# Newmark Security Profit Rises 20% on Strong North American HCM Growth

- URL: https://stocks.freetheai.org/news/newmark-security-profit-rises-20-on-strong-north-american-hcm-growth-c86d6e
- Published: 2026-10-15T06:00:07Z
- Category: earnings; sentiment: mixed; impact: medium
- Symbols: [LSE:NWT](https://stocks.freetheai.org/symbols/LSE-NWT)
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Newmark Security plc (LSE:NWT) reported a 20% increase in full-year profit after tax to £1.3 million for the year ended 30 April 2026. Group revenue grew 15% to £26.4 million, propelled by a 27% increase in Human Capital Management revenue to £19.5 million. Growth was especially strong in North America, where division sales rose 43% to £14.1 million.

The shift toward software and recurring service subscriptions is transforming the business as it narrows its corporate focus. Monthly subscriptions more than doubled to 97,000, while continuing operations earnings before interest, tax, depreciation, and amortisation rose 19% to £3.5 million. However, net debt excluding leases climbed to £4.8 million from £2.1 million, driven by working capital demands, inventory builds, and late-year sales timing.

Investors should monitor the execution of the strategic reorganization into a dedicated workforce management provider. The firm completed the sale of its physical security installer Safetell on 30 September 2026 and has formally started the sale process for its Access Control division to focus resources entirely on expanding its core division.

## Key points

- Full-year profit after tax increased 20% to £1.3 million, with revenue rising 15% to £26.4 million.
- Human Capital Management revenue jumped 27% to £19.5 million, led by a 43% surge in North America.
- Net debt excluding leases expanded to £4.8 million from £2.1 million due to inventory and timing factors.
- The company completed the sale of Safetell in September 2026 and began selling its Access Control division.

## Questions and answers

### What were Newmark Security's full-year financial results for FY26?

Newmark Security generated £26.4 million in total revenue for the year ended 30 April 2026, up 15% year-on-year. Profit after tax rose 20% to £1.3 million, while earnings before interest, tax, depreciation, and amortisation grew 19% to £3.5 million.

### Why did Newmark Security sell its Safetell business?

The company sold Safetell on 30 September 2026 following project delays and ongoing losses to streamline operations and direct capital toward its expanding Human Capital Management unit.

### How much did Newmark Security's HCM division grow?

Revenue in the Human Capital Management division increased 27% to £19.5 million, boosted by 43% growth in North America to £14.1 million and a 138% increase in monthly subscriptions.