Getech Group plc (GTC) AI Stock Analysis

• Market Cap: £3.43M
• Dividend Yield: N/A
• Average Volume (3M): 232.16K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.50
• Revenue Growth: 6.03%
• EPS Growth: 75.91%
• Country: UK
• Employees: 58
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): >-0.01
• Shares Outstanding: 152,513,820
• 10 Day Avg. Volume: 79,915
• 30 Day Avg. Volume: 232,157
• PEG Ratio: 0.02
• Price to Book (P/B): 0.47
• Price to Sales (P/S): 0.44
• P/FCF Ratio: -1.64
• 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: 49 Neutral
• Price Target: 2.00p ▼(-2.44% Downside)

The overall stock score of 49 reflects significant financial challenges, including ongoing losses and cash flow issues. However, recent corporate events provide a positive outlook with new contracts and strategic restructuring. Technical analysis shows mixed signals, and valuation remains unattractive due to negative earnings and no dividend yield.

Positive Factors

Recurring SaaS and consultancy revenue

Getech's mix of subscription software, licensing and project-based consultancy creates recurring revenue and diversified cash inflows. This business model boosts client stickiness, predictable revenue streams and long-term visibility versus pure project-driven peers, supporting durable growth.

New contracts and strategic restructuring

Securing multiple new contracts and executing restructuring are structural developments that expand backlog and can permanently lower cost base. Together they improve revenue visibility and operational efficiency, increasing the odds of sustainable margin recovery over the medium term.

Healthy cash position provides runway

A stated healthy cash position offers a multi-month runway to fund product development, support clients and execute restructuring without immediate dilution. This liquidity buffer materially reduces near-term solvency risk and supports strategic execution through cyclicality.

Negative Factors

Persistent profitability losses

Ongoing negative EBIT and net income margins over multiple years indicate structural profitability issues. Persistent losses erode shareholder equity, limit reinvestment capacity and force reliance on external funding, undermining the company's ability to generate long-term shareholder returns.

Negative operating and free cash flow

Repeated negative operating and free cash flow signals the business does not generate sufficient internal cash to sustain operations or invest organically. Long-term dependence on financing reduces strategic flexibility and increases vulnerability during downturns in the energy sector.

Rising leverage increases financial risk

An increasing debt-to-equity ratio alongside negative returns on equity raises solvency risk. Higher leverage with ongoing losses elevates interest and covenant pressure, constraining investment in software and analytics that are crucial for competitive positioning in the energy services market.

Getech Group plc Business Overview & Revenue Model

Company Description

Getech Group Plc, together with its subsidiaries, provides geoscience and geospatial products and services to the companies and governments. The company offers ArcGIS for renewables platform for use in wind and solar projects to operate authoritative information, streamline operations, and transform data; and ArcGIS pipeline referencing to manage pipeline data, and track the status and health of pipeline assets. It also provides emergency response; exploration risk management; production optimization; and site analysis and planning solutions. In addition, the company offers geospatial software, such as Exploration Analyst, a favorability mapping tool that helps companies quantitatively rank information essential to day-to-day business decisions; Unconventionals Analyst, a production operations optimization tool used in unconventional resource projects, which include shale gas and shale oil; and Data Assistant that enables data transfer between Esri's geographic information system technology and subsurface interpretation systems used in geo energy operations, including CCS, petroleum, and geothermal. Further, it is involved in the building and managing a network of hydrogen hubs; and provision of government advisory services. The company has operations in the United Kingdom, Italy, France, Ireland, rest of Europe, the United States, rest of the Americas, Malaysia, Kazakhstan, Australia, rest of the Asia Pacific, Sierra Leone, and rest of Africa. Getech Group Plc was founded in 1986 and is based in Leeds, the United Kingdom.

How the Company Makes Money

Getech Group plc generates revenue primarily through the sale of its proprietary software products, subscription services, and consultancy offerings. The company offers its software solutions on a subscription basis, allowing clients to access advanced geoscience and data analytics tools for their exploration projects. Additionally, GTC provides consultancy services that help energy companies optimize their exploration and production strategies, which are typically billed on a project basis. Key revenue streams include software licensing fees, project-based consultancy contracts, and recurring subscriptions. Strategic partnerships with energy firms and industry stakeholders also enhance GTC's market presence and contribute to its earnings by fostering long-term relationships and expanding its service offerings.

Getech Group plc Financial Statement Overview

Summary

Getech Group plc faces significant challenges across its financial statements. The income statement shows continued losses and margin pressures, while the balance sheet reveals a stable yet increasingly leveraged position. Cash flow weaknesses further underscore the need for operational and strategic improvements to enhance financial performance and stability.

Income Statement

The company has faced declining revenue over the past few years, with a notable revenue decrease from 2019 to 2024. Despite a small recovery in 2024, profitability remains a significant challenge, as evidenced by negative EBIT and net income margins each year within the period. The gross profit margin has also been inconsistent, showing volatility in the cost structure. The revenue growth rate from 2023 to 2024 is positive, but margins are still under pressure, indicating a need for improved operational efficiencies.

Balance Sheet

The company's balance sheet indicates a relatively stable financial position with a positive equity ratio. However, the debt-to-equity ratio has increased slightly, suggesting rising leverage. Return on equity remains negative due to continued net losses, highlighting concerns about shareholder returns. While the reduction in total assets and stockholders' equity over time is concerning, the company maintains a healthy cash position, which provides some stability.

Cash Flow

Cash flow from operations has been negative, reflecting ongoing challenges in generating cash internally. Free cash flow remains negative, and the free cash flow to net income ratio is unfavorable. Despite a positive financing cash flow in 2024, indicating external funding support, the company's cash flow situation requires strategic improvement to ensure sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.59M	4.66M	4.02M	5.07M	4.28M	3.56M
Gross Profit	1.91M	1.65M	1.73M	357.00K	602.00K	708.00K
EBITDA	-1.48M	-697.00K	-4.12M	-2.02M	-1.31M	-599.00K
Net Income	-1.69M	-1.58M	-5.15M	-2.83M	-1.95M	-1.64M
Balance Sheet
Total Assets	6.06M	7.40M	7.65M	12.77M	15.05M	10.71M
Cash, Cash Equivalents and Short-Term Investments	419.00K	898.00K	385.00K	4.32M	5.86M	2.19M
Total Debt	180.00K	427.00K	621.00K	847.00K	1.06M	1.24M
Total Liabilities	2.48M	3.04M	3.26M	3.39M	3.02M	2.66M
Stockholders Equity	3.58M	4.36M	4.39M	9.38M	12.03M	8.05M
Cash Flow
Free Cash Flow	-818.00K	-1.25M	-3.75M	-1.36M	-1.72M	-1.16M
Operating Cash Flow	-792.00K	-479.00K	-2.84M	-500.00K	-843.00K	-229.00K
Investing Cash Flow	-123.00K	-117.00K	-892.00K	-858.00K	-930.00K	-926.00K
Financing Cash Flow	1.14M	1.09M	-305.00K	-287.00K	5.44M	-156.00K

Getech Group plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.05
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:GTC, the sentiment is Positive. The current price of 2.05 is below the 20-day moving average (MA) of 2.07, below the 50-day MA of 2.06, and above the 200-day MA of 1.93, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 78.10 is Negative, neither overbought nor oversold. The STOCH value of 60.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:GTC.

Getech Group plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GMS	74 Outperform	£241.38M	8.35	9.45%	―	7.05%	-19.81%
AT	73 Outperform	£262.03M	8.92	23.59%	0.38%	32.36%	19.01%
HTG	67 Neutral	£588.80M	-23.38	-3.70%	2.22%	11.60%	-126.25%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
CSC	52 Neutral	£15.85M	-45.05	―	―	―	―
GTC	49 Neutral	£3.43M	-2.01	-46.75%	―	6.03%	75.91%
WG	45 Neutral	£167.75M	-0.12	-123.27%	―	-14.33%	-69.80%

Getech Group plc Corporate Events

Getech Group Secures Twelve New Contracts Amidst Expanded Market Reach

Getech Group plc has announced a successful trading period with twelve new contracts worth approximately £333k, largely expected to be recognized within the current financial year. These contracts, including three with new customers, highlight the company’s expanded market reach across oil & gas, geothermal, and critical minerals sectors. The recent enhancement of their sales team has contributed to this growth, reflecting an increase in both the size and quality of their sales pipeline.

The most recent analyst rating on (GB:GTC) stock is a Hold with a £2.00 price target. To see the full list of analyst forecasts on Getech Group plc stock, see the GB:GTC Stock Forecast page.