LONDON (ShareCast) - (Sharecast News) - Hargreaves Services reported double-digit revenue and EBITDA growth for the year ended 31 May on Wednesday, supported by a strong performance in its Services division and a sharp recovery in its HRMS joint venture.
The AIM-traded company also raised its final dividend, reflecting confidence in its forward momentum and balance sheet strength.

Group revenue rose 25% to £264.4m, while EBITDA increased 29% to £33.7m.

Underlying profit before tax edged up 4% to £17.6m, supported by improved margins insServices and a £4.1m contribution from HRMS, up from £1.3m last year.

Basic underlying earnings per share rose 18% to 45.2p.

The board proposed a final dividend of 18.5p, lifting the full-year payout to 37.0p, up from 36p a year earlier.

"I am pleased to be able to report another strong set of results for the group with substantial growth in both revenue and profits," said chair Roger McDowell.

"Whilst services has been a standout performer in terms of growth, this year has also seen a significant improvement in the performance of HRMS.

"The completions at Blindwells continue to demonstrate the value within the portfolio."

Hargreaves said the services division continued to expand its portfolio of long-term contracts, securing more than 70 term and framework agreements, providing visibility over 70% of next year's expected revenue.

The company cited growing demand across clean energy, water, and infrastructure as key drivers of the pipeline.

Meanwhile, Hargreaves Land saw reduced profit compared to the prior year, which had benefited from exceptional activity, though revenue grew on the back of increased sales at its flagship Blindwells development.

The group maintained a debt-free position, ending the year with £23.3m cash and net assets of £194.2m.

HRMS also returned £6.3m in cash to the group over the period.

McDowell added that the company remained well-positioned to capitalise on emerging opportunities across its key sectors.

"With further prospects emerging in these sectors, the group continues to demonstrate its capacity to adapt and thrive amidst evolving market conditions, ensuring sustainable growth and delivering continued value to shareholders."

At 1418 BST, shares in Hargreaves Services were up 0.28% at 728p.

Reporting by Josh White for Sharecast.com.

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