# Rank Group (RNK.LSE)

Canonical: https://gigainvestors.com/s/RNK.LSE

Analysis as of: 2026-10-16T07:47:21.230Z. Financial observations: FY1997–FY2026.

Listing currency: GBX. Reporting currency: GBP.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: GBX 74.10 per share; close as of 2026-10-15.

Estimated value: low GBX 35.01 per share, central GBX 37.76 per share, high GBX 41.42 per share. Buy at or below the central value GBX 37.76 per share. Valuation as of 2026-10-16T07:47:21.230Z; scenarios are not confidence intervals.

Expected annual return: 5.6% at the stated quote. About 5.6% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; GB 10-year bond 5.4% + 4 points).

## Checklist

### understandable: fail

- 4 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 2

- Operating margin variation: 6.51×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.12×

- FY2018: 0.11×

- FY2019: 0.10×

- FY2020: 0.00×

- FY2021: -0.45×

- FY2022: 0.17×

- FY2023: 0.01×

- FY2024: 0.04×

- FY2025: 0.08×

- FY2026: 0.07×

### moat: fail

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 16.1%

- ROIC, second-lowest year: 0.0%

- Typical minus recent gross margin: -0.5 pp

- Typical gross margin (annual median): 42.5%

- Recent gross margin (lower of latest and 3-year median): 43.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 6.3%

- ROIC including acquisitions, ten-year median: 1.6%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 24.5%

- FY2018: 24.8%

- FY2019: 25.2%

- FY2020: 0.0%

- FY2021: -29.7%

- FY2022: 23.1%

- FY2023: 2.4%

- FY2024: 8.8%

- FY2025: 18.5%

- FY2026: 13.6%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: -0.76×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: GBP -42M

- Net income, five-year total: GBP 56M

- Return on incremental invested capital: 0.0%

- Working capital / revenue, annual change: -1.0 pp

- Working capital / revenue, change between three-year averages: -6.8 pp

- Working capital / revenue, final three-year average: -7.2%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 0.85×

- FY2023: 1.09×

- FY2024: -0.85×

- FY2025: 0.21×

- FY2026: 0.28×

### management: fail

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 24.8% vs 13.6%

- Per-share earnings: 0.16 to 0.06 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- acquired goodwill and intangibles (proxy) exceeds half of ten-year net income with low and deteriorating ROIC

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.9%

- Ordinary dilution, 5-year annual growth: 0.2%

- Market cap gain: GBP -481M

- Cumulative retained earnings: GBP -69M

- Diluted shares, 10-year annual growth: 1.9%

- Diluted shares, 5-year annual growth: 0.2%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: -11.0%

- Per-share value change: GBP -0.10

- Per-share value, starting three-year median: GBP 0.16

- Per-share value, ending three-year median: GBP 0.06

- Average buyback yield: 0.6%

- Buyback history: 1 years

- Debt-funded buybacks: No

- Acquisition spending: GBP 349M

- Cumulative net income, 10 years: GBP 121M

- ROIC, first three-year median: 24.8%

- ROIC, last three-year median: 13.6%

Chart: Earnings per share; fiscal year observations.

- FY2017: GBP 0.16

- FY2018: GBP 0.09

- FY2019: GBP 0.07

- FY2020: GBP 0.02

- FY2021: GBP -0.15

- FY2022: GBP 0.14

- FY2023: GBP -0.20

- FY2024: GBP 0.03

- FY2025: GBP 0.10

- FY2026: GBP 0.06

### accounting: pass

- Sloan accruals: -9.8%

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.9%

- Earnings backed by cash: Yes

- Operating cash / earnings: 3.74×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.71×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -5.0%

- FY2018: -6.9%

- FY2019: -10.0%

- FY2020: -14.3%

- FY2021: -4.7%

- FY2022: -10.4%

- FY2023: -22.1%

- FY2024: -13.7%

- FY2025: -10.3%

- FY2026: -9.8%

## Holders

## Price story

Down 55% since Oct 2021 · sales +5%

Story as of 2026-10-16T10:00:13.681Z; price observation 2026-10-15.

Price needs cash profits to grow 13% a year for ten years

### Sales · FY2025–2026

sales +5%; source https://filings.xbrl.org/213800TXKD6XZWOFTE12/2025-06-30/ESEF/GB/0/213800TXKD6XZWOFTE12-2025-06-30/reports/213800TXKD6XZWOFTE12-2025-06-30-T01.html; observed 2025-11-18.

- FY2017: GBP 707M 

- FY2018: GBP 691M 

- FY2019: GBP 695M 

- FY2020: GBP 630M 

- FY2021: GBP 330M 

- FY2022: GBP 644M 

- FY2023: GBP 682M 

- FY2024: GBP 735M 

- FY2025: GBP 795M 

- FY2026: GBP 835M 

### Gross margin · FY2026

gross margin 43%; source https://filings.xbrl.org/213800TXKD6XZWOFTE12/2025-06-30/ESEF/GB/0/213800TXKD6XZWOFTE12-2025-06-30/reports/213800TXKD6XZWOFTE12-2025-06-30-T01.html; observed 2025-11-18.

- FY2017: 44.7% 

- FY2018: 45.5% 

- FY2019: 45.6% 

- FY2020: 40.7% 

- FY2021: 2.6% 

- FY2022: 37.6% 

- FY2023: 38.8% 

- FY2024: 42.0% 

- FY2025: 43.2% 

- FY2026: 43.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in gambling; annual sales are GBP 835 million.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2026-06-30 (filed 2025-11-18); FY2026: revenue 835000000; grossProfit 359200000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); RNK.LSE: The Rank Group Plc, together with its subsidiaries, engages in provision of gaming services in the United Kingdom, and Europe. The company operates through Grosvenor Venues, Mecca Venues, Digital, and Enracha Venues segments. It also provides casino table games, including roulette, blackjack, baccarat, and poker, as well as electronic roulette and gaming machine; and community games, such as bingo, food and drink, and live entertainment; and electronic casino and slots and sports betting solutions. In addition, the company operates digital channels, including live casino and sports betting, bingo, and slot games; and social and bingo clubs. Further, it offers support services to interactive gaming; and property and marketing services; processes credit transfers; operates parking; and develops and maintains online gaming software. The company was formerly known as Megastorm Public Limited Company and changed its name to The Rank Group Plc in July 1996. The company was founded in 1937 and is based in Maidenhead, the United Kingdom. The Rank Group Plc operates as a subsidiary of Rank Assets Limited.

### Why customers stay

Margins ranged from 42% to 43.2% during 2024–26; it earns 16.1% on its capital.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2024-06-30 (filed 2025-11-18); FY2024: grossProfit / revenue = 42%.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2025-06-30 (filed 2025-11-18); FY2025: grossProfit / revenue = 43.2%.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2026-06-30 (filed 2025-11-18); FY2026: grossProfit / revenue = 43%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-18); 10-year return on capital observations [[2017,0.2454338779734993],[2018,0.24756469881255277],[2019,0.25199289735161884],[2020,0.0004412763068567549],[2021,-0.29692075471698115],[2022,0.23061044126002148],[2023,0.024083658277206665],[2024,0.0876783140315125],[2025,0.18473743136950638],[2026,0.13634614628906763]]; median 0.160541788829287. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 6 of 10 years; bought back GBP 2.8 million of shares.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2017-06-30 (filed 2025-11-18); FY2017: growth capex 0; upkeep 29600000; owner earnings 78600000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2018-06-30 (filed 2025-11-18); FY2018: growth capex 0; upkeep 25400000; owner earnings 53500000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2019-06-30 (filed 2025-11-18); FY2019: growth capex 0; upkeep 22900000; owner earnings 50020000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2022-06-30 (filed 2025-11-18); FY2022: growth capex 0; upkeep 40600000; owner earnings 55360000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2025-06-30 (filed 2025-11-18); FY2025: growth capex 3300000; upkeep 55200000; cash acquisitions 0; owner earnings 9360000. Growth capex plus acquisitions / owner earnings = 0.3525641025641026.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2026-06-30 (filed 2025-11-18); FY2026: growth capex 0; upkeep 40700000; cash acquisitions 0; owner earnings 8500000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-18); Dividend observations: [[2017,26200000],[2018,29100000],[2019,29100000],[2020,32400000],[2021,0],[2022,0],[2023,0],[2024,0],[2025,7000000],[2026,13800000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/api/fundamentals/RNK.LSE.json#2026-06-30 (filed 2025-11-18); FY2026: cash repurchases 2800000 GBP.

### Are managers owners

Insiders own 61.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); RNK.LSE SharesStats.PercentInsiders = 61.253 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 13% yearly over ten years; actual decline was 21.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-18); Ten-year compound average after fade. Initial solved rate 0.17404160786620115. Price 74.1; FX 100; discount 0.1; same standard ten-year fade to terminal 0.03. FY2016 owner earnings/share 0.19119529050422318 → FY2026 0.017962806424344887. Closing-price date 2026-10-15.

## Monthly share-price history (GBX per share)

- 2016-10: GBX 193.50 per share

- 2016-11: GBX 194.20 per share

- 2016-12: GBX 195.00 per share

- 2017-01: GBX 198.70 per share

- 2017-02: GBX 212.00 per share

- 2017-03: GBX 208.70 per share

- 2017-04: GBX 213.80 per share

- 2017-05: GBX 219.50 per share

- 2017-06: GBX 237.20 per share

- 2017-07: GBX 234.00 per share

- 2017-08: GBX 230.00 per share

- 2017-09: GBX 222.00 per share

- 2017-10: GBX 237.90 per share

- 2017-11: GBX 246.30 per share

- 2017-12: GBX 241.50 per share

- 2018-01: GBX 227.00 per share

- 2018-02: GBX 220.00 per share

- 2018-03: GBX 206.50 per share

- 2018-04: GBX 175.00 per share

- 2018-05: GBX 186.80 per share

- 2018-06: GBX 191.40 per share

- 2018-07: GBX 181.60 per share

- 2018-08: GBX 172.80 per share

- 2018-09: GBX 170.00 per share

- 2018-10: GBX 160.00 per share

- 2018-11: GBX 159.00 per share

- 2018-12: GBX 137.80 per share

- 2019-01: GBX 158.80 per share

- 2019-02: GBX 163.00 per share

- 2019-03: GBX 157.40 per share

- 2019-04: GBX 160.00 per share

- 2019-05: GBX 152.20 per share

- 2019-06: GBX 159.00 per share

- 2019-07: GBX 151.60 per share

- 2019-08: GBX 161.20 per share

- 2019-09: GBX 189.60 per share

- 2019-10: GBX 243.50 per share

- 2019-11: GBX 246.50 per share

- 2019-12: GBX 277.00 per share

- 2020-01: GBX 286.00 per share

- 2020-02: GBX 264.00 per share

- 2020-03: GBX 129.80 per share

- 2020-04: GBX 162.80 per share

- 2020-05: GBX 143.20 per share

- 2020-06: GBX 146.40 per share

- 2020-07: GBX 136.60 per share

- 2020-08: GBX 135.20 per share

- 2020-09: GBX 93.30 per share

- 2020-10: GBX 90.00 per share

- 2020-11: GBX 144.20 per share

- 2020-12: GBX 139.20 per share

- 2021-01: GBX 125.00 per share

- 2021-02: GBX 177.20 per share

- 2021-03: GBX 187.80 per share

- 2021-04: GBX 195.00 per share

- 2021-05: GBX 201.50 per share

- 2021-06: GBX 167.80 per share

- 2021-07: GBX 164.40 per share

- 2021-08: GBX 178.20 per share

- 2021-09: GBX 172.00 per share

- 2021-10: GBX 164.00 per share

- 2021-11: GBX 137.00 per share

- 2021-12: GBX 156.00 per share

- 2022-01: GBX 157.00 per share

- 2022-02: GBX 159.80 per share

- 2022-03: GBX 134.60 per share

- 2022-04: GBX 108.00 per share

- 2022-05: GBX 108.80 per share

- 2022-06: GBX 85.60 per share

- 2022-07: GBX 90.00 per share

- 2022-08: GBX 75.30 per share

- 2022-09: GBX 68.20 per share

- 2022-10: GBX 52.40 per share

- 2022-11: GBX 90.50 per share

- 2022-12: GBX 81.90 per share

- 2023-01: GBX 90.50 per share

- 2023-02: GBX 89.30 per share

- 2023-03: GBX 73.10 per share

- 2023-04: GBX 96.50 per share

- 2023-05: GBX 96.90 per share

- 2023-06: GBX 88.40 per share

- 2023-07: GBX 91.80 per share

- 2023-08: GBX 84.00 per share

- 2023-09: GBX 83.70 per share

- 2023-10: GBX 67.20 per share

- 2023-11: GBX 75.50 per share

- 2023-12: GBX 75.00 per share

- 2024-01: GBX 70.40 per share

- 2024-02: GBX 70.60 per share

- 2024-03: GBX 69.20 per share

- 2024-04: GBX 84.00 per share

- 2024-05: GBX 82.60 per share

- 2024-06: GBX 68.00 per share

- 2024-07: GBX 71.00 per share

- 2024-08: GBX 74.40 per share

- 2024-09: GBX 90.00 per share

- 2024-10: GBX 88.00 per share

- 2024-11: GBX 87.20 per share

- 2024-12: GBX 86.00 per share

- 2025-01: GBX 89.00 per share

- 2025-02: GBX 79.40 per share

- 2025-03: GBX 81.80 per share

- 2025-04: GBX 85.20 per share

- 2025-05: GBX 126.20 per share

- 2025-06: GBX 133.00 per share

- 2025-07: GBX 156.60 per share

- 2025-08: GBX 134.80 per share

- 2025-09: GBX 138.60 per share

- 2025-10: GBX 118.60 per share

- 2025-11: GBX 105.80 per share

- 2025-12: GBX 99.30 per share

- 2026-01: GBX 88.10 per share

- 2026-02: GBX 94.60 per share

- 2026-03: GBX 89.30 per share

- 2026-04: GBX 95.30 per share

- 2026-05: GBX 98.60 per share

- 2026-06: GBX 94.90 per share

- 2026-07: GBX 96.80 per share

- 2026-08: GBX 103.20 per share

- 2026-09: GBX 76.50 per share

- 2026-10: GBX 74.10 per share

## Annual estimated value (GBX per share)

- FY2017: low GBX 224.34 per share, central GBX 253.00 per share, high GBX 291.14 per share

- FY2018: low GBX 213.18 per share, central GBX 241.28 per share, high GBX 278.69 per share

- FY2019: low GBX 217.29 per share, central GBX 245.56 per share, high GBX 283.19 per share

- FY2020: low GBX 146.03 per share, central GBX 164.09 per share, high GBX 188.14 per share

- FY2021: low GBX 68.80 per share, central GBX 76.43 per share, high GBX 86.59 per share

- FY2022: low GBX 125.82 per share, central GBX 140.73 per share, high GBX 160.58 per share

- FY2026: low GBX 34.45 per share, central GBX 37.15 per share, high GBX 40.76 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:53:12.628Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original ESEF filing](https://filings.xbrl.org/213800TXKD6XZWOFTE12/2025-06-30/ESEF/GB/0/213800TXKD6XZWOFTE12-2025-06-30/reports/213800TXKD6XZWOFTE12-2025-06-30-T01.html); period 2025-06-30, filed 2025-11-18.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.