Author: Fiona Craig

British automotive distributor Inchcape Plc (LSE:INCH) reported full-year 2025 pretax profit in line with market forecasts and announced a new £175 million share buyback programme, marking its second repurchase initiative in less than a year.

Pretax profit for the year to December 2025 was £443 million, matching company-compiled consensus estimates. Earnings per share rose 13% on a constant currency basis to 80.8 pence, 2% ahead of the 79.1 pence consensus figure. The board increased the full-year dividend by 13% to 32.3 pence.

Revenue declined 2% year-on-year to £9.1 billion. On a constant currency basis, sales were flat, while organic revenue edged 1% higher, broadly in line with consensus expectations of £9.08 billion. Headline earnings before interest and tax fell 1% to £563 million, with the EBIT margin easing slightly to 6.2% from 6.3% in 2024.

Looking ahead, Inchcape expects revenue growth of around 3% in 2026 and an EBIT margin of 6%, consistent with analyst projections for pretax profit of £471 million. Management indicated that performance will likely be weighted toward the second half, reflecting seasonal dynamics in the expanded Americas division and first-half production disruption in Asia-Pacific.

The new £175 million buyback follows completion of a £250 million programme, taking total shareholder returns to £400 million since August 2024. Over that period, the company has repurchased approximately 13% of its outstanding shares.

At current trading levels of 870 pence, the shares trade on roughly 10 times 2026 estimated earnings and 5.3 times EV/EBITDA, offering a free cash flow yield of 14% and a dividend yield of around 4%, according to Jefferies, which maintains a “buy” rating and a 1,050 pence price target. The broker noted that Inchcape’s medium-term targets through 2030 — including 3–5% organic growth, a 6% margin, 25–30% return on capital employed, £2.5 billion in cumulative free cash flow and 10% compound EPS growth — may not yet be fully reflected in the valuation.

Regionally, Asia-Pacific revenue declined 12% on both a reported and organic basis. Europe and Africa recorded growth of 7% reported and 6% organic, while the Americas rose 5% reported and 8% organic. Fourth-quarter organic growth was 2%, with 10 new contracts secured and three exited during the period.

Net debt at year-end stood at £264 million, with leverage at 0.4 times. Working capital contributed a £31 million inflow. Inchcape added that cost efficiencies in Asia-Pacific are expected to offset approximately £17 million of one-off disposal gains recorded in 2025. The company is scheduled to release a first-quarter trading update on 30 April.

Aberdeen Group (LSE:ABDN) delivered improved profitability in 2025, with adjusted operating profit rising 4% to £264 million. IFRS profit before tax surged 76%, supported by investment gains and disciplined cost control. The group surpassed its transformation goal, achieving £180 million in annualised cost savings, while capital coverage strengthened to 218%. The dividend was maintained, reflecting enhanced balance sheet resilience.

Growth was driven primarily by interactive investor, where adjusted operating profit climbed 34%. Assets increased to £97.5 billion, and record net inflows highlighted strong client acquisition and engagement. In the Adviser segment, profits declined 32% due to strategic repricing initiatives, though net outflows narrowed and assets under management rose. The Investments division posted a 5% profit increase, benefiting from efficiency improvements despite revenue headwinds linked to asset allocation shifts.

Across the group, assets under management and administration rose 9% to £556 billion. Three-year investment performance improved to 80%, strengthening Aberdeen’s competitive positioning. Management is targeting at least £300 million in adjusted operating profit and approximately £300 million in net capital generation for 2026, signalling confidence in continued progress.

The company’s sharpened focus on efficiency and capital generation — including potential value realisation from its defined benefit pension surplus — provides added financial flexibility. Improving net flows in Institutional & Retail Wealth and sustained momentum at interactive investor suggest traction in building a leading UK wealth and investments platform.

From an investment perspective, Aberdeen benefits from solid financial delivery, strengthened capital metrics and an attractive valuation profile. The balance sheet remains robust, and technical indicators point to bullish momentum, with shares trading above key moving averages.

More about Aberdeen Group

Aberdeen Group plc is a UK-based wealth and investments business operating across interactive investor, adviser platforms and investment management. The group oversees retail and institutional assets under management and administration, with a growing fintech presence through interactive investor.

Its model combines subscription-based investment platforms, advisory services and asset management capabilities, generating revenue from trading activity, treasury income and management fees. Through ongoing transformation and cost-efficiency initiatives, Aberdeen aims to simplify operations, enhance capital strength and deliver scalable, sustainable growth across its core businesses.

Synectics (LSE:SNX) posted a robust set of results for the year ended 30 November 2025, with revenue climbing 22% to £68.1 million. Adjusted EBITDA rose 36% to £8.5 million, reflecting operational leverage and strong execution across its business units.

The group ended the period with a record £14.1 million cash balance and no bank debt, underlining its financial strength. Total dividends were increased by 11%. Performance was supported by growth in both the Synectic Systems and Ocular Integration divisions, alongside the successful completion of a £12 million international gaming contract.

Synectics has now moved into the delivery phase of a group-wide transformation aimed at building a more scalable, product-focused and partner-driven organisation. Initiatives include strengthening the senior leadership team and expanding its global systems integrator programme.

Management cautioned that FY26 will represent a transitional year, with revenue and margins expected to decline due to the absence of the one-off gaming project. However, the company is targeting a return to double-digit revenue growth and improved EBITDA from FY27, with further acceleration anticipated in FY28 as the benefits of the new operating model take hold.

From an investment standpoint, Synectics’ solid financial performance, net cash position and strategic repositioning are key positives. While technical indicators present mixed signals, valuation metrics suggest potential upside. The company appears well placed within the Security & Protection Services sector, supported by a strengthened balance sheet and a clearer long-term growth trajectory.

More about Synectics

Synectics plc is an AIM-listed provider of advanced security and surveillance technologies. The company integrates video management, cybersecurity, artificial intelligence and real-time analytics to safeguard people, assets and critical infrastructure. Its solutions serve markets including leisure and hospitality, gaming, transport and critical infrastructure, with increasing emphasis on scalable, product-led offerings delivered through global systems integrator partnerships.

Tern plc (LSE:TERN) has finalised its open offer to qualifying shareholders, achieving take-up of approximately 81% of the shares made available. The company received valid applications for 78,163,662 new ordinary shares out of a possible 96,101,957.

The fundraising will generate gross proceeds of around £312,654 at an issue price of 0.40 pence per share, before expenses. Further details regarding the intended deployment of the capital are expected in due course.

Interim chair Iain Ross and chief executive officer and PDMR Albert Sisto both participated in the offer. Part of Sisto’s subscription was satisfied through the conversion of a US$42,000 loan provided by an entity under his control. Following admission of the new shares to trading on AIM, anticipated on 4 March 2026, the company’s enlarged issued share capital will comprise 750,877,367 ordinary shares. This updated total will serve as the basis for shareholder voting rights and regulatory reporting.

Despite the successful capital raise, Tern’s financial profile remains under pressure. The company has experienced a sharp contraction in revenue, substantial losses and negative operating and free cash flow. Technical indicators suggest the shares remain in a broader downtrend, although some oversold signals hint at possible short-term stabilisation. Valuation remains challenging to assess given negative earnings and the absence of dividend yield data.

More about Tern plc

Tern plc is an AIM-listed investment company focused on building and realising value from Internet of Things (IoT) technology businesses. The group invests in and develops IoT ventures, seeking to capitalise on growing demand for connected devices and digital security solutions across a range of industries.

Empyrean Energy (LSE:EME) has confirmed that a final investment decision (FID) has been taken for the Mako Gas Project offshore Indonesia, advancing the asset from appraisal into full-scale development. First gas is targeted for the fourth quarter of 2027.

The project, located within the Duyung Production Sharing Contract, is fully funded at the joint venture level. Capital expenditure to first gas is estimated at approximately US$320 million, substantially reducing financing uncertainty as drilling and construction activities accelerate.

Mako has been significantly de-risked through successful appraisal wells, reservoir testing and completion of gas processing design work. The development will be tied into the West Natuna Transportation System, providing established export infrastructure.

Cash flow visibility is strengthened by a long-term gas sales agreement backed by the Indonesian government, running through January 2037. This contractual framework underpins projected revenues and lowers commercial risk, positioning Empyrean to monetise its Indonesian interest and potentially enhance shareholder value once production begins.

From an investment perspective, the company continues to face financial headwinds, including the absence of revenue, ongoing losses, negative operating and free cash flow, and negative equity alongside rising debt levels. Technical indicators show strong upward momentum, although an elevated RSI suggests the shares may be overextended in the near term. Valuation metrics remain difficult to assess given negative earnings and no stated dividend yield.

More about Empyrean Energy

Empyrean Energy is an oil and gas exploration and development company with assets in Australia, Indonesia and the United States. The group is focused on advancing hydrocarbon projects such as the Mako Gas Field in Indonesia, aiming to supply gas into growing Asian energy markets and generate long-term production-based revenues.

Shield Therapeutics (LSE:STX) announced that China’s National Medical Products Administration (NMPA) has formally accepted a marketing authorisation application for its ferric maltol therapy, ACCRUFeR. The application was submitted by its regional partner, Beijing Aosaikang Pharmaceutical.

The filing is supported by clinical data previously reviewed by the U.S. Food and Drug Administration, as well as results from a Phase 3 study in Chinese adults suffering from iron deficiency anaemia associated with inflammatory bowel disease who are intolerant to conventional oral iron treatments. The trial demonstrated favourable efficacy and tolerability outcomes.

Acceptance of the application marks a significant regulatory milestone and positions Shield to enter China’s expanding iron deficiency anaemia market. The sector is projected to grow from approximately $280 million in 2022 to more than $600 million by 2030, offering substantial commercial potential if approval is secured.

The development would further broaden ACCRUFeR’s international footprint and strengthen Shield’s presence in Asia through its established licensing network. A successful approval in China would complement existing commercial and partnership arrangements in other major markets.

From an investment perspective, the company’s outlook is shaped by strong technical momentum and constructive corporate progress. However, ongoing financial pressures and valuation concerns remain key risk factors. While strategic regulatory advances provide optimism, underlying financial stability continues to be a critical consideration for investors.

More about Shield Therapeutics

Shield Therapeutics is a commercial-stage specialty pharmaceutical company focused on treating iron deficiency and iron deficiency anaemia with its oral ferric maltol product, marketed as ACCRUFeR in the United States and FeRACCRU in other territories. The group commercialises ACCRUFeR in the U.S. through Viatris and has licensed rights across Europe, Canada, Asia-Pacific and Greater China, where partners are responsible for development and commercialisation in key growth markets.

Central Asia Metals (LSE:CAML) has released an updated year-end Mineral Resource and Ore Reserve statement for its Sasa zinc-lead operation, reporting a total Mineral Resource of 20.5 million tonnes and an Ore Reserve of 6.9 million tonnes as at 31 December 2025. Based solely on the Svinja Reka deposit, the revised plan indicates a mine life extending to 2034.

The update reflects more challenging geological conditions at depth, including narrower orebodies and increased complexity, alongside higher cost assumptions. As a result, reserve tonnage is lower than previously reported.

The company anticipates recording a non-cash impairment charge of up to $120 million in its 2025 accounts, driven by the shorter projected mine life and revised operational and pricing assumptions. Management stressed that the accounting adjustment will not impact cash flow generation or alter its dividend policy.

To address operational headwinds, Central Asia Metals is advancing efficiency and cost-reduction initiatives at Sasa. Ongoing exploration activities and consideration of an ore-sorting project are intended to enhance performance and potentially extend the mine’s economic lifespan.

From an investment perspective, the group continues to exhibit strong financial fundamentals, including healthy margins, modest leverage and solid cash generation. Valuation metrics remain supportive, with a moderate price-to-earnings ratio and an attractive dividend yield. While technical indicators suggest a constructive broader trend, overbought signals point to possible near-term share price volatility. Recent earnings commentary reaffirmed commitment to shareholder returns, while acknowledging cost and grade pressures at Sasa.

More about Central Asia Metals

Central Asia Metals is a base metals producer focused on zinc and lead, operating the wholly owned Sasa mine in North Macedonia. The company prioritises sustainable cash flow generation and consistent shareholder returns, maintaining its stated dividend policy even as it navigates operational and geological challenges at Sasa.