Billington Holdings - shares showing real strength after site closure, now at 347p, brokers TP 380p

Mark Watson-Mitchell - 11.12.2025

At the end of last month, Billington Holdings (LON:BILN) confirmed the closure of the group's facility at Yate, near Bristol.

Since then, its shares have been gradually advancing, having risen from 310p to the current 347p, with the market seemingly impressed at the structural steel group's strategic restructuring.

It will be interesting to see just what the group will do with the site after closure process is completed.

The Barnsley, South Yorkshire-based Billington is one of the UK's leading structural steel and construction safety solutions specialists, focused on structural steel and engineering activities throughout the UK and European markets.

The group's revenues for the year to the end of this month are expected to have fallen from £113.1m to some £92.5m, while its adjusted pre-tax profits will have collapsed from £10.8m to around £3.5m, hitting its earnings significantly from 61.9p in 2024 to just 18.8p per share this year.

Sensibly, the group's Management is expected to slash the dividend from 25.0p to only 7.5p for the year.

However, based on the estimates of analyst David Buxton, at Cavendish Capital Markets, a strong recovery is anticipated in 2026.

He is looking for the year to end-December 2026, to show revenues of £125.0m, with profits of £8.3m, generating 44.8p per share in earnings and easily covering a dividend payment of 18.5p per share.

Structural steel

I have been following this group for years, and I have always liked its business model.

This year's necessary restructuring should prove more than beneficial as it moves into 2026.

Medium-term investors are apparently already taking the right view, buying into the group's shares on the basis of a prospective 7.7 times prospective earnings with a 2026 yield of 5.3%.

(Profile 02.04.19 @ 266p set a Target Price of 314.5p*)

(Profile 13.06.22 @ 217.5p set a Target Price of 295p*)