Altitude Group (ALT) , a provider of technology and SaaS services for the promotional products, print, and apparel sectors, announced its final results for the year ended March 31, 2025 (FY25). The group's accounts were presented in USD for the first time as more than 3/4th of its revenues were earned in USD during the year.
Altitude's total revenues jumped by 23.5% to $37.3m, up from $30.2m in FY24. Gross profit increased by 8.6% to $14.2m and adjusted operating profit grew by 20.7% to $3.7m. Basic EPS surged by 32.3% to 1.64c from 1.24c LY while adjusted basic EPS increased by 10.9% to 2.24c. Regionally, the US delivered adjusted operating profit growth of 11.7% to $5.4m.
The group ended the period with $0.7m in the bank, down from $1.5m in FY24 following significant investment in its technology. Altitude is currently securing an increase in its total financing facilities to support working capital and expected significant growth in its Merchanting division. The current facility is $3m and was undrawn at year-end.
Current trading is in line with expectations, as the group targets profitable and cash generative growth in FY26.
Alexander Brennan, Executive Chairman, commenting: "Current trading remains in line with expectations, and the Board is excited by the opportunity ahead for the Group. Altitude has a clear focus on profitable growth in FY26, empowered by a motivated and knowledgeable senior leadership team that have the skills determination and dedication to deliver long term sustainable value for shareholders. With a disciplined approach to capital allocation, we are confident of translating our innovative market leading technology into substantial shareholder value."
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Altitude marks another record year, reporting double-digit growth while the broader promotional products industry grew by c. 2%. ALT invested significantly in its Merchanting division, which was the main growth driver for the year as the company continued to gain market share in the space, particularly in the US.
Notably, Altitude's collegiate gear shop platform UGS continued to expand, with 9 contracts onboarding in summer 2024, and continuing to have a solid pipeline of opportunities into FY26. UGS has 29 university programs across 46 campus locations, with an estimated total lifetime contract value of c. $83m from $45m LY, and annualised average expected revenues of $17m.
Meanwhile, Altitude's AIM Capital Solutions (ACS) business continued to add significant revenue, with annualised expected revenue growth of 22% to $22m from $18m LY, mainly driven by increased recruitment. The AIM Services division remained the group's cash generator, delivering a strong 87.6% gross margin while US AIM membership held steady at 2,283 distributors.
ALT ended the year at the higher end of market guidance issued March 31, 2025 for revenue and adjusted operating profit. The group delivered adjusted operating profit broadly in line with market expectations, as it continues to trade in line with expectations and remains on track for another year of profitable growth, with a strong focus on margin accretion and cash generation. ALT is also in the process of expanding its $3m credit facility (still undrawn) to support further investment in technology, particularly AI.
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