olivLaw · European equity research
FDM Group (Holdings) plc FDM.L
United Kingdom · London Stock Exchange · Vertical: Listed companies from United Kingdom
FDM Group is a technology consultancy and training provider that prepares IT consultants through intensive Skills Lab programmes and places them with clients, mainly in financial services. With client demand still subdued in 2025, its flexible resourcing model and efforts to diversify its client base are central to assessing the company.
At the close of 05 Nov 2026, FDM Group (Holdings) plc (FDM.L) stock was 1.09 GBP (+0.37% on the day), with market capitalisation 119.3 m GBP, P/E 21.0 on diluted EPS of 0.05 GBP over the last 12 months, dividend yield 17.00%, beta 0.47, 52-week range 0.96–1.63 GBP.
Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 57.9
- strong (55–70)
- Bollinger (20, 2)
- 1.00 – 1.10
- in the upper half of the band · %B 0.94 · band width 9.3%
- SMA 50 / 200
- 1.05 / 1.16
- mixed trend
- MACD (12, 26, 9)
- 0.00 / -0.00
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | EURO STOXX 50 | vs EURO STOXX 50 | Vertical median | |
|---|---|---|---|---|
| 1 month | +6.8% | −0.6% | +7.5 pp | — |
| 3 months | +0.9% | −4.2% | +5.1 pp | — |
| 6 months | −4.4% | +4.3% | −8.7 pp | — |
| Year to date | −18.4% | +7.5% | −25.9 pp | — |
| 1 year | −12.8% | +9.9% | −22.7 pp | +5.8% |
| 3 years | −76.5% | +49.8% | −126.4 pp | +26.3% |
| 5 years | −91.3% | +42.8% | −134.1 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 67 percentile of its own 3-quarter history (min 12.3, median 16.8, max 25.8; quarters with earnings only).
Fiscal years
| Fiscal year | 2023 | 2024 | 2025 |
|---|---|---|---|
| Revenue | 334.0 m | 257.7 m | 177.7 m |
| Revenue YoY | unavailable | −22.8% | −31.0% |
| Net income | 40.8 m | 20.5 m | 5.7 m |
| Net income YoY | unavailable | −49.7% | −72.4% |
| Diluted EPS | 0.37 | 0.19 | 0.05 |
| Diluted EPS YoY | unavailable | −49.7% | −72.2% |
| net % | 12.2% | 8.0% | 3.2% |
| Free cash flow | 49.5 m | 28.9 m | 20.6 m |
Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 35.3 m GBP
- Financial debt
- unavailable GBP
- Net debt
- unavailable GBP
- Equity
- 52.1 m GBP
- Total assets
- 89.7 m GBP
- Debt / equity
- unavailable
- Current ratio
- 2.48x
- ROE
- 9.5%
- ROA
- 5.6%
- FCF margin
- 11.6%
Financial statements (source on every figure)
Revenue and net income (GBP)
Margins
Income statement · GBP
| Line | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|
| Revenue | 334.0 m | 257.7 m | 177.7 m | esef· 15 Apr 2026verified |
| Cost of revenue | 177.4 m | 142.8 m | 100.2 m | esef· 15 Apr 2026verified |
| Gross profit | 156.5 m | 115.0 m | 77.5 m | esef· 15 Apr 2026verified |
| Operating income | 55.0 m | 27.4 m | 7.5 m | esef· 15 Apr 2026verified |
| Interest expense | 796.0 k | 1.3 m | 1.4 m | esef· 15 Apr 2026verified |
| Pre-tax income | 55.6 m | 28.1 m | 7.6 m | esef· 15 Apr 2026verified |
| Income tax | 14.9 m | 7.6 m | 2.0 m | esef· 15 Apr 2026verified |
| Net income | 40.8 m | 20.5 m | 5.7 m | esef· 15 Apr 2026verified |
| Diluted EPS | 0.37 | 0.19 | 0.05 | esef· 15 Apr 2026verified |
| Dividend per share | 0.36 | 0.29 | 0.19 | esef· 15 Apr 2026derived |
Balance sheet · GBP
| Line | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|
| Cash | 47.2 m | 40.6 m | 35.3 m | esef· 15 Apr 2026verified |
| Receivables | 32.6 m | 28.5 m | 18.5 m | esef· 15 Apr 2026verified |
| Current assets | 83.2 m | 69.9 m | 54.6 m | esef· 15 Apr 2026verified |
| Property, plant & equipment, net | 2.6 m | 2.0 m | 1.4 m | esef· 15 Apr 2026verified |
| Total assets | 124.2 m | 111.5 m | 89.7 m | esef· 15 Apr 2026verified |
| Accounts payable | 25.6 m | 20.7 m | 16.9 m | esef· 15 Apr 2026verified |
| Current liabilities | 31.6 m | 26.3 m | 22.0 m | esef· 15 Apr 2026verified |
| Total liabilities | 47.5 m | 44.1 m | 37.6 m | esef· 15 Apr 2026verified |
| Equity | 76.7 m | 67.3 m | 52.1 m | esef· 15 Apr 2026verified |
| Shares outstanding at year end | 109.3 m | 109.1 m | 109.0 m | esef· 15 Apr 2026derived |
Cash flow · GBP
| Line | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|
| Operating cash flow | 50.2 m | 29.2 m | 20.8 m | esef· 15 Apr 2026verified |
| Capex | 651.0 k | 335.0 k | 188.0 k | esef· 15 Apr 2026verified |
| Free cash flow | 49.5 m ≈ | 28.9 m ≈ | 20.6 m ≈ | esef· 15 Apr 2026derived |
| Investing cash flow | -651.0 k | -335.0 k | -188.0 k | esef· 15 Apr 2026verified |
| Financing cash flow | -47.0 m | -36.3 m | -25.2 m | esef· 15 Apr 2026verified |
| Dividends paid | 39.3 m | 31.7 m | 20.3 m | esef· 15 Apr 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- score weight coverage: 52.1% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 119.3 m GBP
Key indicators
Coverage and freshness
Score by group
52% · Insufficient data
Estimated value range
unavailable — no valuation assumptions for the reporting currency
Valuation assumptions are editorial choices, not measured; beta is not measured.
Valuation methods
Assumptions (illustrative, editorial)
- Risk-free rate
- 6.5%
- Equity risk premium
- 6.0%
- Beta (default)
- 1.00
- Cost of equity
- 12.5%
- Terminal growth
- 3.0%
Factor scorecard
Insufficient data
Minimum-evidence gate: score weight coverage: 52.1% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | 3.2% | 31 (vs peers) | 12% |
| FCF conversion · Quality | 364.0% | 100 (on a fixed band) | 12% |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 5.3x | 58 (on a fixed band) | 12% |
| Current ratio · Balance sheet | 2.5x | 100 (on a fixed band) | 8% |
| P/E (TTM) · Valuation | 21.0x | 28 (vs peers) | 20% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 17.3% | 100 (on a fixed band) | 16% |
| Shareholder yield (distributions) · Returns | 17.0% | 100 (on a fixed band) | 12% |
| Payout ratio (FCF) · Returns | 98.3% | 31 (on a fixed band) | 8% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet75/100 · 2/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality66/100 · 2/3 factors with a value
- Returns72/100 · 2/2 factors with a value
- Valuation60/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
FDM GROUP (HOLDINGS) PLC (FDM.L). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: revenue 177.7 m GBP in 2025; YoY growth -31.0%; net margin 3.2%; ROE 9.5%.
The estimated value range is 1.21–1.58 GBP per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 1.38 GBP, the price of 1.09 GBP leaves a potential of 26.5% (value / price − 1) and a margin of safety of 20.9% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (score weight coverage: 52.1% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF conversion: 364.0%
- Current ratio: 2.5x
- FCF yield: 17.3%
- Shareholder yield (distributions): 17.0%
- The price is below the estimated value range
What contradicts it
- P/E (TTM): 21.0x
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): ROIC, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, EV/EBITDA.
Versus the vertical median
Listed companies from United Kingdom · same country · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| BATS.LBritish American Tobacco P.L.C. | 104.3 bn | 13.5 | 16.5% | 30.3% | −1.0% | +7% / +88% |
| ABF.LAssociated British Foods PLC | 14.7 bn | 14.3 | 9.2% | 5.3% | −3.1% | −5% / −15% |
| 0EV1.LCarnival PLC | 5.5 bn | 4.1 | 46.7% | 13.4% | +6.4% | unavailable / unavailable |
| BAB.LBabcock International Group PLC | 5.1 bn | 24.7 | 34.7% | 4.1% | +7.2% | −10% / +158% |
| AUTO.LAutotrader Group PLC | 4.8 bn | 16.4 | 60.2% | 47.1% | +3.9% | −13% / −23% |
| BBY.LBalfour Beatty PLC | 4.2 bn | 16.3 | 23.2% | 2.8% | +15.2% | +20% / +160% |
| ABDN.LAberdeen Group PLC | 4.1 bn | 10.8 | 8.0% | 28.9% | −2.1% | +11% / +41% |
| BKG.LThe Berkeley Group Holdings PLC | 3.6 bn | 11.3 | 8.8% | 13.4% | −4.2% | −0% / −22% |
| BME.LB&M European Value Retail PLC | 2.9 bn | 17.4 | 21.2% | 2.8% | +3.7% | +68% / −51% |
| AJB.LAj Bell PLC | 2.4 bn | 22.8 | 49.9% | 33.1% | +18.0% | +8% / +128% |
| ASHM.LAshmore Group PLC | 1.4 bn | 13.9 | 13.1% | 71.6% | −0.1% | +28% / +18% |
| BCG.LBaltic Classifieds Group PLC | 1.2 bn | 23.2 | 15.8% | 57.6% | +6.9% | −99% / −99% |
| APN.LApplied Nutrition PLC | 763.6 m | 36.2 | 41.2% | 19.7% | +24.2% | +71% / unavailable |
| BAG.LA.G. Barr P.L.C. | 671.9 m | 14.4 | 14.4% | 10.8% | +4.0% | −7% / +26% |
| ASC.LAsos PLC | 494.5 m | — | -81.3% | -12.0% | −14.7% | +71% / +8% |
| ALFA.LAlfa Financial Software Holdings PLC | 486.8 m | 16.3 | 61.5% | 23.8% | +15.3% | −28% / +10% |
| AML.LAston Martin Lagonda Global Holdings PLC | 344.3 m | — | -93.4% | -39.2% | −20.6% | −45% / −85% |
| FDM.LFdm Group (holdings) PLC | 119.3 m | 21.0 | 9.5% | 3.2% | −31.0% | −22% / −72% |
| APTD.LAptitude Software Group PLC | 111.3 m | 28.5 | 7.2% | 6.2% | −7.3% | −30% / −23% |
| AMGO.LAmigo Holdings PLC | 9.9 m | — | — | — | −81.9% | +325% / +844% |
| ASBE.LAssociated British Engineering PLC | 605.3 k | — | -19.1% | — | unavailable | unavailable / unavailable |
| AMIF.LAmicorp Fs (uk) PLC | 221.6 k | 0.1 | 27.5% | 9.1% | +8.1% | unavailable / unavailable |
| AAF.LAirtel Africa PLC | — | — | 24.1% | 10.6% | +29.5% | −7% / +164% |
| AAL.LAnglo American PLC | — | — | -19.3% | -20.2% | +4.5% | +30% / +76% |
| ACG.LAcg Metals Limited | — | — | -80.3% | -32.0% | +134.8% | +60% / +63% |
1- and 3-year price returns: for FDM.L from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (GBP)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 0.58 Total return -43% · Per year -43% | 1.04 Total return -0% · Per year -0% | 1.57 Total return 49% · Per year 49% |
| 3 years | 0.46 Total return -48% · Per year -20% | 0.94 Total return -1% · Per year -0% | 1.57 Total return 60% · Per year 17% |
| 5 years | 0.37 Total return -53% · Per year -14% | 0.85 Total return -2% · Per year -0% | 1.57 Total return 71% · Per year 11% |
- Exit P/E± 0.23
- Net margin± 0.16
- Annual revenue growth± 0.15
- Annual dilution± 0.01
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
FDM Group is a technology consultancy and training provider that prepares IT consultants through intensive Skills Lab programmes and places them with clients, mainly in financial services. With client demand still subdued in 2025, its flexible resourcing model and efforts to diversify its client base are central to assessing the company 1.
SWOT
Strengths
- A flexible resourcing model that allows the number of consultants to be adjusted quickly to client demand 1.
- A solid balance sheet with no debt and significant cash balances, providing stability in difficult periods 1.
- Intensive Skills Lab training and standardised HackerRank assessment that support the quality of consultants delivered 1.
Weaknesses
- Dependence on the financial services sector remains high, and a crisis in that sector could significantly reduce revenue 1.
- Client demand remained weak in 2025, leading to missed performance targets and reduced performance-linked pay 1.
- Managing unallocated consultants creates cost and operational pressure when demand falls 1.
Opportunities
- Diversifying the client base beyond financial services, where the group won a significant share of new contracts in 2025 1.
- Integrating artificial intelligence into training and operations could open new offerings for clients 1.
- Geographic expansion through sustainable and efficient means could grow the client base if demand recovers 1.
Risks
- Macroeconomic and geopolitical conditionshigh
Client demand depends on the economic and geopolitical environment, and uncertainty could affect revenue and operating profit. The risk has remained at the highest likelihood score 1.
- Concentration in financial serviceshigh
Most revenue comes from this sector, and a crisis there could significantly reduce revenue and key performance indicators 1.
- Balancing consultant resources with client demandmedium
If the group fails to align consultants with demand, it could lose revenue, incur excess costs and erode client confidence 1.
- Cybersecurity and business continuitymedium
IT security incidents could lead to data loss, litigation and loss of client confidence. The group relies on certifications and protective procedures to limit this exposure 1.
- Changes to UK employment lawlow
New employee rights rules could bring additional costs and heavier administrative requirements, which the group is managing with a dedicated employment lawyer 1.
Investment thesis
What would need to be true (bull case)
- A flexible resourcing model and a debt-free balance sheet could allow the company to get through a period of weak demand and benefit from any market recovery 1.
- A rising share of clients from outside financial services could reduce dependence on one sector and help stabilise revenue 1.
- Investment in Skills Labs and AI integration could strengthen training quality and differentiation from competitors if they translate into new contracts 1.
What would break the thesis
- Client demand remained weak in 2025, and a rapid market recovery may not materialise if macroeconomic uncertainty persists 1.
- Concentration in financial services could continue to expose revenue to sector shocks, especially if diversification progresses slowly 1.
- Costs linked to new workforce regulation and a transformation project could weigh on margins while revenue is under pressure 1.
What to watch
- Trends in client demand and the level of unallocated consultants2026
- Share of new clients from outside financial services2026
- Impact of the UK Employee Rights Act on costs2027
- Results of the transformation project and reorganised sales structurenext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
FDM Group (Holdings) plc describes its activity as centred on its consultants, which it calls its core asset. The group attracts and develops talent, trains it in Skills Labs and places it with clients, following a strategy with four objectives: attracting and developing talent, investing in Skills Labs, growing and diversifying the client base, and expanding geographically through sustainable and efficient means 1.
The business model is described as flexible, allowing the group to adjust the number of consultants it recruits to near-term client demand. Unallocated consultants are managed through upskilling in the Skills Lab, pods and regular assessments, which aligns resources with market demand 1.
The company reports a strong balance sheet with no debt and significant cash balances at the end of 2025, elements the board sees as supporting its ability to respond to adverse economic conditions 1.
Segments
IT consultancy and placement
Consultants are delivered to clients in teams with varied skills, organised across the group's five practices. Skills Lab training is accredited and combines continuous assessment, so consultants stay relevant to client needs 1.
Recruitment and training programmes
The group recruits through graduate, ex-forces, returner and apprentice programmes, which give it access to a diverse talent pool. Technical assessment is carried out on the HackerRank platform, used both at recruitment and in the Skills Lab 1.
Market context
Client demand for IT services remained weak in 2025 amid macroeconomic and geopolitical uncertainty, and management reported missed performance targets. Financial services account for the majority of group revenue, so the market is sensitive to any crisis in that sector 1.
The company observes a gradual diversification of its client base, and part of the new contracts won in 2025 came from outside financial services, pointing to a shift towards other sectors and regions 1.
Trends
- Macroeconomic and geopolitical uncertaintyheadwind
Management considers the uncertain global environment has kept client demand subdued, and rates this as the highest-scored risk in its register. The group's flexible model could nonetheless remain attractive to clients in uncertain times if demand recovers 1.
- Artificial intelligence in training and operationsmixed
The group is incorporating AI into its Skills Lab coaching ecosystem and encouraging employees to become more AI-enabled. This could create opportunities for differentiation, but also brings new risks that are being managed through a transformation project 1.
- Changes to UK employment lawheadwind
The UK Employee Rights Act, expected in 2026 and 2027, could bring cost implications, including changes to the unfair dismissal threshold and higher requirements for employee onboarding 1.
- Diversification of clients and sectorstailwind
Efforts to reduce reliance on financial services and on particular large clients are supported by targets included in directors' bonus arrangements, which could reduce vulnerability to a sector-specific crisis 1.
Competitive position
The company's annual report does not name specific competitors. The IT consultancy and technology talent market is nonetheless competitive, and the group differentiates itself through its intensive training model and its ability to deploy consultants to clients quickly 1.
The competitive advantages the company describes include access to a diverse talent pool, standardised assessment through HackerRank and industry-recognised accredited training, which could support its position if the market recovers 1.
- IT consultancy and technology services firms
The source does not name specific competitors; the category covers firms supplying IT consultants to financial services clients.
- Technology training and tech academies
Indirect competitors preparing talent for the IT market; the document does not name them.
- Technology-focused recruitment firms
Competition for the same pool of talent, especially graduates and career changers.
- Large IT services firms with global consulting practices
Larger players that can offer similar teams to financial sector clients; the source does not name them.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202515 Apr 2026
- Annual report 202515 Apr 2026
- Annual report 202413 May 2025
- Annual report 202413 May 2025
Sources
- [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / FDM Group (Holdings) plc · 31 Dec 2025
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.