Brest Radio-Engineering Plant

OJSC Brest Radio-Engineering Plant

UNP: 200273907 · 248 Moskovskaya St., Brest 224023

Export-orientedPrivatization

Identification

UNP200273907
OKED26000 — manufacture of electrical goods (computer, electronic and optical equipment)
Legal formOJSC
Governing bodyState (93.56% of the charter fund); governing body — general meeting of shareholders, supervisory board, director
State share93.56%
Address248 Moskovskaya St., Brest 224023
Websitebrtz.by

Financial statements

k BYN

Line itemReporting yearPrior year
Fixed assets2 5832 280
Intangible assets22
Income-bearing investments in tangible assets
Investments in long-term assets453
Long-term financial investments
Long-term receivables
Total Section I (long-term assets)2 5892 335
Inventories2 1942 086
— materials874843
— work in progress362361
— finished goods and merchandise958882
— goods shipped
Deferred expenses34
VAT on acquired goods, works, services1910
Short-term receivables1 2161 218
Short-term financial investments
Cash and cash equivalents573
Other short-term assets4
Total Section II (short-term assets)3 4373 395
BALANCE (assets)6 0265 730
Charter capital1 8301 830
Reserve capital471416
Additional capital1 4581 276
Retained earnings (uncovered loss)1 021961
Total Section III (equity)4 7804 483
Long-term loans and borrowings104
Long-term lease liabilities
Deferred income
Total Section IV (long-term liabilities)
Short-term loans and borrowings219460
Current portion of long-term liabilities
Short-term payables923787
— to suppliers, contractors, providers328367
— on payroll190162
— on lease payments
Total Section V (short-term liabilities)1 1421 247
BALANCE (equity and liabilities)6 0265 730

Computed metrics

Current ratio
3.01
Prior: 2.723(+10.5%)
F1.290 / F1.690
Absolute liquidity
0.004
Prior: 0.059
(F1.260 + F1.270) / F1.690
Own working capital ratio
0.637
Prior: 0.633(+0.6%)
(F1.490 - F1.190) / F1.290
Sales profitability
0.67%
Prior: 3.56%(-2.89 pp)
F2.060 / F2.010 × 100%
Net profitability
1.77%
Prior: 2.43%(-0.66 pp)
F2.210 / F2.010 × 100%
Revenue dynamics
0.11%
(F2.010_N / F2.010_N-1) - 1
Debt dynamics
-29.78%
(F1.510 + F1.610)_N / (F1.510 + F1.610)_N-1 - 1
Debt load
0.304
Prior: 0.309
(F1.590 + F1.690) / (F1.590 + F1.690 + F1.410 + F1.460)
Operating cash-flow margin
4.82%
Prior: -4.45%
F4.040 / F2.010 × 100%

Integrity checks

Checks passed: 6 of 6

Balance sheet balances (assets = liabilities)
Cash-flow integrity
Cash-flow residuals
Cash position
Capital transition
Profit consistency

Signals

Yellow flags
  • Sharp compression of the operating margin: profit on sales F2.060 292 → BYN 55k (−81.2%), sales profitability F2.060/F2.010 3.56% → 0.67%. Cost of sales F2.020 6,665 → 6,888 (+3.3%) and administrative expenses F2.040 1,143 → 1,186 (+3.8%) grew faster than revenue.F2.060 · F2.010 · F2.020 · F2.040
  • Revenue is effectively flat: F2.010 8,199 → BYN 8,208k (+0.1%). Receipts from customers F4.021 meanwhile grew more — 8,960 → 9,496 (+6.0%): last year's turnover was collected in cash.F2.010 · F4.021
  • Net profit is held up by something other than core production: F2.210 199 → BYN 145k while profit on sales F2.060 is only 55; other current-activity income F2.070 1,825 against other expenses F2.080 1,624 yields profit from current activity F2.090 254.F2.210 · F2.060 · F2.070 · F2.080 · F2.090
  • The cash position is all but exhausted: F1.270 73 → BYN 5k, closing balance F4.130 73 → 5. The positive operating flow F4.040 396 went into investment F4.061 219 and loan repayment F4.091 2,412 against F4.081 2,271 drawn.F1.270 · F4.130 · F4.040 · F4.061 · F4.091 · F4.081
Green signals
  • Liquidity is high: F1.290 3,395 → 3,437 against F1.690 1,247 → 1,142, a ratio of 2.72 → 3.01; own working capital cover (F1.490 − F1.190) / F1.290 = 0.64. Both indicators rose over the year.F1.290 · F1.690 · F1.490 · F1.190
  • Operating cash flow turned positive: F4.040 −365 → +BYN 396k.F4.040
  • Credit debt was reduced: F1.510+F1.610 0 + 460 = 460 → 104 + 219 = BYN 323k (−29.8%); within it a long-term loan F1.510 104 appeared while short-term debt F1.610 fell 460 → 219. Interest paid F4.093 27 → 53.F1.510 · F1.610 · F4.093
  • Real equity is positive and growing: F1.410 1,830 + F1.460 961 → 1,021 = BYN 2,851k against a total F1.490 4,483 → 4,780; additional capital F1.450 1,276 → 1,458 — revaluation is the smaller part of capital.F1.410 · F1.460 · F1.490 · F1.450

Recommendation

Suggested outcome
Privatization
Category
Stable
Health score
1.16
Confidence level
Medium

The Brest Radio-Engineering Plant is a small manufacturing enterprise (total assets about 6m BYN) with a stable financial structure but a pronounced compression of operating margin in 2025.

Recommendation: Privatization — financially the enterprise is self-sufficient, state participation is not justified by sector criticality, and a potential investor is able to restore the margin through modernization and cost discipline.

Why privatization. Liquidity is very high (current 3.01; working-capital ratio 0.64), equity is genuinely positive and covers long-term assets, the credit load fell 30% over the year, and cash flow from current activity returned to positive territory (+396 versus −365). At the same time, profit on sales collapsed 81% (sales profitability 3.56% → 0.67%) with practically zero revenue dynamics — operating profitability holds on the edge, and the net result was kept positive predominantly through other income.

Confidence: MEDIUM. The source is annual reporting for 2025, a complete F1–F4 set; all 6 cross-form consistency checks pass.

Brest Radio-Engineering Plant — BELSOE