olivLaw · European equity research
Volution Group plc FAN.L
United Kingdom · London Stock Exchange · ISIN GB00BN3ZZ526 · Vertical: Listed companies from United Kingdom
Volution Group is a UK-based maker of ventilation solutions for residential and commercial buildings, active in the UK, Continental Europe and Australasia. In fiscal 2025 it integrated its largest acquisition, Fantech, and revenue rose to £419.1 million, against a backdrop of tightening regulation on energy efficiency and indoor air quality.
At the close of 05 Nov 2026, Volution Group plc (FAN.L) stock was 6.42 GBP (−0.31% on the day), with market capitalisation 1.3 bn GBP, P/E 20.6 on diluted EPS of 0.31 GBP over the last 12 months, dividend yield 1.77%, beta 0.86, 52-week range 5.62–7.12 GBP.
Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 49.6
- neutral
- Bollinger (20, 2)
- 6.13 – 6.67
- in the upper half of the band · %B 0.53 · band width 8.3%
- SMA 50 / 200
- 6.47 / 6.33
- mixed trend
- MACD (12, 26, 9)
- 0.00 / -0.02
- 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 | −2.7% | −0.6% | −2.1 pp | — |
| 3 months | −6.3% | −4.2% | −2.1 pp | — |
| 6 months | +2.4% | +4.3% | −1.9 pp | — |
| Year to date | −1.1% | +7.5% | −8.6 pp | — |
| 1 year | +0.3% | +9.9% | −9.6 pp | +5.8% |
| 3 years | +68.6% | +49.8% | +18.7 pp | +26.3% |
| 5 years | +24.9% | +42.8% | −17.9 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 25 percentile of its own 4-quarter history (min 19.9, median 23.5, max 32.4; quarters with earnings only).
Fiscal years
| Fiscal year | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|
| Revenue | 328.0 m | 347.6 m | 419.1 m | 484.8 m |
| Revenue YoY | unavailable | +6.0% | +20.6% | +15.7% |
| Net income | 37.4 m | 42.8 m | 41.5 m | 62.5 m |
| Net income YoY | unavailable | +14.5% | −3.0% | +50.6% |
| Diluted EPS | 0.19 | 0.21 | 0.21 | 0.31 |
| Diluted EPS YoY | unavailable | +14.4% | −3.3% | +50.2% |
| net % | 11.4% | 12.3% | 9.9% | 12.9% |
| Free cash flow | 63.6 m | 70.2 m | 78.4 m | 101.0 m |
Balance sheet & financial health
Fiscal year 2026 · 31 Jul 2026
- Cash
- 21.9 m GBP
- Financial debt
- 204.9 m GBP
- Net debt
- 183.0 m GBP
- Equity
- 309.8 m GBP
- Total assets
- 718.0 m GBP
- Debt / equity
- 0.66x
- Current ratio
- 1.65x
- ROE
- 21.6%
- ROA
- 9.5%
- FCF margin
- 20.8%
Financial statements (source on every figure)
Revenue and net income (GBP)
Margins
Income statement · GBP
| Line | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|
| Revenue | 328.0 m | 347.6 m | 419.1 m | 484.8 m | esef· 28 Oct 2026verified |
| Cost of revenue | 169.1 m | 169.3 m | 213.5 m | 235.6 m | esef· 28 Oct 2026verified |
| Gross profit | 158.9 m | 178.3 m | 205.6 m | 249.2 m | esef· 28 Oct 2026verified |
| Operating income | 57.1 m | 70.4 m | 67.3 m | 95.9 m | esef· 28 Oct 2026verified |
| Interest expense | 6.5 m | 6.6 m | 9.4 m | 13.6 m | esef· 28 Oct 2026verified |
| Pre-tax income | 48.8 m | 56.6 m | 54.5 m | 82.1 m | esef· 28 Oct 2026verified |
| Income tax | 11.4 m | 13.8 m | 13.0 m | 19.6 m | esef· 28 Oct 2026verified |
| Net income | 37.4 m | 42.8 m | 41.5 m | 62.5 m | esef· 28 Oct 2026verified |
| Diluted EPS | 0.19 | 0.21 | 0.21 | 0.31 | esef· 28 Oct 2026verified |
| Dividend per share | 0.08 | 0.08 | 0.10 | 0.11 | esef· 28 Oct 2026derived |
Balance sheet · GBP
| Line | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|
| Cash | 21.2 m | 18.2 m | 18.7 m | 21.9 m | esef· 28 Oct 2026verified |
| Receivables | 52.3 m | 55.2 m | 77.5 m | 81.5 m | esef· 28 Oct 2026verified |
| Inventories | 59.0 m | 53.1 m | 71.3 m | 80.9 m | esef· 28 Oct 2026verified |
| Current assets | 132.6 m | 127.0 m | 167.5 m | 185.1 m | esef· 28 Oct 2026verified |
| Property, plant & equipment, net | 29.4 m | 30.2 m | 34.0 m | 36.4 m | esef· 28 Oct 2026verified |
| Goodwill | 169.0 m | 171.3 m | 235.8 m | 290.4 m | esef· 28 Oct 2026verified |
| Intangibles (excl. goodwill) | 83.9 m | 76.9 m | 125.2 m | 155.9 m | esef· 28 Oct 2026verified |
| Total assets | 444.8 m | 430.3 m | 602.4 m | 718.0 m | esef· 28 Oct 2026verified |
| Accounts payable | — | 46.7 m | 71.7 m | 79.6 m | esef· 28 Oct 2026verified |
| Short-term debt | 3.8 m | 14.4 m | 0 | 200.0 k | esef· 28 Oct 2026verified |
| Long-term debt | 116.7 m | 71.6 m | 143.7 m | 204.7 m | esef· 28 Oct 2026verified |
| Current liabilities | 70.0 m | 99.3 m | 127.0 m | 112.5 m | esef· 28 Oct 2026verified |
| Total liabilities | 218.5 m | 184.4 m | 332.4 m | 408.2 m | esef· 28 Oct 2026verified |
| Equity | 226.2 m | 246.0 m | 270.0 m | 309.8 m | esef· 28 Oct 2026verified |
| Shares outstanding at year end | 196.7 m | 198.1 m | 197.6 m | 198.4 m | esef· 28 Oct 2026derived |
Cash flow · GBP
| Line | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|
| Operating cash flow | 68.5 m | 75.7 m | 85.0 m | 107.6 m | esef· 28 Oct 2026verified |
| Capex | 4.9 m | 5.5 m | 6.6 m | 6.6 m | esef· 28 Oct 2026verified |
| Free cash flow | 63.6 m ≈ | 70.2 m ≈ | 78.4 m ≈ | 101.0 m ≈ | esef· 28 Oct 2026derived |
| Investing cash flow | -37.4 m | -19.6 m | -115.3 m | -113.1 m | esef· 28 Oct 2026verified |
| Financing cash flow | -21.6 m | -58.8 m | 30.5 m | 8.3 m | esef· 28 Oct 2026verified |
| Dividends paid | 14.8 m | 16.4 m | 19.0 m | 22.6 m | esef· 28 Oct 2026verified |
| Share repurchases | 1.8 m | 2.7 m | 2.3 m | 2.4 m | esef· 28 Oct 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: 73 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 1.3 bn GBP
Key indicators
Coverage and freshness
Score by group
- Balance sheet79
- Returns57
- Quality70
- Growth100
- Valuation59
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
Neutral profile · Score 73/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 16.4% | 63 (vs peers) | 13% |
| Net margin · Quality | 12.9% | 51 (vs peers) | 8% |
| FCF conversion · Quality | 161.6% | 100 (on a fixed band) | 8% |
| Revenue CAGR 3Y · Growth | 13.9% | 100 (on a fixed band) | 11% |
| EPS CAGR 3Y · Growth | 18.5% | 100 (on a fixed band) | 11% |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 7.1x | 85 (on a fixed band) | 8% |
| Current ratio · Balance sheet | 1.6x | 70 (on a fixed band) | 5% |
| P/E (TTM) · Valuation | 20.6x | 28 (vs peers) | 13% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 7.9% | 99 (on a fixed band) | 11% |
| Shareholder yield (distributions) · Returns | 2.0% | 28 (on a fixed band) | 8% |
| Payout ratio (FCF) · Returns | 22.4% | 100 (on a fixed band) | 5% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet79/100 · 2/3 factors with a value
- Growth100/100 · 2/2 factors with a value
- Quality70/100 · 3/3 factors with a value
- Returns57/100 · 2/2 factors with a value
- Valuation59/100 · 2/3 factors with a value
Memo
VOLUTION GROUP PLC (FAN.L). Latest full fiscal year: 2026; data up to 2026-07-31.
Figures computed from the financial statements: revenue 484.8 m GBP in 2026; YoY growth 15.7%; net margin 12.9%; ROE 21.6%.
The estimated value range is 3.51–5.41 GBP per share (median of 3 methods, agreement: low); assumptions are illustrative. Against the central value of 4.49 GBP, the price of 6.42 GBP leaves a potential of -30.1% (value / price − 1) and a margin of safety of -43.1% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 73/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF conversion: 161.6%
- Revenue CAGR 3Y: 13.9%
- EPS CAGR 3Y: 18.5%
- Interest coverage: 7.1x
- Current ratio: 1.6x
- FCF yield: 7.9%
- Payout ratio (FCF): 22.4%
What contradicts it
- P/E (TTM): 20.6x
- Shareholder yield (distributions): 2.0%
- The price is above the estimated value range
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): 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% |
| FAN.LVolution Group PLC | 1.3 bn | 20.6 | 21.6% | 12.9% | +15.7% | +2% / +63% |
| 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% |
1- and 3-year price returns: for FAN.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 | 4.21 Total return -33% · Per year -33% | 7.41 Total return 17% · Per year 17% | 11.11 Total return 76% · Per year 76% |
| 3 years | 4.89 Total return -19% · Per year -7% | 9.61 Total return 57% · Per year 16% | 15.72 Total return 154% · Per year 36% |
| 5 years | 5.69 Total return -2% · Per year -0% | 12.47 Total return 108% · Per year 16% | 22.22 Total return 264% · Per year 29% |
- Exit P/E± 2.40
- Net margin± 1.68
- Annual revenue growth± 1.27
- Annual dilution± 0.14
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
Volution Group is a UK-based maker of ventilation solutions for residential and commercial buildings, active in the UK, Continental Europe and Australasia. In fiscal 2025 it integrated its largest acquisition, Fantech, and revenue rose to £419.1 million 1, against a backdrop of tightening regulation on energy efficiency and indoor air quality.
SWOT
Strengths
Weaknesses
Opportunities
Risks
- Construction activityhigh
Low volumes of new construction could limit revenue growth 1.
- Acquisitionsmedium
Integrating acquisitions, including Fantech, could delay or dilute expected returns 1.
- Supply chain and raw materialsmedium
Supply interruptions or price increases could reduce margins 1.
- Cyber securitymedium
An attack on IT systems could disrupt operations and affect reputation 1.
- Foreign exchangelow
Currency movements could affect reported revenue from Australasia and Europe 1.
Investment thesis
What would need to be true (bull case)
- Organic growth above the target range and margin gains from internal measures could support solid performance 1.
- The Fantech acquisition consolidated the leading position in Australasia, and integration has progressed well 1.
- Efficiency and air quality regulation could keep supporting long-term demand 1.
What would break the thesis
What to watch
- Organic growth and margin trends in Germany, the Nordics and New Zealand2026
- Fantech integration and its effect on marginsnext annual report
- Effect of Awaab's Law on demand for ventilation solutions2026
- Preparation for Provision 29 internal control declarations2026
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
The group designs, manufactures and sells ventilation systems for residential and commercial applications, with a focus on energy efficiency and indoor air quality 1. Residential accounts for c.70% of revenues, with a stronger weighting towards refurbishment 1. Management describes the model as asset light, with a low proportion of fixed costs and a modest capital investment requirement 1. Growth comes from both organic expansion and acquisitions, with 26 acquisitions completed since 2012 1.
Segments
Residential
Residential is the main engine of the business, particularly through airtightness and energy efficiency requirements for new builds in the UK 1. Refurbishment is described as a more stable and less cyclical market 1.
Market context
Demand is shaped by regulation on decarbonisation and building efficiency, particularly in the UK, where new rules on airtightness and overheating have supported new builds 1. Management describes residential and commercial markets as relatively subdued, with low volumes of new construction and fragile consumer confidence 1. Organic growth of 5.7% exceeded the 3–5% target range 1.
Trends
- Indoor air quality rulestailwind
Awaab's Law, in force from October 2025, requires landlords to fix damp and mould within strict legal timeframes, which could support demand for ventilation solutions 1.
- Energy efficiency standardstailwind
UK rules on airtightness and ventilation in new homes support higher-efficiency products, which the group sees as a structural driver 1.
- Weak construction activityheadwind
Low volumes of new construction and fragile consumer confidence limit demand in key markets, with disappointing results in Germany and the Nordics 1.
- Raw material costs and supply chainmixed
Supply chain difficulties and rising input prices could compress margins, a risk included in the management stress scenario 1.
Competitive position
The source does not name specific competitors, but management stresses that leadership in Australasia and other regions depends on the breadth of the product range and innovation capability 1. Competitive pressure could affect pricing and margins, particularly in difficult markets 1.
- Residential and commercial ventilation producers
The source does not name specific competitors; no ticker is given.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202628 Oct 2026
- Annual report 202628 Oct 2026
- Annual report 202528 Oct 2025
- Annual report 202423 Oct 2024
Sources
- [1] Annual report, fiscal year ended 2025-07-31 (ESEF) · SEC / Volution Group plc · 31 Jul 2025
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.