Introduction

MHA plc (LSE:MHA) is one of the newest substantial names on London’s growth market, an accountancy and professional-services firm that completed the largest AIM initial public offering of 2025. Providing audit, tax and advisory services, MHA (MHA) is pursuing an ambitious growth strategy combining organic expansion with acquisitions, including international tie-ups under the Baker Tilly network. Strong maiden results as a listed company have established it as a notable professional-services challenger.

Why MHA (MHA) is in focus now

MHA (MHA) is in focus because it joined AIM via a record-breaking IPO and has since reported strong Revenue growth and reaffirmed an acquisitive expansion strategy. As the largest AIM flotation of 2025 and the biggest in the professional-services sector for five years, MHA’s listing was a landmark, and investors are watching how effectively it converts its Capital and strategy into continued growth. Robust first-half trading and rising market expectations have kept it firmly in view.

Business overview

MHA is a professional-services firm providing audit, tax and advisory services to a broad client base across the UK and, increasingly, internationally. It operates as part of the Baker Tilly International network, giving it global reach, and has expanded through acquisitions including Baker Tilly Ireland and Baker Tilly South-East Europe. Audit is its largest service line, complemented by fast-growing advisory and tax practices. The firm’s model combines recurring, relationship-driven professional-services revenue with a strategy of consolidating a fragmented market through Acquisition.

Latest Earnings explained

For the financial year ended 31 March 2025, MHA reported revenue up about 45% to roughly £224.2m, from £154m, driven by a combination of organic and acquisitive growth, with adjusted EBITDA up about 32% to roughly £41.1m, from £31m. Growth was broad-based across offices, business sectors and service lines. For the first half of FY2026 (the six months to 30 September 2025), revenue was about £121.3m, up around 13% on the prior year, with roughly 3% relating to the Baker Tilly South-East Europe acquisition and around 1.5% to the full-period contribution from Baker Tilly Ireland; trading was in line with the Board’s expectations.

Revenue, profit, margins, Cash Flow and Balance Sheet

MHA’s results reflect a firm scaling rapidly through both organic growth and acquisition. The 45% revenue rise in FY25 was flattered by acquisitions but accompanied by genuine organic momentum across service lines: audit fees of about £114m grew around 40.8%, advisory of about £62m grew around 65.8%, and tax of about £40m grew around 34.5%. Adjusted EBITDA of about £41.1m indicates a healthy Margin for a professional-services firm. The £98m raised at IPO strengthened the balance sheet and provides firepower for further acquisitions, central to MHA’s consolidation strategy.

What management said

Management has presented MHA as a successful and ambitious newcomer to public markets, highlighting record results, broad-based growth and a strong pipeline of potential acquisitions. Commentary emphasised Demand from both existing and new clients, continued organic growth across service lines, and the strategic value of the Baker Tilly network for international expansion. The firm has signalled its intention to pursue further acquisitive growth, positioning itself as a consolidator in the professional-services market following its IPO.

Latest news and announcements

Key recent developments include the record £98m AIM IPO completed in April 2025, the maiden full-year results showing 45% revenue growth, the first-half FY26 results confirming continued growth in line with expectations, and the acquisition of Baker Tilly South-East Europe. Market expectations for FY26 point to revenue of around £249.5m and underlying adjusted EBITDA of about £44m. MHA has indicated it is lining up further acquisitions, a recurring theme in its updates.

Share-price performance and market reaction

MHA (MHA) shares have traded around 146.5p. As a recently listed company, the shares are still establishing a track record with public investors, and sentiment reflects the market’s assessment of its growth and acquisition strategy. Professional-services firms can be relatively resilient, given the recurring and often non-discretionary nature of audit and tax work, but MHA’s shares will be influenced by execution on acquisitions, integration, and the broader economic backdrop affecting client demand.

Growth drivers

The main growth drivers for MHA (MHA) are organic growth across its audit, tax and advisory service lines, supported by demand from existing and new clients; acquisitions, both in the UK and internationally through the Baker Tilly network, funded in part by IPO proceeds; and the structural consolidation of a fragmented professional-services market. Rising regulatory and compliance requirements support demand for audit and tax services, while advisory offers higher-growth opportunities. International expansion broadens the addressable market.

Key risks for investors

MHA faces risks including the execution and integration of acquisitions, which are central to its growth and carry the usual integration, cultural and financial risks. As a professional-services firm, it depends on attracting and retaining qualified staff in a competitive labour market. Audit is subject to significant regulation and scrutiny, with associated Liability and reputational risks. Economic conditions can affect demand for advisory and transactional services. As a recently listed company, MHA has a limited public track record, and its growth strategy relies on continued access to acquisition opportunities.

Dividend position

As a recently listed, growth-focused firm, MHA’s priority is reinvestment and acquisition rather than income, though professional-services firms can be cash-generative and capable of supporting dividends over time. Investors should regard MHA primarily as a growth and consolidation story at this stage, with any dividend policy evolving as the business matures. The focus is on deploying capital into accretive acquisitions and organic expansion.

Outlook for the next 6–12 months

Over the next 6–12 months, the focus will be on delivering against FY26 market expectations of around £249.5m revenue and about £44m adjusted EBITDA, integrating recent acquisitions, and executing further deals. Investors will watch organic growth across service lines, the pace and quality of acquisitions, and margin trends. The recurring nature of much of MHA’s work provides resilience, while the success of its consolidation strategy will be the key determinant of longer-term value.

Investor takeaway

MHA (MHA) is an ambitious professional-services challenger that has used a record AIM IPO to fund a strategy of organic and acquisitive growth, delivering strong maiden results. The Investment case rests on executing acquisitions, integrating them well and sustaining organic growth, balanced against integration, regulatory, staffing and economic risks, and a limited public track record. This article is for information only and is not financial advice; investors should do their own research.

 

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