REACT Group (LSE:REAT) Net Margin %: -0.55% (As of Mar. 2026)


LSE:REAT REACT Group PLC LSE:REAT
45 GF Score
Price £0.46
GF Value £0.82
Valuation Significantly Undervalued
! 6 Warning Signs
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What is REACT Group Net Margin %?

REACT Group LSE:REAT 45 Net Margin % is -0.55% as of Mar. 2026. GuruFocus rates LSE:REAT with a GF Score™ of 45/100 and a GF Value™ of £0.82 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 1,074 Business Services companies, REACT Group ranks worse than 74.77% on this metric.

Net margin is calculated as Net Income divided by its Revenue. REACT Group's Net Income for the six months ended in Mar. 2026 was £-0.07 Mil. REACT Group's Revenue for the six months ended in Mar. 2026 was £13.19 Mil. Therefore, REACT Group's net margin for the quarter that ended in Mar. 2026 was -0.55%.

The historical rank and industry rank for REACT Group's Net Margin % or its related term are showing as below:

LSE:REAT' s Net Margin % Range Over the Past 10 Years
Min: -58.57   Med: -3.25   Max: 5.05
Current: -0.51


LSE:REAT's Net Margin % is ranked worse than
74.77% of 1074 companies
in the Business Services industry
Industry Median: 3.83 vs LSE:REAT: -0.51

REACT Group  (LSE:REAT) Net Margin % Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


REACT Group Net Margin % Related Terms


REACT Group Net Margin % Historical Data

* Premium members only.

The historical data trend for REACT Group's Net Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

REACT Group Net Margin % Chart

REACT Group Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.05 -5.13 0.26 0.09 -1.36

REACT Group Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Net Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.82 -0.68 -2.32 -0.47 -0.55

LSE:REAT vs CTAS, CPRT, GPN: Net Margin % Comparison

For the Specialty Business Services subindustry, REACT Group's Net Margin %, along with its competitors' market caps and Net Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


REACT Group Net Margin % vs Business Services Industry

For the Business Services industry and Industrials sector, REACT Group's Net Margin % distribution charts can be found below:

* The bar in red indicates where REACT Group's Net Margin % falls into.


LSE:REAT
45GF Score
REACT Group PLC LSE:REAT
Net Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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REACT Group Net Margin % Calculation

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

REACT Group's Net Margin for the fiscal year that ended in Sep. 2025 is calculated as

Net Margin=Net Income (A: Sep. 2025 )/Revenue (A: Sep. 2025 )
=-0.34/24.932
=-1.36 %

REACT Group's Net Margin for the quarter that ended in Mar. 2026 is calculated as

Net Margin=Net Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=-0.072/13.188
=-0.55 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Net Margin % →
What does a Net Margin % of -0.55% mean?
REACT Group (LSE:REAT) has a Net Margin % of -0.55% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on REACT Group and its competitors. According to the industry distribution chart, REACT Group ranks #803 out of 1074 companies in the Business Services industry, placing it in the top 74.8%.
Is REACT Group's Net Margin % too high?
REACT Group's current Net Margin % is -0.55%. Based on the distribution chart, REACT Group ranks #803 out of 1074 companies in the Business Services industry, which is below the industry midpoint. Overall, REACT Group has a GF Score™ of 45/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does REACT Group's Net Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, REACT Group ranks #803 out of 1074 companies for Net Margin %. This places REACT Group in the lower half of its industry. The industry median Net Margin % is 3.83. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Business Services company?
The median Net Margin % among Business Services companies is 3.83, based on 1,074 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on REACT Group and its competitors. For the Business Services industry, the median Net Margin % is 3.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. REACT Group's current Net Margin % is -0.55%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is REACT Group stock overvalued right now?
Based on GuruFocus' analysis, REACT Group (LSE:REAT) is currently considered Significantly Undervalued. The stock's GF Value™ is £0.82, compared to a current price of £0.46 — trading 44.5% below its estimated fair value. The current Net Margin % is -0.55%. REACT Group's overall GF Score™ is 45/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For REACT Group (LSE:REAT), the current Net Margin % is -0.55% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is REACT Group (LSE:REAT) Overvalued in 2026?

Based on GuruFocus' analysis, REACT Group stock appears to be undervalued. The current stock price of £0.46 is trading 44.5% below its estimated GF Value™ of £0.82. GuruFocus considers REACT Group to be Significantly Undervalued.

Key valuation signals for LSE:REAT:

  • Net Margin %: -0.55%
  • GF Value™: £0.82 vs. price of £0.46 (44.5% below fair value)
  • GF Score™: 45/100 with 6 warning signs

No single metric tells the full story. See the LSE:REAT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


REACT Group Business Description

Address Holly House, Shady Lane, Birmingham, GBR, B44 9ER
REACT Group PLC is engaged in providing cleaning, decontamination, hygiene services, drainage and plumbing including both contracted commercial cleaning and specialist emergency decontamination work. Its objective is to maintain and/or rapidly return its customer's property to safe, clean, operational use and do this through regular specialist cleaning and/or emergency response to potentially harmful incidents. The business operates through three divisions; commercial windows & cladding, hygiene & maintenance, and, emergency & decontamination. It has three operating segments; Contract Maintenance, Contract Reactive, and Ad Hoc work, out of which a majority of the revenue is generated from the contract maintenance segment.
45GF Score

Get the complete analysis for LSE:REAT

Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£0.46
Price
£0.82
GF Value