olivLaw · European equity research
Elementis plc ELM.L
United Kingdom · London Stock Exchange · ISIN GB0002418548 · Vertical: Listed companies from United Kingdom
Elementis plc is a British maker of specialty additives for formulations, focused on rheology and natural hectorite clay used in cosmetics, personal care and coatings. In fiscal 2025 the company reported Personal Care revenue of $224.5m and Coatings revenue of $373.0m, while weak demand for coatings keeps the focus on innovation and efficiency.
At the close of 05 Nov 2026, Elementis plc (ELM.L) stock was 1.94 GBP (+0.41% on the day), with beta 0.85, 52-week range 1.43–1.94 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)
- 71.0
- overbought (≥ 70)
- Bollinger (20, 2)
- 1.77 – 1.94
- above the upper band · %B 1.02 · band width 9.0%
- SMA 50 / 200
- 1.79 / 1.65
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 0.04 / 0.03
- 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 | +7.4% | −0.6% | +8.1 pp | — |
| 3 months | +4.0% | −4.2% | +8.1 pp | — |
| 6 months | +34.9% | +4.3% | +30.6 pp | — |
| Year to date | +16.9% | +7.5% | +9.4 pp | — |
| 1 year | +19.2% | +9.9% | +9.2 pp | +5.8% |
| 3 years | +60.1% | +49.8% | +10.2 pp | +26.3% |
| 5 years | +38.2% | +42.8% | −4.6 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
the price (USD) and the reports are in different currencies
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.
Fiscal years
| Fiscal year | 2023 | 2024 | 2025 |
|---|---|---|---|
| Revenue | 713.4 m | 603.8 m | 597.5 m |
| Revenue YoY | unavailable | −15.4% | −1.0% |
| Net income | 26.5 m | -47.8 m | -45.5 m |
| Net income YoY | unavailable | −280.4% | unavailable |
| Diluted EPS | 0.04 | -0.08 | -0.08 |
| Diluted EPS YoY | unavailable | −284.1% | unavailable |
| net % | 3.7% | -7.9% | -7.6% |
| Free cash flow | 38.7 m | 83.5 m | 51.9 m |
Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 54.6 m USD
- Financial debt
- 236.2 m USD
- Net debt
- 181.6 m USD
- Equity
- 643.9 m USD
- Total assets
- 1.1 bn USD
- Debt / equity
- 0.37x
- Current ratio
- unavailable
- ROE
- -6.5%
- ROA
- -3.8%
- FCF margin
- 8.7%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|
| Revenue | 713.4 m | 603.8 m | 597.5 m | esef· 07 Apr 2026verified |
| Cost of revenue | 429.1 m | 314.2 m | 317.4 m | esef· 07 Apr 2026verified |
| Gross profit | 284.3 m | 289.6 m | 280.1 m | esef· 07 Apr 2026verified |
| Operating income | 58.9 m | 96.0 m | 109.0 m | esef· 07 Apr 2026verified |
| Interest expense | 21.3 m | 22.6 m | 19.5 m | esef· 07 Apr 2026verified |
| Pre-tax income | 39.7 m | 74.3 m | 89.9 m | esef· 07 Apr 2026verified |
| Income tax | 11.5 m | 25.5 m | 27.6 m | esef· 07 Apr 2026verified |
| Net income | 26.5 m | -47.8 m | -45.5 m | esef· 07 Apr 2026verified |
| Diluted EPS | 0.04 | -0.08 | -0.08 | esef· 07 Apr 2026verified |
| Dividend per share | 0.02 | 0.03 | 0.04 | esef· 07 Apr 2026derived |
Balance sheet · USD
| Line | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|
| Cash | 65.8 m | 59.9 m | 54.6 m | esef· 07 Apr 2026verified |
| Receivables | 101.8 m | 93.3 m | 81.6 m | esef· 07 Apr 2026verified |
| Inventories | 163.3 m | 152.5 m | 142.9 m | esef· 07 Apr 2026verified |
| Property, plant & equipment, net | 423.6 m | 338.0 m | — | esef· 15 Apr 2025verified |
| Total assets | 1.5 bn | 1.3 bn | 1.1 bn | esef· 07 Apr 2026verified |
| Accounts payable | 117.9 m | 108.4 m | 92.0 m | esef· 07 Apr 2026verified |
| Short-term debt | — | 0 | 50.0 m | esef· 07 Apr 2026verified |
| Long-term debt | 264.7 m | 219.2 m | 186.2 m | esef· 07 Apr 2026verified |
| Current liabilities | 158.9 m | 131.9 m | 164.2 m | esef· 07 Apr 2026verified |
| Total liabilities | 664.1 m | 551.4 m | 470.7 m | esef· 07 Apr 2026verified |
| Equity | 847.3 m | 757.0 m | 643.9 m | esef· 07 Apr 2026verified |
| Shares outstanding at year end | 588.9 m | 590.1 m | 583.3 m | esef· 07 Apr 2026derived |
Cash flow · USD
| Line | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|
| Operating cash flow | 76.8 m | 100.0 m | 74.2 m | esef· 07 Apr 2026verified |
| Capex | 38.1 m | 16.5 m | 22.3 m | esef· 07 Apr 2026verified |
| Free cash flow | 38.7 m ≈ | 83.5 m ≈ | 51.9 m ≈ | esef· 07 Apr 2026derived |
| Investing cash flow | 101.1 m | -37.5 m | -7.3 m | esef· 07 Apr 2026verified |
| Financing cash flow | -168.0 m | -59.8 m | -82.5 m | esef· 07 Apr 2026verified |
| Dividends paid | 0 | 18.8 m | 25.3 m | esef· 07 Apr 2026verified |
| Share repurchases | — | 0 | 54.1 m | esef· 07 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
- indicators available: 4 of at least 6
- score weight coverage: 27.1% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: unavailable
Price and reporting are in different currencies; market indicators are unavailable.
Key indicators
Coverage and freshness
Score by group
27% · Insufficient data
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 0.57 – 0.77 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · input data missing
- Peers: EV/EBITDAunavailable · input data missing
- Peers: P/Eunavailable · the base of the ratio is not positive
- Dividend discount (DDM)0.57 – 0.77 (Mid 0.65)
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Insufficient data
Minimum-evidence gate: indicators available: 4 of at least 6; score weight coverage: 27.1% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 8.7% | 29 (vs peers) | 38% |
| Net margin · Quality | -7.6% | 23 (vs peers) | 23% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 5.6x | 63 (on a fixed band) | 23% |
| Current ratio · Balance sheet | unavailable | unavailable | — |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | 48.7% | 100 (on a fixed band) | 15% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial63/100 · 1/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality27/100 · 2/3 factors with a value
- Returns· partial100/100 · 1/2 factors with a value
- Valuation· partialunavailable · 0/3 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
ELEMENTIS PLC (ELM.L). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: revenue 597.5 m USD in 2025; YoY growth -1.0%; net margin -7.6%; ROE -6.5%.
The estimated value range is 0.57–0.77 USD per share (median of 1 methods, agreement: single method); assumptions are illustrative. The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (indicators available: 4 of at least 6; score weight coverage: 27.1% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Payout ratio (FCF): 48.7%
What contradicts it
- ROIC: 8.7%
- Net margin: -7.6%
Not assessed (insufficient data or a ratio without meaning): FCF conversion, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, Current ratio, P/E (TTM), EV/EBITDA, FCF yield, Shareholder yield (distributions).
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% |
| 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% |
| AEP.LAnglo-Eastern Plantations PLC | — | — | 16.1% | 19.5% | +25.0% | +5% / +113% |
1- and 3-year price returns: for ELM.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
Scenarios are not available. input data missing
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
Elementis plc is a British maker of specialty additives for formulations, focused on rheology and natural hectorite clay used in cosmetics, personal care and coatings. In fiscal 2025 the company reported Personal Care revenue of $224.5m 1 and Coatings revenue of $373.0m 1, while weak demand for coatings keeps the focus on innovation and efficiency.
SWOT
Strengths
- The company owns a high-grade hectorite mine, a supply advantage that is hard to replicate.
- Personal Care profitability rose substantially in 2025, showing the effect of cost reduction programmes.
- The balance sheet is solid, with leverage well within the company's target, giving room for investment and shareholder returns.
Weaknesses
- Coatings revenue fell in 2025 and depends heavily on construction and industrial demand, which was weak.
- The Coatings operating margin is lower than that of Personal Care, which limits the profit from each sale.
- The company relies on a limited number of hectorite-based products, which ties performance to a single natural resource.
Opportunities
- Rising demand for natural and sustainable ingredients could expand sales of hectorite-based and biobased products.
- The industry shift to waterborne and powder coatings could open new opportunities for the company's products.
- Expansion in Asia, where the company has strengthened its capabilities, could support medium-term growth.
Threats
- Weak demand for industrial and architectural coatings could persist and affect Coatings revenue.
- Tariffs and currency movements could raise costs or reduce revenue in international operations.
- Chemical regulation could force costly changes to formulations or production processes.
Risks
- Weak coatings demandhigh
If volumes of industrial and architectural coatings stay low, segment revenue and profit could decline further.
- Tariff exposuremedium
Tariffs could affect supply costs and competitiveness in international markets, particularly in North America.
- Currency riskmedium
Revenue and costs are denominated in several currencies, and a stronger US dollar could reduce results reported in pounds sterling.
- Dependence on hectoritemedium
An operational problem at the hectorite mine could disrupt an important sales base in Personal Care and Coatings.
- Delayed product launcheslow
If new products such as DEOLUXE SC do not reach commercial sales quickly, planned growth could be postponed.
Investment thesis
What would need to be true (bull case)
- Personal Care showed solid profit growth, and hectorite-based and innovative products could keep supporting results.
- The company's own hectorite mine and global presence could give a lasting edge over rivals in specialty additives markets.
- A solid balance sheet and a policy of returning capital to shareholders could support value for investors over the medium term.
What would break the thesis
- Coatings fell in 2025, and if construction and industrial demand does not recover, revenue could remain under pressure.
- Dependence on a limited number of hectorite-based products could make the company vulnerable to demand shifts or supply problems.
- Tariffs and currency risks could reduce margins in international markets, especially if costs rise faster than prices.
What to watch
- Trajectory of Coatings revenue and demand for industrial and architectural coatingsQ1 2027
- Timing of commercial sales of DEOLUXE SC2026
- Growth pace of hectorite-based and innovation revenue2027
- Effect of tariffs on supply costs and marginsnext 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
Elementis develops and sells generic and custom-made formulations to direct customers and distributors. Direct customers account for about two-thirds of revenue and distributors for about one-third 1. The company owns a high-grade hectorite mine, and hectorite is described as a natural alternative to synthetic materials 1. Formulation development can take from 6 months to 3 years, depending on customer requirements 1.
The business model rests on a global structure of plants, R&D centres and offices across four continents, which gives flexible supply and close customer relationships 1. The company invests 2% of revenue in R&D and aims to raise this to 3% over the medium term, with a goal of 20% of revenue from innovation 1. Sales and marketing spend is around 4% of revenue 1.
Capital allocation aims to maximise return on invested capital while keeping the balance sheet strong, with a target dividend payout ratio of 30% 1. In 2025 the company returned about $54m through its first buyback programme, funded by the sale of its Talc business 1.
Segments
Personal Care
Personal Care, covering colour cosmetics, skin care and antiperspirant actives, generated revenue of $224.5m in 2025 with an adjusted operating margin of 32.4% 1. Around 40% of this segment's revenue comes from hectorite-based products, and the launch of DEOLUXE SC, a metal-free antiperspirant, was a key milestone 1.
Market context
The personal care and coatings markets are shaped by sustainability, shifting demographics and technological progress 1. The Americas represent 45% of Personal Care revenue 1 and 42% of Coatings revenue 1. Rising demand for natural ingredients could support growth in hectorite-based products 1.
Demand for coatings was weak across regions in 2025, mainly for industrial and architectural coatings 1. If demand for waterborne and powder coatings keeps growing, the company could benefit from its additives portfolio 1.
Trends
- Sustainability and natural ingredientstailwind
Consumers increasingly ask for natural ingredients and ethical sourcing, which favours the company's hectorite-based and biobased products 1.
- Weaker coatings demandheadwind
Lower volumes of industrial and architectural coatings reduced Coatings revenue in 2025 and could keep weighing on results if construction activity does not recover 1.
- Shift to waterborne and powder coatingstailwind
The automotive and marine markets are moving to waterborne and powder coatings, where Elementis has new products such as THIXATROL 5050W 1.
- Tariffs and supply chain costsmixed
Tariffs add uncertainty, and the company says it optimises its supply chains to manage changes such as tariffs 1.
Competitive position
Elementis competes in rheology and specialty additives markets with global companies that develop similar formulations for coatings, cosmetics and other industries. According to the annual report, its edge rests on its own natural hectorite, innovation and global reach 1.
Competition centres on innovation, efficiency and pricing, and the company says it defends margins through pricing and cost reduction 1. The supplied sources do not name specific competitors, so the competitive picture cannot be detailed further from these documents 1.
- Global rheology additive suppliers
Global additive makers for paints and cosmetics compete with Elementis in the same product categories; the annual report does not name them.
- Cosmetic ingredient producers
Personal care ingredient producers compete mainly in the Personal Care segment, where hectorite-based products play an important role.
- Industrial and architectural coatings additive suppliers
Specialty coatings additive suppliers compete in the Coatings segment, especially in waterborne formulations.
- Water-based drilling fluid producers
In energy, companies offering water-based drilling fluids could be competitors of the Energy business within Coatings.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202507 Apr 2026
- Annual report 202415 Apr 2025
Sources
- [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / Elementis 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.