Financial document (btg results fy26 v14)

Results for the year ended 28 February 2026

Tuesday, 12 May 2026

BTG overview

Making the complicated simple. Turning leading technologies into solutions.

We are specialists

97%

Software solutions sales1

Large, diversified customer base

6fi

Customers

We grow great people…

1,331

Employees

FY26 financials

Gross invoiced income

5yr CAGR: 19.6%

We have two brands: Private sector focused

Public sector focused

Leading vendor partner

200+

Vendors

Trusted by our customers

70+

Customer NPS

… to deliver amazing things

62

eNPS

Shareholder returns

Five-year total2: £205.1m

Gross profit

5yr CAGR: 13.3%

Cash conversion

5yr average: 114.7%

1. 97% of gross profit.

2. Including FY26 final dividend and share buyback launched 12 May 2026 2

FY26 at a glance

Strategic progress

We segmented our private sector sales force, staying ahead of wider transitions in our industry and supporting sales growth

Increasing customer-centricity

FY26 results

Sales momentum for FY27

3

Financial highlights

Gross invoiced income1

£2.3bn

Gross profit

£167.3m

Operating profit

+11.5%

+2.5%

(5.6)%

Earnings per share

21.4p

Net cash

£98.6m

Cash conversion2

(6.1)%

FY25 £113.1m

FY25 113.8%

Ordinary dividend3

10.2p

Customers

5,916

GP/customer

+2%

FY25 5,913

+2.4%

1. GII is a non-IFRS alternative performance measure that reflects gross income billed to customers adjusted for deferred and accrued revenue items.

2. Cash conversion is a non-IFRS alternative performance measure that divides cash generated from operations less capital expenditure by operating profit.

3. FY25 interim dividend 3.1p and final dividend 6.9p. 5

Income statement

• GII up 11.5% with balanced growth across segments

• Gross profit grew by 2.5%, affected by Microsoft enterprise agreement incentives changes in January 2025

• Other income is rental income from the offices acquired in FY25 but not yet occupied

• Salary costs up 16.7% due to average headcount growth of 12%, senior hires and cost-of-living wage increases

• Commissions and bonuses down due to lower gross profit growth below internal targets

• Social security +19.5% due to increased national insurance contributions

• Share-based payments -85.1% due to lower profitability

• Interest income down due to lower interest rates

• Effective tax rate is 26.6%, higher primarily due to a reduced deferred tax asset value of outstanding share options

6

Income analysis - FY and HY trends

GII and GP by income stream and sector

GP growth (%)

• Public sector GP growth ahead of private sector

• The public sector GP was more heavily affected in H1

• Microsoft enterprise agreement incentive changes resulted in lower software gross profit growth than GII

• Services grew strongly on top and bottom line

• Services margin expansion was driven by mix and cost efficiencies 7

  
  
  

  Cash flow

  Cash flow (£'m)

  Total

Operating profit (£'m) and cash conversion (%)

• Remain a capital-light business, with average cash conversion >100% since IPO

• Cash balance a healthy £98.61m after dividend payment of £48.6m and share buyback of £25m

• Cash conversion for the full year of 105%

• £4.1m capitalised development spend, upgrading systems to drive efficiency and capture marketplace opportunity (total c.£8m)

• The £5.1m cash received from the issue of share capital relates to the exercising of c.1.6m share options by participating staff, primarily under our CSOP and ShareSave plans

  8

  
  
  

  Balance sheet

  
  
  

  • Our strong balance sheet supports large gross receivables and payables balances inherent to our business model

  • Our £98.6m cash position balances our £(79.8)m negative net working capital position

  • We operate with shorter debtor days (38) than creditor days (48), helped by our GII skew to the public sector (66%), which is typically a fast payer

9

Capital allocation hierarchy

Maintaining a strong balance sheet through the cycle

1. Organic growth

2. Dividends

3. MGA

4. Return of excess cash

   Continue our proven strategy of growing our customer base and wallet share with our clients

   Grow sales capacity (new sales intakes and regional growth)

   Expand solutions capability (vertical expertise and knowledge)

   Broaden vendor partnerships (developing technical expertise)

   Dividend policy is to distribute 40-50% of post-tax pre-exceptional earnings

   Full year dividend of 10.2p per share (including 7.0p final dividend)

   Actively monitoring acquisition opportunities to accelerate the implementation of our strategy

   High-quality bar, with cultural alignment key

   Focus on cross-sell potential, vendor specialism and solutions expertise

   Attractive financial profile

   £25m share repurchase programme completed in FY26

   We consider both special dividends and share buybacks as methods to return excess cash

   The Board has approved another share repurchase of up to £25m, beginning in FY27

   10

   
   
   Business review
   
   
   
   

   Strong growth opportunity

   1

   Large addressable marfiet

   • <3% market share of £82bn total addressable market1

   • 6k out of 42k customers and c.25-30% average wallet share

     2

     Structural growth drivers

   • AI - reshaping business processes

   • Cloud - siloed data remains a bottleneck

   • Cybersecurity - rising attack surfaces and regulation

     3

     Microsoft cornerstone in ICT spending

   • Services - growing complexity requires specialist skills

   • Microsoft spans all software technology pillars

   • Our relationship enables us to lead the market, driving growth in Microsoft and other vendors

Significant growth opportunity with new customers and existing customers

Software solutions spending forecast to grow by >10% a year2

Cornerstone of budgets and a gateway to technology decisions

1. Total addressable market in UK&I (2026), derived from internal analysis of various industry sources.

2. European combined software and services growth (2026), derived from internal analysis of various industry sources. 12

How we grow

Our growth enablers

People

Vendors

Customers

We grow great people to deliver amazing things

We turn leading vendor technologies into solutions and services

We are a trusted advisor providing expertise, value, choice and dedicated service

Engaged Incentivised Collaborative Accountable

Services Partnership

Outcomes Consumption

Customer-centricity Depth and breadth Commercial acumen Sector-specific

13

Our market continues to develop

Customer buying is changing. Vendor partner models are changing.

1. Per-seat licensing to consumption Cloud and AI models suit consumption where value tracks usage not licence counts

2. Point products to solutions

   Rising complexity means integrated, secured & cost-optimised solutions are preferred to isolated SKUs

3. Reseller to partner

Customers want advisors and implementors who shape decisions, not just fulfilment

14

Driving customer-centricity

Three phases, one thesis: organise around how customers buy and what they need

Customer-led segmentation

Services-led capability

Sector-led go-to-marfiet

15

People: Investing for growth

Engagement and culture remains strong

eNPS increased to 62 from 57 in FY25

Number of £1m GP sellers increased to 59, with continued strong retention

Ranfied 14

2026 FT UK's

Best Employer*

343

Sales staff +12%

381

Sales support staff +3%

339

Technical delivery staff +8%

268

Administration staff +6%

1,331

Total staff +7%

We're expanding our teams to meet our customers' evolving needs

1

Growth

Employee growth

of 6.9% (11.9% average)

2

Capability

Investment focused on Sales and Technical delivery staff.

New practice leads add capability for new AI service demands

3

Expansion

Added capacity to existing modern and inviting workspaces, with plans to expand London footprint in FY27

4

Collaboration

Continued emphasis on collaboration between account managers, technical sales, consultancy and managed services to deliver innovative joined-up solutions

16

We have restated where we report some employees since the FY25 results. Sales now only includes account managers with technical and vendor sales specialists sitting in Sales support unless they are delivering a service, in which case they are included in Technical delivery. The restatement reduced Sales staff by 98, increased Sales support staff by 87, increased Technical delivery staff by 10 and increased Administration staff by one.

People: Driving GP growth

Our sales development programme drives sales growth and culture

Sales employee average tenure

Longer-tenure employees continue to deliver higher GP per customer and greater customer share of wallet growth

Engaged Talented Incentivised Culture

Gross profit sales per annum

Continuing to invest in our sales development programme to drive GP per customer and in new hires

17

Vendors: Strongly positioned for growth

Our largest vendor and strategic partner Trusted partner to 200+ vendors

50%

FY26 GP

Builds trust

Microsoft is a cornerstone in customer ICT budgets and spans all software technology pillars, opens the door and builds trust

Drives growth

Our relationship enables us to lead the market, driving growth in Microsoft and other vendors

The Enterprise Agreement incentives

Hold top-tier accreditations across our vendor portfolio

Deliver value and vendors products with finowledge and sfiill

Investment in services capability is strengthening vendor relationships beyond Microsoft

changes are now annualised Easy to engage with, to reach a large customer base in a focused way

18

Vendors: Increasing Services GP

Moving from Reseller to Partner: Our Services help turn vendors' technologies from point products into solutions for customers

1

Advise

Advisory services help customers identify gaps, opportunities and priorities. This helps customers shape decisions before they buy

2

Design

Design gives customers confidence a solution will deliver the desired outcome

Customer case studies

3

Deliver

Delivery encompasses helping customers both deploy and adopt the solution

4

Farrer & Co LLP Microsoft support

Leading law firm bought Bytes Microsoft Support Services to deliver:

• Proactive governance and reporting to

  maintain operational resilience

• Assurance that downtime and

disruption would be kept to an absolute minimum

Hollywood Bowl Data protection

• Used Microsoft Data Security Envisioning Engagement funding for planning, configuration and testing of certain functionality within Microsoft Purview

• Strengthened the customer's overall data-security posture

Manage and Support

Both deepen our customer and vendor relationships

19

AI: positioned to benefit our customers

Strongly positioned with Microsoft and customer relationships

Customer needs

Infrastructure

Frontier Firm status

20

AI: The power of an integrated team

Aligned with customers as the market accelerates

We offer a collaborative, cross-practice approach A challenge such as deploying a secure AI agentic solution is not just an AI tasfi

We combine several practices

To design the models, agents and workflows

Infrastructure

To build the foundational infrastructure and landing zone

Cloud security

To implement the necessary safeguards

GRC

To establish the governance policy and controls

ACM

To empower and educate users to drive adoption

We break down internal silos to provide customers with a single, cohesive team that delivers holistic solutions

21

Summary and outlook

Structured and focused strategy to deliver for all our stakeholders

Large TAM

Strategic changes implemented

Strong balance sheet

Structural growth

Strong partnerships

Outloofi

FY27

22

Q&A Appendix

bytesplc.com

Technical guidance

Income statement

• Share based payments c.£1m

• Amortisation c.£2m

• Net interest c.£6m

• Effective tax rate c.25.5%

• Average basic / diluted shares c.233m / c.241m

  Cash flow

• Intangible capex nil

• Tangible capex c.£2m

  24

  
  
  

  Environmental

  Social

  • New Chief People Officer held sessions with employees to gain valuable feedback

  • Expanded social value educational and work-readiness activities alongside partners across the UK

  • Strengthened our leadership coaching programme and Women in Tech initiative

  • Ongoing support to communities through donations, fundraising events and volunteer days

  • EcoVadis silver medals (top 15 %) across both operating companies

Sustainability integral to our mission

Governance

25

Vendor awards

26