Kainos Group — Green shoots of growth

After a tough year, Kainos is seeing signs of improving demand, with Q425 revenue returning to growth. Workday Products continues to be the main growth driver and in Digital Services, the company should get some clarity on UK public sector spending with the publication of the Comprehensive Spending Review in mid-June. The cost base has recently been restructured to support the most promising parts of the business, with consensus estimates assuming modest growth in revenue and earnings in FY26 accelerating to double-digit growth in FY27.