Biorem Inc (BRM) AI Stock Analysis

• Market Cap: C$32.27M
• Dividend Yield: N/A
• Average Volume (3M): 40.21K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 0.43
• Revenue Growth: 24.01%
• EPS Growth: -11.48%
• Country: CA
• Employees: 57
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): 0.04
• Shares Outstanding: 16,137,438
• 10 Day Avg. Volume: 43,690
• 30 Day Avg. Volume: 40,214
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: C$2.50
• Price Target Upside: 25.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: C$2.50 ▲(25.00% Upside)

Biorem Inc's strong financial performance is the most significant factor driving its stock score, supported by solid revenue growth and profitability. The technical analysis indicates a neutral trend, while the valuation suggests the stock is fairly priced. The absence of earnings call data and corporate events does not impact the score.

Biorem Inc Business Overview & Revenue Model

Company Description

BioRem Inc., a clean technology engineering company, designs, manufactures, distributes, and sells air pollution control systems that are used to eliminate odors, volatile organic compounds (VOCs), and hazardous air pollutants (HAPs). It offers biofilters for the removal of odors, H2S, VOCs, and HAPs; and biotrickling filters for applications of high levels of H2S or other water-soluble VOCs. The company also provides multi-stage systems to remove odors from various municipal/urban wastewater treatment processes; biogas desulfurization systems; dry scrubber adsorption systems; and cannabis odor control systems. In addition, it offers biological processes and testing services; media sampling and analysis; system review and inspections; and media replacements and spare parts. The company operates in Canada, the United States, China, and internationally. BioRem Inc. was founded in 1990 and is headquartered in Puslinch, Canada.

How the Company Makes Money

Biorem Inc generates revenue through the sale of its air emissions control systems and related services. The company's primary revenue streams include the design, engineering, and installation of custom air treatment solutions tailored to the needs of various industries such as wastewater treatment, food processing, chemical production, and more. Additionally, Biorem offers ongoing maintenance and support services to ensure optimal performance of its systems. The company benefits from partnerships with industrial clients and governments seeking to comply with stringent environmental regulations. These collaborations often lead to long-term contracts and recurring revenue from maintenance and upgrades.

Biorem Inc Financial Statement Overview

Summary

Biorem Inc has shown remarkable financial improvement with strong revenue growth, improved profit margins, and robust cash flow metrics. The company's low debt-to-equity ratio and high return on equity further highlight its solid financial position.

Income Statement

Biorem Inc has demonstrated strong revenue growth with a significant increase of 48.67% in 2024 compared to the previous year. The gross profit margin stands at 26.87%, reflecting efficient cost management. The net profit margin also improved to 8.13%, indicating enhanced profitability. Both EBIT and EBITDA margins show positive trends, at 11.61% and 12.87% respectively, highlighting operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is 0.33, indicating a healthy leverage position. Return on equity has improved to 28.65%, showcasing effective utilization of shareholder funds. The equity ratio is 37.26%, which suggests a stable capital structure with a good portion of assets financed by shareholders' equity.

Cash Flow

Biorem Inc's free cash flow growth rate is robust, reflecting a turnaround from negative to positive free cash flow. The operating cash flow to net income ratio of 1.21 indicates strong cash generation relative to net income, while the free cash flow to net income ratio of 1.09 further confirms solid cash flow health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.36M	37.42M	25.17M	28.86M	24.48M	24.38M
Gross Profit	10.28M	10.06M	7.02M	8.76M	6.24M	7.02M
EBITDA	5.03M	4.82M	3.45M	2.99M	2.68M	3.07M
Net Income	3.14M	3.04M	2.18M	1.61M	1.30M	2.09M
Balance Sheet
Total Assets	27.10M	28.51M	24.08M	20.73M	19.17M	21.95M
Cash, Cash Equivalents and Short-Term Investments	7.66M	5.21M	2.29M	3.78M	4.47M	8.87M
Total Debt	3.14M	3.56M	4.19M	4.75M	5.67M	828.17K
Total Liabilities	16.16M	17.89M	17.36M	16.21M	17.20M	8.43M
Stockholders Equity	10.94M	10.63M	6.72M	4.52M	1.96M	13.52M
Cash Flow
Free Cash Flow	4.42M	3.31M	-62.84K	1.24M	3.71M	2.99M
Operating Cash Flow	4.76M	3.69M	490.03K	1.44M	3.78M	3.34M
Investing Cash Flow	-345.11K	-372.00K	-552.87K	-203.29K	-75.98K	-342.40K
Financing Cash Flow	-567.52K	-572.04K	-1.33M	-951.80K	-7.56M	-199.74K

Biorem Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BRM, the sentiment is Negative. The current price of 2 is below the 20-day moving average (MA) of 2.03, below the 50-day MA of 2.09, and below the 200-day MA of 2.35, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 44.78 is Neutral, neither overbought nor oversold. The STOCH value of 23.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:BRM.

Biorem Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BRM	72 Outperform	C$32.27M	10.10	33.38%	―	24.01%	-11.48%
TMG	69 Neutral	C$23.37M	337.50	―	―	15.07%	-92.73%
QST	61 Neutral	C$17.08M	-18.67	-15.32%	―	75.22%	83.79%
GRN	61 Neutral	C$43.94M	311.11	-7.77%	―	-31.63%	―
SHRC	48 Neutral	C$14.66M	-3.64	-15887.80%	―	25.83%	-30.00%
WATR	47 Neutral	C$3.59M	-2.11	―	―	-72.45%	-987.50%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Biorem Inc Corporate Events

BIOREM Inc. Reports Record Order Backlog Amidst Revenue Decline

BIOREM Inc. reported its first-quarter financial results for 2025, highlighting a record order backlog of $68 million, despite a decrease in quarterly revenue to $4.7 million due to seasonal construction delays and logistical challenges. The company secured 23 new projects, including a significant $5.8 million project in the Middle East, and is focusing on organic growth initiatives and expanding its service offerings, such as on-demand odor control rental units. The company’s cash position improved to $9.6 million, and it invested in manufacturing equipment to increase production capacity, indicating a strategic focus on supporting international clients and enhancing its market position.