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SSP Group PLC (GB:SSPG)
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SSP Group plc (SSPG) AI Stock Analysis

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GB

SSP Group plc

(LSE:SSPG)

Rating:73Outperform
Price Target:
193.00p
▲(13.06%Upside)
SSP Group plc benefits from strong financial performance and positive corporate events, particularly its expansion into the Indian market. However, its high leverage and overvaluation concerns moderate the overall score. The technical analysis suggests a neutral market sentiment, further supporting a balanced view.
Positive Factors
Cost Management
The launch of an overhead cost savings programme is set to support future earnings.
International Sales Performance
Strong like-for-like sales in APAC, EEME, and the UK are offsetting reduced North America passenger numbers.
Valuation Opportunities
The potential valuation catalyst of the joint venture in India seeking an Indian Stock Exchange listing is expected to complete, offering growth prospects.
Negative Factors
Discounted Valuation
SSP's valuation at a 14.2x P/E for FY25E is at a 40% discount to the pre-COVID P/E multiple, which might concern investors.
Macroeconomic Uncertainty
Greater macro uncertainty has been flagged, which could impact future performance.

SSP Group plc (SSPG) vs. iShares MSCI United Kingdom ETF (EWC)

SSP Group plc Business Overview & Revenue Model

Company DescriptionSSP Group plc operates food and beverage outlets. The company operates outlets at airports, railway stations, motorway service areas, hospitals, and shopping centers. It operates approximately 550 brands in 36 countries in the United Kingdom, Europe, North America, and internationally. SSP Group plc was incorporated in 2006 and is headquartered in London, the United Kingdom.
How the Company Makes MoneySSP Group plc generates revenue through the operation of food and beverage outlets in travel locations, primarily airports and railway stations. The company earns money by providing dining services under a variety of brand names, which include both proprietary brands and licensed franchises. Key revenue streams include sales of food and beverages to travelers, as well as income from franchise agreements. Significant factors contributing to SSP Group's earnings include strategic partnerships with global brand operators, location contracts with travel hubs, and the ability to adapt offerings to local tastes and preferences.

SSP Group plc Financial Statement Overview

Summary
SSP Group plc demonstrates strong revenue growth and operational efficiency improvements, with a significant increase in net income. However, the high debt-to-equity ratio indicates leverage risk, necessitating cautious debt management.
Income Statement
85
Very Positive
SSP Group plc shows strong revenue growth with a 14% increase from 2023 to 2024, indicating a robust recovery post-pandemic. The gross profit margin is healthy at 47.12%, and the EBITDA margin improved to 17.70%, reflecting operational efficiency. Net profit margin is modest at 0.80%, with net income rising significantly. However, the company should focus on further improving net profitability.
Balance Sheet
77
Positive
The company has a high debt-to-equity ratio of 8.52, indicating significant leverage, which could pose risks if interest rates rise or earnings falter. Return on equity improved to 12.06%, demonstrating effective use of equity to generate profits. The equity ratio is fairly low at 7.16%, suggesting reliance on external financing.
Cash Flow
82
Very Positive
Operating cash flow is robust, with an impressive ratio of 20.68 when compared to net income, highlighting strong cash generation from operations. Free cash flow increased by 14.04%, supporting reinvestment and debt management. The free cash flow to net income ratio is healthy at 9.83, indicating stable cash conversion.
BreakdownSep 2024Sep 2023Sep 2022Sep 2021Sep 2020
Income Statement
Total Revenue3.43B3.01B2.19B834.20M1.43B
Gross Profit1.62B1.25B606.80M-101.90M56.10M
EBITDA607.50M496.20M369.90M-105.80M58.00M
Net Income27.40M8.10M-10.20M-357.30M-375.00M
Balance Sheet
Total Assets3.17B2.90B2.83B3.18B2.92B
Cash, Cash Equivalents and Short-Term Investments254.80M303.30M543.60M773.60M185.00M
Total Debt1.94B1.72B1.69B2.25B2.23B
Total Liabilities2.79B2.58B2.52B2.87B2.72B
Stockholders Equity227.20M226.20M225.00M240.30M130.10M
Cash Flow
Free Cash Flow269.40M236.20M236.40M25.00M-151.20M
Operating Cash Flow566.50M478.70M396.00M99.60M-13.60M
Investing Cash Flow-413.90M-264.90M-150.30M-69.90M-161.00M
Financing Cash Flow-187.00M-440.70M-490.30M564.10M131.50M

SSP Group plc Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price170.70
Price Trends
50DMA
169.64
Positive
100DMA
160.73
Positive
200DMA
164.04
Positive
Market Momentum
MACD
2.01
Positive
RSI
45.59
Neutral
STOCH
15.88
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SSPG, the sentiment is Neutral. The current price of 170.7 is below the 20-day moving average (MA) of 176.17, above the 50-day MA of 169.64, and above the 200-day MA of 164.04, indicating a neutral trend. The MACD of 2.01 indicates Positive momentum. The RSI at 45.59 is Neutral, neither overbought nor oversold. The STOCH value of 15.88 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:SSPG.

SSP Group plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
GBMAB
81
Outperform
£1.64B9.876.90%1.95%275.56%
73
Outperform
£1.38B50.3812.09%3.24%14.07%236.27%
73
Outperform
£276.46M6.3310.69%0.50%
71
Outperform
£304.77M11.756.45%4.43%4.79%223.72%
GBJDW
67
Neutral
£808.91M14.8116.38%0.39%3.70%57.10%
62
Neutral
C$5.19B8.8120.23%3.49%3.08%9.19%
61
Neutral
£508.78M58.941.27%2.50%24.95%-153.58%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:SSPG
SSP Group plc
170.70
-7.68
-4.31%
GB:FSTA
Fuller Smith & Turner
554.00
-133.06
-19.37%
GB:MARS
Marston's
44.25
7.45
20.24%
GB:MAB
Mitchells & Butlers
279.00
-17.50
-5.90%
GB:JDW
J D Wetherspoon
773.00
40.27
5.50%
GB:YNGA
Young & Co'S Brewery
930.00
-46.32
-4.74%

SSP Group plc Corporate Events

Delistings and Listing ChangesBusiness Operations and Strategy
SSP Group Celebrates Successful IPO of Travel Food Services in India
Positive
Jul 14, 2025

SSP Group plc, in partnership with K Hospitality Corp, successfully launched the IPO of Travel Food Services Limited (TFS) on the Indian Stock Exchanges. This marks a significant milestone for SSP’s joint venture, highlighting the growth potential in India’s travel market and setting the stage for further expansion and value creation for stakeholders.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
SSP Group Announces Change in Major Holdings by HSBC
Neutral
Jul 10, 2025

SSP Group plc has announced a change in the nature of its major holdings, with HSBC Holdings plc now holding a total of 9.109% of voting rights in the company. This adjustment in shareholding reflects a slight decrease from the previous notification, indicating a minor shift in the company’s ownership structure. The change in voting rights could have implications for SSP Group’s strategic decisions and influence within the industry, as HSBC Holdings remains a significant stakeholder.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Delistings and Listing ChangesBusiness Operations and Strategy
SSP Group Announces Pricing for TFS IPO in India
Positive
Jul 10, 2025

SSP Group plc, in partnership with K Hospitality Corp, announced the pricing of the initial public offering (IPO) for Travel Food Services (TFS) in India at 1,100 Indian Rupees per share, reaching the top end of the expected range. This pricing suggests a market capitalization of 144.8 billion Indian Rupees upon listing. TFS, a joint venture between SSP and K Hospitality, is a leading player in the Indian airport travel quick service restaurant and lounge sectors. The IPO is set to commence trading on 14 July 2025, marking a significant step for SSP’s expansion in the Indian market, potentially enhancing its industry positioning and offering new opportunities for stakeholders.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Business Operations and Strategy
SSP Group’s Key Managers Acquire Shares Under UK SIP
Positive
Jul 8, 2025

SSP Group plc announced that several of its key managerial personnel have acquired ordinary shares under the company’s UK Share Incentive Plan (UK SIP). This move, which involves both the purchase of Partnership Shares and the allocation of Matching Shares, is part of a broader strategy to align the interests of management with those of shareholders. The transactions, conducted on the London Stock Exchange, reflect the company’s commitment to employee investment and could potentially enhance stakeholder confidence in the company’s governance and future performance.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Regulatory Filings and Compliance
SSP Group Sees Slight Increase in HSBC’s Voting Rights
Neutral
Jul 7, 2025

SSP Group PLC, a UK-based company, has experienced a change in the nature of its major holdings as notified by HSBC Holdings plc. The notification indicates that HSBC’s total voting rights in SSP Group have slightly increased from 9.105% to 9.111%, reflecting a minor shift in the company’s shareholder structure.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Delistings and Listing ChangesBusiness Operations and Strategy
SSP Group’s Indian Joint Venture TFS Opens IPO to Strong Investor Interest
Positive
Jul 7, 2025

SSP Group plc, in partnership with K Hospitality Corp, has announced the opening of the initial public offering (IPO) for Travel Food Services Limited (TFS) in India. The IPO has attracted significant interest from major global and Indian investors, with 5,443,635 equity shares allocated to anchor investors at the top of the price band. This move is expected to strengthen TFS’s position in the fast-growing Indian airport travel quick service restaurant and lounge sectors, potentially enhancing SSP’s market presence in India.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
SSP Group Announces Change in Major Holdings by HSBC
Neutral
Jul 2, 2025

SSP Group plc has announced a change in the nature of its major holdings, with HSBC Holdings plc being the entity subject to the notification obligation. As of June 26, 2025, HSBC’s voting rights in SSP Group have slightly increased to 9.105%, reflecting a minor adjustment in their financial instruments and equity swap positions. This adjustment in holdings could potentially influence SSP Group’s strategic decisions and stakeholder interests, given HSBC’s significant voting power.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Delistings and Listing ChangesBusiness Operations and Strategy
SSP Group Announces IPO for Travel Food Services in India
Positive
Jul 2, 2025

SSP Group plc, in partnership with K Hospitality Corp, has announced the proposed initial public offering (IPO) of Travel Food Services (TFS) in India, with the Red Herring Prospectus filed and a price band set between 1,045 to 1,100 Indian Rupees per share. SSP will purchase an additional 1.01% stake in TFS, bringing its total holding to 50.01%, as TFS prepares for listing on Indian stock exchanges. This move is part of SSP’s strategy to strengthen its position in the Indian market and enhance TFS’s market-leading status in the fast-growing travel sector. The IPO is expected to highlight the value created by SSP’s investment in TFS and provide a platform for future growth, benefiting shareholders and enhancing TFS’s reputation and competitive position.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £2.10 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Regulatory Filings and Compliance
SSP Group Announces Updated Share Capital and Voting Rights
Neutral
Jun 30, 2025

SSP Group plc announced that as of 30 June 2025, its issued share capital comprises 801,939,695 ordinary shares, with 263,499 held in treasury, resulting in a total of 801,676,196 voting rights. This information is crucial for shareholders and others with notification obligations under the FCA’s Disclosure and Transparency Rules, as it serves as the denominator for calculating changes in shareholding interests.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
SSP Group PLC Announces Change in Major Holdings
Neutral
Jun 27, 2025

SSP Group PLC, a UK-based company, has announced a change in the nature of its major holdings. HSBC Holdings plc, along with its subsidiaries, has increased its voting rights in SSP Group to 9.105%, up from 9.092%. This change reflects a slight increase in HSBC’s influence over SSP Group, potentially impacting the company’s strategic decisions and stakeholder interests.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Business Operations and Strategy
SSP Group Enhances Managerial Stake with Share Incentive Plan
Positive
Jun 9, 2025

SSP Group plc announced that key managerial personnel have acquired ordinary shares under the company’s UK Share Incentive Plan. This move, involving the purchase and allocation of shares, reflects the company’s ongoing efforts to align employee interests with corporate performance, potentially enhancing stakeholder confidence in its governance practices.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Executive/Board Changes
SSP Group Grants Performance Share Award to New CFO Designate
Neutral
May 23, 2025

SSP Group plc announced the grant of a Performance Share Award to Geert Verellen, the newly appointed CFO Designate, as part of the company’s Long Term Incentive Plan. The award, which is contingent on meeting specific performance targets over a three-year period, reflects the company’s commitment to aligning managerial incentives with shareholder interests, potentially impacting the company’s operational focus and stakeholder value.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £2.10 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Stock BuybackBusiness Operations and StrategyFinancial Disclosures
SSP Group Reports Strong Half-Year Results and Maintains Full-Year Guidance
Positive
May 20, 2025

SSP Group plc reported its half-year financial results, showing a 9% increase in revenue to £1.7 billion and a 20% rise in operating profit to £45 million. Despite a statutory loss per share of 7.7p due to non-cash IT transformation costs and impairments, the company maintained its full-year guidance, highlighting strong sales growth in regions like APAC & EEME. The company is implementing a cost reduction program and capital expenditure tightening to enhance profitability and cash generation, with plans for a potential share buyback program later in the year.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Business Operations and Strategy
SSP Group plc Announces Managerial Share Acquisitions Under UK SIP
Positive
May 15, 2025

SSP Group plc announced that several of its managerial personnel acquired shares under the company’s UK Share Incentive Plan (UK SIP). This plan, which is available to all UK employees meeting certain conditions, allows participants to purchase shares and receive matching shares at no cost. The transactions, conducted on the London Stock Exchange, reflect the company’s ongoing commitment to employee investment and engagement, potentially enhancing stakeholder confidence in the company’s governance and employee alignment with corporate goals.

The most recent analyst rating on (GB:SSPG) stock is a Hold with a £240.00 price target. To see the full list of analyst forecasts on SSP Group plc stock, see the GB:SSPG Stock Forecast page.

Business Operations and Strategy
SSP Group Announces Change in Major Holdings
Neutral
Apr 30, 2025

SSP Group plc has announced a change in the nature of its major holdings, with HSBC Holdings plc now holding a slightly reduced percentage of voting rights in the company. The total voting rights held by HSBC have decreased from 9.205% to 9.092%, reflecting a minor adjustment in their investment position. This change in holdings could have implications for SSP Group’s shareholder dynamics and may influence future decision-making processes within the company.

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: Jul 14, 2025