'This was an excellent six months': Revenue surges 37% at Northern Ireland IT firm to £268.8m

Belfast-headquartered IT provider Kainos Group plc has reported strong interim results, with increased profits and a significant rise in revenue.

The listed business operates across three divisions: Digital Services, Workday Services and Workday Products.

In the six months to September 30, revenue at Kainos increased by 37% to £268.8m, while adjusted pre-tax profit grew by 30% to £41.7m.

Adjusted profit margin remained broadly unchanged at 16%.

In its review of the six-month period, Kainos said strong sales momentum was driven by the award of several large, multi-year contracts, most notably in Digital Services.

This momentum helped deliver a “significant step-up” in bookings and contracted backlog, providing greater visibility of future revenue.

Digital Services recorded an excellent six months, with revenue growth driven by significant contract wins during both the previous financial year and the period under review.

Workday Products remained firmly on track to achieve Kainos’ annual recurring revenue (ARR) targets of £100m by the end of 2026 and £200m by the end of 2030.

Workday Services also achieved good revenue growth, driven by North America and newer markets.

Following its strong recent performance, Kainos expects further growth in revenue and adjusted profit before tax in the second half of FY27, in line with current market expectations.

CEO Brendan Mooney said: “This was an excellent six months for Kainos, building on our strong performance last year.

“Technology is central to the UK Government’s plans to transform public services and this is reflected in the outstanding growth in Digital Services, particularly across our public sector and healthcare clients.

“Industry data shows that we were one of the largest winners of Government digital contracts in the period, showing that we are one of the most-trusted suppliers to the UK Government and have a strong track record of delivering value.”

He added: “Workday Products reached £96m of annual recurring revenue at September 30, 2026 and will pass our initial target of £100m by the end of 2026.

“This is a significant achievement, with its ARR having nearly tripled since we set the target in May 2022. It remains firmly on track to achieve £200m of ARR by the end of 2030.

“Workday Services had a good first half, with revenue growth driven by North America and our newer regions such as Australia. This reflects our focus on larger and more complex deployments, which play to our strengths.

“As always, I want to thank our customers for the trust they place in us and our people for their hard work and dedication. We look forward with confidence to the remainder of FY27.”