ZIGUP plc: Positive pre-close statement

Research evidence excerpt

ZIGUP plc: Positive pre-close statement

Equity Research

European Business Services

21 May 2026

ZIGUP plc

Positive pre-close statement

Cash generation inflecting as previously guided and FY26

PBT at top end of market expectations.

ZIG.L/ZIG LN OVERWEIGHT

European Business Services POSITIVEFY26 PBT is guided to be in line with our £158m estimate (top end of company consensus range

Price Target GBp 500£154m-159m), with expected leverage of 1.9x also in line with our estimates (and existing

Price (20-May-26) GBp 424guidance), indicating good EBITDA growth alongside moderating net replacement capex y/y in

Potential Upside/Downside +17.9%2H as the group is at the latter stages of its fleet replacement programme.

Source: Bloomberg, Barclays Research

Vehicle on hire growth of 4.9% is ahead of our c4.3% estimate, with momentum likely evident in

both UK & Spain, in our view. European Business Services

James Rose, CFA

'Early successes in supply chain improvements' likely references the cost saving programme is +44 (0)20 7773 0460

on track, as does the launch of the new combined Northgate Mobility brand at the start of May. james.l.rose@barclays.com

Barclays, UK

In a separate announcement, ZIGUP has announced a collaboration with Microsoft to launch AI

tools across its branch operations, customer service and central functions. Specific use cases for James Rowland Clark

+44 (0)20 7773 0872

the business could be to leverage ZIGUP's vehicle data to make more informed decisions across

james.rowlandclark@barclays.com

the business and enhance customer service. Barclays, UK

We have also recently had a site visit to a Northgate branch and a nearby FMG Repair Services Vasia Kotlida

site. The former showcased the day-to-day customer focus of branches, the importance of +44 (0)20 7773 4635