Elixirr International (LON:ELIX) – Big Push into the States and Moving to the Main Market

07.05.2025

This group, which is an established, global award-winning challenger consultancy, early last week announced its results for the year to end-December 2024 – they were really quite good and the share price reacted accordingly.

Group revenues were up 30% at £111.3m (£85.9m), while its adjusted pre-tax profits were 22% better at £29.7m (£24.4m), with its earnings some 16% higher at 43.1p (37.2p) covering its 20% improved dividend payment to 17.8p (14.8p) per share.

Founder and CEO Stephen Newton stated that:

"FY 24 has been our strongest year yet.

As we prepare to move to the Main Market, we do so from a position of strength - with record revenue, earnings and client growth, and a proven strategy we can scale globally."

Since 2019, the group has more than quadrupled revenue and EBITDA, it has completed six acquisitions, and diversified its business geographically, by industry vertical and by capability.

The group’s management believes this move marks a natural progression in Elixirr's evolution as a high-growth, tech-enabled consultancy.

Elixirr has set its path upon expansion into the US, a key strategic priority, with the region now generating more than half of group revenues.

The Main Market move is declared as an important step in Elixirr's evolution, and one that should set it up perfectly for the future as it continues to grow towards its stated ambition of becoming ‘a consulting unicorn’, with a market capitalisation exceeding $1bn.

Guy Hewett at Cavendish Capital Markets follows the group closely and rates the shares as a Buy, with a Target Price of 1085p very much supported by ‘peer’ valuations.

His estimates for the current year to end-December 2025 show revenues of £139.2m, profits of £34.7m, earnings of 48.4p and a 20.0p per share dividend.

For the 2026 year he sees £151.0m revenues, £38.5m profits, with 52.9p per share of earnings and paying a 21.8p dividend.

Looking forward into 2027 he estimates £161.6m revenues, £41.4m profits, 56.8p earnings and a 23.4p per share dividend.

That projects good steady growth which demands a better rating in the market, perhaps the Main Market move will help to boost the value.

The shares, which are now trading at around the 794p level, value the group at some £380m.

There is currently a strong momentum for the group’s shares, maintain holdings.

(Profile 21.09.20 @ 227p set a Target Price of 285p*)

(Profile 06.02.23 @ 517.5p set a Target Price of 650p*)