Made Tech increased annual revenue by 26.8% and adjusted EBITDA by 69% as the public-sector technology supplier entered its new financial year with a larger contracted backlog following its biggest contract win to date.
Made Tech reported revenue of £58.9m for the year ended 31 May 2026, compared with £46.4m a year earlier. Adjusted EBITDA increased to £5.9m from £3.5m, taking the adjusted margin to 10% from 7.5%.
Profit before tax rose to £4.7m from £2m. The company ended the period with £14.5m of cash and no debt, compared with £10.4m of cash at the end of the previous financial year.
The results contain a more mixed picture on new business. Sales bookings fell to £50.7m from an unusually strong £81.3m in FY2025, while contracted backlog at the May year-end declined to £83.5m from £93.4m.
That position changed after year-end. A record £40m contract award helped lift backlog to approximately £115m by 31 July, increasing revenue visibility and contributing to Made Tech’s decision in August to upgrade expectations for FY2027.
Chief executive Rory MacDonald said the increase in revenue, profitability, and cash “demonstrates the operating leverage in the business as we continue to scale”.
The company specialises in digital, data, cloud, and technology work for public-sector customers. Demand is supported by the need to modernise legacy systems and improve digital services, but revenue is also exposed to departmental budgets, procurement cycles, contract timing, and competition from significantly larger technology and consulting groups.
Public-sector technology procurement is expanding through large frameworks and individual transformation programmes. That creates opportunities for mid-market suppliers able to demonstrate specialist capability, but inclusion on a framework does not itself guarantee work. Suppliers still have to win individual competitions and deliver projects within demanding commercial and public-accountability requirements.
Artificial intelligence is becoming a larger part of Made Tech’s strategy. Management wants to progress from being AI-enabled towards an AI-first operating model, examining how the technology can change products, service delivery, and internal operations while retaining appropriate human oversight.
Public-sector adoption carries additional requirements because systems may involve sensitive citizen information, statutory decisions, accessibility obligations, security standards, and higher expectations of transparency. Suppliers therefore have to combine technical capability with governance, testing, documentation, and assurance.
AI may also change the economics of professional technology services. Automation can reduce the time required for some coding, testing, research, and administrative tasks, but customers are likely to expect part of the productivity gain to appear in faster delivery or lower costs. Providers therefore need to convert internal efficiency into improved margins without weakening pricing power.
Made Tech’s gross margin fell to 30.4% from 32%, showing that strong top-line growth does not improve every profitability measure automatically. The increase in adjusted EBITDA indicates better operating leverage at group level, but delivery mix, utilisation, subcontracting, and pricing continue to influence project economics.
The enlarged backlog gives the company stronger visibility entering FY2027. Large awards can also create concentration and delivery risk if a business becomes dependent on a limited number of programmes or has to scale teams rapidly to meet implementation timetables.
Management expects the first half of FY2027 to produce its strongest booking performance to date. The next test is whether the company can turn its larger backlog into profitable revenue while maintaining cash generation, delivery quality, and sufficient new bookings to sustain growth after the current major contracts move through the order book.
You must be logged in to post a comment.