Bytes Technology Group PLC Q2 2026 Earnings Recap

Bytes Technology Group reported double-digit gross profit growth across both sectors, while operating profit grew more slowly as costs rose. With the stock up 1.0%, the reaction was broadly neutral; full-year gross profit guidance has been upgraded to low- to mid-teens growth.

Key Takeaways

• Gross profit rose 17.8% to £97.1m; gross invoiced income increased 19.6% to £1.6bn.
• Public-sector gross profit grew 23.1% and private-sector gross profit 14.6%; Microsoft grew broadly in line with the group.
• Operating profit increased 6.6% to £35.3m, slower than gross profit. Operating profit as a share of gross profit fell to 36.4% from 40.2%, with cost normalization among the factors.
• Services gross invoiced income rose 41%, and technical delivery headcount increased 17.4% year on year.
• The company ended the half with £68.4m of net cash after returning £41.3m to shareholders; the interim dividend rose 3.1% to 3.3p per share.