Core Insights - Connecting Excellence Group PLC reported strong interim results for the period ended 31 December 2025, highlighting a successful IPO and growth in net fee income driven by higher-value placements [1][4][10] Financial Highlights - Group revenue/net fee income for the period reached £1.21 million, with net fee income increasing by 20.3% to £0.89 million from 1 July 2025 to 31 December 2025 [2][10] - The average fee per placement rose by 12.7%, reflecting the Group's strategic focus on higher-value executive mandates [2][10] - Group gross profit for the period was £0.78 million, while the Group reported an EBITDA loss of £54,000 and an operating loss of £59,000, which included exceptional IPO costs of £806,800 [2][10] - The Group's cash balance at the end of the period was £1.40 million, with Bitcoin treasury holdings valued at £2.62 million, consisting of 40.36 BTC [2][10] Strategic and Operational Highlights - The company raised £1.5 million in pre-IPO funding and successfully completed its IPO in December 2025, raising £3.3 million gross [2][10] - Continued development of the Spencer Riley recruitment platform, focusing on high-growth sectors such as engineering, logistics, life sciences, and technology [2][10] - Launched a dedicated Bitcoin executive recruitment division to support talent placement within Bitcoin-native companies and traditional businesses seeking Bitcoin expertise [2][10] Bitcoin Treasury Strategy - The company acquired 31.08 BTC at an average price of £66,596, adding to the 9.28 BTC held prior to the IPO, and launched the XCE BTC Bond to grow its Bitcoin treasury [3][11][12] - As of the announcement date, the company holds a total of 52.42 BTC in its treasury, including 10 BTC related to the 2026 Bitcoin-denominated convertible bond program [3][13] Post-Period Performance - The company achieved its highest monthly net fee income to date in January 2026, generating £0.25 million, indicating strong demand for senior executive placements [3][13] - Further Bitcoin acquisitions were made using IPO funds and free cash flow, with an additional 2.06 BTC acquired at an average price of £63,168 [3][13] Market Position and Future Outlook - The company is focused on driving recruitment revenue growth and developing its Bitcoin executive recruitment division, leveraging innovative structures like the XCE BTC Bond [5][6][15] - The Board is exploring strategic acquisitions within the executive recruitment sector and aims to align performance-based incentives with shareholder value [6][15]

Core Viewpoint - Connecting Excellence Group Plc has demonstrated strong growth in its executive recruitment business, with a notable increase in net fee income and average fees per placement, indicating positive momentum following its IPO in December [1][2]. Group 1: Financial Performance - The company reported a 20.3% year-on-year increase in net fee income for the first half of the year [1]. - Average fee per placement rose by 12.7%, reflecting a strategic focus on higher-value mandates [1]. - The company achieved its best January on record with £0.25 million in net fee income following the reporting period [2]. Group 2: Strategic Initiatives - The successful IPO raised £3.3 million gross, which has strengthened the company's balance sheet and supported its Bitcoin treasury strategy [2][3]. - Since the IPO, the company has purchased 33.15 BTC for £2.2 million, utilizing both IPO proceeds and £64,000 from free cash flow [3]. - The company now holds a total of 52.42 BTC in treasury, including 9.27 BTC acquired prior to the IPO [3].

Core Viewpoint - Connecting Excellence Group Plc reported a significant increase in net fee income for the first half of 2026, indicating strong operational performance and growth in the executive recruitment sector [1] Financial Performance - The company generated net fee income of £0.89 million for the six-month period ended 31 December 2025, representing a 20.3% increase compared to £0.74 million in the same period of the previous year [1] - The average fee per placement increased by 12.7%, contributing to the overall growth in net fee income [1]

Core Business Overview - Connecting Excellence Group Plc operates as an international executive recruitment firm, placing senior-level professionals across various sectors including consulting, logistics, engineering, and technology [2][4] - A significant portion of the company's revenue is derived from US clients and candidates, with placements including US sales directors and UK managing directors [2][5] Bitcoin Treasury Strategy - The company began acquiring Bitcoin with surplus cash flows in 2021 during a period of price weakness, with revenues increasing at more than 30% compound annual growth during that time [3] - The company aims to accumulate Bitcoin to reach a target of 1,000 Bitcoin when beneficial to shareholders, indicating a long-term thesis that Bitcoin's value will increase over the next 5 to 20 years [3][4] Market Position and Future Plans - Connecting Excellence Group Plc has started trading on the OTCQB to broaden access to US investors, with around 30% of revenue already generated in the US [3] - The company is preparing for potential capital raising and increasing Bitcoin per share, alongside strategic hiring and a possible main market listing [4]

Core Insights - Connecting Excellence Group Plc operates as an international executive recruitment firm, focusing on placing senior-level professionals across various sectors including consulting, logistics, engineering, and technology [1] - The company has adopted a disciplined Bitcoin treasury strategy, beginning to acquire Bitcoin with surplus cash flows since 2021, during a period of price weakness [2] Company Overview - The majority of revenue is derived from US clients and candidates, with placements including US sales directors and UK managing directors [1] - The company has experienced over 30% compound annual growth in revenues, allowing for Bitcoin accumulation while maintaining an operating business that is uncorrelated to Bitcoin [2] Strategic Initiatives - A capital markets-focused board has been established to support the company's entry into public markets, with expertise in digital assets and pension funds [2] - The company aims to accumulate 1,000 Bitcoin when beneficial to shareholders and is preparing for a potential main market listing [3] Market Engagement - Connecting Excellence joined the OTCQB to enhance access to US investors, with around 30% of revenue already generated in the US [2] - The company is actively engaging with institutions for capital raising and increasing Bitcoin per share [2]

Market Overview - Major U.S. indexes have experienced significant volatility in 2024, with the S&P 500, Dow Jones Industrial Average, and Nasdaq Composite declining by 6.12%, 4.07%, and 10.40% year-to-date, respectively [1] - Investor concerns are heightened due to potential trade wars, government shutdowns, and recession fears, influenced by President Trump's fiscal, trade, and immigration policies [1] Economic Indicators - The Consumer Price Index (CPI) rose by 0.2% in February, following a 0.5% increase in January, with an annual CPI drop of 2.8% from 3% in January [2] - Trump's tariffs have raised inflation fears and concerns about economic growth, impacting expectations for Federal Reserve interest rate cuts, which are currently between 4.25% and 4.50% [2] - The labor market remains stable, but immigration policies and layoffs threaten its stability [2] Investment Opportunities - In a volatile market, dividend-paying stocks are recommended for portfolio diversification, with notable companies including Toll Brothers, DICK'S Sporting Goods, KornFerry International, Banco Santander, and Applied Materials [3] Company Profiles Toll Brothers - Toll Brothers specializes in building various residential communities and has a Zacks Rank of 3 (Hold) [4] - The company declared a dividend of 25 cents per share, with a dividend yield of 0.9%, and has increased its dividend five times over the past five years, with a payout ratio of 7% [5] DICK'S Sporting Goods - DICK'S Sporting Goods is a major omni-channel retailer for sporting goods, holding a Zacks Rank of 3 [6] - The company announced a dividend of $1.21 per share, yielding 2.3%, and has raised its dividend seven times in the last five years, with a payout ratio of 31% [7] KornFerry International - KornFerry is a leading executive recruitment firm with a Zacks Rank of 2 (Buy) [8] - The company declared a dividend of 48 cents per share, yielding 2.2%, and has increased its dividend six times over the past five years, with a payout ratio of 31% [9] Banco Santander - Banco Santander is the largest bank in Spain, currently holding a Zacks Rank of 3 [11] - The bank declared a dividend of 8 cents per share, yielding 2.4%, and has increased its dividend seven times in the last five years, with a payout ratio of 19% [12] Applied Materials - Applied Materials is a major supplier of semiconductor fabrication equipment, with a Zacks Rank of 3 [13] - The company announced a dividend of 46 cents per share, yielding 1.1%, and has increased its dividend six times over the past five years, with a payout ratio of 18% [14]