Coats Group Reports Revenue Growth and Strategic Exit from US Yarns

Coats Group plc ( (GB:COA) ) has issued an announcement.

Coats Group plc reported a 4% increase in revenue for the first four months of 2025, driven by strong growth in its Apparel and Footwear segments. The company is exiting its low-margin US Yarns business to improve portfolio quality and margins, expecting net cash proceeds of $16 million from the sale. Despite uncertainties from US-led trade tariffs, Coats maintains a positive outlook for the year, with expectations of strong free cash flow and continued investment in growth initiatives.

The most recent analyst rating on (GB:COA) stock is a Hold with a £0.80 price target. To see the full list of analyst forecasts on Coats Group plc stock, see the GB:COA Stock Forecast page.

Spark’s Take on GB:COA Stock

According to Spark, TipRanks’ AI Analyst, GB:COA is a Neutral.

Coats Group plc’s overall stock score of 69.5 reflects its solid financial performance and strategic corporate actions. Key strengths include strong revenue growth, healthy operating margins, and reasonable valuation. However, high leverage and bearish technical indicators pose challenges. The strategic exit from the US Yarns business and management’s share acquisitions demonstrate a positive outlook, though governance uncertainties from reduced shareholder voting rights need monitoring.

To see Spark’s full report on GB:COA stock, click here.

More about Coats Group plc

Coats Group plc is a global leader in the manufacturing of industrial threads and structural components for apparel and footwear, as well as a pioneer in performance materials. Headquartered in the UK, Coats serves a diverse range of industries including apparel, footwear, automotive, telecoms, and personal protection, with operations in over 50 countries and a workforce of more than 16,000 employees.

Average Trading Volume: 3,936,494

Technical Sentiment Signal: Hold

Current Market Cap: £1.25B

Find detailed analytics on COA stock on TipRanks’ Stock Analysis page.