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Norcros PLC (GB:NXR)
LSE:NXR
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Norcros (NXR) AI Stock Analysis

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GB:NXR

Norcros

(LSE:NXR)

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Neutral 56 (OpenAI - 4o)
Rating:56Neutral
Price Target:
277.00p
▲(2.97% Upside)
Norcros is currently facing financial challenges with declining profitability and increased leverage, which are the most significant factors affecting its score. The technical analysis suggests bearish momentum, and the high P/E ratio indicates overvaluation, further impacting the overall score.

Norcros (NXR) vs. iShares MSCI United Kingdom ETF (EWC)

Norcros Business Overview & Revenue Model

Company DescriptionNorcros (NXR) is a UK-based manufacturer and supplier of innovative bathroom and kitchen products. Operating primarily in the home improvement and construction sectors, the company specializes in tiles, adhesives, and bathroom fixtures. Norcros serves both residential and commercial markets, offering a diverse range of products designed to meet the needs of various customer segments. The company's portfolio includes well-known brands such as Triton Showers, Johnson Tiles, and Abacus Bathrooms, which are recognized for their quality and design.
How the Company Makes MoneyNorcros generates revenue through multiple streams, primarily from the sale of its products in the bathroom, kitchen, and tile sectors. The company operates through various channels, including direct sales to contractors and tradespeople, as well as retail sales through home improvement stores and distributors. Key revenue streams include the sale of tiles, bathroom suites, and associated installation products, such as adhesives and grouts. Additionally, Norcros benefits from strategic partnerships with retailers and builders, which enhance its market reach and distribution capabilities. The company also engages in exporting its products to international markets, further diversifying its revenue sources. Economic factors such as housing market trends and construction activity significantly influence its earnings, making the company sensitive to fluctuations in the broader economy.

Norcros Financial Statement Overview

Summary
Norcros faces challenges in revenue and profit growth, with narrowing margins affecting overall profitability. The balance sheet remains stable, though rising leverage could pose risks if profitability does not improve. Cash flow management is effective, but declining cash generation could impact future operations. Overall, the company needs to address profitability and leverage to improve its financial position.
Income Statement
62
Positive
Norcros has shown inconsistent revenue growth over the past years, with a significant decline in the latest fiscal year. The gross profit margin stood at approximately 43.5%, reflecting solid cost management. However, the net profit margin decreased sharply to around 0.95%, indicating challenges in maintaining profitability. Additionally, EBIT and EBITDA margins have also narrowed considerably, signaling potential operational inefficiencies or cost pressures.
Balance Sheet
68
Positive
The balance sheet indicates a stable equity position with an equity ratio of approximately 53.6%, suggesting a healthy balance between assets and liabilities. However, the debt-to-equity ratio has increased to 0.39, indicating a rise in leverage. The return on equity has decreased, reflecting reduced profitability relative to equity.
Cash Flow
70
Positive
Cash flow analysis showed a decrease in operating cash flow and free cash flow. The free cash flow to net income ratio suggests a strong cash conversion from earnings. The operating cash flow to net income ratio remains positive, indicating efficient cash operations despite reduced profitability.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue368.10M368.10M392.10M441.00M396.30M324.20M
Gross Profit188.40M160.10M165.00M169.30M140.80M118.40M
EBITDA47.30M18.70M55.30M54.50M48.80M35.00M
Net Income3.50M3.50M26.80M16.80M25.70M15.00M
Balance Sheet
Total Assets388.00M388.00M425.30M446.20M359.50M312.20M
Cash, Cash Equivalents and Short-Term Investments22.70M22.70M30.80M29.00M27.40M28.30M
Total Debt80.10M80.10M90.30M103.60M42.80M42.00M
Total Liabilities180.10M180.10M202.90M235.80M159.20M163.80M
Stockholders Equity207.90M207.90M222.40M210.40M200.30M148.40M
Cash Flow
Free Cash Flow11.60M11.60M29.30M18.50M9.20M50.50M
Operating Cash Flow18.50M18.50M36.60M24.50M14.60M53.30M
Investing Cash Flow-3.40M-3.40M-7.30M-84.30M-5.40M-2.80M
Financing Cash Flow-23.40M-23.40M-26.00M64.30M-11.70M-70.00M

Norcros Technical Analysis

Technical Analysis Sentiment
Positive
Last Price269.00
Price Trends
50DMA
273.80
Negative
100DMA
269.96
Negative
200DMA
249.10
Positive
Market Momentum
MACD
-2.91
Negative
RSI
49.50
Neutral
STOCH
70.05
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:NXR, the sentiment is Positive. The current price of 269 is above the 20-day moving average (MA) of 260.00, below the 50-day MA of 273.80, and above the 200-day MA of 249.10, indicating a neutral trend. The MACD of -2.91 indicates Negative momentum. The RSI at 49.50 is Neutral, neither overbought nor oversold. The STOCH value of 70.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:NXR.

Norcros Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
£161.91M9.7215.81%4.29%4.67%93.06%
65
Neutral
£206.95M41.0428.68%4.04%-3.51%-67.38%
64
Neutral
£625.79M14.644.28%-7.53%-4.50%
64
Neutral
£122.52M12.893.24%19.86%19.09%
62
Neutral
£129.03M17.239.96%3.90%5.51%-33.75%
56
Neutral
£241.96M68.801.63%3.87%-6.12%-86.98%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:NXR
Norcros
269.00
38.26
16.58%
GB:ALU
Alumasc
342.50
69.40
25.41%
GB:EPWN
Epwin Group plc
119.00
18.32
18.20%
GB:ECEL
Eurocell
132.50
-39.95
-23.17%
GB:JHD
James Halstead
149.50
-26.04
-14.83%
GB:SRAD
Stelrad Group Plc
162.50
17.73
12.25%

Norcros Corporate Events

Executive/Board ChangesBusiness Operations and Strategy
Norcros Grants New Share Options to Executive Directors
Neutral
Jul 23, 2025

Norcros plc has announced the granting of new share options under its Approved Performance Share Plan (APSP) and Deferred Bonus Plan (DBP) to its executive directors. The APSP awards are contingent on achieving specific performance targets over a three-year period, focusing on earnings per share growth and total shareholder return. The DBP awards, representing part of the executive directors’ annual bonuses, will vest after three years, aligning with the company’s long-term incentive strategy.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Shareholder MeetingsBusiness Operations and Strategy
Norcros plc Announces AGM Results with Strong Shareholder Support
Positive
Jul 23, 2025

Norcros plc, a company involved in the manufacturing and distribution of home consumer products, held its Annual General Meeting on 23 July 2025. The meeting resulted in the approval of all proposed resolutions, including the re-election of directors and the authorization of share allotments and purchases. These decisions reflect strong shareholder support and are likely to strengthen the company’s governance and strategic flexibility.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Norcros Reports Resilient Q1 Performance and Strategic Acquisition
Positive
Jul 23, 2025

Norcros, the leading bathroom products business in the UK and Ireland, reported a resilient trading performance for the first quarter of 2025, with revenue slightly ahead of the previous year. Despite challenging trading conditions, the company continues to grow market share and progress towards its medium-term targets. The acquisition of Fibo Holding AS is set to enhance its European waterproof wall coverings division, pending regulatory approval. The closure of the Johnson Tiles South Africa plant was completed as planned.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Executive/Board Changes
Norcros CFO Exercises Share Options, Increases Stake
Positive
Jul 21, 2025

Norcros plc announced that its Chief Financial Officer, James Eyre, has exercised options under the company’s Deferred Bonus Plan, resulting in a net retention of 21,143 shares after settling tax obligations. This transaction increases Eyre’s total shareholding, potentially strengthening his alignment with company performance and signaling confidence in Norcros’s future prospects.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Regulatory Filings and Compliance
Norcros Updates Share Capital and Voting Rights Information
Neutral
Jul 16, 2025

Norcros plc has announced an update regarding its share capital and voting rights. As of 16 July 2025, the company has 89,947,975 ordinary shares in circulation, each granting one vote at general meetings. This update is crucial for shareholders and stakeholders to determine their notification obligations under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

M&A TransactionsBusiness Operations and Strategy
Norcros Acquires Fibo Holding AS to Expand European Market Presence
Positive
Jul 15, 2025

Norcros plc, a prominent bathroom products company, has announced the acquisition of Fibo Holding AS, a leading supplier of waterproof decorative wall panels, for approximately £45 million. This acquisition aligns with Norcros’ strategy to expand in high-growth product segments and will enhance its presence in the European market, particularly in Scandinavia and central Europe. The integration of Fibo Group is expected to create a leading European waterproof wall coverings division, leveraging Fibo’s established market routes and management expertise. The acquisition is anticipated to be earnings accretive in the first year and will be financed through Norcros’ existing credit facility, with the transaction subject to regulatory approval.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Norcros to Close Johnson Tiles South Africa Operations Following Strategic Review
Neutral
Jun 23, 2025

Norcros has announced the closure of its Johnson Tiles South Africa manufacturing operations following a strategic review. The decision, driven by the need to focus on a capital-light and cash-generative business portfolio, will see the business cease manufacturing by the end of June 2025. Despite the closure, inventory will continue to be sold through Tile Africa, and the financial impact is expected to be cash neutral. The company emphasizes its commitment to fulfilling obligations to staff, customers, and suppliers, and will report the financial performance of Johnson Tiles SA as a discontinued operation. This move aligns with Norcros’s strategic priorities of portfolio development, organic growth, and operational excellence, as it aims to strengthen its remaining profitable businesses in South Africa.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Shareholder MeetingsBusiness Operations and StrategyFinancial Disclosures
Norcros Publishes 2025 Annual Report and AGM Notice
Positive
Jun 20, 2025

Norcros has released its Annual Report and Accounts for the year ended 31 March 2025, alongside the Notice of its 2025 Annual General Meeting. The company continues to focus on growth through acquisitions and organic development, aiming to expand its market share in the fragmented bathroom products market. The report highlights Norcros’s commitment to operational excellence and ESG capabilities, which are expected to drive further expansion.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Norcros Reports Strategic Gains Amid Revenue Decline
Positive
Jun 12, 2025

Norcros PLC reported its financial results for the year ended March 31, 2025, highlighting strategic execution that led to market share gains and margin growth despite a 6.1% decline in revenue. The company achieved a record underlying profit in the UK and Ireland and maintained a strong balance sheet, with strategic initiatives including the sale of Johnson Tiles UK and a focus on organic growth, operational excellence, and ESG goals. The company remains confident in achieving its medium-term strategic targets, with expectations for FY26 unchanged amid uncertain market conditions.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Financial Disclosures
Norcros to Host Investor Webinar on Full-Year Results
Neutral
Jun 3, 2025

Norcros plc has announced an investor webinar scheduled for June 18, 2025, to present its full-year results ending March 31, 2025. The event will be hosted by CEO Thomas Willcocks and CFO James Eyre, offering an opportunity for existing and potential shareholders to engage with the company’s leadership and gain insights into its financial performance and strategic direction.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 30, 2025