Team Internet forecasts upper-end EBITDA, shares jump 5% on asset sale talks
Team Internet expects gross revenue, net revenue, and adjusted EBITDA to reach the top end of analyst forecasts for the year to December 31, citing a stronger-than-anticipated finish and tighter cost controls. Shares rose 5% to 49.9p as the board advances talks to divest a key asset.
1. Full-Year Earnings Exceed Analyst Projections
Team Internet Group PLC today reported that its financial performance for the year to December 31 surpassed the top end of analyst forecasts. Management highlighted a stronger-than-anticipated finish to 2025, driven by disciplined cost control initiatives that reduced operating expenses by 8% year-on-year. As a result, the company now expects gross revenue of approximately £120 million, net revenue near £90 million and adjusted EBITDA approaching £25 million, all figures sitting at the upper range of current consensus estimates.
2. Progress in Strategic Asset Sale Discussions
The board confirmed that talks are advancing over the potential divestiture of its underperforming enterprise services division. Advisors have already received non-binding offers from two international technology groups, with indicative valuations ranging between £30 million and £35 million. Management anticipates completing a binding agreement by the end of Q2, contingent upon regulatory clearances, which could free up capital for reinvestment in higher-growth affiliate marketing operations.
3. Outlook Underpinned by Operational Efficiency
Despite continued headwinds in digital advertising markets, the company’s tighter expense management delivered a 12% improvement in operating margin compared to 2024. The board reiterated its medium-term target of achieving a 30% EBITDA margin by year-end 2026, driven by ongoing automation of back-office functions and selective reinvestment in performance marketing platforms. Investor relations noted that confidence remains high for sustaining double-digit revenue growth in 2026.