Category: Market News

On the Beach (LSE:OTB) delivered record first-half booking volumes of 324,000, representing growth of 7% and outperforming the wider travel market despite significant disruption linked to geopolitical tensions in the Middle East.

Total transaction value increased 2% during the period, while travelled passenger volumes rose 22%, driven by strong demand for city breaks and shorter-duration winter holidays. However, the online travel group reported lower revenue and adjusted EBITDA as competitive pricing conditions, changes in product mix and a later booking profile weighed on profit margins.

Management said a greater contribution from lower-margin products and heightened industry competition contributed to the softer profitability performance despite higher customer volumes.

The company maintained broadly stable marketing and overhead costs while continuing to invest in technology infrastructure and artificial intelligence integration across its platform. On the Beach also retained a strong balance sheet, ending the period with £88 million of available headroom and £209.9 million held in customer trust accounts.

Net debt was reduced further during the half year, while approximately £33 million was returned to shareholders through a combination of dividends and share buybacks.

Strategic growth initiatives continued to perform strongly, with the group reporting rapid expansion in city breaks and the Republic of Ireland market. The company also saw increasing app usage, higher repeat booking rates and continued progress in customer retention.

Following the first-half performance, management reinstated full-year guidance and said it remains confident of delivering adjusted profit before tax in the range of £18 million to £25 million despite ongoing geopolitical uncertainty and pressure on consumer spending.

The company’s outlook remains supported by its relatively conservative balance sheet and improving profitability profile. However, concerns around cash flow durability and a relatively high price-to-earnings valuation continue to weigh on sentiment, while technical indicators remain broadly neutral.

More about On the Beach Group plc

On the Beach Group plc is one of the UK’s largest online package holiday providers, specialising in beach holidays while also expanding into city breaks and cruise travel. The company operates an asset-light technology-driven model focused on customer acquisition, automation and repeat business across the UK and Republic of Ireland markets. Through its proprietary booking platform and supplier relationships, the group aims to deliver scalable, profitable growth while maintaining operational efficiency and financial discipline.

Kromek Group (LSE:KMK) said it expects full-year 2026 revenue and profit before tax to meet market expectations, supported by stronger demand across its CBRN Detection and Advanced Imaging businesses.

The company reported increased sales within its chemical, biological, radiological and nuclear (CBRN) Detection division alongside continued underlying growth in Advanced Imaging operations. Performance during the second half was further supported by £8.8 million in new orders, reinforcing demand for Kromek’s specialist detection technologies in critical security and healthcare applications.

Within the Advanced Imaging segment, Kromek said it secured several long-term contracts and successfully managed supply chain challenges through a major follow-on order from an existing customer. Excluding the impact of a prior exceptional agreement with Siemens Healthineers, the division continued to demonstrate solid operational progress.

The CBRN Detection business also delivered year-on-year revenue growth despite some delays affecting government procurement programmes. Management said momentum across both divisions remains encouraging as the company continues to focus on executing its strategic growth priorities.

Kromek’s outlook is supported by improving financial performance, including stronger revenue growth, expanding margins and relatively low leverage. Free cash flow trends remain somewhat mixed, while technical indicators continue to point to positive momentum and an established upward trend. However, elevated RSI and stochastic readings suggest the shares may face some near-term pullback risk. Valuation remains moderate, with the stock trading on a price-to-earnings ratio of around 20.5 and offering no dividend yield.

More about Kromek Group plc

Kromek Group plc is a UK-based technology company specialising in radiation detection and bio-detection systems for medical imaging, security and industrial applications. The group develops CZT-based detector technology used in CT and SPECT imaging systems, while also supplying compact radiation detectors and biosecurity solutions for homeland security, defence and critical infrastructure protection markets.

Tern plc (LSE:TERN) said its portfolio company Device Authority has entered into a strategic partnership with cybersecurity specialist Xalient to strengthen security solutions for Internet of Things (IoT) and operational technology environments.

Under the agreement, Device Authority’s KeyScaler platform will be integrated into Xalient’s managed security services offering. The partnership is aimed at industries including energy, utilities, manufacturing, healthcare and critical infrastructure, where growing numbers of connected devices and tighter regulatory requirements are increasing demand for automated cybersecurity solutions built around Zero Trust principles.

The collaboration is designed to provide scalable management of device identities throughout their lifecycle, covering areas such as onboarding, credential provisioning, certificate renewal and secure decommissioning. Management said the approach is intended to reduce reliance on manual processes in large and complex enterprise environments.

By combining Device Authority’s machine identity automation capabilities with Xalient’s AIOps-enabled managed services platform, the companies aim to improve operational resilience, regulatory compliance and overall security management for enterprise customers.

The agreement could strengthen Device Authority’s position within the expanding IoT cybersecurity market and potentially enhance the long-term value of Tern’s investment portfolio, which is focused on emerging IoT technology businesses.

Tern’s broader outlook continues to be constrained by weak financial performance, including declining revenue, ongoing losses and negative operating and free cash flow. Technical indicators also continue to reflect a longer-term downtrend, although some signs of stabilisation have emerged following oversold conditions. Valuation remains difficult to justify given the company’s negative earnings profile and lack of dividend support.

More about Tern plc

Tern plc is a UK-based investment company focused on early-stage businesses developing Internet of Things technologies. Its portfolio includes Device Authority, which specialises in identity and access management solutions for IoT and operational technology devices across sectors such as automotive, healthcare and industrial infrastructure.

Strategic Minerals (LSE:SML) has completed drillhole CRD042 at its Redmoor tungsten, tin and copper project in Cornwall, with the company reporting extensive mineralisation across the Sheeted Vein System and beyond the main target structure.

The drillhole intersected significant occurrences of wolframite, cassiterite and chalcopyrite mineralisation, reinforcing confidence in the scale and continuity of the Redmoor deposit. Strategic Minerals also highlighted the successful use of navigational and wedge drilling techniques to achieve the tighter infill spacing required for ongoing resource development work.

Samples from drillhole CRD042 have now been sent for laboratory analysis, while drilling operations have already advanced to hole CRD043 from the same drill pad.

Supported by £8.7 million in funding raised earlier this year and a recent resource upgrade, the company has expanded its fully funded Redmoor drilling campaign to 22,500 metres across a minimum of 44 drillholes.

The enlarged programme is intended to complete infill drilling, improve the project’s exploration target and provide technical data for geotechnical, metallurgical and hydrogeological studies that will contribute to a future prefeasibility study.

Cornwall Resources, the company’s wholly owned subsidiary, has also submitted planning applications to deploy two additional drilling rigs, which are currently on standby pending approvals. Management believes the addition of further rigs could accelerate project development timelines and strengthen Redmoor’s strategic importance within the European critical minerals supply chain.

The company’s outlook is supported by improving financial performance during 2024 and favourable technical momentum indicators. However, valuation metrics remain demanding due to a relatively high price-to-earnings ratio and the lack of dividend support, while overbought technical conditions may increase short-term volatility risks.

More about Strategic Minerals plc

Strategic Minerals plc is an international mineral exploration and production company focused on the development of critical metals projects. Through its subsidiary Cornwall Resources Limited, the group is advancing the Redmoor tungsten, tin and copper project in Cornwall, which is regarded as one of Europe’s highest-grade undeveloped tungsten resources and is positioned to support regional supply chain security for critical minerals.

Seeing Machines (LSE:SEE) has received a US$3.8 million purchase order for its Guardian Backup-driver Monitoring System from a major North American autonomous driving company, extending an existing relationship as the customer expands its autonomous vehicle testing operations internationally.

The agreement reflects increasing demand for human oversight technology within autonomous mobility programmes, particularly in ride-hailing and fleet testing environments where safety operators are still required. Seeing Machines said its Guardian platform delivers real-time monitoring of backup drivers, helping support safer deployment of autonomous systems and regulatory compliance.

The contract is also expected to contribute to a meaningful increase in aftermarket revenue during the current quarter.

Management highlighted the importance of the company’s newly formed Future Mobility Group, which has been established to support the gradual rollout of autonomous transport technologies while human supervision remains necessary across many deployments.

By combining driver monitoring expertise with tools specifically designed for autonomous fleet operations, Seeing Machines aims to strengthen its role as a technology partner to major autonomous vehicle developers and mobility operators.

The company’s outlook continues to be affected by weak profitability and uneven cash flow performance despite strong revenue growth. Technical indicators remain relatively supportive, with the share price trading above key moving averages and momentum signals remaining positive, although elevated RSI levels suggest some potential for near-term volatility. Valuation metrics remain constrained by the company’s loss-making position and the absence of dividend income.

More about Seeing Machines

Seeing Machines is an Australia-headquartered technology company specialising in AI-powered vision systems designed to monitor driver and occupant behaviour. Listed on London’s AIM market, the company develops safety-focused monitoring solutions for automotive, commercial transport, off-road equipment and aviation applications. Its technology is used globally to improve operator safety and support the transition toward increasingly autonomous mobility systems.

Angling Direct (LSE:ANG) reported record full-year revenue of £103.9 million for the year ended 31 January 2026, supported by strong growth across both its retail store network and online operations.

UK sales increased 14.8% to £99.2 million during the period, helping drive a significant improvement in profitability. Adjusted EBITDA rose 42.9% to £4.8 million, while gross margin expanded to 37.6%.

The fishing tackle retailer also maintained a strong balance sheet, ending the year with a net cash position of £10.9 million. During the period, the company returned £2 million to shareholders through a share buyback programme that reduced the total share count by approximately 6%.

Operationally, Angling Direct continued expanding its MyAD loyalty and membership platform, with UK membership increasing nearly 47% to more than 600,000 users. The company also opened six additional stores during the year, taking its estate to 58 locations.

Management acknowledged softer recent trading conditions and some modest cost pressures linked to disruption stemming from the conflict in the Middle East. However, the company said it remains comfortable with FY27 expectations and has upgraded several of its medium-term growth targets.

These include a revised UK revenue target of £125 million, higher EBITDA ambitions and continued international expansion across Germany and the Netherlands. Management also reiterated its focus on disciplined capital allocation and responsible employment practices as part of its broader growth strategy.

The company’s outlook is supported by strong financial performance and recent operational progress, although technical indicators currently suggest weaker short-term momentum. Valuation metrics remain moderately attractive, while the absence of updated earnings call guidance limits visibility into longer-term expectations.

More about Angling Direct Plc

Angling Direct Plc is the UK’s largest omni-channel fishing tackle retailer, operating both physical stores and digital sales platforms across the UK and Europe. Headquartered in Norfolk, the company sells more than 25,000 fishing products from major third-party brands alongside its own Advanta and Discover ranges. Angling Direct also operates the MyAD Fishing Club platform and maintains dedicated e-commerce websites in markets including Germany, France and the Netherlands.

Marston’s (LSE:MARS) reported resilient interim results for the 26 weeks ended 28 March 2026, delivering improved profitability and stronger margins despite a slight decline in revenue.

Group revenue fell 1.1% to £422.7 million during the period, while underlying EBITDA remained stable at £85.9 million. The pub operator said tighter cost management and improved labour efficiency helped offset softer sales and supported margin expansion across the business.

Underlying profit before tax increased 7.9% to £20.5 million, while leverage improved modestly to 4.7 times. Net asset value per share also rose by almost 20% year-on-year, reflecting continued progress in strengthening the balance sheet and improving overall financial performance.

A key part of the company’s growth strategy has been the rollout of refreshed pub concepts and upgraded venue formats. Marston’s completed 60 refurbishments during the first half, bringing the total number of completed projects since FY2025 to 91.

Management said the refurbished sites have generated average returns on invested capital of around 35% and delivered like-for-like sales growth close to 20%, supporting plans for further expansion of the programme.

The group is increasing capital investment and continuing to develop digital initiatives such as its Order & Pay platform. Management also said the estate is well positioned for the important summer trading period, including expected demand linked to the World Cup, while signalling confidence in achieving full-year expectations and exploring a broader rollout of new pub formats from FY2027 onward.

The company’s outlook continues to improve as profitability, cash flow and deleveraging trends strengthen. Valuation metrics remain supportive due to a relatively low price-to-earnings ratio, although mixed technical indicators and weaker short-term share price momentum continue to weigh slightly on sentiment.

More about Marston’s PLC

Marston’s is a major UK hospitality group operating more than 1,300 pubs across managed, franchised and tenanted formats. The company focuses on community-led venues and has increasingly invested in differentiated pub concepts, digital ordering systems and customer experience initiatives to support long-term growth and operational efficiency.

Renew Holdings (LSE:RNWH) reported record interim results for the six months ended 31 March 2026, with revenue increasing 3.5% to £589 million and adjusted operating profit rising 4.4% to £33.4 million. The improvement also led to a modest increase in operating margins and helped the group move into a pre-IFRS 16 net cash position of £10.6 million.

The company’s order book reached a record £945 million during the period, reflecting strong demand across its infrastructure markets. Renew also increased its interim dividend to 7.0p per share, supported by solid cash generation and improved visibility over future workloads.

Operationally, the group continued to strengthen its position across core sectors. Renew retained its status as Network Rail’s largest infrastructure services supplier while also delivering record activity levels within its water operations. Management highlighted increasing collaboration between the company’s subsidiaries as part of its broader growth strategy.

The business also expanded through targeted acquisitions, completing the purchase of Emerald Power during the reporting period and subsequently acquiring Edwards Diving Services and PWR-X after the period end. The deals broaden Renew’s capabilities across specialist water services, overhead line infrastructure and high-voltage power markets.

Management said the acquisitions support the group’s active M&A strategy, which is intended to complement organic growth and expand exposure to long-term regulated infrastructure spending programmes. Organic growth during the first half reached 2.2%, with the company expecting stronger momentum in the second half of the year.

Over the five years to September 2025, Renew has delivered consistent compounded growth through a combination of operational expansion and seven strategic acquisitions, reinforcing its position as a relatively low-risk provider of essential infrastructure maintenance and renewal services.

The company’s outlook remains supported by steady revenue growth, disciplined cash management and resilient demand across regulated end markets. While technical indicators suggest some near-term share price weakness, valuation metrics remain broadly reasonable and are complemented by a moderate dividend yield.

More about Renew Holdings plc

Renew Holdings plc is a UK engineering services group specialising in the maintenance and renewal of critical national infrastructure. Through a portfolio of independently branded subsidiaries, the company provides non-discretionary services across regulated sectors including rail, energy, environmental services and infrastructure, benefiting from long-term funding commitments and recurring maintenance demand.