Bytes upgrades annual outlook after strong first-half gross-profit growth

Bytes ($BYIT) Technology Group raised its fiscal 2027 expectations after trading ahead of plan in the first half. Gross invoiced income is estimated to have increased 19%, gross profit 18%, and operating profit 6%. Management now expects full-year gross-profit growth in the low-to-mid teens and operating-profit growth in the low-to-mid single digits.

Higher technology spending and a return to more normal bonus levels explain why operating profit grew more slowly than gross profit. The company ended the half with approximately £68 million of net cash after returning £41.3 million through dividends and share repurchases. Cash conversion improved to about 45% from 34%. These are preliminary trading estimates ahead of detailed interim results; gross invoiced income is not the same measure as reported revenue.

Sources:

• Bytes Technology Group — trading update, RNS