Elixirr International plc

Thank you Sunila and welcome everyone. Thank you for the time and for joining us. First of all, I just wanted to give an apology from Steve. He's got a planned medical procedure today, but he's hoping to rejoin the roadshow tomorrow. But in the meantime, myself, Graham Busby, I'm co-founder and deputy CEO. Nick Willock, CFO.

And M. Carl Lewis-Smith, a client facing partner and head of IR.

So we are very proud to announce another record set of results today. I think it's good indication that the diversification plan we've put in place over the last few years is working well. Revenues are up 25%. EBITDA is up 29%. And we've really focused on the quality of the growth and value of our work. And I think that's reflected nicely in the 31% EBITDA margins. We're seeing more and more AI demand, and we're obviously going to go into a fair bit of detail on that. I think when you look at previous tech cycles, like the mobile cycle, it's always been the infrastructure gets the value first, and then this is followed into services. And we're seeing that shift now in AI. It's an exciting time. There's been a recent study by Gartner and BCG around a $200 billion market opportunity for technology services in artificial intelligence. And we've ourselves have seen 185% uptick in revenues from the two comparative periods. So we're looking forward to eating further and further into that new demand. We're also seeing that markets moving towards senior advice and hands on tech delivery. Interesting partnership between Accenture and Google do just that a few days ago, by putting in 1000 engineer specialists, we've been building that ourselves in particularly since IPO in 2020. When you think we've got strategy, data, AI, tech, and combining that into execution, we're in an exciting place for what we're doing with our clients. And we will give you a few examples of the value that we've added in H1 this year. We're also seeing broader capabilities and deeper client relationships. Cross-sell now is over £100 million since IPO. That's working really well. Our number of gold clients are higher than they ever have been. and we're doing more and more high-value work. Looking at some of the highlights, if you like, I've spoken about the numbers. Nick's going to step through in more detail. The client relationships I mentioned, we are getting a broader and more in-depth relation with our clients. They're trusting us with more complex mandates than before and really engaging us on more capabilities than before. Looking at the numbers, We have 35 clients that on a trailing 12 month basis, we're giving us a million pounds plus in revenue. We call them gold clients. And 24 of those are actually 2 million pounds plus, and that's up 50%. So we've got some brilliant relationships with some of the best companies in the world, which we're very proud of. And that on the bottom left there has helped us really expand the cross-sell. It shows that our strategy is working. Cross-sell is up 27%. 19 million pounds versus 15. And like I mentioned, you know, 100 million pounds since IPO. And we also did the acquisition of quadrant in in the period back in January. You know, these just remind you that kind of experts in commercial transformation, go to market excellence and transact transactional services, working very closely with TRC, we're making a big impact on our combined client set. And that AI led transformation in the middle there Combining AI tech and operational expertise is a big area of the business we're really leaning into and expanding. And all of this really is giving us a lot of great recognition in the marketplace. If you look on the top right, there's just a couple of hand selected examples there. And we chose these ones because this is actually from feedback from clients and industry peers. These aren't kind of pay to play awards. So Forbes, you know, America's best management consulting firms, Also one of the world's best consulting firms and the FT again for the fourth or fifth time, putting us as one of the UK's leading management consultants. All of this isn't possible without a great leadership team and a broader team. We appointed another non-exec onto the boards in the period, and we've got four new partners. One of them through the quadrant acquisition and three from the industry really strengthening AI data and tech capability. So record financial performance, deeper client relationships, stronger capabilities, and we're continuing to invest in our platform means that we're nicely positioned for growth. And I want to just a point here, just aware of a value gap that we're doing our best part to close. If you look at this graph here, the purple line, the solid one is Elixir's revenue growth over the period. The lighter purple is share price growth. I think today that that gaps got a bit a little bit wider. But then compared to the FTSE 100 average revenue growth, which is a solid blue line, and the FTSE 100 price return, which is the lighter blue, you know, we can see that there is a big opportunity here for us to close. But quite honestly, we just wanted to say, you know, we are going to continue doing what we're doing. Our strategy is working the four pillar growth strategy, organic growth, deeper client relationships, selective programmatic M&A, sustained premium healthy margins. This is the right way to try and close that gap. But we're also doing things to target further actions. So a good example is bringing on Canaccord as a second broker in the period. And we've engaged particularly with their US investor base, I think a few that are on the call. So welcome to you. And we're really looking to strengthen those relationships. So we all believe strongly that sustained revenue, premium profitability, differentiated platform gives us a great foundation for long-term value creation. This is also actually strengthened through AI. Again, there's a big narrative in the market about the threat of AI for consultancy. For us, it actually improves our competitive model. And we've discussed some of these points previously. We are senior-led by design. AI actually amplifies the fact that we don't have a massive pyramid, especially at the junior levels. If I think about some of the big strategy firms, as an example, they have over 10,000 analysts at the bottom of the pyramid. And really, that's been years and billions of dollars in the making to get that and is being fueled each year to replace as they either leave or go up through the pyramid. AI is certainly doing work in that layer of the pyramid is taking the the sides of that pyramid and it is disrupting for us we don't have that type of pyramid we have a very um tube structure of uh organization and ai for us actually levels the playing field because it means we don't have to spend those billions and all those years creating that that asset if you like and you can see you know just looking at the security of of who we have um we're doing internal partner promotions We're doing external partner hires, and actually 30% of employees are principal level or above. So we are certainly senior led by design. And that is why we are in boardrooms talking to chief executives and their teams. Also, and I'm just going to dive into a lot of the more detail, it increases our productivity, our capacity and our speed across the business. We've rolled out the elixir AI operating system, which is some propriety agentic platform that we have. This is saving us a lot of time on projects and it is making us far more efficient and speedier in the way that we deliver. yeah I think we've now got agents covering 73% of recurring delivery activity, including project management style tasks, and that is something that we are again leaning further and further into. And that is where looking at you know the third column there. It is allowing us to get deeper and build stronger relationships with our clients by being able to do all these things that maybe we couldn't have done before. Execution Edge is also something we've launched in the period and is a big differentiator for us. And really, that's us focusing on the human systems particularly important with executing AI agendas. And it is something where, you know, Thinking about the judgment on top of AI and making sure the leadership teams understand how to responsibly use it and deploy it is a big part of it and making that successful. But it's not just an AI capability. It just happens that we are being used in that space. And that platform that we're building, it compounds the capability that we have in place. So I think at the bottom there about taking market share, this is an important point. And to kind of summarize that AI does commoditize a traditional consulting work, but it allows differentiation in the judgment expertise and execution place. And that is really where we're strongest. So we're excited about the future. And we're excited about where we're where we're going with our clients. I got hand over to Nick to give you a an overview of our financial performance.