olivLaw · European equity research
Newcastle Building Society NBSP.L
United Kingdom · London Stock Exchange · Vertical: Listed companies from United Kingdom
Newcastle Building Society is the largest building society in North East England and the seventh largest in the UK, with assets of over 7 billion pounds. Profit before tax rose in 2025, but high costs weigh on margins, so its trajectory merits close watching.
At the close of 05 Nov 2026, Newcastle Building Society (NBSP.L) stock was 142.00 GBP (+0.00% on the day), with 52-week range 142.00–142.50 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)
- unavailable
- Bollinger (20, 2)
- unavailable – unavailable
- SMA 50 / 200
- unavailable / unavailable
- MACD (12, 26, 9)
- unavailable / unavailable
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 | unavailable | −0.6% | unavailable | — |
| 3 months | unavailable | −4.2% | unavailable | — |
| 6 months | unavailable | +4.3% | unavailable | — |
| Year to date | unavailable | +7.5% | unavailable | — |
| 1 year | unavailable | +9.9% | unavailable | +6.7% |
| 3 years | unavailable | +49.8% | unavailable | +24.8% |
| 5 years | unavailable | +42.8% | unavailable | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
EPS unavailable in the issuer's structured filings (e.g. a partnership reports per unit, not per share).
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 | 2021 | 2022 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | unavailable | unavailable | unavailable | unavailable |
| Revenue YoY | unavailable | unavailable | unavailable | unavailable |
| Net income | 23.9 m | 26.0 m | 16.5 m | 18.0 m |
| Net income YoY | unavailable | +8.8% | unavailable | +9.1% |
| Diluted EPS | unavailable | unavailable | unavailable | unavailable |
| Diluted EPS YoY | unavailable | unavailable | unavailable | unavailable |
| net % | unavailable | unavailable | unavailable | unavailable |
| Free cash flow | -70.9 m | 95.9 m | -118.2 m | -294.0 m |
Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 230.2 m GBP
- Financial debt
- unavailable GBP
- Net debt
- unavailable GBP
- Equity
- 353.1 m GBP
- Total assets
- 7.0 bn GBP
- Debt / equity
- unavailable
- Current ratio
- unavailable
- ROE
- 5.2%
- ROA
- 0.3%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (GBP)
Income statement · GBP
| Line | 2021 | 2022 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Operating income | 99.5 m | 119.7 m | 152.9 m | 156.1 m | esef· 29 Apr 2026verified |
| Depreciation & amortisation | 5.2 m | 5.7 m | 7.6 m | 8.4 m | esef· 29 Apr 2026verified |
| EBITDA | 104.7 m ≈ | 125.4 m ≈ | 160.5 m ≈ | 164.5 m ≈ | esef· 29 Apr 2026derived |
| Pre-tax income | 29.1 m | 31.7 m | 15.7 m | 22.6 m | esef· 29 Apr 2026verified |
| Income tax | 5.2 m | 5.7 m | -800.0 k | 4.6 m | esef· 29 Apr 2026verified |
| Net income | 23.9 m | 26.0 m | 16.5 m | 18.0 m | esef· 29 Apr 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · GBP
| Line | 2021 | 2022 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Cash | 395.0 m | 439.3 m | 472.7 m | 230.2 m | esef· 29 Apr 2026verified |
| Property, plant & equipment, net | 31.0 m | 29.1 m | 34.0 m | 36.6 m | esef· 29 Apr 2026verified |
| Intangibles (excl. goodwill) | 7.5 m | 10.2 m | 13.8 m | 11.7 m | esef· 29 Apr 2026verified |
| Total assets | 4.9 bn | 5.3 bn | 6.6 bn | 7.0 bn | esef· 29 Apr 2026verified |
| Total liabilities | 4.9 bn | 5.3 bn | 6.2 bn | 6.7 bn | esef· 29 Apr 2026verified |
| Equity | 224.1 m | 245.9 m | 345.1 m | 353.1 m | esef· 29 Apr 2026verified |
Cash flow · GBP
| Line | 2021 | 2022 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Operating cash flow | -67.2 m | 98.0 m | -113.5 m | -287.5 m | esef· 29 Apr 2026verified |
| Capex | 3.7 m | 2.1 m | 4.7 m | 6.5 m | esef· 29 Apr 2026verified |
| Free cash flow | -70.9 m ≈ | 95.9 m ≈ | -118.2 m ≈ | -294.0 m ≈ | esef· 29 Apr 2026derived |
| Investing cash flow | -24.8 m | -50.3 m | 400.0 k | -258.0 m | esef· 29 Apr 2026verified |
| Financing cash flow | -3.3 m | -3.4 m | 52.3 m | 303.0 m | esef· 29 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: 1 of at least 6
- score weight coverage: 6.2% of at least 60%
- valuation methods computed: 0 of at least 1
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: unavailable
Key indicators
Coverage and freshness
Score by group
6% · 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: indicators available: 1 of at least 6; score weight coverage: 6.2% of at least 60%; valuation methods computed: 0 of at least 1
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | unavailable | unavailable | — |
| FCF conversion · Quality | -1,633.3% | 0 (on a fixed band) | 100% |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| 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 | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partialunavailable · 0/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality· partial0/100 · 1/3 factors with a value
- Returns· partialunavailable · 0/2 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
NEWCASTLE BUILDING SOCIETY (NBSP.L). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: ROE 5.2%.
Valuation cannot be computed from the available data.
Insufficient data for a verdict (indicators available: 1 of at least 6; score weight coverage: 6.2% of at least 60%; valuation methods computed: 0 of at least 1).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.
What contradicts it
- FCF conversion: -1,633.3%
Not assessed (insufficient data or a ratio without meaning): ROIC, Net margin, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, Current ratio, P/E (TTM), EV/EBITDA, FCF yield, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Listed companies from United Kingdom · same country · compared with 40 companies
Multiples and returns vs the median
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% |
| BMS.LBraemar PLC | 78.3 m | 39.2 | 2.7% | 1.7% | −4.4% | +13% / −11% |
| 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 NBSP.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
Newcastle Building Society is the largest building society in North East England and the seventh largest in the UK, with assets of over 7 billion pounds 1. Profit before tax rose in 2025, but high costs weigh on margins, so its trajectory merits close watching.
SWOT
Strengths
Weaknesses
Opportunities
Risks
- Operating costshigh
Cost growth outpaced income growth, which could reduce profitability if the trend continues 1.
- Interest rate riskhigh
Market rate movements can affect the value of instruments held at fair value and reported profit 1.
- Pension obligationsmedium
The defined benefit scheme is exposed to asset volatility and actuarial assumptions, and the Virgin Media litigation could increase liabilities 1.
- Liquidity and fundingmedium
A lower liquidity coverage ratio shows that the liquidity surplus has narrowed, limiting flexibility 1.
- Credit riskmedium
Mortgage loans could become impaired if the regional economy weakens, and provisions could rise 1.
Investment thesis
What would need to be true (bull case)
What would break the thesis
What to watch
- Trend in the cost to income ratio and operating profit2026
- Level of Member deposits and gross mortgage lending2026
- Liquidity coverage ratio and CET1 capital ratio2026
- Legislative developments on Virgin Media litigation and pension obligationsnext 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
Newcastle Building Society is a Member-owned building society that helps people own a home, save and plan their finances 1. Income comes from interest on customer mortgages and liquid assets, plus the savings management business Newcastle Strategic Solutions and the financial advice arm Newcastle Financial Advisers 1. Funding comes mainly from Members, supplemented by wholesale funding and Bank of England schemes, plus reserves from prior profits 1.
The stated aim is 'connecting our communities with a better financial future', and the mutual model seeks value for Members beyond competitive pricing 1. The society measures this through the Mutual Value Measurement framework, adopted in 2023, for which it was the first UK organisation to receive accreditation 1. Through savings management outsourcing, the group diversifies income by offering its core skill to other banks and building societies 1.
Core lending is funded by deposits and supported by high liquidity, so capital and liquidity ratios remain central to reporting 1. The group focuses on the regions it serves, acting as employer and facilitator of positive change in its communities 1.
Segments
Mortgages and savings
The main segment covers residential and buy-to-let mortgages and Member savings, which reached 5883 million pounds at the end of 2025 1. Gross mortgage lending was 1219 million pounds in 2025 1.
Savings management and advice
Newcastle Strategic Solutions provides savings management for other banks and building societies, while Newcastle Financial Advisers provides financial advice, both adding income for the group 1.
Market context
The society operates mainly in Northern England, where it is the largest building society, and is the seventh largest in the UK with assets of 7 billion pounds 1. A net interest margin of 1.49% in 2025 shows how well assets convert into income in a shifting rate environment 1.
The UK residential mortgage and savings market is dominated by large institutions, so regional position and the mutual model are the main points of differentiation 1.
Trends
- Market interest ratesmixed
Movements in market rates created losses on instruments held at fair value, weighing on operating profit before impairment and provisions 1.
- Rising net interest margintailwind
The maturing Term Funding Scheme supported the margin, and its repayment from excess liquidity removed an expensive funding cost 1.
- Cost growthheadwind
Administrative costs grew faster than income, and the cost to income ratio rose to 85% in 2025 1.
- Pay and talent investmentmixed
Colleague pay rose on average by 4.1% in 2025, and investment in people and culture adds cost while potentially supporting productivity 1.
Competitive position
Competition comes mainly from other building societies and large banks offering mortgages and savings accounts in the same market 1. Differentiation rests on service, consistent pricing for Members and a strong local presence in the region 1.
In savings management, the society competes with specialist providers offering similar services to other banks and building societies, where its core skill may matter 1.
- Nationwide Building Society
Large UK building society and direct competitor in mortgages and savings; not US-listed.
- Yorkshire Building Society
Northern England building society and regional competitor in mortgages and deposits.
- Principality Building Society
Welsh building society active in the same savings and lending products.
- Skipton Building Society
Northern England building society competing on mortgages and financial advice.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202529 Apr 2026
- Annual report 202228 Mar 2023
Sources
- [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / Newcastle Building Society · 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.