The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with Cavendish's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain. 

11 November 2026

Cavendish plc

("Cavendish" and together with its subsidiary undertakings, the "Group")

2027 Interim Results and Board Change

Cavendish plc (AIM: CAV), a leading UK investment bank and trusted adviser to both public and private companies, today announces unaudited interim results for the six-month period ended 30 September 2026.

H1'27 FINANCIAL HIGHLIGHTS

• Revenues of £22.9m (H1'26: £28.5m)
• Core profit before tax* of £0.8m (H1’26: £2.0m)
• Core earnings per share*: 0.2p (H1'26: 0.4p)

H1'27 OPERATIONAL HIGHLIGHTS

• More than 50 transactions executed during the period, with a value of £425m
• Continued investment in Group talent with select and strategically aligned hires
• Continued cost control will reduce annualised costs by more than £3m

* Core profit before tax and earnings per share is prior to share-based payments, share of associate losses, restructuring costs and fair value gains and losses on long term investments.

BOARD CHANGE

Today we are announcing that Cavendish will move to a single CEO structure. Julian Morse will become sole CEO and John Farrugia is stepping down as Joint CEO and from the Board.

Lisa Gordon, Chairman of Cavendish commented: “I want to express our sincere thanks to John for his significant contribution to the Board. His passion for entrepreneurship and commitment to helping ambitious businesses to succeed has been central to his leadership. It is our intention that John remains engaged on specific client activity for the foreseeable future”.

JULIAN MORSE CHIEF EXECUTIVE OFFICER OF CAVENDISH, COMMENTED:

“In a period of challenging market conditions and deal completion timetables, our lean platform and low fixed-cost base have enabled us to remain profitable in the first half of the year. Despite the slow start to the year with pressure on all businesses resulting from significant geopolitical and economic headwinds, we are increasingly seeing good prospects being generated from several areas of targeted investment in the prior periods.  We have a healthy pipeline of both public and private transactions including potential IPOs which are expected to yield greater fee revenues over the next 12 months than we have seen in this period.

We have maintained our market leading position supporting the largest number of AIM quoted companies and have continued to increase the average market capitalisation of our retained clients. Investment in our centralised origination capability is delivering results, with a noticeable step up in the number of new private M&A and private growth capital mandates won in the period.

Our cost reduction plans will reduce our annualised costs by more than £3m over the next six months. This comprises savings in non-employee costs of over £1m, through investments in our core systems, and about £2m in employee cost savings through restructuring.  Some of this will be offset by continued investment in strategic hires and it is encouraging that we are continuing to attract highly credible market practitioners from our larger competitors”.

CAPITAL STRENGTH

The Group continues to have surplus capital and a strong liquidity position significantly above required levels. The cash balance of £10.6m at 30 September 2026 is lower at this point than at the same time last year (£19.8m) because of both the earlier payment of prior-year final dividends to shareholders and the relative reduction in transaction fees in the period. The cash position is expected to strengthen again from December onwards.

INTERIM DIVIDEND AND CAPITAL ALLOCATION

The Board has decided not to declare an interim dividend in respect of the six months ended 30 September 2026 (H1 FY'26: 0.3p). This reflects the more challenging market conditions in the period and continued selective investment in the business.

The Board remains committed to delivering value to shareholders and is focussed on prioritising capital allocation in the following areas:

1. Regulatory capital and liquidity. Maintaining regulatory capital and a prudent liquidity buffer.
2. Investment in growth. Targeted strategic senior hires, with a particular focus on private M&A. The Board sees an attractive opportunity in this market as UK mid-market activity recovers and private capital looks to deploy significant uninvested funds.
3. Shareholder returns via share buy backs and dividends when surplus capital allows.

BUSINESS REVIEW

Revenue from public and private market transactions remained well diversified. In public markets, we have maintained a strong client base, which continued to transact, although at lower levels impacted by economic uncertainty.

In private markets, first-half revenue was lower than the comparable period. This was mainly because of timing with several completions moving into the second half. Mandate activity has improved relative to the prior period, with more sell-side and private growth capital opportunities passing through our Deal Approval Committee over the summer.

MARKET CONDITIONS

UK public markets remained subdued during the period. AIM continued to experience low levels of new issuance and relatively weak secondary-market liquidity, reflecting persistent economic uncertainty constraining institutional demand. Fundraising remained selective, although established businesses with clear investment cases continued to successfully access capital. Public M&A activity provided a comparatively more active area of the market.

The UK private M&A market was more resilient.  Buyer appetite remained strongest for high-quality, profitable assets, supported by corporate and private equity capital. Debt availability has improved, with private credit funds competing increasingly with traditional banks to finance mid-market transactions, although pricing and leverage remained disciplined. Activity was not confined to London, with established regional markets continuing to generate meaningful transaction flow.

OUTLOOK

We have entered the second half with a healthy pipeline across both public and private markets, including IPOs, public takeovers and a strong book of sell-side M&A mandates.

Market Outlook

UK equities, especially small and mid-caps, remain dominated by the Iran conflict and the ongoing supply disruption through the Strait of Hormuz. Renewed hostilities in July and the risk of escalation pushed oil back to conflict highs of $115/bbl. Financial markets have responded to the inflation risks of an elevated oil price for longer than expected. UK rate expectations have completely reversed from three cuts expected pre-conflict to the recent 0.25% rise with further interest rate hikes expected before the year end. The prospective monetary tightening and its likely impact on growth have weighed particularly on UK small and mid-caps.

A resolution to the conflict should restore pre-conflict oil prices (as we saw tentatively during the ceasefire and with the most recent fall to below $100/bbl since the US mid-term election results) and therefore reverse those interest rate expectations once more. Falling rate expectations, particularly from their current elevated levels, would provide significant support for UK equities, especially with valuations at multi-year lows. In this environment Cavendish is well positioned to capitalise as investors recognise the relative attractiveness of UK small and mid-caps.

Budget Impact

Chancellor Healey’s ‘do no harm’ budget was a success if judged by the reaction of the bond market, especially avoiding some of the more consequential tax rises that were anticipated. The fiscal challenges facing the Government persist, but the difficult spending decisions have been deferred into next year.

The Government is clearly seeking to support UK business, exemplified by targeted measures to ease pressures on particular sectors. A more favourable business environment, together with reduced uncertainty, strengthens confidence and encourages corporate activity, from which Cavendish should benefit, helping the outlook for the remainder of the financial year.

INVESTMENT BANKING REVENUE

Investment Banking revenue comprises recurring retainer income from corporate clients and advisory fees earned from ECM, M&A, debt, and private placings.

Revenue was lower year on year, with private sales down 44% and public transactions down 25%. This was partially offset by modest growth in retainer income reflecting the higher number of quoted clients than in the first half of FY26.

EQUITIES REVENUE

Equities revenue comprises market making, agency commission and research fees. Agency commission increased by 15% compared with the same period last year; however this growth was offset by lower market making income and research fees, amid more challenging market conditions.

OPERATING EXPENSES

Non-employee costs were broadly in line with the prior period.

Employee costs decreased by 24% compared with the same period last year, driven by a lower bonus accrual reflecting reduced revenue in the period. A significant proportion of remuneration is variable and linked to performance, allowing our cost base to flex in line with revenue.

CONSOLIDATED INCOME STATEMENT

UNAUDITED FOR THE 6 MONTHS ENDED 30 SEPTEMBER 2026

CONSOLIDATED BALANCE SHEET

UNAUDITED FOR THE 6 MONTHS ENDED 30 SEPTEMBER 2026

CONSOLIDATED STATEMENT OF CASH FLOWS

UNAUDITED FOR THE 6 MONTHS ENDED 30 SEPTEMBER 2026

CONSOLIDATED STATEMENT OF CHANGE IN EQUITY

UNAUDITED FOR THE 6 MONTHS ENDED 30 SEPTEMBER 2026

NOTES TO THE FINANCIAL STATEMENTS

UNAUDITED FOR THE 6 MONTHS ENDED 30 SEPTEMBER 2026

1. Basis of Preparation

Cavendish plc (the "Company" or the "Group") is a public limited company, limited by shares, incorporated and domiciled in England and Wales. The Company was incorporated on 28 August 2018. The registered office of the Company is One Bartholomew Close, London EC1A 7BL, United Kingdom. The Company's registered number is 11540126. The Company is quoted on the AIM market of the London Stock Exchange.

The financial information contained within these condensed consolidated Interim Financial Statements is unaudited and has been prepared in accordance with International Accounting Standard 34 Interim Financial Reporting ('IAS 34') and AIM Rule 18. The financial information contained in the Interim Financial Statements is unaudited and does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006.

The statutory accounts for the 12 months ended 31 March 2026 have been delivered to the Registrar of Companies. The statutory accounts have been prepared in accordance with UK Adopted International Accounting Standards and in accordance with applicable law. The Independent Auditor's Report to the members of Cavendish plc contained no qualification or statement under section 498 (2) or (3) of the Companies Act 2006.

These consolidated Interim Financial Statements contain information about the Group and have been prepared on a historical cost basis except for certain financial instruments which are carried at fair value. Amounts are rounded to the nearest thousand, unless otherwise stated and are presented in pounds sterling, which is the currency of the primary economic environment in which the Group operates.

The preparation of these Interim Financial Statements requires the use of certain critical accounting estimates. It also requires Group management to exercise judgement in applying the Group's accounting policies. Judgements and estimates used in these Interim Financial Statements have been applied on a consistent basis with those used in the statutory accounts for the 12 months ended 31 March 2026.

The Group has assessed the appropriateness of accounting on a going concern basis. This process involved the review of a forecast for the coming 18 months, along with stress testing a second downside scenario. Both cases showed that the Group has the required resources to operate within its resources during the period. The Directors believe that the Group has adequate resources to continue trading for at least 12 months from the date of approval of this report. Accordingly, they continue to adopt the going concern basis in preparing the Interim Financial Statements.

2. Revenues

The Group is managed as an integrated financial services group and the different revenue streams are considered to be subject to similar economic characteristics. Consequently, the Group is managed as one business unit. The trading operations of the Group comprise of Corporate Advisory and Broking, M&A Advisory and Institutional Stockbroking. The Group's revenues are derived from activities conducted in the UK, although several of its corporate and institutional investors and clients are situated overseas. All assets of the Group reside in the UK.

3. Net fair value (losses)/gains

4. Administrative Expenses

5. Earnings per share

Shares held by the Group's Employee Benefit Trusts have been excluded from the calculation of earnings per share.

6. Dividends

Balance Sheet Items

1. Deferred tax asset

Deferred taxation for the Group relates to timing differences on the taxation relief on the exercise of options and tax losses carried forward. The amount of the asset is determined using tax rates that have been enacted or substantively enacted when the deferred tax assets are expected to be recovered.

2. Trade and other receivables

Trade and other receivables principally consist of amounts due from clients, brokers and other counterparties. In addition, the Group has credit risk exposure to the gross value of unsettled trades (on a delivery versus payment basis) at its agency settlement agent (Pershing, a wholly-owned subsidiary of Bank of New York Mellon Corporation).

3. Merger relief reserve

The merger relief reserve represents: the difference between net book value of subsidiaries acquired via share-for-share exchanges and the nominal value of the shares issued as consideration. Upon consolidation, part of the merger reserve is eliminated to recognise the pre-acquisition reserves of Cavendish Capital Markets Limited (December 2018) and Cavendish Securities plc (September 2023); and the difference between the fair value and nominal value of shares issued for the acquisition of Cavendish Corporate Finance (UK) Limited and Cavendish Corporate Finance LLP from the acquisition in December 2018. This reserve is not distributable.

4. Own shares held

The value of own shares held is the cost of shares purchased in the Group's Employee Benefit Trusts. The Trusts were established with the authority to acquire shares in the Group and are funded by the Group.

5. Post balance sheet events

There are no material post balance sheet events.

Alternative Performance Measurements

The below non-GAAP alternative performance measures have been used.

Core profit before tax and core earnings per share

Measure: Core profit before tax is calculated by adjusting statutory profit before tax to exclude share-based payment charges, other operating expenses arising from the revaluation of options held, and the Group’s share of profits or losses from associates and joint ventures. Core earnings per share is calculated by deducting the tax charge from the core profit before tax and dividing by the weighted average number of ordinary shares in issue during the period.

Rationale: Share-based payment charges and option revaluation movements are excluded as they are non-cash in nature and can be volatile, reflecting changes in share price and valuation assumptions rather than the underlying trading performance of the Group during the period. Excluding these items improves comparability between periods and reduces distortion caused by market driven fluctuations.

The share of associate and joint venture profits is excluded as these results are not directly generated by the Group’s core operations and are not under its day-to-day operational control. Removing these items enables readers to focus on the performance of the Group’s principal business activities.

Use: These metrics provide a consistent and comparable measure of profitability generated from the Group’s core business, which management uses to assess operational performance, support decision making and evaluate value creation. This measure is also considered useful for shareholders and other users of the financial statements in understanding the underlying financial performance of the Group.

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