Br. Holdings Corp

Br. Holdings Corp has a debt-to-equity ratio of 1.18, indicating a moderate reliance on debt financing, while its current ratio of 1.49 suggests it has sufficient short-term assets to cover its liabilities. The company's liquidity position is assessed as medium, with net cash being negative after subtracting total debt, signaling potential short-term liquidity constraints.

In terms of profitability, the company's return on equity (ROE) is 2.65%, and its return on assets (ROA) is 0.9%, both of which are below the industry median for construction and engineering firms. This suggests that Br. Holdings Corp is underperforming its peers in terms of capital efficiency and asset utilization.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to regional economic downturns and regulatory changes, particularly in Japan, where the company is headquartered.

Looking ahead, the company is expected to see a modest increase in revenue, with analysts forecasting a mean revenue estimate of 41 billion JPY for the current fiscal year, compared to the actual revenue of 40.77 billion JPY in the previous year. However, the growth trajectory remains uncertain due to the company's low profitability and high debt load.

The company's risk profile is characterized by medium liquidity risk and low dilution potential. The risk assessment highlights the negative net cash position as a key flag, which could necessitate additional financing in the near term. No significant dilution sources have been identified in the latest filings or transcripts.

Recent events, including the latest earnings report and analyst estimates, indicate that the company's performance has been in line with expectations. The last actual EPS of 28.29 JPY exceeded the mean estimate of 24.30 JPY, suggesting some upside in earnings performance. However, the company's capital expenditure of -378 million JPY indicates a reduction in investment, which may affect long-term growth prospects.

Revenue grew 1.3% year-over-year to JPY 40.77 billion in fiscal 2025, demonstrating modest top-line expansion.

Net margin of 3.85% exceeds the Construction & Engineering cohort median of 3.81%, indicating superior profitability efficiency.

Operating income recovered to JPY 2.06 billion in fiscal 2024, reversing the decline seen in fiscal 2023.

Gross profit remained stable at JPY 4.97 billion in fiscal 2025, maintaining core production value despite revenue fluctuations.

The company maintains a positive net income of JPY 1.27 billion in fiscal 2025, ensuring continued profitability.

Long-term debt surged to JPY 19.04 billion in fiscal 2025, significantly increasing leverage and credit risk.

Debt-to-equity ratio of 1.18 places the company in the bottom quartile of its construction cohort peers.

Revenue ¥8.73B, −17,9% YoY; Operating income +9,8% YoY.

• ▍Revenue ¥8.73B, −17,9% YoY
• ▍Operating income +9,8% YoY
• ▍Net income +14,0% YoY
• ▍Net margin 5.9%

Revenue ¥9.88B, −8,8% YoY; Operating income −40,0% YoY.

• ▍Revenue ¥9.88B, −8,8% YoY
• ▍Operating income −40,0% YoY
• ▍Net income −51,9% YoY
• ▍Net margin 1.3%

Revenue ¥8.30B, −9,3% YoY; Operating income −3,1% YoY.

• ▍Revenue ¥8.30B, −9,3% YoY
• ▍Operating income −3,1% YoY
• ▍Net income +7,5% YoY
• ▍Net margin 1.4%

Revenue ¥10.16B, +2,1% YoY; Operating income +29,9% YoY.

• ▍Revenue ¥10.16B, +2,1% YoY
• ▍Operating income +29,9% YoY
• ▍Net income +18,3% YoY
• ▍Net margin 4.5%

Revenue ¥10.63B; Operating income ¥676.0M.

• ▍Revenue ¥10.63B
• ▍Operating income ¥676.0M
• ▍Net margin 4.2%

Revenue ¥10.84B; Operating income ¥398.0M.

• ▍Revenue ¥10.84B
• ▍Operating income ¥398.0M
• ▍Net margin 2.4%

Revenue ¥9.14B; Operating income ¥227.0M.

• ▍Revenue ¥9.14B
• ▍Operating income ¥227.0M
• ▍Net margin 1.2%

Revenue ¥9.95B; Operating income ¥502.0M.

• ▍Revenue ¥9.95B
• ▍Operating income ¥502.0M
• ▍Net margin 3.9%

Revenue ¥40.77B, +1,3% YoY; Operating income −5,3% YoY.

• ▍Revenue ¥40.77B, +1,3% YoY
• ▍Operating income −5,3% YoY
• ▍Net income −6,3% YoY
• ▍Free cash flow −156,0% YoY
• ▍Net margin 3.1%

Revenue ¥40.26B, +11,8% YoY; Operating income +26,0% YoY.

• ▍Revenue ¥40.26B, +11,8% YoY
• ▍Operating income +26,0% YoY
• ▍Net income +32,0% YoY
• ▍Free cash flow +23,2% YoY
• ▍Net margin 3.4%

Revenue ¥36.02B, +0,3% YoY; Operating income −28,5% YoY.

• ▍Revenue ¥36.02B, +0,3% YoY
• ▍Operating income −28,5% YoY
• ▍Net income −32,8% YoY
• ▍Free cash flow −17,2% YoY
• ▍Net margin 2.8%

Revenue ¥35.90B, −7,5% YoY; Operating income −24,8% YoY.

• ▍Revenue ¥35.90B, −7,5% YoY
• ▍Operating income −24,8% YoY
• ▍Net income −21,6% YoY
• ▍Free cash flow −45,0% YoY
• ▍Net margin 4.3%