SysGroup PLC (AIM:SYS, AQSE:SYS) shares climbed around 15% in Monday's early trade, up 2p to 15.5p, after it told investors that revenue and adjusted EBITDA for FY26 came in ahead of market expectations, thanks to a stronger second half that helped lift full-year performance and offset the cost of its December acquisition of Saxis.
The cloud, cybersecurity and AI enablement group said revenue for the year ended 31 March 2026 rose 7.6% to £22.1 million from £20.5 million a year earlier.
Second-half revenue increased 17.2%, including a £1.1 million contribution from Saxis, while organic H2 revenue growth was 7.0%. And, SysGroup expects to report adjusted EBITDA of £1.2 million for FY26, up from £0.9 million in FY25 and ahead of current market expectations.
The company said improved go-to-market execution and continued demand in cybersecurity supported the outturn, with early benefits also coming through from a greater use of AI in sales and service delivery during the fourth quarter.
The group ended the year with gross cash of £7.7 million and net cash of £2.7 million, after paying £1.3 million in cash consideration tied to the Saxis deal.
Executive chair Heejae Chae said the business had entered FY27 with positive momentum, with fuller detail on performance and outlook due alongside annual results in July.
"This update marks an important milestone ahead of our full year results in July, where we will provide further detail on performance and outlook," Chae said.