REG - Newmark Security PLC - Trading Update and Response to Shareholder Letter

Newmark SecurityAnnouncement

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RNS Number : 6064C  Newmark Security PLC  08 October 2025

8 October 2025

 

Newmark Security plc

("Newmark", the "Company" or the "Group")

 

Trading Update and Response to Shareholder Letter

 

 

Newmark Security plc (AIM: NWT), a leading provider of electronic and physical
security systems, notes the open letter published today by Thalassa Holdings
Ltd. ("Thalassa"), a 21.3% shareholder in the Company. The Board is providing
a response to the letter and an update on the Company's current trading and
progress with its corporate strategy.

 

Commenting on the Company's progress, Marie-Claire Dwek, CEO, said: "Our
growth strategy is delivering for our shareholders and this is evident in the
momentum building within our core business. With revenue and profit weighted
to the second half, we are excited by the current outlook.

 

"We welcome meaningful input from shareholders as we shape Newmark for future
success."

 

Trading update

 

The Company has made a good start to the current financial year, reflecting
the successful execution of its strategy, and it expects to report strong
revenue growth for the six months to 31 October 2025 (H1 2026), with a
positive impact on profitability. As in previous years, the Company expects
performance to be weighted to the second half of the year.

 

Strong commercial momentum has continued at Grosvenor, the Group's people and
data management business, with Human Capital Management's ("HCM") annualised
recurring revenue* (ARR) up 36% year-on-year as of Sept 2025 to £3.8 million
(Sept 2024: £2.8 million). Significant commercial advancements have also been
made with HCM's direct-to-end-user (D2E) strategy in North America, with the
sales order book now building. The recent launch of the new GT Tablet, the
Group's workforce management solution, is also garnering strong customer
interest, and first orders are being placed.

 

Safetell, the Group's physical security business, has rebounded from a series
of delayed installation contracts last year. Some of these contracts have been
fulfilled during the current first half, with others expected to be completed
during the remainder of the financial year, whilst service and maintenance
revenues are also growing.

 

As previously announced, earlier in the year, the Board initiated a strategic
review of Safetell. The Board is seeking to deliver improved shareholder value
in accordance with the future direction of the Group, with HCM now Newmark's
primary growth engine. The Board can confirm that the strategic review is
progressing well, with a cost reduction programme already underway and further
savings to be realised. Access Control's ongoing strategy has also been under
review, which includes a future product development programme to unlock new
growth opportunities.

 

Response to Shareholder Letter

 

The Board of Newmark notes the open letter published today from Thalassa, a
shareholder in the Company.

 

The Board welcomes feedback from all its shareholders as its primary objective
is to grow and deliver shareholder value. Whilst the Board does not accept a
number of the claims put forward in the open letter, it continues to offer the
opportunity to meet shareholders for constructive discussions.

 

The Company would also like to highlight that it has been looking to reshape
the Board's composition, which includes the addition of at least one new,
independent non-executive director, and further updates will be made in due
course.

 

In line with previous years, the Company will release an AGM statement on the
morning of 23 October 2025, which will provide a summary of its operational
performance for the fiscal year to date.

 

*ARR is calculated by annualising revenue recognised in a given month from all
clients on deployed HCM subscription contracts

 

ENDS

 

 

 

 Newmark Security plc                                          Tel: +44 (0) 20 7355 0070

 Marie-Claire Dwek, Chief Executive Officer                    www.newmarksecurity.com (http://www.newmarksecurity.com/)

 Paul Campbell-White, Chief Financial Officer

 Allenby Capital Limited                                       Tel: +44 (0) 20 3328 5656

 (Nominated Adviser and Broker)

 James Reeve (Corporate Finance)

 Amrit Nahal, Kelly Gardiner (Sales & Corporate Broking)
 Yellow Jersey PR                                              Tel: +44 (0) 7747 788 221

 Charles Goodwin

 

About Newmark Security plc

 

Newmark is a leading provider of electronic, software and physical security
systems that helps organisations protect human capital and provide safe spaces
seamlessly and securely.

 

From our locations in the UK and US, we operate through subsidiary businesses
positioned in specialist, high-growth markets.

 

We foster an open and inclusive work environment amongst our c.100 employees,
serving hundreds of blue-chip customers.

 

Our product portfolio consists of Human Capital Management and Access Control
Systems providing both hardware and software and Physical security
installations to various sectors.

 

Newmark Security plc is admitted to trading on AIM (AIM:NWT).

 

For more information, please visit: www.newmarksecurity.com
(https://newmarksecurity.com/)

 

Safe. Seamless. Secure

 

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