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Redcentric PLC (GB:RCN)
LSE:RCN
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Redcentric (RCN) Price & Analysis

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RCN Stock Chart & Stats

112.00 p
-7.00 p(-6.25%)
At close: 4:00 PM EDT
112.00 p
-7.00 p(-6.25%)

Bulls Say, Bears Say

Bulls Say
Recurring Revenue ModelRedcentric's core revenue streams are subscription-style managed services, connectivity and managed security sold under multi-month/ multi-year contracts. This creates durable revenue visibility, customer stickiness and predictable cash inflows that support budgeting, retention and investment over the next several quarters.
Improving Cash GenerationA 14.4% increase in free cash flow and a strong 67.53% free-cash-flow-to-net-income ratio indicate strengthening cash conversion. Sustained FCF growth enhances ability to pay down debt, fund strategic initiatives, or support operations without dilutive financing, improving resilience over the medium term.
Strategic Refocus Via Asset SaleDivesting the Data Centre business and refocusing on managed services simplifies the business, can lower capital intensity and concentrate management on higher recurring-margin offerings. This structural shift should improve operational focus and financial stability if execution sustains service contract retention and margin recovery.
Bears Say
Sharp Revenue DeclineA material top-line contraction (c. -31% and a recent year decline of 19.53%) erodes scale and operating leverage. Persistent revenue weakness pressures renewal economics, limits pricing power and makes it harder to cover fixed costs, requiring successful restructuring or sales recovery to restore sustainable growth.
Low Net ProfitabilityA net margin of just 2.58% leaves limited cushion for reinvestment, margin shocks or competitive pricing. Low profitability constrains capacity to fund growth initiatives, reduces returns on capital and makes achieving durable improvement reliant on meaningful margin expansion or structural cost reduction over coming quarters.
Still-elevated LeverageAlthough leverage has improved, a 0.85 debt-to-equity ratio is still elevated for a services provider. Ongoing debt burden can limit strategic flexibility, increase interest and covenant risk, and constrain M&A or capex unless sustained cash generation is maintained and deleveraging continues over the medium term.

Redcentric News

RCN FAQ

What was Redcentric PLC’s price range in the past 12 months?
Redcentric PLC lowest share price was 95.00 p and its highest was 160.00 p in the past 12 months.
    What is Redcentric PLC’s market cap?
    Redcentric PLC’s market cap is £102.01M.
      When is Redcentric PLC’s upcoming earnings report date?
      Redcentric PLC’s upcoming earnings report date is Nov 12, 2026 which is in 91 days.
        How were Redcentric PLC’s earnings last quarter?
        Currently, no data Available
        Is Redcentric PLC overvalued?
        According to Wall Street analysts Redcentric PLC’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
          Does Redcentric PLC pay dividends?
          Redcentric PLC pays a Semiannually dividend of 1.2 p which represents an annual dividend yield of N/A. See more information on Redcentric PLC dividends here
            What is Redcentric PLC’s EPS estimate?
            Redcentric PLC’s EPS estimate for its next earnings report is not yet available.
            How many shares outstanding does Redcentric PLC have?
            Redcentric PLC has 103,044,600 shares outstanding.
              What happened to Redcentric PLC’s price movement after its last earnings report?
              Currently, no data Available
              Which hedge fund is a major shareholder of Redcentric PLC?
              Currently, no hedge funds are holding shares in GB:RCN
              What is the TipRanks Smart Score and how is it calculated?
              Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                Company Description

                Redcentric PLC

                Redcentric plc delivers an extensive portfolio of managed information technology services to both public and private sector clients across the United Kingdom. Its core offerings span various critical areas, starting with networking solutions that include high-speed connectivity, software-defined wide area networks (SD-WAN), local area networks, managed WANs, secure remote access, and managed wireless infrastructures. The company also provides comprehensive cloud services, ranging from expert consultancy and migration support to infrastructure-as-a-service (IaaS), hybrid cloud deployments, colocation, data backup, managed Microsoft 365, disaster recovery, platform-as-a-service (PaaS), and virtual desktop environments. Beyond infrastructure, Redcentric facilitates communication through services like IP telephony, unified communications, collaboration tools, SIP trunks, call management and reporting, and call recording. Its robust IT security division offers network and application security, access management, security information and event management (SIEM), endpoint protection, distributed denial of service (DDoS) mitigation, vulnerability scanning and management, and continuous security monitoring and analytics. Additionally, the company provides professional services, encompassing IT consulting, application modernization, implementation support, supply chain management, and ongoing maintenance. Founded in 1997, Redcentric plc is headquartered in Harrogate, United Kingdom.

                Redcentric (RCN) Earnings & Revenues

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