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DSW Capital Surpasses FY25 Forecasts with Strong M&A Performance

Story Highlights
  • DSW Capital’s FY25 revenue and EBITDA exceeded forecasts due to strong M&A activity.
  • The acquisition of DR Solicitors reduced reliance on M&A and balanced DSW’s business model.
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DSW Capital Surpasses FY25 Forecasts with Strong M&A Performance

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DSW Capital Plc ( (GB:DSW) ) has shared an announcement.

DSW Capital has announced a significant upgrade to its FY25 guidance, driven by exceptional M&A performance and the acquisition of DR Solicitors. The company’s FY25 revenue and Adjusted EBITDA have surpassed market forecasts, with network revenue expected to rise by 61% to £25.8m and Adjusted EBITDA nearly tripling to £1.76m. The acquisition of DR Solicitors has strengthened DSW’s legal platform, contributing to a more balanced business model with reduced reliance on M&A revenues. The company is optimistic about future growth, despite potential market disruptions, and plans to continue diversifying and expanding its services.

Spark’s Take on GB:DSW Stock

According to Spark, TipRanks’ AI Analyst, GB:DSW is a Neutral.

DSW Capital Plc’s stock score reflects a strong balance sheet but is weighed down by declining financial performance and negative technical indicators. The company’s low leverage and high equity ratio provide stability, but challenges in profitability and cash flow raise concerns. The high P/E ratio suggests potential overvaluation unless earnings improve. The technical indicators show bearish momentum, which further impacts the stock’s attractiveness.

To see Spark’s full report on GB:DSW stock, click here.

More about DSW Capital Plc

DSW Capital is a profitable, mid-market, challenger professional services network that owns the Dow Schofield Watts and DR Solicitors brands. Established in 2002 by three KPMG alumni, it disrupts the traditional accounting professional services model through a licensing arrangement. The company operates over 130 fee earners across 12 UK offices, offering a cash-generative business model and scalable platform for growth. DSW Capital aims to become a sought-after destination for entrepreneurial professionals, providing autonomy and flexibility through its network.

Average Trading Volume: 23,524

Technical Sentiment Signal: Sell

Current Market Cap: £12.31M

Learn more about DSW stock on TipRanks’ Stock Analysis page.

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