Business & Technology
IFS posts 25% ARR growth as industrial AI demand rises
KAREN JOY BACUDO
Finance Editor
IFS reported 25% year-on-year growth in annual recurring revenue in the first half of 2026, with recurring revenue accounting for 84% of total revenue.
Cloud revenue rose 24% from a year earlier, driven by stronger customer demand for artificial intelligence tools used in manufacturing, maintenance, supply chains, field service and warehouse operations.
The figures suggest customers are increasing spending on software tied to day-to-day industrial processes, rather than limiting AI projects to pilots. That was reflected in growth across IFS’s recurring revenue base and in adoption of products designed for operational settings.
Additions in the half included Nexus Black’s Resolve for field service, IFS Zero for emissions data collection and the IFS Loops Agentic Platform. IFS said 60% of agentic transactions on that platform were fully automated.
Customer wins in the period included Coca-Cola, China Airlines, Drydocks World, First Solar, Flynn Canada, JVCKENWOOD, Kodiak Gas Services, Miele, ShinMaywa Industries, The Waldinger Corporation and William Grant & Sons. According to IFS, these organisations selected its software to support critical operational workflows.
Supply chain focus
IFS also used the half-year update to highlight its acquisition of Softeon, completed in March 2026. The deal added warehouse management and supply chain execution software at a time when manufacturers and distributors continue to face disruption across logistics networks.
Its broader strategy centres on linking operational, engineering and enterprise data through partnerships with Siemens, AVEVA and NEC. IFS also pointed to work with systems integrators, analysts and research organisations as part of what it described as an industrial AI ecosystem.
The company has been pushing deeper into sectors with asset-heavy operations, where software spending is often tied to uptime, maintenance schedules, workforce deployment and stock movement. That focus has helped differentiate vendors selling AI tools as part of broader operational software suites rather than as standalone products.
IFS also cited recognition from IDC MarketScape, which named it a Leader in its 2026 assessment of worldwide manufacturing AI-enabled asset-intensive enterprise asset management application vendors. Industry rankings are closely watched in enterprise software because they can influence procurement shortlists during long buying cycles.
“Customers are scaling AI across operations onto the factory floor, into the warehouse, and out in the field. As measurable business value is returned, Industrial AI is becoming a clear source of competitive advantage and customers are expanding their use of IFS solutions. Our H1 results reflect the market inflection point we’re now seeing,” said Mark Moffat, Chief Executive Officer of IFS.
“H1 2026 demonstrates strong execution across all lines of business. With 25% ARR growth, our numbers reflect how deeply customers are scaling AI into operations. These results reinforce the resilience of our business model and our track record of profitable growth,” Ryan Courson, Chief Financial Officer of IFS, said.
External commentary in the update also pointed to broader momentum in industrial software.
Micky North Rizza, Group Vice-President at IDC, said, “The first half of 2026 highlights accelerating momentum in the industrial software market, with AI becoming embedded in operational workflows rather than isolated use cases. Growth in recurring revenue and cloud adoption underscores how organizations are prioritizing platforms capable of supporting complex, asset-intensive environments. This positions IFS strongly as enterprises look to scale AI-driven outcomes in a disciplined, value-focused way.”
IFS employs more than 7,000 people across 80 countries, and its half-year figures indicate that subscription and cloud income remain central to the business as industrial customers shift software budgets toward recurring models.
Business & Technology
Network Rail will not reopen Botley Road early despite completion
Gas network company SGN confirmed it had repaired three minor gas leaks and left the site on Monday, August 3, six days earlier than expected.
The leaks were discovered during excavation works last month and contributed to the pushing back of the road’s reopening date, yet again, to September 20.
The completion of the gas mains replacement marked a significant step forward in the wider Oxford Station improvement project, which was originally budgeted at £161 million but is now expected to cost at least £237 million.
The development prompted hopes that Botley Road, closed beneath the rail bridge since April 2023, could reopen earlier than planned.
However, Network Rail has moved to manage expectations, saying the project remains on course to meet its existing target date rather than finish ahead of schedule.
A Network Rail spokesperson said: “We’re pleased that SGN has completed its gas mains replacement work.
“While this is an important milestone, it doesn’t necessarily mean the overall project will finish early as some remaining work is dependent on access to the railway, which we have had to rearrange to enable the replacement of the gas main.
“Our focus remains on meeting our planned deadline of 20 September for reopening Botley Road to traffic.”
While the completion of the gas works removes one of the most recent obstacles facing the scheme, Network Rail says further work under the bridge and around the station is still needed before the route can reopen to traffic.
Business & Technology
40-year-old Oxfordshire gymnastics club at risk of closure due to heat
The club is currently struggling in the summer heat, and has launched a new fundraiser to keep its gymnasts safe.
The club, which is based at Grove House Barn near Warkworth in Banbury, launched the fundraiser so it could buy and install four air conditioning units to keep its space cool.
Currently, the club hopes to raise £7,000 through the appeal so it can buy four 10kW air conditioning units and cover all the installation costs.
So far, the club has raised £380.
Karl Wade, director of Wade Gymnastics, said the club has become “increasingly warm” during the summer months due to the rising temperatures.
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Wade Gymnastics at Grove House Barn in Banbury (Image: Google Maps)
“Despite our best efforts to keep doorways and shutters open, it becomes very uncomfortable for gymnasts to play and train,” Mr Wade said.
He added: “The safety of our gymnasts and coaches is always our utmost priority.
“Unfortunately, the risk of having to close the business during these hot spells is increasing and we need to have more effective ways of keeping everyone cool.
“An air conditioning system would allow the business to stay open during those extreme hot conditions and continue to provide classes for everyone who attends.”
The gym currently delivers classes seven days a week for around 900 people, which range from toddlers to athletes competing at national level.
The gym club was founded more than four decades ago by Ruth Wade and, for the past 20 years it has been based at its current facility.
Business & Technology
Solihull Council appoints ICS.AI for AI discovery phase
SOFIAH NICHOLE SALIVIO
News Editor
Solihull Council has appointed ICS.AI to deliver the first phase of an AI Transformation Discovery programme to examine how artificial intelligence could be used across several resident-facing services.
The 24-week programme will review opportunities in Adult Social Care, Children’s Services, Economy & Infrastructure, and Public Health. It is intended to help the council decide where AI could be used and where future spending should be directed.
In this first phase, ICS.AI will assess the council’s readiness for AI and identify use cases across the four service areas. The programme is expected to produce a prioritised shortlist of about 200 use cases, including 50 validated from a finance perspective, alongside a longer-term AI Transformation Roadmap.
The work is intended to create an evidence base before any wider implementation decisions are taken. Ethics, privacy, and safeguarding will be considered throughout the assessment process.
Discovery phase
ICS.AI will use its AI Target Operating Model framework to review Solihull’s current position across five dimensions before ranking opportunities. The outputs will be based on council-owned baseline data and reviewed by public sector specialists.
The approach reflects a broader pattern among local authorities exploring AI in service delivery while facing pressure to justify spending and manage risks around data use and public accountability. Councils have also been seeking clearer business cases before committing to larger technology programmes.
Solihull said the discovery exercise would support a measured approach to service modernisation. The authority wants to identify where AI could improve services for residents while also demonstrating value for money.
“We are committed to taking a well-considered and planned approach to modernising the services we provide. By building a strong evidence base for future decisions, this programme will help us understand where the greatest AI opportunities exist. We will then be able to prioritise those improvements that will deliver the greatest benefit for residents, while ensuring full value for the council,” said Councillor Dave Pinwell, Cabinet Portfolio Holder for Resources, Solihull Council.
Public sector focus
ICS.AI said the Solihull engagement builds on work it has carried out with more than 20 public sector organisations using its AI transformation and discovery assessments. Those organisations include Derby City Council.
The company focuses on AI projects for the public sector, where interest has increased as authorities look for ways to manage demand pressures in social care, public health, and other frontline services. At the same time, councils are under scrutiny to show that new technology investments are proportionate and supported by practical evidence.
Dwayne Johnson, Chief Local Government Officer at ICS.AI, said local authorities need stronger justification before committing funds. “Local authorities need confidence that every investment is backed by robust evidence and long-term value for residents. Solihull Council is taking the right approach by starting with a structured discovery programme that builds a clear understanding of priorities before decisions are made. By developing finance-validated business cases and a practical roadmap, the council can be more proactive in the decisions it makes,” he said.
The programme’s initial outputs are expected to give Solihull a ranked view of where AI could be applied across services, the level of organisational readiness, and which projects may warrant further consideration. This first phase is focused on identifying options rather than moving directly into deployment.
For local government leaders, that distinction is becoming increasingly important as councils test AI in areas that affect vulnerable residents and essential public services. In Solihull’s case, the work spans some of the authority’s most visible functions, including care services, children’s provision, public health activity, and parts of local infrastructure planning.
The council aims to use the findings to inform later investment decisions through finance-validated business cases and a practical roadmap for future priorities.
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