Highlights

  • LUCE’s Q1 revenue rose by 19% YoY, primarily driven by acquisitions and improved demand for EV products.
  • The company’s adjusted operating profit increased by 8% year-on-year (YoY) during the period.
  • LUCE has proposed a final dividend of GBX 3.3 per share, bringing the total FY24 dividend to GBX 5.0, a 4.2% YoY increase.

Luceco PLC (LSE: LUCE) is a UK-based manufacturer and distributor of wiring accessories, LED lighting, and portable power products. The company serves international markets with a wide range of electrical solutions, including switches, sockets, and cable management systems.

In the financial year 2024 (FY24), the company’s revenue increased by 16.0% YoY to GBP 242.5 million, primarily driven by a 5.8% growth from acquisitions and expanding traction in its international business. Adjusted operating profit surged by 20.8% YoY to GBP 29.0 million, supported by revenue growth and a margin expansion to 12.0%, driven by operational efficiencies. However, profit after tax declined by 12.6% YoY to GBP 14.6 million compared to the previous year, due to acquisition-related costs, higher tax charges, and increased finance expenses.

During the first quarter of the financial year 2025 (Q1FY25), revenue rose by 19% YoY to GBP 61.0 million, primarily driven by acquisitions and improved demand for EV products. Adjusted operating profit increased by 8%YoY, while the gross margin remained stable due to steady input costs and improved manufacturing efficiency.

Recent Business Update

LUCE’s bank net debt to EBITDA ratio stood at 1.7x, remaining within the company’s target range. The Board has proposed a final dividend of GBX 3.3 per share, bringing the total dividend for FY24 to GBX 5.0, representing a 4.2% year-on-year increase.

Company Outlook

The company expects the impact of tariffs to be limited, as U.S. sales of China-sourced products totalled only GBP 4 million in 2024, representing a small portion of overall revenue. While industry indicators remain mixed, the Group has noted an increase in home improvement activity in the UK. Considering ongoing macroeconomic uncertainty, the Board is maintaining a cautious outlook, with full-year expectations remaining unchanged.

Top 10 Shareholders

The top 10 shareholders together form ~71.75% of the total shareholding. Epic Investments LLP and Hornby (John) hold a maximum stake in the company at ~22.12% and ~16.25%, respectively.

Stock Information

The stock price of LUCE has surged by ~1.25% and ~4.17% over the past month and 3 months, respectively. Moreover, it is trading below the average 52-week high price of GBX 195.00 and the 52-week low price of GBX 108.26. As of 04 June 2025, LUCE’s closing price is GBX 144.80.

Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels is 04 June 2025. The reference data in this report has been partly sourced from EODHD/Others.

 Technical Indicators Defined

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.