Pinewood Technologies Group PLC shares dropped 9% after the company reported half-year results showing double-digit revenue and profit growth but trimmed its guidance for 2025.
Revenue for the software provider to car dealerships in the six months to 30 June rose 21.7% to £19.6 million, supported by increased client spend and the integration of Seez, an AI-powered startup acquired earlier this year.
Gross profit increased 17.2% to £17 million, while underlying EBITDA rose 14.5% to £7.9 million.
Cash reserves climbed to £30.3 million, more than double last year’s level.
However, the group now expects underlying EBITDA for the full year to be between £15.5 million and £16 million, reflecting accounting impacts from the buyout of its North American arm and the rescheduling of its Marshall Motor rollout.
Chief executive Bill Berman said: “This has been another half of great progress for Pinewood.AI, delivering on our strategic objectives and positioning the business for continued accelerated growth.”
He said a new medium-term EBITDA target of £58-62 million had been set for 2028, with Berman saying: "We are confident in the scale of the global opportunity in the market, and we are looking forward to delivering on this in the years ahead."