International appliance care specialist Domestic & General (D&G) has published its quarterly financial results for the nine-month period ending 31 December 2024 (Q3 FY25).
The London headquartered appliance care provider generated £125m adjusted EBITDA in the nine months to December 2024, an increase of 11% from Q3 FY24. Group revenue rose 7% to £873m. This was underpinned by continuing growth of subscription-based revenues, up 10% on Q3 FY24, hitting £778m by the end of the quarter.
D&G, which is majority owned by funds associated with CVC and the Abu Dhabi Investment Authority, also successfully completed a refinancing of the business during the period. Its new debt maturities now fall in 2029, extending the duration of our financing and improving liquidity via an enlarged RCF. Group financial highlights:
- Group revenue of £873m, +7% vs Q3 FY24 (Q3 FY24: £815m)
- 11% adjusted EBITDA growth to £125m (Q3 FY24: £113m)
- 10% Group subscription revenue growth to £778m (Q3 FY24: £707m)
- 191% US subscription revenue growth to £21m (Q3 FY24: £7m)
Group operational highlights:
- Completed refinancing in December 2024
- Continued US expansion with ~246,000 customers compared to ~100,000 at FY24.
- Significant contract extensions signed with Beko, AO, JLP and Worten
- Secured landmark UK High Court judgement against rogue traders operating in the industry
Matthew Crummack, Chief Executive Officer, said:
“We’re seeing continuing double-digit growth in our high quality, subscription-based revenues. Higher group earnings reflect ongoing momentum in our strategically important subscription business with growth in every key market. Double digit growth in group adjusted EBITDA reflects a strong trading period and good customer retention, underscoring the value of our services to people and families. We are working hard to make the customer experience as smooth as possible when they have a faulty machine or gadget, with data and technology playing an increasingly big part of the journey.
The UK continues to be the heart of the business, accounting for just under 80% of total revenue, but our expansion in the US is exciting. We saw subscription customers rise across the board, and pleasingly US customer numbers more than doubled since our last year end, while our US subscription revenues almost tripled in the same period.
The strength and resilience of our subscription business model is clear and with the completion of our refinancing we are well-positioned for more success and growth.”