Billington Holdings (BILN) AI Stock Analysis

• Market Cap: £48.71M
• Dividend Yield: 7.35%
• Average Volume (3M): 70.08K
• Price to Earnings (P/E): 8.1
• Beta (1Y): 0.02
• Revenue Growth: -25.56%
• EPS Growth: -42.49%
• Country: UK
• Employees: 520
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.09
• Shares Outstanding: 13,260,959
• 10 Day Avg. Volume: 26,277
• 30 Day Avg. Volume: 70,076
• PEG Ratio: -0.35
• Price to Book (P/B): 1.18
• Price to Sales (P/S): 0.55
• P/FCF Ratio: 17.22
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Neutral
• Price Target: 428.00p ▲(24.96% Upside)

Billington Holdings' strong financial performance and attractive valuation are the primary drivers of its stock score. The company's robust profitability and low leverage enhance its financial stability. However, technical indicators suggest potential overbought conditions, and recent corporate events highlight both challenges and strategic positioning for future growth.

Positive Factors

Low Leverage / Strong Equity Base

Very low leverage and a high equity ratio provide durable financial flexibility, allowing Billington to withstand construction cycle volatility, finance working capital for large contracts, and pursue opportunistic M&A or capital investment without stressing liquidity over the next 2-6 months.

Improving Profitability Margins

Sustained margin recovery and rising profitability indicate effective cost control and pricing power in complex engineering work. Higher margins support cash generation and resilience to lower revenues, underpinning long-term return on capital even if top-line growth is uneven.

Diversified Contract-Based Revenue Streams

A multi-stream business model across engineering, fabrication, consultancy and maintenance delivers recurring and project revenue mix, reducing reliance on single large contracts. This diversification supports steadier cash flows and backlog visibility over medium-term project cycles.

Negative Factors

Significant Revenue Decline

A pronounced revenue decline signals reduced project wins or lower activity, which can compress fixed-cost absorption and strain margins. If revenue recovery is slow, it limits reinvestment, weakens backlog visibility, and increases execution risk for future contract delivery.

Slowing Cash Generation

Declining operating cash flow and slowing FCF growth reduce internal funding for working capital and capex, forcing greater reliance on retained earnings. Over several quarters this can constrain bidding capacity for new projects and limit investment in productivity or fleet modernization.

Shrinking Asset Base / Decline in Total Assets

A falling asset base may reflect asset disposals or lower capital deployment, which can shrink operational capacity and future revenue potential. Persisting declines risk reduced scale to service large infrastructure projects and may signal underinvestment in growth-critical capabilities.

Billington Holdings Business Overview & Revenue Model

Company Description

Billington Holdings Plc, through its subsidiaries, designs, manufactures, and installs structural steelworks in the United Kingdom, Europe, and internationally. The company designs, fabricates, and installs bespoke steel staircases, balustrade systems, and secondary steelwork. It also provides safety solutions and barrier systems to the construction industry; protection and fall prevention systems; complex steel structures primarily for the construction and rail infrastructure markets; and site hoarding solutions. In addition, the company engages in the property rental and management services. It provides services to construction projects and operates in sectors, such as retail, data, commercial offices, education, healthcare, rail, and others. The company was formerly known as Amco Corporation Plc and changed its name to Billington Holdings Plc in June 2008. The company was incorporated in 1989 and is based in Barnsley, the United Kingdom.

How the Company Makes Money

Billington Holdings generates revenue through multiple streams, primarily from its construction and engineering services. The company earns money by undertaking contracts for building and infrastructure projects, which include design, fabrication, and installation services. Key revenue streams include project contracts, consultancy services, and maintenance agreements. Additionally, Billington Holdings may benefit from partnerships with local governments and private enterprises that seek reliable construction solutions, enhancing its market position and driving consistent earnings. The company's ability to secure new contracts and manage existing projects efficiently is crucial for its financial performance.

Billington Holdings Financial Statement Overview

Summary

Billington Holdings exhibits a strong financial recovery trajectory with significant improvements in profitability margins and return on equity. The balance sheet is robust with low leverage and a strong equity base. Cash flow management remains positive, though there are signs of slowing growth in cash generation. Overall, the company's financial health appears solid with a focus on maintaining profitability and financial stability in the engineering and construction industry.

Income Statement

Billington Holdings shows a strong recovery trend in gross profit margin, increasing from 4.1% in 2021 to 13.0% in 2022, and further sustaining at 13.0% in 2023. The net profit margin improved significantly from 0.1% in 2021 to 7.8% in 2023. Despite a revenue decline from 2022 to 2023, the company has maintained profitability due to efficient cost management, as seen in the improved EBIT and EBITDA margins.

Balance Sheet

The company's balance sheet reflects a solid equity base with the equity ratio improving to 67.9% in 2023. The debt-to-equity ratio remains low at 0.03, indicating strong financial leverage with minimal reliance on debt. Return on equity grew from 0.2% in 2021 to 21.6% in 2023, showcasing effective use of equity to generate profits. However, the decline in total assets from 2022 to 2023 warrants monitoring.

Cash Flow

Despite a reduction in operating cash flow from 2022 to 2023, Billington Holdings maintains a positive free cash flow, indicating good cash management and capital expenditure control. The operating cash flow to net income ratio is healthy, though the free cash flow growth rate has slowed, suggesting potential challenges in cash generation moving forward.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	96.94M	113.06M	132.50M	86.61M	82.72M	69.46M
Gross Profit	12.33M	14.72M	54.31M	8.94M	4.17M	3.58M
EBITDA	10.44M	13.23M	15.69M	7.97M	2.16M	3.62M
Net Income	6.07M	8.27M	10.32M	4.73M	68.00K	1.37M
Balance Sheet
Total Assets	75.31M	78.11M	81.60M	60.68M	52.95M	49.56M
Cash, Cash Equivalents and Short-Term Investments	18.73M	21.70M	22.08M	11.63M	10.38M	15.13M
Total Debt	1.63M	1.64M	1.80M	2.69M	1.00M	1.26M
Total Liabilities	24.06M	25.09M	33.76M	26.33M	23.56M	20.34M
Stockholders Equity	51.25M	53.02M	47.84M	34.35M	29.39M	29.22M
Cash Flow
Free Cash Flow	-39.00K	3.63M	13.05M	2.00M	-4.26M	-2.67M
Operating Cash Flow	5.12M	8.63M	15.95M	6.51M	-1.91M	-451.00K
Investing Cash Flow	-3.95M	-4.67M	-2.63M	-4.57M	-2.06M	-1.92M
Financing Cash Flow	-4.31M	-4.42M	-2.87M	-687.00K	-774.00K	-357.00K

Billington Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 342.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BILN, the sentiment is Positive. The current price of 342.5 is below the 20-day moving average (MA) of 356.88, above the 50-day MA of 330.73, and below the 200-day MA of 350.88, indicating a bullish trend. The MACD of 15.94 indicates Negative momentum. The RSI at 84.54 is Negative, neither overbought nor oversold. The STOCH value of 89.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:BILN.

Billington Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KLR	80 Outperform	£1.18B	8.74	24.69%	3.08%	-1.17%	12.31%
BILN	70 Neutral	£48.71M	8.05	11.79%	7.35%	-25.56%	-42.49%
SMJ	68 Neutral	£51.44M	10.14	3.98%	2.45%	5.54%	209.72%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
HERC	60 Neutral	£47.14M	32.87	23.37%	3.37%	11.70%	79.80%
VANL	57 Neutral	£40.03M	21.51	5.90%	3.29%	-6.46%	-56.20%
NEXS	48 Neutral	£10.62M	-3.33	-10.69%	2.47%	-3.17%	69.15%

Billington Holdings Corporate Events

Billington Holdings Announces Major Share Transfer to Gutenga Stiftung Lichtenstein Foundation

Billington Holdings Plc announced that Gutenga Investments PCC Limited has transferred its entire shareholding of 2,586,866 ordinary shares to Gutenga Stiftung Lichtenstein Foundation. This transaction, which involves a significant 19.4% of the company’s total issued shares, highlights the internal restructuring of share ownership linked to Dr. Alexander Ospelt, a director at Billington and a member of the Foundation Council of Gutenga Stiftung Lichtenstein Foundation. This move could have implications for the company’s governance and stakeholder dynamics.

The most recent analyst rating on (GB:BILN) stock is a Hold with a £333.00 price target. To see the full list of analyst forecasts on Billington Holdings stock, see the GB:BILN Stock Forecast page.