Reclaims Global Limited FY2026 Financial Results Analysis
Reclaims Global Limited, a Singapore-based integrated service provider specializing in the recycling of construction and demolition waste, excavation services, and logistics and leasing, released its condensed interim financial statements for the six months and full year ended 31 January 2026. This article provides a detailed analysis of the company’s financial performance, dividend proposals, and outlook, aimed at investors seeking a deeper understanding of the company’s current standing and prospects.
Key Financial Metrics
| Metric |
6M Ended Jan 2026 |
6M Ended Jan 2025 |
FY Ended Jan 2026 |
FY Ended Jan 2025 |
YoY Change (FY) |
HoH Change (6M) |
| Revenue (S\$’000) |
24,763 |
25,454 |
46,549 |
44,415 |
+4.8% |
-2.7% |
| Profit before Tax (S\$’000) |
5,069 |
3,042 |
7,949 |
6,454 |
+23.2% |
+66.6% |
| Net Profit (S\$’000) |
4,369 |
2,667 |
6,849 |
5,567 |
+23.0% |
+63.8% |
| EPS (SGD cents, basic/diluted) |
3.09 |
2.04 |
5.03 |
4.25 |
+18.4% |
+51.5% |
| NAV per Share (SGD cents) |
31.2 |
25.8 |
31.2 |
25.8 |
+20.9% |
+20.9% |
| Dividend per Share (SGD cents) |
1.0 (proposed total) |
0.2 (final) |
1.0 (proposed total) |
1.2 (paid in FY2025) |
-16.7% |
n/a |
Segment Performance
| Segment |
FY2026 Revenue (S\$’000) |
FY2025 Revenue (S\$’000) |
YoY Change (%) |
| Recycling |
844 |
5,774 |
-85.4% |
| Excavation Services |
35,025 |
30,521 |
+14.8% |
| Logistics & Leasing |
10,622 |
7,977 |
+33.2% |
| Others |
58 |
143 |
-59.4% |
Historical Performance Trends
Reclaims Global Limited posted a positive revenue growth of 4.8% YoY for FY2026, driven mainly by strong performances in Excavation Services (+14.8%) and Logistics & Leasing (+33.2%). However, the Recycling segment experienced a sharp contraction (-85.4%), attributed to changes in project mix. Net profit increased by 23.0% YoY, and EPS grew by 18.4%. Notably, there was an exceptional gain from the disposal of property, plant, and equipment, amounting to S\$1.2 million, which contributed to the increased profits.
Dividend Proposal and Comparison
The company has proposed a total dividend of 1.0 Singapore cent per ordinary share for FY2026 (consisting of a 0.5 cent final dividend and a 0.5 cent special dividend). In FY2025, the company paid a total dividend of 1.2 cents per share. The special dividend for FY2026 is an exceptional distribution due to gains from disposal of fixed assets.
Fundraising, Share Placement, and Capital Actions
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In October 2025, Reclaims Global raised S\$7.5 million via a share placement, issuing 20,000,000 new shares, increasing the share count from 131 million to 151 million.
-
The use of net proceeds was split between working capital (S\$3.0m) and property acquisition (S\$4.5m), all of which have been fully utilized.
-
A 1-for-1 bonus issue (151 million new shares) was approved by shareholders in March 2026.
Exceptional Gains and Expenses
-
Other gains rose substantially to S\$1.2m (up from S\$0.2m in FY2025) due to proceeds from asset disposals.
-
A provision for doubtful debts inflated other losses to S\$1.0m in FY2026 (vs S\$0.4m in FY2025).
Related-Party Transactions
The Group transacted with New Development Construction (NDC), an interested person, for logistics services, equipment leasing, and demolition services totaling S\$1.24 million in FY2026.
Financial Position and Cash Flow
-
Cash and cash equivalents increased significantly to S\$27.9 million as at 31 Jan 2026 (from S\$14.0 million a year prior), mainly due to asset sales and share placement.
-
Net asset value per share increased to 31.2 cents (from 25.8 cents).
-
Trade receivables turnover increased to 97 days (from 67 days), reflecting slower collections.
-
No borrowings or lease liabilities remain; the Group is in a net cash position.
Macroeconomic Environment and Outlook
The company notes strong construction demand in Singapore (projected at S\$47–S\$53 billion for 2026) but highlights risks from geopolitical tensions and economic uncertainties. The Group plans to remain focused on Singapore operations while cautiously evaluating new investments.
Chairman’s Statement
“The Group remains focused in its operations in Singapore while cautiously assessing any new or additional investments. We will stay vigilant and continue to adjust our businesses and strategies as the global economic situation evolves.”
The Chairman’s tone is measured but constructive, emphasizing caution and vigilance in light of ongoing uncertainties, while expressing confidence in the Group’s core capabilities.
Conclusion and Investment Recommendation
Overall Assessment: Reclaims Global delivered solid top and bottom-line growth in FY2026, with significant improvement in profitability and cash position. The business benefited from a buoyant construction market, asset sales, and prudent capital management. However, risks include a sharp drop in the Recycling segment, increased doubtful debts, and slower receivables collection.
For Current Shareholders: The company’s financial position is robust with strong cash reserves and no debt. The proposed dividend is attractive, and the bonus issue increases share liquidity. If you are holding, it is reasonable to continue holding for yield and potential further capital appreciation, while monitoring receivables and project pipeline execution.
For Prospective Investors: The Group’s fundamentals have strengthened, and it stands to benefit from Singapore’s infrastructure pipeline. Entry at current levels may be justified for those seeking exposure to the construction ecosystem, but be mindful of the segment volatility and rising receivables risk.
Disclaimer: This analysis is based strictly on the company’s published financial statements and does not constitute investment advice. Please conduct your own due diligence or consult a professional advisor before making investment decisions.
View Reclaims Global Historical chart here
