REAT

React Group PLC

Industrial Goods and Services First-pass screen £11m

340/1000 Overall fit

AI beneficiary 35% 20

Operating leverage 25% 50

Valuation 25% 30

Downside protection 15% 50

First-pass take

REACT is a disciplined FM services operator with strong recurring revenue (93%) and margin improvement (450bps to 32.1%), but zero AI exposure and limited operating leverage in a labor-intensive model. Recent 24hr Aquaflow acquisition diversifies services and enhances margins but creates net debt (£2.9m). Lacks valuation data for assessment.

Flags

no-ailabor-intensivenet-debtno-valuation-datam-and-arecurring-revenue-dependent