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Gattaca PLC (LSE:GATC), the specialist engineering and professional services staffing firm, has signalled a significant turning point in its long-term growth strategy. In a recent interview on The Watch List, CEO Matthew Wragg detailed a robust first half (H1) performance for the period ending January 31, 2026, characterized by a sharp rise in contract income and a “brave” refusal to be distracted by non-core markets.

The Group reported a total net fee income (NFI) of £21.2 million, representing a 7% increase on a like-for-like basis. Most notably, contract NFI rose by 13% year-on-year, outstripping market expectations and highlighting the resilience of the contingent labour market in high-skill sectors.

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A “Fewer, Bigger, Better” Strategy

For the past three years, Gattaca has been undergoing a deliberate rationalization process. Under Wragg’s leadership, the firm has reduced its global footprint and narrowed its focus to a handful of “core” sectors where it aims to be dominant.

“Success has many facets, but fundamentally it’s about great culture and a really clear focus on where we want to be famous,” Wragg noted. “We’ve been brave enough not to be distracted by opportunities outside of those channels.”

This strategy has seen the company “double down” on sectors with structural talent shortages, specifically:

• Energy & Infrastructure: Benefiting from long-term grid upgrades and renewable transitions.
• Defence: Leveraging a 40-year heritage to serve half of the UK MoD’s top 100 suppliers.
• Cyber Security: Bolstered by the 2025 acquisition of InfoSec People, providing a specialized platform for the rapidly evolving threat landscape.

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Driving Momentum and Shareholder Value

The surge in contract NFI is a key indicator of Gattaca’s operational health. Unlike permanent recruitment, which remains sensitive to macroeconomic shifts, the contract book provides a stable, recurring revenue stream. This stability has allowed the Board to reaffirm its commitment to being a “dividend-yielding stock,” a habit Wragg describes as essential for regaining investor trust.

Despite a significant increase in share price over the last 12 months, management remains convinced that the market has yet to fully “re-rate” the business to reflect its lean operational structure and niche market leadership.

Looking Ahead: Organic vs. Inorganic Growth

While the company is actively exploring inorganic opportunities, such as the aforementioned InfoSec People deal, the primary focus remains on organic expansion. Gattaca plans to grow its sales headcount by roughly 10% in 2026, targeting high-growth verticals like Water and Defence.

“Scale is one thing,” Wragg concluded, “but actually just being better and better is our real focus. We’re confident that scale will come as a result of that quality, rather than us chasing it.”

With a statutory net cash position of £13.0 million and trading currently ahead of expectations, Gattaca appears well-positioned to navigate the remainder of the 2026 fiscal year.

For more information about Gattaca Plc visit – https://www.gattacaplc.com/

Metro Bank (LSE:MTRO) reported underlying profit before tax of £98 million for the year ended 31 December 2025, marking the highest annual profit in the bank’s 15-year history and surpassing its cost reduction targets.

The lender recorded a 22% increase in net interest income to £460 million, which helped drive a 16% rise in underlying revenue to £585 million. Net interest margin for the year reached 2.98%, an increase of 107 basis points year-on-year, while the exit net interest margin stood at 3.17%, in line with management guidance.

Operating efficiency also improved during the period. Underlying operating costs declined 7% year-on-year to £473 million, exceeding the bank’s previous cost reduction target of 4–5%.

Total loans fell slightly by 2% to £8,823 million as the bank continued repositioning its lending portfolio toward higher-yielding segments. Corporate and commercial lending grew strongly, rising 34% to £3,570 million after the bank completed record gross new lending of £2 billion during the year.

Specialist mortgage lending also expanded rapidly, increasing 137% to £1,657 million. Meanwhile, customer deposits declined 7% to £13,445 million as Metro Bank deliberately reduced excess liquidity. The cost of deposits improved significantly, falling to 1.06% from 1.95% in the previous year.

The bank’s capital position strengthened, with its Common Equity Tier 1 ratio reaching 12.5%. Its total capital plus Minimum Requirement for Own Funds and Eligible Liabilities (MREL) ratio increased to 26.1%, compared with 23.0% previously. From 1 January 2026, Metro Bank was reclassified as a Transfer firm under the MREL regime, meaning its requirements will now align with minimum capital thresholds.

“Through focused execution of our strategy and pivot to higher margin business, we have boosted underlying profits to £98 million, the highest in our 15-year history, whilst reducing operating costs ahead of target,” said Daniel Frumkin, Chief Executive Officer.

Looking ahead, Metro Bank expects return on tangible equity to exceed 13% by the fourth quarter of 2026, rise above 15% in 2027 and surpass 18% by 2028. The bank forecasts exit net interest margins of between 3.40% and 4.00% for 2026 and between 3.75% and 4.50% for 2027, while operating costs are expected to remain broadly flat in 2026 compared with 2025.

Gresham House Energy Storage Fund PLC (LSE:GRID) reported a net asset value (NAV) of 113.3 pence per share as of 31 December 2025, representing a 2.0% decline during the fourth quarter.

The reduction in NAV was primarily driven by revised revenue assumptions, which lowered the September valuation by around 5.3%. This impact was partly offset by positive operational developments that added approximately 2% to the valuation, alongside cash generation contributing a further 1%.

During the quarter, the fund’s portfolio generated £15.4 million in revenue and £9.5 million in EBITDA, reflecting continued operational performance across its energy storage assets.

Gresham House also noted progress on the final phase of its three-year strategic plan focused on developing alternative revenue streams. Initial trials began in December 2025, with further details expected to be disclosed when the fund publishes its full-year results.

The portfolio’s weighted-average discount rate stood at 10.33% at the end of December 2025, slightly lower than 10.46% recorded at the end of the third quarter. Underlying asset discount rates remained unchanged.

In terms of development activity, the fund signed acquisition agreements in December 2025 for three new projects—Cockenzie, Monet’s Garden and Elland 2—which are currently held at cost in the portfolio. Construction on these assets is expected to begin in the first half of 2026, subject to securing grid connection offers.

The fund is also progressing negotiations for two additional projects, with agreements expected to be completed before construction begins in early 2027.

Among the new developments, Cockenzie is a 240MW project with a confirmed grid connection date of June 2027. The remaining four projects currently hold protected status while awaiting grid connection offers expected between now and May 2026.

Vistry (LSE:VTY) reported full-year 2025 results broadly in line with expectations, with adjusted profit before tax rising slightly to £268.8 million. The performance came despite a 4% decline in revenue and a 9% drop in housing completions, reflecting softer open market demand and uncertainty following the UK government’s November Budget.

The company’s partnerships model remained central to its strategy, accounting for 74% of total completions during the year. Vistry also highlighted its significant role in the affordable housing sector, noting that it delivered approximately one in seven of the UK’s affordable homes in 2025.

Financially, the group reduced year-end net debt to £144.2 million and plans to prioritise further deleveraging in 2026. Management is targeting a net cash position of around £100 million by the end of the year. The company will also complete its existing £130 million share buyback programme but does not plan additional capital returns in the near term.

To support sales in the open market, Vistry has implemented targeted pricing strategies and incentives. These measures have helped boost early trading in 2026, with management expecting higher revenue, sales volumes and profit over the year. However, margins are expected to soften due to the impact of discounts and incentives.

The company is also preparing for a leadership transition, with both CEO and chairman Greg Fitzgerald expected to step down over the next two years.

Overall, Vistry’s outlook is influenced by positive corporate actions such as share buybacks, which enhance shareholder returns. However, the financial picture remains mixed, with pressure on margins and higher leverage levels. Technical indicators point to relatively stable share price performance, though some signals suggest caution due to potentially overbought conditions. Valuation metrics remain constrained by a negative price-to-earnings ratio and the absence of a dividend yield.

More about Vistry Group

Vistry Group is a UK housebuilder and residential developer focused on partnership-led housing projects. The company specialises in delivering affordable, social and mixed-tenure housing through collaborations with government agencies, housing associations and local authorities. Its developments form part of broader initiatives such as the Social and Affordable Homes Programme, positioning the group as an important contributor to addressing the UK’s housing shortage.

MTI Wireless Edge (LSE:MWE) reported record revenue of $51.5 million for 2025, representing a 13% increase from the previous year. Profit from operations rose 29%, while earnings per share climbed 17%, supported by strong cash reserves of $9.4 million.

The company also increased its final dividend by 3% and extended its share buyback programme, reflecting confidence in its financial position and future prospects.

Growth was broad-based across all three of MTI’s divisions, each delivering double-digit revenue gains. The distribution and consulting segment led the performance with a 20% revenue increase, while strong demand for military antennas and 5G backhaul solutions supported the communications business. The company’s water management division also expanded, driven by rising global demand for efficient water control systems amid increasing water scarcity.

Management acknowledged that the year presented significant challenges for Israel and noted the passing of founder and chairman Zvi Borovitz. Despite these circumstances, the company maintained strong operational momentum and highlighted the long-term growth potential of its core markets, including defence technologies, 5G communications and water management infrastructure.

With a healthy order backlog and a growing pipeline of opportunities—particularly as governments increase defence spending—MTI enters 2026 expecting continued expansion and strengthened positioning within the radio frequency and critical infrastructure technology sectors.

The company’s outlook is supported by strong financial performance, a solid balance sheet and positive corporate developments. Technical indicators suggest bullish momentum in the shares, though some signals point to potentially overbought conditions in the near term. Valuation remains relatively attractive, supported by a reasonable price-to-earnings ratio and a consistent dividend yield.

More about MTI Wireless Edge

MTI Wireless Edge is an Israel-based technology group specialising in communication and radio frequency solutions serving defence, telecommunications and water management markets. The company operates through three main divisions: antennas for military and commercial communications, Mottech-branded water monitoring and irrigation control systems, and a distribution and consulting business providing RF and microwave components and engineering services.

Its antenna portfolio includes smart, MIMO and dual-polarity designs covering frequencies from 100 kHz to 174 GHz, supporting applications such as 5G backhaul, public safety networks and defence platforms. The water division provides remote monitoring and control solutions for agriculture, municipalities and commercial landscapes, while the distribution unit supports advanced communications, radar, SIGINT and monitoring system integration.

SRT Marine Systems (LSE:SRT) has secured a contract valued at US$261 million to deliver a national maritime domain awareness system for a new sovereign customer. The agreement exceeds the company’s earlier expectation of around US$200 million for the project.

The contract will formally begin once a project finance package supported by UK Export Finance is completed. The financing arrangement underlines the importance of government-backed support in enabling large-scale deployments of national maritime surveillance infrastructure.

With the addition of this deal, SRT’s portfolio now includes roughly £340 million of projects currently under implementation. Alongside these active programmes, the newly signed US$261 million contract awaits commencement, while the company’s broader opportunities pipeline is estimated to reach as much as £1.8 billion.

Management said rising geopolitical tensions—particularly across parts of the Middle East—are increasing demand for sovereign maritime surveillance capabilities. Governments are seeking independent monitoring systems to strengthen border security, fisheries protection and maritime safety, which the company believes reinforces its strategic position in the market.

From a financial perspective, the company’s outlook benefits from strong revenue growth and improving operational efficiency. However, valuation metrics remain relatively high and technical indicators have been weak, which may temper investor sentiment. The absence of a dividend and ongoing cash flow pressures also affect the overall investment profile.

More about SRT Marine Systems

SRT Marine Systems is a global provider of maritime intelligence, surveillance and safety solutions. The company develops integrated maritime domain awareness systems used by government agencies such as coast guards, fisheries authorities and port operators to monitor and manage maritime activity. Its technologies also support navigation safety and operational efficiency for commercial and leisure vessels around the world.

Gulf Marine Services (LSE:GMS) has removed personnel from four of its support vessels operating in the Middle East after a request from a client amid rising regional tensions in the Gulf. The company said the evacuation was carried out as a precautionary safety measure, reflecting its priority of ensuring the wellbeing of crews working aboard its self-elevating support units.

The offshore services provider is currently reviewing the potential impact of the situation on its operations and financial performance. Management said it will provide further updates to the market once there is greater clarity on how the developments may affect ongoing activities.

The announcement has been classified as inside information under UK market abuse regulations, highlighting the possible relevance of the development for investors and market participants.

Despite the operational uncertainty related to the regional situation, Gulf Marine Services’ broader outlook remains supported by strong financial performance. The company has reported robust revenue growth, healthy margins and solid free cash flow, while its valuation remains relatively modest based on earnings multiples. Technical indicators also reflect a clear upward share price trend, though momentum signals such as elevated RSI and stochastic readings suggest the stock may be approaching overbought territory in the near term.

More about Gulf Marine Services

Gulf Marine Services is a London-listed offshore marine services company founded in Abu Dhabi in 1977. The group specialises in self-propelled, self-elevating support vessels used in offshore energy operations. Its fleet of 15 vessels operates from bases in the United Arab Emirates, Saudi Arabia and Qatar, supporting oil, gas and offshore wind clients across regions including the Middle East, Southeast Asia, West Africa, North America, the Gulf of Mexico and Europe.

The company’s K-, S- and E-Class vessels are designed to support offshore platform refurbishment, maintenance and well intervention activities, as well as wind turbine installation, servicing and decommissioning. These four-legged, self-propelled units provide large deck space, heavy-lift crane capacity and accommodation for up to 300 personnel, offering cost and operational efficiencies compared with conventional support vessels.

Seraphim Space Investment Trust (LSE:SSIT) highlighted strong investment activity across its portfolio in its February newsletter, with several portfolio companies securing new funding and forming strategic partnerships as momentum builds in the SpaceTech sector.

Among the most notable developments, weather intelligence company Tomorrow.io raised $175 million at a unicorn valuation to accelerate deployment of its AI-driven weather satellite constellation. Meanwhile, SatVu secured £30 million in NATO-backed funding to expand its thermal imaging satellite network focused on Earth observation and security applications.

Additional portfolio-related progress included D-Orbit partnering with ELT Group on space initiatives in Saudi Arabia, while Voyager’s Starlab project continues building an ecosystem for in-orbit manufacturing and bioprinting. Other collaborations involving companies such as Xona, Skylo and AST SpaceMobile are advancing technologies including resilient satellite navigation, hybrid satellite-enabled Internet of Things connectivity and direct-to-device broadband services.

Beyond developments within its portfolio, Seraphim Space also announced that it has exceeded the $100 million fundraising target for its new early-stage venture fund. The milestone lifts the firm’s total assets under management above $550 million and strengthens its position as a specialist investor supporting emerging companies in the global space technology sector.

The newsletter also pointed to wider industry developments, including SpaceX’s acquisition of xAI, which reflects growing convergence between artificial intelligence and space infrastructure. Seraphim executives have also increased their participation in industry podcasts and conferences, reinforcing the firm’s visibility and influence in discussions around the strategic importance of space-based technologies.

Despite the sector momentum, the company’s outlook remains influenced by weak financial quality, including ongoing negative operating cash flow and valuation-driven earnings volatility, although the balance sheet remains debt-free. Technical indicators are currently supportive with a strong upward trend, though momentum suggests the shares may be becoming stretched. Valuation analysis remains limited due to the absence of meaningful P/E and dividend yield metrics.

More about Seraphim Space Investment Trust

Seraphim Space Investment Trust plc is a London-listed investment company focused on SpaceTech opportunities. Through its manager Seraphim Space, the trust invests in early- and growth-stage businesses developing satellites, in-orbit services, space-based data platforms and related infrastructure. Its investment strategy targets technologies with dual-use potential across sectors including defence, climate monitoring, life sciences and communications, supporting the expansion of the global space economy.

HICL Infrastructure (LSE:HICL) reported solid operational performance for the period from 1 October 2025 to 28 February 2026, supported by capital expenditure programmes across its growth assets that helped drive EBITDA improvements and stable cash generation.

The company reaffirmed its dividend guidance, targeting 8.35p per share for the financial year ending 31 March 2026 and 8.50p for 2027. These payouts are expected to be supported by forecast dividend cash cover of around 1.1 times, along with consistent cash flows from the group’s public-private partnership (PPP) portfolio.

As part of its capital allocation strategy, the board completed £225 million of disposals from its UK PPP portfolio at carrying value. Proceeds were used to repay drawings under the company’s revolving credit facility and to fund committed investments. HICL has also restarted share buybacks, which management believes are attractive at the current share price discount.

The company is redeploying capital into its existing growth assets, including Affinity Water, the Blankenburg Tunnel and the B247 road project, while continuing to pursue selective follow-on investments and portfolio optimisation through targeted disposals.

Key assets across the portfolio performed in line with or ahead of expectations. These included Affinity Water, London St. Pancras High Speed and telecommunications tower platform Fortysouth. Expansion capital expenditure, new co-location opportunities and an oversubscribed refinancing supported the strength and resilience of earnings.

Management said inflation trends and movements in bond yields are not expected to have a material near-term impact on the company’s net asset value. The company also noted that recent shareholder consultations following the cancellation of a proposed combination with TRIG indicated continued investor support for HICL’s strategy, portfolio and long-term return profile.

Overall, the company’s outlook is supported by strong cash generation and a solid financial structure. However, recent revenue and earnings momentum has been more modest. Technical indicators appear broadly neutral, while valuation is supported by an attractive dividend yield but is not clearly discounted on earnings multiples. Recent corporate actions, including share buybacks and strategic discussions around portfolio positioning, provide some additional positive sentiment.

More about HICL Infrastructure

HICL Infrastructure PLC is a London-listed investment company managed by InfraRed Capital Partners. The company invests in a diversified portfolio of core infrastructure assets, including public-private partnership projects, utilities, transport and digital infrastructure. Its strategy focuses on delivering stable income and long-term capital growth through investments in essential infrastructure across the UK and selected international markets.

Galliford Try (LSE:GFRD) reported solid results for the six months to 31 December 2025, with revenue increasing 1.3% to £934.9 million and adjusted profit before tax rising 20.5% to £24.7 million. The improvement was largely driven by stronger margins in the group’s Building and Infrastructure divisions.

Divisional adjusted operating margin improved to 3.2%, while the company’s order book expanded to £4.1 billion. Reflecting confidence in performance and cash generation, the group also increased its interim dividend by 18.2%. Management highlighted the company’s strong cash position and disciplined approach to risk management as key contributors to the improved profitability.

Looking ahead, Galliford Try expects both revenue and adjusted profit before tax for the full year to exceed the upper end of current market forecasts. The company also noted strong revenue visibility, with 98% of expected FY26 revenue and 80% of FY27 turnover already secured through existing contracts.

Strategic initiatives during the period included preparations to participate in the AMP8 water infrastructure programme, investment in a new pipe fabrication facility and the £10 million acquisition of Nene Valley Fire & Acoustic. The acquisition strengthens the group’s position in the higher-margin fire protection segment and supports expansion into specialist services.

These moves are intended to reinforce Galliford Try’s presence in sectors with strong long-term demand while supporting its broader strategy of achieving sustainable growth and improved margins through to 2030.

The company’s outlook is supported by favourable technical indicators and a stable financial position. Although revenue growth remains modest and margin pressures persist in parts of the market, initiatives such as its share buyback programme and continued focus on cash generation strengthen its appeal for investors seeking income and stability.

More about Galliford Try

Galliford Try Holdings plc is a UK-based construction and infrastructure group delivering building, infrastructure and specialist services primarily for public sector and regulated markets. The company has strong positions in areas such as highways, education, defence, custodial and healthcare facilities, and is increasingly expanding into higher-margin sectors including water infrastructure, fire protection and specialist fabrication through long-term national frameworks.