Eleco lifts recurring revenues, sharpens software focus with Pemac and Kivue deals

An announcement from Eleco ( (GB:ELCO) ) is now available.

Eleco reported strong 2025 trading, with revenue rising 20% to £38.8m and annualised recurring revenue up 29% to £34.3m, driving a 32% increase in adjusted EBITDA and 35% growth in adjusted profit before tax. Despite a non-cash impairment on its former Veeuze visualisation unit that reduced statutory profit, the group delivered record recurring and software revenue, lifted free cash flow by 30%, increased its dividend by 20% and ended the year debt-free with £16.3m in cash.

The company advanced its strategy with the acquisition of Irish CMMS provider Pemac and, after year-end, UK PPM specialist Kivue, while disposing of non-core Veeuze to sharpen its focus on higher-growth building lifecycle software. Product innovation remained central, with Asta Powerproject again winning top industry awards and the launch of Asta Vision Plus and Asta Estimate to deepen AI-enabled planning, cost and carbon integration, moves that strengthen Eleco’s positioning in complex, regulated construction and asset management markets and support management’s confident outlook for 2026.

The most recent analyst rating on (GB:ELCO) stock is a Buy with a £196.00 price target. To see the full list of analyst forecasts on Eleco stock, see the GB:ELCO Stock Forecast page.

Spark’s Take on ELCO Stock

According to Spark, TipRanks’ AI Analyst, ELCO is a Neutral.

Eleco’s strong financial performance and positive corporate events are offset by bearish technical indicators and a high valuation. The company’s robust revenue growth, profitability, and strategic initiatives support its competitive position, but technical analysis suggests caution due to potential downward pressure.

To see Spark’s full report on ELCO stock, click here.

More about Eleco

Eleco plc is an AIM-listed specialist international provider of software and related services to the built environment, operating through brands including Elecosoft, BestOutcome, Pemac, Kivue and Eleco Technologies. Its solutions support the full building lifecycle, from early planning and design through construction, interior fit-out, asset and facilities management, covering project management, estimation, BIM and property management for customers worldwide.

Average Trading Volume: 189,635

Technical Sentiment Signal: Hold

Current Market Cap: £103.5M

See more insights into ELCO stock on TipRanks’ Stock Analysis page.