Luceco - look for further growth in Q4, shares 209.50p, looking up to 240p/260p in due course
Mark Watson-Mitchell - 27.10.2026
Residential and commercial eletrification products and systems group Luceco (LON:LUCE) this morning has reported a strong third-quarter trading momentum, with revenue increasing by 17.0% year-on-year, driven by a significant 220% growth in its Energy Transition segment, which includes EV charging and Demand Flexibility, alongside a 3.4% rise in core products.
That performance, coupled with operational efficiencies, led to a substantial 60% improvement in Adjusted Operating Profit compared to the prior year.
The company's Bank Net Debt stood at £74.6m, with leverage improving to 1.4x EBITDA, comfortably within its target range.
Luceco remains confident in delivering full-year Adjusted Operating Profit in line with market expectations, which currently stands at £41.8m.
Management Comment
CEO Dr Thorsten Müller stated that:
“Luceco delivered a strong third-quarter performance, with revenue growth of approximately 17%, against what was a strong prior-year comparative.
This performance demonstrates the strength of our competitive advantages and positioning in attractive market segments, including the significant opportunity afforded within Energy Transition.
We remain confident in the outturn for the year.”
My View
The Company-compiled analyst consensus, as of yesterday, is for full-year Adjusted Operating Profit: 2026 £41.8m, with a range of £41.3m - £42.5m.
I look for earnings to rise this year, to end-December, to 17.7p (15.0p) and the dividend to 6.5p (6.0p) per share.
For next year, the earnings could be some 19.3p and the dividend 6.8p per share.
The shares, now at 209.50p, are beginning to climb to a more reflective rating in the 240p/260p price trading range.
(Profile 15.06.20 @ 96.1p set a Target Price of 125p*)
(Profile 11.08.25 @ 126.80p set a Target Price of 150p*)
(Profile 17.09.26 @ 220p set a Target Price of 275p)
(Profile 23.10.26 @ 201p set a Target Price of 275p)
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