Broker Name: CGS International
Date of Report: February 19, 2026
Excerpt from CGS International report.
Report Summary
- BRC Asia Ltd reported strong 1QFY9/26 results, with PATMI of S\$28.8m (+48% yoy), benefiting from higher sales volumes, economies of scale, and lower finance costs.
- The company’s orderbook reached a new high of S\$2.2bn, with robust construction activity expected in Singapore from 2025-2029.
- BRC actively manages project concentration risk by diversifying across smaller projects, improving earnings resilience.
- CGS International reiterates its “Add” rating, raising FY26F-FY28F EPS estimates by 8-19% on higher trading revenue and sales volume forecasts; target price increased to S\$5.40.
- BRC is seen as an early-cycle beneficiary of Singapore’s construction upcycle, with earnings expected to peak in FY27F/FY28F.
- ESG highlights include productivity improvements through factory fabrication, strong quality management, and workplace safety efforts.
- Key risks: counterparty credit risks, potential economic slowdown affecting construction demand, and regulatory changes impacting manpower costs.
- Financial metrics show robust growth, improving margins, and a strengthening balance sheet.
above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website : https://www.cgs-cimb.com/
