GB Group said its core Location and Identity businesses grew revenue by 4.5% in constant currency during the first half of its financial year, while weaker performance elsewhere limited group growth to 1.4%.
The identity and location data company issued its pre-close statement on 20 October 2026 for the six months ended 30 September, forecasting group revenue of approximately £139.5 million.
Location and Identity together represent about 95% of the group’s revenue. Their performance therefore provides a measure of underlying demand across the main commercial activities, but differs from the consolidated result once other products and currency effects are considered.
The Location division reported 8.9% revenue growth in constant currency, with GB Group attributing the increase to enterprise channel partnerships and performance in the Asia-Pacific region.
Identity revenue increased 2.4%, reflecting strong growth outside the Americas and demand from financial services and gaming customers in Europe, the Middle East and Africa.
The company also pointed to increasing customer volumes for GBG Go, part of its digital onboarding and identity services. Reported product adoption should not be equated with an independently measured improvement in customers’ operating performance.
Performance within Americas Identity was more difficult, with attrition among a small number of significant direct customers affecting the division. The company had previously identified that weakness, and the October figures include the resulting divergence between regions.
Global Fraud Solutions, which is outside the two principal core segments, also performed below earlier expectations. That weakness helps explain why the group’s total constant-currency growth was considerably lower than the combined rate for Location and Identity.
GB Group expects adjusted operating profit of about £27 million for the first half, against £29.5 million a year earlier, reflecting expenditure on product development and changes to the business.
The trading update also referred to exceptional transformation expenditure and an expected non-cash goodwill impairment associated with Americas Identity. A goodwill impairment is an accounting charge rather than an immediate cash operating expense.
The company maintained its full-year guidance, which anticipates revenue growth within the previously indicated range and adjusted operating profit in line with market expectations.
Constant currency comparisons seek to remove movements arising from exchange rate translation. GB Group reported both core and group growth on that basis, so the rates should not be presented as nominal sterling increases without qualification.
Location and Identity together accounted for approximately 95% of sales, but weakness in other activities and costs altered the consolidated earnings picture. The group’s pre-close estimates do not provide the complete divisional profit disclosure expected in the interim accounts.
GBG Go is part of the company’s onboarding proposition. Management cited customer volume development, while also recognising attrition within parts of Americas Identity. The two developments can occur in different regional customer groups.
The non-cash goodwill charge relates to an accounting reassessment of an acquired business. Its existence does not mean that GB Group incurred a corresponding immediate cash payment during the six-month trading period.
The unchanged full-year outlook provides management’s latest expectation, but the forthcoming interim report will still be required to confirm accounting adjustments and the precise comparison with previous-period profit.
The company’s guidance separates first-half performance from its full-year expectations. The latter can remain unchanged even where an interim charge is expected, particularly when the charge is non-cash or excluded from an adjusted operating profit measure.
Exchange rates may affect the eventual reported sterling growth comparison.
The next report will also clarify the effect of investment in GBG Go and restructuring expenditure on adjusted earnings. Revenue growth in a product segment is not necessarily matched by a proportionate rise in operating profit.
The forthcoming interim results will provide more detail on divisional trading, costs and the accounting adjustments. The October update shows momentum in the core business alongside specific pressures that have held back group earnings.
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