remain confident long term given SDI’s successful ‘buy and build’ model, particularly given recent delivery on the group’s acquisition strategy, gaining complementary businesses with strong niche positions and international reach.
Ahead of Friday’s AGM, Accsys Technologies has released a trading update confirming FY27E underlying group EBITDA will be ‘broadly in line with market expectations’, on lower revenue but improved margins. However, it guides that destocking by distributors, especially in its US JV, prompted by fears over inflation from the Middle East conflict, means that adjusted EBITDA, which proportionately includes the JV contribution, will be lower than expected. We have reduced our estimates for FY27E and FY28E, but maintain them for the rest of the period, in the expectation that the pioneering timber product group’s strong growth trajectory will recover.
EARNZ, launched in 2024 by the highly experienced team behind Mears and Sureserve, has embarked on a ‘buy and build’ strategy to improve the energy efficiency of UK homes and commercial buildings. Its current five businesses already offer a broad but complementary suite of services including heating maintenance and installation as well as insulation. Much of this is supported by large government programmes to tackle fuel poverty. The group intends to continue acquisitions, building critical mass in a fragmented market, which offers significant longterm growth, we believe.
