| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | n/a | n/a |
| Intrinsic value (DCF) | n/a | |
| Graham-Dodd Method | 0.49 | -100 |
| Graham Formula | 3.13 | -98 |
TClarke plc is a leading UK-based engineering services company specializing in the design, installation, and maintenance of mechanical and electrical systems for the construction industry. Founded in 1889 and headquartered in London, the company serves diverse sectors including commercial offices, healthcare, education, transportation, and smart buildings. TClarke offers integrated solutions such as data centers, IT infrastructure, fire and security systems, and offsite manufacturing, positioning itself as a key player in the UK's engineering and construction sector. With a strong focus on technology-driven solutions, the company caters to high-profile projects in rail, airports, and public infrastructure. TClarke's expertise in mechanical and electrical contracting, combined with facilities management and engineering services, makes it a trusted partner for complex construction projects. The company's long-standing reputation and diversified service portfolio reinforce its relevance in the industrials sector.
TClarke plc presents a stable investment opportunity with a market cap of £88.4 million and a beta of 0.761, indicating lower volatility compared to the broader market. The company reported revenue of £491 million and net income of £6.5 million in FY 2023, with diluted EPS of 14p. Operating cash flow stood at £7.7 million, supported by a healthy cash position of £29.3 million and manageable total debt of £17.8 million. The dividend payout of 6p per share reflects a commitment to shareholder returns. However, the company operates in a competitive and cyclical industry, exposing it to macroeconomic risks such as construction slowdowns. Investors should weigh its strong sector expertise against potential margin pressures from rising input costs and labor shortages.
TClarke plc competes in the UK's fragmented engineering and construction services market, where differentiation is driven by technical expertise, project execution, and client relationships. The company's competitive advantage lies in its integrated service offerings, spanning mechanical and electrical contracting, ICT solutions, and smart building technologies. Its long-established reputation (founded in 1889) provides trust and credibility in bidding for large-scale projects. TClarke's focus on high-growth areas like data centers and infrastructure modernization aligns with UK government spending priorities. However, the company faces stiff competition from larger multinational firms with greater financial resources and global reach. Its regional concentration in the UK limits diversification benefits but allows for deep local market knowledge. The ability to deliver complex, technology-enabled projects (e.g., smart buildings) gives TClarke an edge over traditional contractors. Challenges include maintaining margins amid inflationary pressures and labor constraints in the construction sector.