Bytes Technology Group PLC: Reassuring AGM statement

Research evidence excerpt

Bytes Technology Group PLC: Reassuring AGM statement

Deutsche Bank Group

Deutsche Numis Research

Rating Company Date

Hold Bytes Technology 9 July 2026

Recommendation

Europe Group PLC Change United Kingdom

Reuters Bloomberg Exchange Ticker Price at 8 Jul 2026 (GBP) 394.00

BYIT.L BYIT LN LSE BYIT

Price Target (GBP) 410.00

Technology

427.20 -

IT Software & Services 52-week range (GBP) 253.60

Reassuring AGM statement

Valuation & Risks

Tintin Stormont

In-line AGM statement Research Analyst

Bytes has traded well during the first four months of the financial year, delivering +44-020-7541-1558

double-digit year-on-year growth in gross invoiced income and gross profit across

both the private and public sectors, and operating profit broadly flat year-on-year. Key changes

The group is pleased with progress to date, which is consistent with the outlook 390.00 to

Target Price ↑ 5.1%

provided in our full-year results announcement. As a reminder, the group's outlook 410.00

for FY27 is for a further acceleration to high-single-digit to low-double-digit Rating Buy to Hold ↓

percentage growth in gross profit with operating profit expected to be broadly flat. Source: Deutsche Bank

The flat guidance on operating profit reflects c.£4.5m of cost normalisation

Price/price relative

comprising higher technology costs following the completion of strategic projects

(some developer salaries that were previously capitalised now come back to the 750

P&L + associated amortisation) and a return to normal bonus levels. 500

DD GP growth in both Public and Private sectors 0

2024 2025 2026

We note the double-digit growth in gross invoiced income and gross profit across

both the private and public sectors, as this shows a good recovery on the private Bytes Technology Gro – (Rebased)

sector side.