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essensys PLC (GB:ESYS)
LSE:ESYS

essensys PLC (ESYS) AI Stock Analysis

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GB:ESYS

essensys PLC

(LSE:ESYS)

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Neutral 47 (OpenAI - 5.2)
Rating:47Neutral
Price Target:
16.00p
▲(10.34% Upside)
The score is held back primarily by ongoing losses and weakening recent revenue, despite improved 2025 cash generation and a relatively low-leverage balance sheet. Technical signals are also strongly bearish (below major moving averages, negative MACD, very low RSI), and valuation support is limited due to negative earnings and no dividend yield.
Positive Factors
Recurring revenue model
A subscription and managed-services model creates durable, predictable revenue streams tied to customer retention and site expansion. Over months this supports recurring cash generation and scalability as operators add locations or service modules, strengthening long-term revenue visibility.
Low financial leverage
Conservative debt levels reduce refinancing and solvency risk during a turnaround, giving management flexibility to invest in product development or sales without large interest burdens. Low leverage preserves optionality and lowers the chance of distress if revenue recovery is gradual.
Positive operating and free cash flow (2025)
Transition to positive OCF and FCF signals operational stabilization and the potential to self-fund working capital or modest growth. If sustained, this shift materially improves financial resilience and reduces reliance on external capital, a durable improvement for medium-term stability.
Negative Factors
Persistent net losses
Ongoing net losses limit retained earnings and constrain the company's ability to reinvest in product, sales, or scale initiatives. Continued loss-making status over multiple years raises execution risk and could require external financing if cash generation reverses.
Declining revenue trend
A multi-year revenue decline undermines unit economics and scale benefits of the platform, making margin recovery harder and increasing customer churn risk. Structural or market-share erosion would materially delay sustainable profitability even with cost discipline.
Volatile cash flows and uneven turnaround
Large swings in cash generation indicate earnings are sensitive to timing or one-off items, complicating budgeting and investment decisions. This unevenness raises execution risk: a single positive year may not reflect a durable recovery without consistent cash flow performance.

essensys PLC (ESYS) vs. iShares MSCI United Kingdom ETF (EWC)

essensys PLC Business Overview & Revenue Model

Company Descriptionessensys plc provides software-as-a-service platforms and on-demand cloud services to the workspace industry in the United Kingdom and the United States of America. The company's products include Connect, a software platform for multi-site operators that provide, manage, and monitor mission-critical infrastructure services in real-time; and Operate, an end-to-end solution for multi-site workspace operators for managing day-to-day operations. It serves multi-site flexible workspace providers, commercial real estate providers, and multi-site landlords. The company was founded in 2006 and is based in London, the United Kingdom.
How the Company Makes Moneyessensys generates revenue through a subscription-based model for its software solutions, which includes monthly fees for access to its workspace management platform. Additionally, the company earns income from selling connectivity services, such as high-speed internet and telecommunications solutions, to its clients. Key revenue streams include recurring revenues from software-as-a-service (SaaS) subscriptions, one-time fees for installation and setup of IT infrastructure, and ongoing support and maintenance services. Significant partnerships with commercial property owners and flexible workspace operators enhance its market reach, contributing to its earnings by creating a steady demand for its integrated solutions.

essensys PLC Financial Statement Overview

Summary
Core profitability remains weak with ongoing net losses and a recent revenue decline, which weighs heavily on the score. Offsetting this, leverage is low and 2025 operating/free cash flow turned positive, suggesting a stabilization/turnaround effort, though cash flow has been volatile.
Income Statement
28
Negative
Profitability remains weak with consistent net losses across the period and negative operating profit in every year since 2021. Revenue momentum has deteriorated, with the latest annual revenue down ~16% versus the prior year, following a smaller decline the year before. A key positive is the sharp improvement from the deep 2022–2023 loss levels (materially narrower losses in 2024–2025), but the business has not yet returned to sustainable profitability.
Balance Sheet
64
Positive
Leverage is low, with total debt modest relative to equity across the years provided (debt-to-equity stayed under ~0.15 in the historical annual data), which reduces financial risk. However, the equity base has fallen meaningfully from earlier years (notably from 2021–2022 levels to 2025), consistent with ongoing losses and/or balance sheet contraction, and returns on equity have been negative in recent years—signaling value dilution despite conservative debt.
Cash Flow
55
Neutral
Cash generation improved materially in the most recent year: operating cash flow and free cash flow turned solidly positive in 2025 (after negative operating cash flow and negative free cash flow in 2022–2024). The main concern is volatility—cash flow swung sharply year to year, and 2025 free cash flow still declined versus the prior year (per the provided growth rate), indicating the turnaround may be uneven even as near-term cash discipline improves.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue19.18M19.18M24.13M25.25M23.30M21.98M
Gross Profit6.90M6.90M13.74M14.91M14.11M14.23M
EBITDA-1.30M-1.30M-637.00K-10.46M-7.81M681.00K
Net Income-5.57M-5.57M-3.31M-15.71M-10.80M-3.34M
Balance Sheet
Total Assets16.18M16.18M22.72M27.52M47.33M52.20M
Cash, Cash Equivalents and Short-Term Investments1.78M1.78M3.10M7.86M24.12M36.90M
Total Debt673.00K673.00K1.44M1.57M3.13M1.94M
Total Liabilities4.68M4.68M5.96M6.93M11.85M7.27M
Stockholders Equity11.50M11.50M16.76M20.58M35.48M44.92M
Cash Flow
Free Cash Flow1.80M1.80M-3.18M-14.31M-12.43M-1.39M
Operating Cash Flow2.25M2.25M-1.07M-9.84M-6.80M1.89M
Investing Cash Flow-2.55M-2.55M-2.09M-4.14M-5.53M-3.28M
Financing Cash Flow-999.00K-999.00K-1.54M-2.00M-1.04M29.82M

essensys PLC Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price14.50
Price Trends
50DMA
15.20
Positive
100DMA
15.86
Negative
200DMA
21.50
Negative
Market Momentum
MACD
0.22
Negative
RSI
62.46
Neutral
STOCH
75.82
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ESYS, the sentiment is Neutral. The current price of 14.5 is below the 20-day moving average (MA) of 15.12, below the 50-day MA of 15.20, and below the 200-day MA of 21.50, indicating a neutral trend. The MACD of 0.22 indicates Negative momentum. The RSI at 62.46 is Neutral, neither overbought nor oversold. The STOCH value of 75.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:ESYS.

essensys PLC Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
£105.09M14.485.30%-3.95%16.87%
70
Outperform
£566.72M66.851.56%1.73%-0.18%11.49%
69
Neutral
£114.42M69.454.88%0.97%-71.58%
62
Neutral
£56.07M17.9511.22%2.44%-25.63%-20.36%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
57
Neutral
£19.98M-6.45-29.25%10.00%34.02%
47
Neutral
£10.21M-1.83-5.21%76.14%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:ESYS
essensys PLC
15.75
-21.25
-57.43%
GB:ACSO
accesso Technology
283.00
-216.00
-43.29%
GB:CLBS
Celebrus Technologies
142.50
-78.00
-35.38%
GB:EYE
Eagle Eye Solutions
382.00
19.00
5.23%
GB:CKT
Checkit plc
18.50
2.00
12.12%
GB:GBG
GB Group plc
240.00
-96.84
-28.75%

essensys PLC Corporate Events

Business Operations and StrategyExecutive/Board Changes
Essensys CFO Greg Price to Depart for Cerillion in April 2026
Neutral
Jan 28, 2026

Essensys plc has announced that Chief Financial Officer Greg Price will resign to take up the same role at Cerillion plc, with his departure scheduled for the end of April 2026 following an orderly handover. Chairman Jon Lee credited Price with strengthening the group’s financial position, enhancing financial discipline and supporting strategy execution during a period of change, and the transition underscores a key leadership shift for the flexible workspace technology provider as it continues to pursue its growth and digital transformation agenda with stakeholders watching for the appointment of a successor CFO.

The most recent analyst rating on (GB:ESYS) stock is a Sell with a £15.00 price target. To see the full list of analyst forecasts on essensys PLC stock, see the GB:ESYS Stock Forecast page.

Regulatory Filings and Compliance
Essensys Updates Share Capital Following Employee Option Exercise
Neutral
Jan 26, 2026

Essensys plc has issued and allotted 15,348 new ordinary shares following the exercise of employee share options, with admission of the new shares to trading on AIM expected on 28 January 2026. Following this admission, the company’s issued share capital will comprise 64,811,336 ordinary shares, all of which carry voting rights and none of which are held in treasury, a figure that shareholders are advised to use when assessing disclosure thresholds under UK regulatory rules and in the context of any applicable takeover code reporting requirements.

The most recent analyst rating on (GB:ESYS) stock is a Sell with a £15.00 price target. To see the full list of analyst forecasts on essensys PLC stock, see the GB:ESYS Stock Forecast page.

Business Operations and StrategyM&A Transactions
Essensys Extends Deadline for Possible Founder-Led Takeover Bid
Neutral
Jan 23, 2026

Essensys plc has secured a further extension to the regulatory “put up or shut up” deadline for a potential management-led takeover, allowing founder and non-executive director Mark Furness until 20 February 2026 to decide whether to make a firm all-cash offer for the entire issued share capital at a previously indicated 20 pence per share or to walk away. The extension, granted by the UK Takeover Panel, keeps strategic uncertainty in play for shareholders while talks continue, underlining ongoing interest from the company’s founder but offering no assurance that a binding bid will ultimately emerge or on what terms, with the board promising further updates as required under takeover rules.

The most recent analyst rating on (GB:ESYS) stock is a Sell with a £13.50 price target. To see the full list of analyst forecasts on essensys PLC stock, see the GB:ESYS Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresShareholder Meetings
Essensys Publishes 2025 Annual Report and Sets Hybrid AGM for January
Positive
Jan 7, 2026

Essensys plc has announced the publication and posting of its Annual Report and Accounts for the year ended 31 July 2025, along with the notice of its 2025 Annual General Meeting scheduled for 30 January 2026 at its London offices. To broaden access and engagement, the company will stream the AGM via the Investor Meet Company platform, enabling shareholders to follow proceedings and submit questions remotely while encouraging them to exercise their voting rights in advance by proxy, signalling a continued emphasis on transparent governance and investor outreach as it pursues long-term growth in the flexible workspace technology sector.

The most recent analyst rating on (GB:ESYS) stock is a Buy with a £41.00 price target. To see the full list of analyst forecasts on essensys PLC stock, see the GB:ESYS Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresM&A Transactions
Essensys Returns to EBITDA Profit but Warns on FY26 as Revenue Falls and Founder Tables Possible Takeover Offer
Negative
Jan 6, 2026

Essensys reported a sharp decline in FY25 revenue to £19.2m and a reduction in annual recurring revenue following the expected downsizing of a major customer and a deliberate shift away from lower-margin hardware and network sales, but achieved a return to positive adjusted EBITDA of £1.3m, improved gross margins to 59%, and completed a data centre decommissioning that delivers £1.5m in annualised cost savings. The group launched its new elumo product with initial sales across core markets, restructured around its two core platforms to drive scalable operations and further cost savings, and strengthened its board, but warned that FY26 performance is expected to fall materially below management expectations amid macroeconomic headwinds and slower-than-hoped adoption of elumo, while founder and non-executive director Mark Furness has tabled a preliminary proposal for a possible all-cash takeover at 20 pence per share.

The most recent analyst rating on (GB:ESYS) stock is a Buy with a £41.00 price target. To see the full list of analyst forecasts on essensys PLC stock, see the GB:ESYS Stock Forecast page.

Business Operations and StrategyM&A Transactions
Essensys Wins Extension to Founder’s Takeover Deadline
Negative
Dec 24, 2025

Essensys plc has secured an extension to the formal ‘put up or shut up’ deadline for a potential takeover bid from its founder and non-executive director Mark Furness, who in November submitted a preliminary, non-binding proposal for an all-cash offer at 20 pence per share. Following consent from the UK Takeover Panel, Furness now has until 5 p.m. on 23 January 2026 to either announce a firm intention to make an offer for the whole company or to confirm that he will not proceed, with the board stressing that there is no certainty a binding bid will emerge or on what terms, leaving shareholders and other stakeholders facing continued uncertainty over the company’s ownership and strategic direction.

The most recent analyst rating on (GB:ESYS) stock is a Buy with a £41.00 price target. To see the full list of analyst forecasts on essensys PLC stock, see the GB:ESYS Stock Forecast page.

Business Operations and StrategyDelistings and Listing Changes
essensys plc Announces New Share Issuance Following Employee Option Exercise
Neutral
Dec 16, 2025

essensys plc has announced the exercise of employee share options, resulting in the issuance of 44,158 new ordinary shares, which will be admitted to trading on the AIM market of the London Stock Exchange. This move increases the company’s total issued share capital to 64,795,988 ordinary shares, all of which have voting rights. This development reflects essensys’ ongoing operational adjustments and could impact shareholder calculations under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:ESYS) stock is a Buy with a £41.00 price target. To see the full list of analyst forecasts on essensys PLC stock, see the GB:ESYS Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresM&A Transactions
essensys PLC Reports FY26 Trading Update and Potential Acquisition Offer
Neutral
Nov 28, 2025

essensys PLC announced a trading update for FY26, revealing revenue of £4.1m in the first quarter, aligning with management expectations. However, the macroeconomic environment has slowed adoption of its new product, elumo, impacting sales forecasts. A customer contract worth £0.9m annually will not be renewed, but overall churn remains stable. The company is restructuring to focus on its core products, anticipating cost savings and exploring a debt facility to support growth. Additionally, a possible all-cash offer for the company is under preliminary discussion, led by founder Mark Furness, though no firm offer is guaranteed at this stage.

The most recent analyst rating on (GB:ESYS) stock is a Buy with a £41.00 price target. To see the full list of analyst forecasts on essensys PLC stock, see the GB:ESYS Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jan 07, 2026