Manchester-based Software Circle has seen revenue increase by 22% to £22.3m (2025: £18.3m) over the last 12 months.
£4.2m of that increase in revenue comes through acquisitions, including Artificial Intelligent Finance Ltd and Broker Information Services Ltd,
The group’s recurring revenues (2026: £16.8m, 2025: £12.7m) and profits were also up, with its adjusted EBITDA hitting £5.8m (£3.2m).
Software Circle was set up with a mission to be a “leading serial acquirer and operator of Vertical Market Software businesses” in the UK and Ireland.
As Chair, Matthias Riechert explained:
“There are thousands of vertical market software businesses serving specialised customer groups. Many are excellent businesses, often built by founders and small teams with deep industry expertise. Through our conversations with founders, we increasingly hear that many like the idea of becoming part of a larger organisation. They want a permanent home that allows them to retain their identity and autonomy whilst benefiting from the support, resources and shared experience of a bigger group.
“This has become even more evident with the rapid development of AI. The pace of technological change is accelerating. Founders and small teams need to learn new technologies, retrain employees, rethink products and adapt faster than ever before. For many, this creates both pressure and opportunity.
“This is where Software Circle can make a difference. Bringing businesses together allows us to share knowledge, build specialist expertise, particularly around AI, and create a community where leaders learn from one another. Our aim is not to centralise decision-making, but to help exceptional teams navigate an increasingly complex world whilst remaining close to their customers.”
Looking to the future, he added “we are now at a stage where the flywheel is starting to turn. As the Group grows, acquisitions will be able to be funded entirely through cash flow and debt […]
“Looking 10 to 20 years ahead, success will not be defined by the number of acquisitions we complete or the size of the Group. Success will mean that Software Circle has become a recognised and trusted home for vertical market software businesses. A place that founders actively seek out because they know their teams, customers and products will continue to thrive. When founders start calling us, we will know that we have created a durable competitive advantage over other acquirers in our industry.”
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Gavin Cockerill, Chief Executive Officer added:
“Of course, no CEO statement would be complete without addressing the topic that has found its way into every boardroom, investor discussion and dinner table conversation: AI.
“AI has become one of those rare topics, perhaps rivalled only by football in a World Cup year, where everyone has a view, no one has all the answers, and the commentary seems to change by the week. For us, the task has been to look past the noise and focus on execution. How AI can solve real problems, improve the way our customers work and unlock meaningful value.”
Cockerill continued that AI risk and opportunity were now “embedded” into mergers & acquisitions due diligence for “every target we evaluate.”
“If we dismiss AI and underestimate the change, we may not get the chance to recover. If we prepare for AI and overestimate the change, we still build a stronger business.”
CFO Iain Brown said the new financial year had begun with “real momentum” with a “healthy” pipeline of potential M&A targets.
