FIH Group plc Reports Narrowed Half-Year Losses Amidst Revenue Growth and Strategic Asset Sale

FIH Group plc Releases Interim Financial Results

FIH Group plc, formerly known as Falkland Islands Holdings, has announced its unaudited interim results for the six months ending September 30, 2025. The international specialist services group reported a significant narrowing of its underlying pre-tax losses to £1.4 million, a marked improvement from the £5.9 million loss recorded in the same period of the previous year. The reported pre-tax loss for the half-year also narrowed to £2.5 million, down from £6.1 million in 2024.

Revenue for the six-month period saw a positive trend, increasing by 4% to £18.9 million, compared to £18.2 million in the corresponding period of 2024. However, it is important to note that the group's overall revenue for the full year ending March 2025 was significantly below the prior year, standing at £40.9 million compared to £52.5 million in 2024.

Divisional Performance and Operational Factors

The improved half-year revenue was primarily driven by an enhanced trading performance within the Falkland Building Services (FBS), the construction division of the Falkland Islands Company (FIC). This positive development in FBS helped offset reduced trading levels experienced by Momart, the group's art logistics and storage business. The Portsmouth Harbour Ferry Company (PHFC), which operates a passenger ferry service in the UK, maintained a consistent performance during the period.

Challenges, however, continue to persist, particularly within FIC's construction division. The previous year's performance was severely impacted by disruptions, including a lack of power on a major contract, adverse weather conditions, and staffing issues. While power was reportedly supplied to the site in September, facilitating better progress, the division has also faced a lack of tender opportunities and ongoing delays related to a contract to build 70 houses for the Falkland Islands Government and the Ministry of Defence.

Strategic Asset Sale Boosts Financial Position

A significant strategic move during the period was the successful sale and leaseback of Momart's 100,000 sq ft warehousing facilities in Leyton. This transaction, completed on September 4, 2025, generated a total cash consideration of £22.65 million. The disposal resulted in a pre-tax profit of £3.4 million and allowed for the repayment of an £11 million mortgage secured on the property. Following this sale, the group also recognized a £4.1 million impairment of Momart's goodwill and intangible assets.

The proceeds from this sale enabled the distribution of £8.8 million to shareholders via a special dividend of 70 pence per ordinary share, paid on October 31, 2025. This strategic move has contributed to a stronger cash position for the group, with cash balances reaching £16.2 million as of September 30, 2025, up from £8.5 million in the prior year.