NCC Group has reported annual revenue of around £294 million for the year, a decline of about 2.5%, as growth in its software escrow business was offset by weaker performance in cybersecurity.
The Escode division grew by around 2% to £66.5m, while cybersecurity revenue fell 4% to £227m.
The Manchester-based cybersecurity and software escrow firm said performance improved through the second half of the year, with Escode revenue rising 2.5% compared with the first half, while the decline in cyber security narrowed to 1.5% from 6.3%.
Gross margins increased to 44.5%, up from 43.9% a year earlier, as operational discipline and cost control helped offset the revenue dip.
Escode achieved a margin of 71%, while cyber security stood at 36.5%.
Adjusted EBITDA is expected to come in at around £43.5m, in line with expectations, and the group ended the year with net cash of about £13m.
The listed firm, which was eyeing potential acquisitions in June, said it remains in the process of reviewing options for its Escode business, including a potential sale.
Regardless of the outcome, the company plans to launch an initial share buyback programme after publishing its audited results on 11 December 2025.
Despite the drop in revenue, the company has seen its share price rise by over 2% today to 147.6p.
The business currently has a market cap of £464m and employs around 2,200 staff globally.