Videndum plc (LSE:VID) has issued a trading update for the third quarter ending September 30, 2025, showing early signs of recovery after a subdued summer. Order intake improved significantly, with the order book up roughly 40% year-on-year as of the end of September. Monthly orders for September rose 6% compared with the same month in 2024, marking the strongest level in over a year.

Third-quarter revenue was 8% lower year-on-year, excluding the impact of the 2024 Paris Olympics, an improvement from the 25% decline recorded in the first half. Q3 EBITDA came in 50% higher than in the first half, supported by the delivery of £19 million in previously announced cost-saving measures.

The company continues to make “constructive progress” with its lending banks on a deleveraging plan and confirmed it met its September EBITDA covenant. Net debt stood at £139 million at the end of the quarter, including £27 million of finance leases. Lenders have requested a trailing last-twelve-month October EBITDA covenant of £10 million, which the company described as a “stretching” target. Videndum expects sufficient progress on its deleveraging plan to allow for covenant waivers or deferrals if trading falls short.

The company also completed the sale of its consumer-focused JOBY business to VIJIM, generating gross proceeds of approximately £5 million. It has received 80% of the cash upfront, with the remainder held in escrow and expected to be released within six months.

Videndum’s board maintained its expectations for FY 2026, noting that tight inventory levels across its markets should enable any increase in demand to rapidly convert into revenue growth.

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This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.
Some portions of this content may have been generated or assisted by artificial intelligence (AI) tools and been reviewed for accuracy and quality by our editorial team.