'A positive year with excellent revenue growth': Northern Ireland tech firm reports double-digit growth with 17% rise in revenue to £431.1m
Belfsat’s Kainos Group reported full-year revenue growth and profit ahead of expectations, driven by major contract wins across its Digital, Workday Services and Workday Products divisions despite rising delivery costs
Belfast-headquartered provider of IT services and developer of software applications Kainos Group has reported strong revenue growth in its full-year results, with profit slightly ahead of expectations despite rising delivery and staffing costs.
For the year ended March 31 2026, revenue at Kainos - which operates three core divisions, including Digital Services, Workday Services, and Workday Products - increased by 17% to £431.1m.
Adjusted pre-tax profit rose 2% to £67.1m, with the company maintaining an adjusted profit margin of 16% over the period.
Following a series of large contract awards during the year, Kainos said it significantly increased the use of contractors and third-party suppliers to support growth and provide delivery capacity.
Contractor costs increased to £18.5m, up from £4.5m, while third-party supplier costs increased to £30.1m from £14.7m, including both short-term capacity support and strategic supplier arrangements.
The period also included the first full year of investment in Kainos's Built on Workday partnership, together with higher employee costs relating to increased National Insurance contributions and elevated bonus payments reflecting stronger business performance.
Kainos chief executive Brendan Mooney said: "This was a positive year for Kainos, with excellent revenue growth. Our strong customer relationships and significant contracted backlog position us well for further progress in the year ahead.
"Workday Products remains a key growth driver. We are on track to surpass £100m of ARR by the end of 2026 and reach £200m of ARR by 2030.
"Our investment in product development is delivering results and we have further strengthened our relationship with Workday through our exclusive arrangement for it to resell our new Pay Transparency product to its customers."
Mooney added: "Technology remains the cornerstone of the UK Government's plans to make public services better, more efficient and easier to access.
"Our major contract wins in the year reflect our expertise and track record in the public and healthcare sectors. We are also excited about the potential in North America, bolstered by the addition of Davis Pier in Canada.
"Workday Services has regained momentum, as we have focused on the more complex deployments where we have deep expertise and can add real value for customers.
"We delivered strong growth in North America, a stable performance in Europe and continued to expand in our other international markets.
"Our achievements are based on enduring customer relationships and our engaged and talented workforce. We are grateful for our customers' continued trust in us and our colleagues' dedication and energy."