9th Dec 2025 12:05
(Alliance News) - Restore PLC on Tuesday said it is on track to exceed its expectations for 2025 and 2026 as it reported "strong" performance in its core businesses and the disposal of Restore Harrow Green.
Shares in Restore rose 9.2% to 262.00 pence early Tuesday afternoon in London.
The London-based digital and information management services provider said in a trading update that it expects full-year adjusted pretax profit to be ahead of current market consensus on a continuing basis.
As of close of business on Monday, when accounting for the Harrow Green sale, consensus for 2025 adjusted pretax profit on a continuing basis was GBP39.6 million. Last year, Restore reported an adjusted pretax profit of GBP34.4 million.
The company expects to exceed its medium-term adjusted operating margin target of 20% on a continuing operations basis, having achieved an adjusted operating margin target of 17.7% in 2024.
Restore said Storage revenue continued to increase in the 11 months ended November 30.
The company noted that the integration of the digital scanning business into its Information Management segment was "largely complete", generating annualised savings of more than GBP5 million, which is roughly twice the original estimate.
In the Datashred division, increased visit numbers, largely stable paper prices and four acquisitions in 2025 drove "strong revenue growth", Restore said. It added the Technology business has "much improved".
Restore on Tuesday also announced the disposal of Harrow Green to Bouverie Holdings Ltd, following expected year-on-year reductions in earnings.
"Whilst Harrow Green is a well-run business with a blue-chip customer base, and management has done an excellent job in a very challenging market, it has become increasingly non-core for the group," Chief Executive Charles Skinner said.
Looking ahead to financial 2026, Restore expects to continue to exceed the medium-term adjusted operating margin target of 20% and said adjusted profit before tax will be ahead of current market consensus.
As of Monday close of business, company-compiled consensus for financial 2026 adjusted pretax profit was GBP46.5 million, with a range of between GBP43.1 million to GBP49.0 million.
The company said it will be hurt by increases in business rates from the UK government budget, which take place in April 2026, but that the "strong performance" of its core businesses reaffirm confidence in its raised outlook.
"It has been a strategically busy year for Restore, with seven acquisitions and the disposal of Harrow Green. With strong management teams now in place at each of the Group's three divisions, Restore is a simpler and more cohesive group," CEO Skinner said.
"The acquisitions made this year are all integrating well and the group is well positioned to pursue opportunities for further growth, both organically and through acquisitions," he added.
By Roya Shahidi, Alliance News reporter
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