GB Group PLC (LSE:GBG) shares skipped to an 18-month high as the provider of identity fraud and location software to customers like Santander, St James's Place, Revolut and Racing Stars, turned in half-year results that showed an improvement in growth in recent months.
Revenue for the six months ended 30 September of £136.9 million was up 3.4% compared to a year earlier, or 4.5% on a constant currency basis, and adjusted operating profit jumped 21% to £29 million.
This was in line with the pre-announced headlines from a trading update last month, while showing more detail on improvements in growth, with the growth acceleration driven by the Identity division's 6% growth and 8.6% for Location.
The smallest segment, Fraud, was down 9.2% on a constant currency basis given the timing of licence renewals.
On the outlook, GB left things unchanged, with trading in the second half being in line with expectations, so "mid-single-digit" revenue growth is expected on a constant currency basis, driving high single-digit growth in adjusted operating profit.
Overseeing his first set of results under his own steam, since being appointed in January, CEO Dev Dhiman hailed a half-year "where we have made positive progress against my initial focus areas; removing complexity, being globally aligned, driving a performance culture and differentiating through innovation".
He said there was "more to be done to drive our reacceleration in organic growth, but I am highly encouraged with our progress to date".
The shares climbed over 7% in early trade to 368p, their highest since early 2023, though still more than 60% from levels seen in 2021.
Broker Jefferies said: "The outlook comments are unchanged for mid-single-digit revenue growth and high-single-digit EBIT growth.
"Given the EBIT growth banked in 1H25, flat EBIT in 2H25 would be sufficient to underpin FY EBIT growth of 8.5%. we think this de-risks the year, supporting our positive view on the shares."