Bri-Chem posts $1.84M Q4 adjusted EBITDA turnaround, 9% annual sales decline
Bri-Chem’s fourth-quarter sales fell 18% to $16.96 million, driving full-year revenues down 9% to $75.60 million in 2025. The company swung to a $1.84 million adjusted EBITDA gain in Q4 (11% of revenue) and posted $4.19 million for the year, with net earnings of $0.98 million.
1. Revenue Decline
In the fourth quarter of 2025, Bri-Chem reported sales of $16.96 million, down 18% from the prior year, while full-year revenues dropped 9% to $75.60 million, reflecting softer demand and pricing pressures in its oilfield chemical distribution operations.
2. Profitability Turnaround
The company achieved an adjusted EBITDA of $1.84 million in Q4 (11% margin) versus a $1.17 million loss a year earlier, and generated $4.19 million for the full year compared to a $0.32 million loss, driven by cost controls and improved blending margins; net earnings rose to $1.07 million in Q4 and $0.98 million for 2025.
3. Balance Sheet Strength
Total assets declined 25% to $43.36 million as inventory levels normalized, while working capital increased 13% to $5.06 million; the company maintained a zero long-term debt position, bolstering liquidity and financial flexibility.
4. Shareholders’ Equity Growth
Shareholders’ equity edged up 3% to $20.28 million, supported by positive net earnings and disciplined capital management, laying groundwork for potential dividend maintenance or reinvestment in operational growth initiatives.