| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 243.87 | -36 |
| Intrinsic value (DCF) | 178.54 | -53 |
| Graham-Dodd Method | 2.52 | -99 |
| Graham Formula | n/a |
Billington Holdings Plc (LSE: BILN) is a UK-based leader in structural steelwork solutions, serving construction and infrastructure markets. Specializing in bespoke steel fabrication, the company designs, manufactures, and installs staircases, balustrades, and secondary steelwork for sectors like retail, commercial offices, healthcare, and rail. With a strong presence in the UK and Europe, Billington also provides safety solutions, fall prevention systems, and site hoarding. The company operates through subsidiaries, including Shafton Steel Services and Easi-Edge, reinforcing its expertise in complex steel structures. Founded in 1989 and headquartered in Barnsley, Billington has evolved from Amco Corporation Plc into a trusted name in engineering and construction. Its diversified project portfolio and focus on high-quality steel fabrication position it as a key player in the industrials sector.
Billington Holdings presents a stable investment opportunity with a low beta (0.368), indicating resilience against market volatility. The company reported £113.1M in revenue and £8.3M net income, supported by strong operating cash flow (£8.6M). Its modest debt (£1.6M) and healthy cash position (£6.7M) underscore financial stability. A dividend yield of 25p per share adds appeal for income-focused investors. However, exposure to cyclical construction demand and reliance on UK/European markets pose risks. The company’s niche expertise in structural steelwork provides a competitive edge, but investors should monitor sector-wide challenges like material cost inflation and labor shortages.
Billington Holdings differentiates itself through specialized steel fabrication and safety solutions, catering to high-value construction projects. Its subsidiaries, such as Easi-Edge (safety barriers) and Shafton Steel Services (complex structures), enhance vertical integration. The company’s focus on bespoke designs and rail infrastructure aligns with growing demand for precision engineering. However, it faces competition from larger multinational construction firms with broader geographic reach and diversified service offerings. Billington’s UK-centric operations limit exposure to faster-growing emerging markets but provide stability in domestic infrastructure spending. Its competitive advantage lies in technical expertise and long-standing client relationships, though scalability remains a challenge compared to global peers. Capital expenditures (£5M) suggest ongoing investment in capacity, but the firm must balance growth with margin pressures in a competitive bidding environment.