olivLaw · European equity research
Essentra plc ESNT.L
United Kingdom · London Stock Exchange · ISIN GB00B0744359 · Vertical: Listed companies from United Kingdom
Essentra plc is a global manufacturer and distributor of small but critical industrial components, combining the flexibility of a manufacturer with the range and service of a distributor. In 2023, its first year as a pure-play components business, the company reported a constant currency adjusted operating margin of 13.7%, up from the prior year, and its medium-term goals aim to double revenue and triple operating profit.
At the close of 05 Nov 2026, Essentra plc (ESNT.L) stock was 1.14 GBP (+1.06% on the day), with market capitalisation 342.0 m GBP, P/E 63.3 on diluted EPS of 0.02 GBP over the last 12 months, beta 0.74, 52-week range 0.80–1.19 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)
- 51.0
- neutral
- Bollinger (20, 2)
- 1.12 – 1.18
- in the lower half of the band · %B 0.30 · band width 4.7%
- SMA 50 / 200
- 1.12 / 0.98
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 0.01 / 0.01
- MACD below 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 | −0.2% | −0.6% | +0.5 pp | — |
| 3 months | +0.7% | −4.2% | +4.9 pp | — |
| 6 months | +35.6% | +4.3% | +31.2 pp | — |
| Year to date | +18.0% | +7.5% | +10.5 pp | — |
| 1 year | +22.6% | +9.9% | +12.7 pp | +5.8% |
| 3 years | −24.1% | +49.8% | −73.9 pp | +26.3% |
| 5 years | −62.6% | +42.8% | −105.4 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 50 percentile of its own 2-quarter history (min 38.8, median 66.5, max 94.2; quarters with earnings only).
Fiscal years
| Fiscal year | 2021 | 2022 | 2023 |
|---|---|---|---|
| Revenue | 301.7 m | 337.9 m | 316.3 m |
| Revenue YoY | unavailable | +12.0% | −6.4% |
| Net income | 26.9 m | -188.0 m | 5.4 m |
| Net income YoY | unavailable | −798.9% | unavailable |
| Diluted EPS | 0.09 | -0.62 | 0.02 |
| Diluted EPS YoY | unavailable | −801.1% | unavailable |
| net % | 8.9% | -55.6% | 1.7% |
| Free cash flow | 24.7 m | 24.3 m | 17.1 m |
Balance sheet & financial health
Fiscal year 2023 · 31 Dec 2023
- Cash
- 59.7 m GBP
- Financial debt
- 95.5 m GBP
- Net debt
- 35.8 m GBP
- Equity
- 273.2 m GBP
- Total assets
- 536.0 m GBP
- Debt / equity
- 0.35x
- Current ratio
- 1.65x
- ROE
- 1.6%
- ROA
- 0.8%
- FCF margin
- 5.4%
Financial statements (source on every figure)
Revenue and net income (GBP)
Margins
Income statement · GBP
| Line | 2021 | 2022 | 2023 | Source (latest year) |
|---|---|---|---|---|
| Revenue | 301.7 m | 337.9 m | 316.3 m | esef· 01 May 2024verified |
| Gross profit | — | 148.2 m | 141.8 m | esef· 01 May 2024verified |
| Operating income | 7.7 m | -11.3 m | 10.9 m | esef· 01 May 2024verified |
| Interest expense | 16.9 m | 24.9 m | 13.5 m | esef· 01 May 2024verified |
| Pre-tax income | -7.1 m | -29.1 m | 8.4 m | esef· 01 May 2024verified |
| Income tax | -2.2 m | 2.0 m | 2.6 m | esef· 01 May 2024verified |
| Net income | 26.9 m | -188.0 m | 5.4 m | esef· 01 May 2024verified |
| Diluted EPS | 0.09 | -0.62 | 0.02 | esef· 01 May 2024verified |
Balance sheet · GBP
| Line | 2021 | 2022 | 2023 | Source (latest year) |
|---|---|---|---|---|
| Cash | 136.3 m | 421.4 m | 59.7 m | esef· 01 May 2024verified |
| Receivables | 175.2 m | 66.4 m | 61.5 m | esef· 01 May 2024verified |
| Inventories | 128.7 m | 65.0 m | 64.7 m | esef· 01 May 2024verified |
| Current assets | 442.2 m | 554.1 m | 187.3 m | esef· 01 May 2024verified |
| Property, plant & equipment, net | 254.3 m | 65.2 m | 68.1 m | esef· 01 May 2024verified |
| Total assets | 1.3 bn | 893.4 m | 536.0 m | esef· 01 May 2024verified |
| Accounts payable | 180.9 m | 91.5 m | 60.7 m | esef· 01 May 2024verified |
| Short-term debt | 0 | 208.0 m | 0 | esef· 01 May 2024verified |
| Long-term debt | 313.3 m | 85.0 m | 95.5 m | esef· 01 May 2024verified |
| Current liabilities | 215.2 m | 356.7 m | 113.4 m | esef· 01 May 2024verified |
| Total liabilities | 653.1 m | 489.3 m | 262.8 m | esef· 01 May 2024verified |
| Equity | 628.9 m | 404.1 m | 273.2 m | esef· 01 May 2024verified |
| Shares outstanding at year end | 302.2 m | 301.3 m | 300.0 m | esef· 01 May 2024derived |
Cash flow · GBP
| Line | 2021 | 2022 | 2023 | Source (latest year) |
|---|---|---|---|---|
| Operating cash flow | 63.2 m | 64.0 m | 29.5 m | esef· 01 May 2024verified |
| Capex | 38.5 m | 39.7 m | 12.4 m | esef· 01 May 2024verified |
| Free cash flow | 24.7 m ≈ | 24.3 m ≈ | 17.1 m ≈ | esef· 01 May 2024derived |
| Investing cash flow | -47.0 m | 319.6 m | -60.8 m | esef· 01 May 2024verified |
| Financing cash flow | -13.7 m | -104.6 m | -328.7 m | esef· 01 May 2024verified |
| Share repurchases | — | 0 | 24.0 m | esef· 01 May 2024verified |
≈ 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: 58.3% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 342.0 m GBP
Key indicators
Coverage and freshness
The data is older than the freshness threshold.
Score by group
58% · 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: 58.3% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 2.6% | 17 (vs peers) | 18% |
| Net margin · Quality | 1.7% | 26 (vs peers) | 11% |
| FCF conversion · Quality | 316.7% | 100 (on a fixed band) | 11% |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 0.8x | 0 (on a fixed band) | 11% |
| Current ratio · Balance sheet | 1.7x | 71 (on a fixed band) | 7% |
| P/E (TTM) · Valuation | 63.3x | 0 (vs peers) | 18% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 5.0% | 63 (on a fixed band) | 14% |
| Shareholder yield (distributions) · Returns | 7.0% | 100 (on a fixed band) | 11% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet28/100 · 2/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality42/100 · 3/3 factors with a value
- Returns· partial100/100 · 1/2 factors with a value
- Valuation28/100 · 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
ESSENTRA PLC (ESNT.L). Latest full fiscal year: 2023; data up to 2023-12-31.
Figures computed from the financial statements: revenue 316.3 m GBP in 2023; YoY growth -6.4%; net margin 1.7%; ROE 1.6%.
The estimated value range is 0.45–0.67 GBP per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 0.54 GBP, the price of 1.14 GBP leaves a potential of -52.4% (value / price − 1) and a margin of safety of -110.2% (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: 58.3% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF conversion: 316.7%
- Current ratio: 1.7x
- Shareholder yield (distributions): 7.0%
What contradicts it
- ROIC: 2.6%
- Net margin: 1.7%
- Interest coverage: 0.8x
- P/E (TTM): 63.3x
- The price is above the estimated value range
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, EV/EBITDA, Payout ratio (FCF).
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% |
| ESNT.LEssentra PLC | 342.0 m | 63.3 | 1.6% | 1.7% | −6.4% | +16% / −25% |
| 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 ESNT.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 | 0.61 Total return -47% · Per year -47% | 1.08 Total return -5% · Per year -5% | 1.64 Total return 44% · Per year 44% |
| 3 years | 0.48 Total return -58% · Per year -25% | 0.98 Total return -14% · Per year -5% | 1.64 Total return 44% · Per year 13% |
| 5 years | 0.38 Total return -66% · Per year -20% | 0.88 Total return -23% · Per year -5% | 1.64 Total return 44% · Per year 8% |
- Exit P/E± 0.24
- Net margin± 0.17
- 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
Essentra plc is a global manufacturer and distributor of small but critical industrial components, combining the flexibility of a manufacturer with the range and service of a distributor. In 2023, its first year as a pure-play components business, the company reported a constant currency adjusted operating margin of 13.7%, up from the prior year, and its medium-term goals aim to double revenue and triple operating profit.1
SWOT
Strengths
- A unique model combining manufacturing and distribution, with a very wide product portfolio and a large stock of parts available quickly.
- High customer satisfaction and employee engagement scores maintained through a difficult economic cycle.
- A solid financial framework that gives capacity to fund bolt-on acquisitions and digitalisation investment.
Weaknesses
- Organic growth was weak in 2023, affected by macro conditions in EMEA and the Americas.
- The company is in a recent transition to a pure-play components structure, which brought significant changes in the leadership team.
- Reliance on industrial demand makes sales sensitive to economic cycles in the main customer segments.
Opportunities
- Consolidating the fragmented market through bolt-on acquisitions of complementary businesses, such as BMP TAPPI.
- Expanding Americas capacity through the new Mexico plant if regional demand recovers.
- Developing sustainable product offerings and cross-selling, which could support margin expansion.
Threats
- Continued pressure from macroeconomic conditions on industrial investment in Europe and other regions.
- Competition from regional manufacturers and distributors offering competitive prices on standard parts.
- The risk that delivery delays or quality problems could damage relationships with large customers.
Risks
- Weak industrial demandhigh
If industrial investment stays below expectations, sold volumes could be affected and organic growth targets could be delayed.
- Acquisition executionmedium
Integrating acquired businesses such as BMP TAPPI could bring unexpected costs or delay the realisation of synergies.
- Leadership transitionmedium
Changes in the leadership team, including the retirement of the finance director and the search for a new chair, could create uncertainty in strategy execution.
- Margin pressuremedium
If input costs rise faster than prices, the adjusted operating margin could fall from the levels reached in 2023.
- Operational and safety riskslow
Incidents at plants or production interruptions could affect deliveries and reputation, although the number of incidents fell in 2023.
Investment thesis
What would need to be true (bull case)
- If industrial demand stabilises, the company's unique model could drive higher volumes and margin expansion, supported by scale and operating efficiency.
- A leading position in a fragmented market, combined with a solid balance sheet, could allow further acquisitions that strengthen market share.
- High customer satisfaction and employee engagement could lead to market share gains as the macro environment improves.
What would break the thesis
- If investment in construction, automotive and appliances stays weak, organic growth could remain below the medium-term objectives.
- Leadership changes and the transition to a pure-play components structure could slow strategic execution.
- Competition from regional manufacturers and distributors could limit the company's ability to raise prices.
What to watch
- Development of organic revenue growth against the medium-term target2024
- Result of the non-binding advisory vote on the climate transition plan at the AGM2024
- Appointment of the new chair and the new chief financial officer2024
- Trend in adjusted operating margin and integration of BMP TAPPInext 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
Essentra's business model rests on three activities: manufacturing a wide range of products, distributing them from more than 24 distribution centres, and supporting a large number of industrial customers. The company produces about 60 million parts per week in plants worldwide and holds about 2 billion parts in stock.1 Customers are mainly B2B manufacturers, for whom Essentra products are a small but critical part of their bill of materials.1
In 2023 Essentra became a pure-play components company after completing its strategic reviews of the Packaging and Filters businesses. It opened a new site in Monterrey, Mexico, and acquired BMP TAPPI in Italy, a maker of plastic caps and protection plugs, to support growth in Europe.1
Management also set out a long-term ESG plan, including science-based emissions targets approved by the SBTi in early 2024, and opened a Centre of Excellence in Kidlington, UK, in October 2023.1
Segments
Industrial components (pure-play)
The whole business is now focused on industrial components, produced and distributed across three regions: EMEA, Americas and APAC. The range includes plastic caps and plugs, polymer fasteners and access hardware, all small but essential parts for manufacturers.1
Geographic regions
In 2023 management moved day-to-day control to a regional structure aligned with external reporting, each with a strong regional lead. Organic growth was pressured by macro conditions, particularly in EMEA and the Americas, where distributor destocking had a visible effect.1
Market context
Essentra operates in a highly fragmented industrial market that the company estimates at £8-£10 billion, with over one million potential customers. The market serves manufacturers in many sectors, from data cabinet makers and automotive suppliers to household appliances and telecom equipment.1
Market fragmentation gives the company room to acquire smaller businesses and to gain share, while demand in some end-markets remains under pressure from the economic cycle.1
Trends
- Gradual recovery in Chinatailwind
Management saw a gradual recovery in China during 2023 and expects improvement through 2024, which could support sales in the APAC region.1
- Slow investment in construction and automotiveheadwind
In EMEA, investment in construction-related end-markets, including HVAC, white goods, electronic devices and automotive, slowed, which limited organic sales in the region.1
- Distributor destocking in the Americasheadwind
In the Americas, distributors reduced inventories after a major rebalancing at the start of 2022, which weighed on regional volumes.1
- Demand for sustainable and ESG-aligned productsmixed
Customers increasingly focus on supply chain, community and environmental matters, and Essentra has expertise in piping and flange products for gas and nuclear energy, which could become a competitive advantage if this demand continues.1
Competitive position
The industrial components market is fragmented, and Essentra competes with small regional manufacturers as well as generalist distributors offering broad ranges of standard parts. The company says its combination of in-house manufacturing and distribution service reduces the risk of delivery delays or quality problems for customers.1
The sources reviewed do not name listed competitors with US tickers, so this profile gives no US ticker for competitors.1
- Regional industrial component manufacturers
Local and regional competitors implied by the fragmented market; not named in the source.
- Generalist component distributors
Distributors with broad ranges of standard parts that compete on availability and lead times.
- Plastic cap and plug producers
Competition in caps and plugs, where Essentra expanded capacity through the BMP TAPPI acquisition.
- Access hardware suppliers
Competition in access hardware, where Essentra has dedicated sites in China.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202301 May 2024
- Annual report 202108 May 2024
Sources
- [1] Annual report, fiscal year ended 2023-12-31 (ESEF) · SEC / Essentra plc · 31 Dec 2023
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.