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Headlam Group

HEAD.L
20
Industrial - Distribution · Industrials
Price
12.40 GBp
+0.95 (+8.30%)
Market Cap
10.0M GBp
Exchange
London Stock Exchange
Winston Score
20
Winston is worried
Weak fundamentals across most pillars.
Data as of Aug 9, 2026 · filings through Dec 31, 2025

Share count falling — buybacks

6.2% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 85.6M (2021) → 80.3M (2025)

Headlam Group plc, through its subsidiaries, functions as a major distributor and marketer of floor coverings and related accessories. The company's operations extend across the United Kingdom and mainland Europe. Its extensive client base spans both the residential and commercial sectors, encompassing independent and major retailers, flooring installers, property developers, architectural specifiers, and local contractors. To facilitate these operations, Headlam leverages a robust network of 21 distribution hubs and centers. Established in 1948, Headlam Group plc maintains its headquarters in Birmingham, UK.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

-15.5% YoY

YoY Growth Rate

Revenue declining

EPS Growth

-409.1% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$0/ year

0.0% of revenue

Below sector average (4%)

Research and development spending

Cash Runway

~4 months

$26M cash & investments

Quarterly Free Cash Flow

↓ Burn rate worsening

Short runway — potential dilution ahead through share issuance

Cash watch

Headlam Group has less than a year of cash at its current burn rate. Growth investors should watch for potential share dilution from future fundraising — that directly reduces your ownership.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
28.1%
Modest — 28.1% gross margin
Operating Margin
-5.7%
Losing money on operations — -5.7%
ROCE
-8.5%
Weak — -8.5% return on capital

Negative ROIC means the business is losing money on every dollar invested in it.

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Growth

Sales YoY
-15.9%
Shrinking sales (-15.9% YoY)
EPS YoY
N/A
Data not available
EPS Consistency
1/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Cash Conversion
N/A
Data not available
FCF Margin
-9.9%
Burning cash (-9.9%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

Debt / Equity
0.54
Conservative — low debt load (0.54)
Interest Cover
N/A
Data not available

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Valuation

P/E Ratio (TTM)
N/M
Negative earnings — P/E not meaningful
P/E vs Forward
N/A
not available
Data not available

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Dividends

Not applicable for this business.
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