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REAT React Group Plc

67.50
0.00 (0.00%)
19 Apr 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
React Group Plc LSE:REAT London Ordinary Share GB00BPCTRB97 ORD 12.5P
  Price Change % Change Share Price Shares Traded Last Trade
  0.00 0.00% 67.50 9,554 08:00:00
Bid Price Offer Price High Price Low Price Open Price
67.00 68.00 67.50 67.50 67.50
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
Bldg Clean & Maint Svc, Nec 19.58M 50k 0.0000 - 720.66M
Last Trade Time Trade Type Trade Size Trade Price Currency
15:25:08 O 2,201 67.95 GBX

React (REAT) Latest News

React (REAT) Discussions and Chat

React (REAT) Most Recent Trades

Trade Time Trade Price Trade Size Trade Value Trade Type
14:25:0967.952,2011,495.58O
10:36:5868.007,3524,999.36O
08:18:0467.9510.68O

React (REAT) Top Chat Posts

Top Posts
Posted at 19/4/2024 09:20 by React Daily Update
React Group Plc is listed in the Bldg Clean & Maint Svc, Nec sector of the London Stock Exchange with ticker REAT. The last closing price for React was 67.50p.
React currently has 1,067,648,507 shares in issue. The market capitalisation of React is £720,662,742.
This morning REAT shares opened at 67.50p
Posted at 04/4/2024 08:24 by rivaldo
I love that you can come to that conclusion after just 15 minutes :o))

The share price is already up 1.5p on just £11k of trades, which hopefully indicates there's not much stock around. Come back at the earliest at the end of the day and then it might be time to discuss how much interest there is!

EDIT - interesting buy just now of 454 shares at 69.36p, a long way above the published 68p offer price.
Posted at 28/3/2024 09:39 by gbenson1
Very positive trading statement, if the share consolidation is approved at the AGM (we should know about 1400 hrs) @ the current share price it should be worth 67.5p on the opening on Tuesday after the bank holiday. With only 21m+ shares in issue I suspect we should see an upward movement in the share price @ the open!!
Posted at 27/3/2024 18:26 by superhoop2
Big day tomorrow ... hope it goes smoothly and at the higher share price and extremely low amount of shares in issue plus a bit of 'news' it could be the start of a more realistic share price!
Posted at 07/3/2024 21:37 by tole
https://masterinvestor.co.uk/equities/small-cap-catch-up-time-reat-eman-and-foxt/REACT Group (LON:REAT) – Ready To Be Swept AwayIn my Profile on this leading specialist cleaning, hygiene, decontamination and contract cleaning business on 12th February I made a concluding comment about the 1,067,648,507 shares in issue.I clearly stated that –"It would be sensible if moves were made to lose the current 'penny share' status, that could give it more investor credibility – which it certainly deserves."The shares, which I classed as a bargain for new investors, were then 1.25p, they have since been up to 1.50p, that was before yesterday morning's announcement which I consider will go a long way to gaining the £15m valued group so much more credence.The group has now proposed to consolidate its share capital with the aim of improving the marketability of its shares. If approved, this measure will give 1 new share for every 50 currently held.That will see the number in issue reduce following the consolidation to just 21,352,971 shares.We will look to the AGM on Thursday 28th March and the group's latest Trading Update for further comment on the current year Outlook.The shares closed last night at just 1.38p.
Posted at 06/3/2024 18:34 by cfb2
MMs tend to offer a smaller percentage spread with a higher share price. No reason why that should be the case but they do.

A 50:1 consolidation will result in fractional entitlements. Likely the company will benefit; if you had 99 shares before consolidation you will only have 1 share and the company will normally get the pre-consolidation 49 shares. Over a large number of small shareholders this does become significant.

Also a consolidation allows the company to set the nominal share value again. Useful if they are looking to make acquisitions, which apparently they are.
Posted at 06/3/2024 10:58 by rivaldo
Agreed overall a good move. Personally penny share or not makes no difference to me - the m/cap etc remain the same - but I can see why psychologically it's better not to be a penny share, and it seems institutional investors prefer a "proper" share price.

REAT remains cheap imo whether it's 1.4p or 70p!

I've signed up for the 28th March AGM Investor Meet - hopefully there'll be another update on trading etc, though it might be relatively brief given that the results will only have been issued seven weeks previously.
Posted at 29/2/2024 12:09 by rivaldo
The Mello presentation is well worth a watch. I thought the management came across well, the outlook was generally very positive, and the particular advantages of the company were stressed:

- recurring revenues up to a whopping 87%
- free cash flows of £2.1m and £2.3m adjusted EBITDA against a £14.9m m/cap
- further acquisitions being considered
- REAT have the advantage as business purchasers due to their size and reach
- similarly REAT have the size advantage in being able to serve clients nationwide as those clients expand and grow
- REAT are installing systems this year in LaddersFree which will greatly enhance efficiency and enable cost savings

Plus we now know that "the first few months of FY24 have delivered a record trading performance for the Group", and "Momentum from FY23 has continued into the new financial year".

With 0.136p EPS forecast to this September, rising to 0.156p EPS for the year starting in only 7 months, REAT are cheap on a single figure P/E, let alone on the FCF as outlined or given the huge recurring income.

Watch from around 1hr 21m:
Posted at 23/2/2024 12:18 by rivaldo
Plus REAT have just been tipped in the last hour here FYI:



"React Group – a further trading and strategic delivery BUY with almost 50% upside

By HotStockRockets | Friday 23 February 2024

Shares in cleaning, hygiene and decontamination group React (REAT) exceeded 3.5p in 2021 and were 1.7p as recently as November last year. Currently available at a 1.4p offer price following recently-announced results for its year ended 30th September 2023, we consider the shares a misunderstood Buy with a 2p+ share price again quite realistic in the near-term. The following is why."
Posted at 12/2/2024 21:13 by tole
https://masterinvestor.co.uk/equities/react-group-ready-to-clean-up/REACT Group Ready To Clean UpBy Mark Watson-Mitchell 12 February 2024 6 mins. to readREACT Group Ready To Clean UpA Cash-Positive business and operating on 87% ARRI know that I haven't featured my favourite ARR investment criteria for any stocks recently, but as regular readers will know I just love Annual Recurring Revenues.It is any finance director's key number and this group operates on a very high figure.To know that your company's revenue intake has certain fixed levels for the year ahead, surely makes the assessment of future capital expenditure that much easier.So, when I alight upon companies where their business has high levels of guarantee going forward, it makes me almost salivate upon the assumption that 'risk' is being severely reduced.Now looking at REACT Group (LON:REAT) many investors may not get zizzed-up because of its basic business – which is cleaning services.The BusinessThe £13.5m capitalised group, which is based in Birmingham, is the UK's leading specialist and contract cleaning business.It operates with three divisions: LaddersFree, one of the largest commercial window cleaning businesses in the UK; Fidelis Contract Services, a contract cleaning and facilities maintenance business; and the REACT business, which primarily provides a solution to emergency and specialist cleaning situations, both through long-term framework agreements and on an ad-hoc basis.You Want It Cleaned?Well REACT can do that.The group describes itself as the extreme cleaning company that goes beyond the everyday to tackle cleaning problems that non-specialists just can't cope with.From hotels to prisons, crime scenes to cruise ships, public spaces to private hospitals, it does what others can't do – going beyond everyday cleaning to deliver a specialist service whatever the challenge.The sectors into which it provides its various services includes rail, justice, industrial, housing, healthcare, education, highways, emergency, and also facilities management.The company offers air duct cleaning, animal and human fatality management, hazardous and biohazard cleaning waste removal, carpets and floor cleaning, clinical waste removal, crime scene and forensic cleaning, decontamination, deep cleaning, detention centre cleaning, end of tenancy cleans, fire and smoke damage, fire damper testing, flood and sewage clean up, and fly-tipping clearance services.It also provides graffiti removal, depot and warehouse cleaning, high-level cleaning, ATEX explosive environment cleaning, grease extractor cleaning, highways and lay-bys, house and hoarder clearances, kitchen grease extract cleaning, nightly hospital cleans, office and commercial property cleaning, pigeon guano clearance and anti-bird control.Other services include trackside decontamination, emergency vehicle cleaning, sharps and drugs paraphernalia removal, detention centre cleaning, commercial window cleaning, norovirus and covid decontamination, infection control cleaning, data room cleaning, school contract cleaning, train carriage and graffiti cleaning, and rail deposit and station, and rail rapid response cleaning services.Some Leading-Name ClientsAs a group, through its three main divisions, it offers its services to over 1,200 customers mostly in the private sector, while better-known clients include Costa Coffee, DPD, Hitachi, Lidl, Sodexo, Mannheim, UCLH, Frimley Health, Nespresso, Wendys, Marriott, Mitie Group, Ringway, Serco, Pret A Manger, Tapi, Fortem, the gym, Govia, Britannia Services Group, Holiday Inn Express, the Extra Care Charitable Trust, IAC, GeoAmey, and the University College Birmingham.The group's growth has been underpinned by its strong customer retention, while securing contract expansion and retention, as well as offering massive cross-selling possibilities.The Latest ResultsLast Tuesday the group declared its final results, showing a record performance for the year to end September 2023.It reported that its revenues had increased by 43% to £19.6m (2022: £13.7m), boosted by the numerous multi-year contracts that had been won via cross-selling across the group.Impressively the group's gross profit was up 61% to £5.2m (£3.3m), its profit margin was 27% (24%), while its adjusted pre-tax profits were almost trebled from £0.7m to £1.8m, with earnings per share doubling from 0.1p to 0.2p for the year.Some 87% of the group's sales were classed as recurring revenue, against 83% in 2022.On a like-for-like basis the group's organic revenue growth showed through at around 21%.The 'capital light' business was highly cash-generative and ended the year with a cash balance of £2.1m (£1.5m).Management CommentCEO Shaun Doak stated that:"I am delighted to announce a strong performance from the REACT Group, marked by impressive organic growth and improved profitability and cash conversion. This success underscores the strength of our value proposition and customer acquisition strategy.Following the acquisitions of Fidelis in March 2021 and LaddersFree in May 2022, we have consistently achieved substantial organic growth. This achievement showcases our proficiency in integrating these offerings into our core services, unlocking potential across an expanded customer base. Our success is evident through effective cross-selling and upselling strategies, as well as our ability to attract new customers.Momentum from FY23 has continued into the new financial year, and despite the usual slow down across the festive period, the first few months of FY24 have delivered a record trading performance for the Group."Current Trading And OutlookLooking at the group's current year's trading and its outlook, the company stated thatit has already had good momentum into the current year, following a strong first quarter, reflecting significant growth opportunities as it goes forward.The company is now underway with a near £300,000 investment in infrastructure to leverage its efficiency-enhancing technology across the group by way of mapping out digitisation of its services, which could offer greater operational efficiencies and optimisation of its resources when completed.The EquityThere are 1,067,648,507 shares in issue.Larger holders include Octopus Investments (15.22%), Dowgate Capital (12.09%), Canaccord Genuity Wealth (9.32%), Harwood Capital (8.38%), ISPartners Investment Solutions (7.95%), and Premier Fund Managers (6.36%).Three private investment holdings are of note: Jonathan Whitmore (2.81%), Jason Korinek (2.61%) and Justin Korinek (2.61%), the latter two were involved in the LaddersFree business.Analyst ViewsGreg Poulton at Singer Capital markets rates the group's shares as a Buy.For the current year to end September he is estimating £21.2m of revenues and £2.1m of adjusted pre-tax profits.He has a Price Objective out on the shares at 1.9p.In the middle of January, the group appointed Dowgate Capital as a Joint Broker to the company, I now understand that it will be issuing a note on the group shortly.My View – 1.60p Target Price Holds FirmThis little group has achieved excellent organic growth over the last three years, running at an average 24% per annum rate in that time.And that long-term growth in its 87% annual recurring revenue will also help to boost still further its operating margins.I consider that this little group has sensible ambitions in its future expansion.It has a declared aim to grow to a £50m value within the next few years.Against its £13.5m market capitalisation, a positive point is that it ended its 2023 year with £2.1m cash in the bank.The recent bolt-on acquisitions that it has completed have all been accretive and I am sure that other smaller to medium sized targets are being lined up, certainly as the group steps up its M&A expansion phase.The group has a good pipeline of potential business and as it gets its digitisation completed, I can envisage even more cross-selling opportunities being presented and being worked upon.It would be sensible if moves were made to lose the current 'penny share' status, that could give it more investor credibility – which it certainly deserves.The group's shares, which closed at just 1.25p on Friday night, are a Strong Hold for existing shareholders and should prove to be a bargain for new investors.
Posted at 12/2/2024 10:49 by rivaldo
Great to see over 10m shares traded - and now the bid price up again to 1.35p, with buyers paying the full 1.4p offer price.

This share price should be at (say) 1.6p-1.7p imo in a relatively short timeframe, and hopefully back up to Singer's 1.9p target price.
React share price data is direct from the London Stock Exchange

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