S4 Capital Cuts 2026 Revenue Outlook; EBITDA Margin Expected to Rise
Third-quarter net revenue fell 6.4% to £156.3 million on a reported basis and 7.3% like-for-like. S4 Capital now expects 2026 like-for-like revenue to decline by high-single digits, while operational EBITDA remains forecast at the £85 million analyst consensus and margin is expected to rise at least 160 basis points to 13.7%. The company also repurchased €50.9 million of Term Loan B, reducing the outstanding balance to €198.8 million.
S4 Capital plc reported third-quarter net revenue of £156.3 million, representing a 6.4% decrease on a reported basis and 7.3% like-for-like. For the first nine months of the year, net revenue reached £464.3 million, down 6.2% reported and 5.6% like-for-like. The company updated its 2026 guidance, now expecting like-for-like net revenue to be marginally below previous expectations at down high-single digits. Operational EBITDA is projected to remain at the analyst consensus level of £85 million, with the operational EBITDA margin expected to increase by at least 160 basis points to 13.7%.
Additionally, the company reported net debt of £76.0 million and announced the repurchase of a further €50.9 million of its Term Loan B, reducing the outstanding balance to €198.8 million.