Tribal Group plc (TRB) AI Stock Analysis

• Market Cap: £83.69M
• Dividend Yield: 1.66%
• Average Volume (3M): 149.59K
• Price to Earnings (P/E): 15.2
• Beta (1Y): 0.56
• Revenue Growth: 4.97%
• EPS Growth: 3.63%
• Country: UK
• Employees: 867
• Sector: Technology
• Sector Strength: 84
• Industry: Software - Application
• EPS (TTM): 0.03
• Shares Outstanding: 214,180,980
• 10 Day Avg. Volume: 63,722
• 30 Day Avg. Volume: 149,590
• PEG Ratio: N/A
• Price to Book (P/B): 1.71
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.95
• 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

• Rating: 71 Outperform
• Price Target: 45.00p ▲(16.28%Upside)

Tribal Group plc's strong financial performance and positive corporate events are the primary drivers of the score. The fair valuation and neutral technical indicators provide a balanced outlook. The company's transition to a SaaS model and reduced debt reinforce its potential for sustainable growth.

Tribal Group plc Business Overview & Revenue Model

Company Description

Tribal Group plc, through its subsidiaries, provides education related systems, solutions, and consultancy services in the United Kingdom, Australia, other Asia Pacific, North America, and internationally. It operates in two segments, Student Information Systems (SIS) and Education Services (ES). The SIS segment offers software, and maintenance and support services; and deploys and configures software solutions, asset management, and information managed services for its customers. The ES segment offers inspection and review services that support the assessment of educational delivery, as well as a portfolio of performance improvement tools and services, including analytics. The company serves higher education, further education, vocational institutions, colleges, training providers, employers, and school sectors, as well as government and state bodies. Tribal Group plc was founded in 1999 and is based in Bristol, the United Kingdom.

How the Company Makes Money

Tribal Group plc generates revenue primarily through the sale and licensing of its software products and the provision of related services. The company's key revenue streams include software licenses, software as a service (SaaS) subscriptions, and consultancy services. Tribal Group maintains significant partnerships with educational institutions and government bodies, offering tailored solutions that enhance institutional performance and student outcomes. The company also capitalizes on ongoing customer support and maintenance contracts, which provide a stable, recurring source of income. Additionally, Tribal Group leverages its expertise in education management to offer strategic advisory services, helping institutions optimize their operations and strategic planning.

Tribal Group plc Financial Statement Overview

Summary

Tribal Group plc exhibits solid financial performance with consistent revenue growth and strong cash flow generation. The company's low leverage and solid equity base contribute to its financial stability. However, slightly declining EBIT margins and reduced cash reserves highlight areas for improvement.

Income Statement

Tribal Group plc has shown a consistent increase in revenue over the past years, with a revenue growth rate of 4.97% from 2023 to 2024. The gross profit margin stands at 48.33% for 2024, reflecting effective cost management. The net profit margin improved to 6.10%, indicating enhanced profitability. However, the EBIT margin decreased slightly to 7.66%, suggesting a slight dip in operational efficiency.

Balance Sheet

The company's debt-to-equity ratio of 0.19 in 2024 signifies a low level of leverage, which is a positive sign of financial stability. The return on equity (ROE) is 10.66%, showcasing decent profitability relative to shareholder equity. The equity ratio is 45.52%, indicating a solid equity base. However, the decrease in cash and cash equivalents may pose liquidity challenges.

Cash Flow

The operating cash flow to net income ratio is strong at 2.32, demonstrating robust cash generation relative to profits. The free cash flow growth rate is noteworthy, turning positive in 2024, which signals improved financial health and potential for reinvestment. However, the substantial capital expenditures in previous years could impact future cash flows.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
90.01M	85.75M	83.58M	81.15M	72.95M
	Gross Profit
43.49M	41.39M	31.34M	41.81M	38.63M
	EBIT
6.89M	7.26M	2.89M	8.89M	9.11M
	EBITDA
11.26M	11.24M	4.78M	12.45M	12.93M
	Net Income Common Stockholders
5.49M	5.29M	-510.00K	6.99M	6.36M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
5.29M	6.80M	2.89M	5.92M	9.52M
	Total Assets
113.07M	113.64M	103.07M	97.35M	85.03M
	Total Debt
9.61M	16.03M	7.73M	2.33M	3.57M
	Net Debt
4.32M	9.24M	4.84M	-3.60M	-5.95M
	Total Liabilities
61.60M	65.16M	58.25M	51.01M	46.81M
	Stockholders Equity
51.47M	48.48M	44.82M	46.34M	38.22M
Cash Flow		Free Cash Flow
8.01M	-1.35M	-4.98M	3.10M	-2.02M
	Operating Cash Flow
12.71M	7.51M	6.11M	13.89M	5.46M
	Investing Cash Flow
-4.68M	-8.71M	-12.03M	-16.91M	-9.17M
	Financing Cash Flow
-9.22M	5.35M	2.85M	-406.00K	-3.27M

Tribal Group plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 38.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TRB, the sentiment is Negative. The current price of 38.7 is below the 20-day moving average (MA) of 40.62, below the 50-day MA of 40.80, and below the 200-day MA of 44.32, indicating a bearish trend. The MACD of -0.59 indicates Positive momentum. The RSI at 37.46 is Neutral, neither overbought nor oversold. The STOCH value of 17.36 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:TRB.

Tribal Group plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ELCO	73 Outperform	£134.37M	39.75	11.59%	0.53%	15.67%	25.62%
TRB	71 Outperform	£83.69M	15.21	10.98%	1.66%	4.97%	3.63%
AOM	64 Neutral	£87.42M	102.12	9.60%	―	―	―
OMG	63 Neutral	£72.73M	101.72	3.66%	5.51%	-6.29%	-86.64%
Sector *	62 Neutral	$11.70B	10.39	-7.10%	2.92%	7.45%	-8.42%
SPA	60 Neutral	£54.54M	326.67	0.88%	―	4.80%	350.00%
RM	47 Neutral	£80.02M	―	-22.14%	―	-14.88%	88.86%

Tribal Group plc Corporate Events

Tribal Group plc Corrects Issued Share Capital Figures

Tribal Group plc announced a correction to its issued share capital, clarifying that as of May 31, 2025, the company has 214,180,982 ordinary shares with voting rights, not the previously stated 214,308,482. This update is crucial for shareholders to accurately assess their interests in the company under the Financial Conduct Authority’s rules.

Tribal Group Updates Share Capital Details

Tribal Group plc announced that its issued share capital consists of 214,308,482 ordinary shares, each with one voting right. This update is crucial for shareholders to calculate their interests in the company under the UK Financial Conduct Authority’s rules, impacting how they manage their investments.

Tribal Group plc Secures Unanimous Shareholder Support at AGM

Tribal Group plc announced that all resolutions proposed at its recent Annual General Meeting were passed, reflecting strong shareholder support. This outcome indicates stability and confidence in the company’s leadership and strategic direction, potentially reinforcing its position in the education software industry.

Tribal Group Updates Dividend Payment Schedule

Tribal Group plc announced an update to its dividend payment due to an administrative oversight. The final dividend, previously omitted from the AGM notice, will now be paid as an interim dividend, with all other details remaining unchanged. The dividend of 0.65p per share is scheduled for payment on 24 July 2025, with a record date of 27 June 2025 and an ex-dividend date of 26 June 2025. This update ensures that stakeholders receive their expected dividends, maintaining the company’s commitment to its shareholders.

Tribal Group plc Issues New Shares Following Option Exercise

Tribal Group plc has announced the issuance of 278,784 new ordinary shares following the exercise of options by senior management under the company’s 2022 Long Term Incentive Plan. This move will increase the company’s total issued share capital to 214,133,482 ordinary shares, with the new shares expected to commence trading on AIM on 9 May 2025. The exercise and subsequent sale of shares by PDMRs Mark Pickett and Diane McIntyre are partly to cover tax obligations, with implications for their beneficial interests in the company.

Harwood Capital LLP Increases Stake in Tribal Group PLC

Tribal Group PLC has announced a change in its major holdings, with Harwood Capital LLP increasing its voting rights to 10.04561% from a previous 9.993%. This acquisition signifies a strategic move by Harwood Capital LLP, potentially impacting Tribal Group’s governance and future strategic decisions, as the increased stake could influence shareholder voting outcomes.

Tribal Group plc Exceeds Expectations with Strong FY24 Results

Tribal Group plc reported strong financial results for the year ended 31 December 2024, with revenue and adjusted EBITDA exceeding market expectations. The company saw a 6.5% increase in Annual Recurring Revenue, driven by growth in its strategic core products, and a significant reduction in net debt to £3.2m. The Group’s focus on transitioning to a SaaS business model and enhancing operational efficiency has supported its robust performance, despite challenges in the market. The company is optimistic about continued growth and profitability in FY25, underpinned by its effective cloud strategy and increasing ARR.