BRC Asia Limited (BEC) AI Stock Analysis

• Market Cap: S$1.15B
• Dividend Yield: 4.78%
• Average Volume (3M): 89.09K
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.69
• Revenue Growth: 4.84%
• EPS Growth: 0.79%
• Country: SG
• Employees: 726
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): 0.19
• Shares Outstanding: 275,976,680
• 10 Day Avg. Volume: 98,260
• 30 Day Avg. Volume: 89,093
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: S$4.90
• Price Target Upside: 16.95% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: S$4.50 ▲(7.40% Upside)

BRC Asia Limited's strong financial performance, characterized by consistent revenue growth and robust cash flow generation, is the primary driver of its stock score. The valuation is reasonable, supported by a solid dividend yield. However, technical indicators suggest a lack of upward momentum, which tempers the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Cash Flow Generation

Strong cash flow generation enhances financial flexibility, allowing the company to invest in growth opportunities and manage debt efficiently.

Balance Sheet Health

Improved leverage and a strong equity ratio indicate a solid capital structure, reducing financial risk and supporting long-term sustainability.

Negative Factors

Margin Efficiency

A decline in margin efficiency can impact profitability, requiring the company to optimize costs and pricing strategies to maintain earnings.

Debt Monitoring

While leverage has improved, ongoing debt monitoring is crucial to prevent financial strain and maintain the company's creditworthiness.

Market Conditions

A bearish trend in stock trading may reflect broader market challenges, potentially affecting investor confidence and capital raising capabilities.

BRC Asia Limited Business Overview & Revenue Model

Company Description

BRC Asia Limited, together with its subsidiaries, engages in the prefabrication of steel reinforcement for use in concrete in Singapore, China, Brunei, Hong Kong, Malaysia, Indonesia, Thailand, and internationally. It operates through Fabrication and Manufacturing, and Others segments. The company is involved in the trading of steel reinforcing bars; manufacture and sale of wire mesh fences; prefabrication, manufacturing, trading, distribution, and sale of steel products; and provision of weldfences and cages, as well as prefabrication, rebar, and cut and bend services. It also operates and manages airports, hotels, and resorts; and develops properties. The company was incorporated in 1938 and is based in Singapore. BRC Asia Limited is a subsidiary of Esteel Enterprise Pte. Ltd.

How the Company Makes Money

BRC Asia Limited generates revenue primarily through the sale of its steel products to construction companies, contractors, and other industries requiring steel materials. The company's revenue model is based on direct sales and long-term contracts with clients, ensuring a steady flow of income. Key revenue streams include the sale of different types of steel products, such as rebar and wire rods, as well as value-added services like customized steel processing. Additionally, BEC may engage in partnerships with construction firms and suppliers, which can lead to bulk orders and recurring business, further enhancing its earnings potential.

BRC Asia Limited Financial Statement Overview

Summary

BRC Asia Limited presents a strong financial profile with consistent revenue growth, improved leverage, and robust cash flow generation. The company has effectively managed its operations to maintain healthy margins and strong returns on equity. While the balance sheet shows improved leverage, continuous monitoring of debt levels is advisable to sustain financial stability.

Income Statement

BRC Asia Limited has demonstrated consistent revenue growth, with a 7.95% increase in the most recent year. The company maintains a stable gross profit margin of around 10%, and its net profit margin has slightly decreased to 6.07%. The EBIT and EBITDA margins are healthy, indicating efficient operations. Overall, the income statement reflects strong revenue growth and profitability, although there is a slight decline in margin efficiency.

Balance Sheet

The company has improved its debt-to-equity ratio to 0.42, indicating a reduction in leverage compared to previous years. The return on equity is strong at 18.32%, showcasing effective use of equity to generate profits. The equity ratio stands at 54.93%, reflecting a solid capital structure. While the balance sheet shows improved leverage and strong equity returns, the company should continue to monitor debt levels to maintain financial stability.

Cash Flow

BRC Asia Limited has shown a significant 23.60% growth in free cash flow, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 1.31, suggesting efficient conversion of income to cash. The free cash flow to net income ratio is high at 0.94, reflecting robust cash flow relative to profits. Overall, the cash flow statement highlights strong cash generation and efficient cash management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.44B	1.55B	1.48B	1.63B	1.70B	1.17B
Gross Profit	146.54M	159.70M	153.80M	139.05M	153.72M	82.13M
EBITDA	112.22M	138.90M	141.65M	122.51M	129.56M	79.03M
Net Income	97.09M	94.30M	93.54M	75.75M	90.22M	47.03M
Balance Sheet
Total Assets	907.69M	936.91M	904.02M	952.36M	973.11M	884.72M
Cash, Cash Equivalents and Short-Term Investments	143.81M	203.12M	191.37M	184.62M	154.57M	82.97M
Total Debt	259.95M	215.35M	245.73M	380.68M	457.98M	435.77M
Total Liabilities	429.09M	407.54M	428.73M	525.05M	574.32M	583.77M
Stockholders Equity	478.60M	514.68M	475.28M	427.31M	398.79M	300.95M
Cash Flow
Free Cash Flow	94.20M	116.43M	188.66M	156.26M	46.05M	-128.10M
Operating Cash Flow	97.41M	123.24M	192.97M	159.53M	48.96M	-126.16M
Investing Cash Flow	3.77M	-18.11M	2.82M	2.66M	-1.38M	-1.13M
Financing Cash Flow	-84.61M	-93.39M	-183.03M	-127.02M	22.82M	135.86M

BRC Asia Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:BEC, the sentiment is Positive. The current price of 4.19 is above the 20-day moving average (MA) of 4.04, above the 50-day MA of 4.11, and above the 200-day MA of 3.57, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 61.35 is Neutral, neither overbought nor oversold. The STOCH value of 70.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:BEC.

BRC Asia Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

BRC Asia Limited Corporate Events

BRC Asia Limited Announces Key Management Restructuring

BRC Asia Limited has announced significant changes in its key management positions, effective from August 22, 2025. Mr. Zhang Xingwang has been appointed as Chief Executive Officer of Malaysia, stepping down from his previous role as Chief Operating Officer. Mr. Tan Lau Ming, formerly Deputy COO, has been promoted to Group COO. Additionally, several executives have been redesignated to group-level positions, including the CEO, CFO, CPO, and CCO. These changes reflect the company’s strategic focus on enhancing its operational performance and growth, with the Board expressing confidence in the leadership capabilities of the newly appointed executives.

BRC Asia Limited Reports Strong Q3 2025 Financial Performance

BRC Asia Limited reported a robust financial performance for the third quarter ending June 30, 2025, with a revenue of S$408,856,000 and a profit after tax of S$21,829,000. The company’s strong cash flow from financing activities, amounting to S$63,547,000, contributed to a net increase in cash and cash equivalents, highlighting its solid financial management and strategic positioning in the market.