Rechitsa Textile

OJSC Rechitsa Textile

UNP: 400016802 · 131 Naumova St., Rechitsa, Gomel Oblast 247500

Export-orientedRestructuring

Identification

UNP400016802
OKED13920 — manufacture of made-up textile articles, except apparel
Legal formOJSC
Governing bodyBellegprom Concern
State share98.91%
Address131 Naumova St., Rechitsa, Gomel Oblast 247500

Financial statements

k BYN

Line itemReporting yearPrior year
Fixed assets26 35542 273
Intangible assets24
Income-bearing investments in tangible assets
Investments in long-term assets726593
Long-term financial investments33
Long-term receivables
Total Section I (long-term assets)27 37542 873
Inventories2 2274 068
— materials5891 155
— work in progress34259
— finished goods and merchandise1 6042 654
— goods shipped
Deferred expenses104
VAT on acquired goods, works, services4
Short-term receivables2 1301 698
Short-term financial investments102
Cash and cash equivalents366
Other short-term assets
Total Section II (short-term assets)4 4075 878
BALANCE (assets)31 78248 751
Charter capital9 6609 660
Reserve capital1212
Additional capital26 14437 793
Retained earnings (uncovered loss)-22 504-18 075
Total Section III (equity)13 31229 390
Long-term loans and borrowings4 0227 439
Long-term lease liabilities
Deferred income819441
Total Section IV (long-term liabilities)4 8417 880
Short-term loans and borrowings472 042
Current portion of long-term liabilities5 5672 254
Short-term payables8 0157 185
— to suppliers, contractors, providers3 8924 112
— on payroll239211
— on lease payments
Total Section V (short-term liabilities)13 62911 481
BALANCE (equity and liabilities)31 78248 751

Computed metrics

Current ratio
0.323
Prior: 0.512(-36.9%)
F1.290 / F1.690
Absolute liquidity
0.003
Prior: 0.009
(F1.260 + F1.270) / F1.690
Own working capital ratio
-3.191
Prior: -2.294(-39.1%)
(F1.490 - F1.190) / F1.290
Sales profitability
-17.92%
Prior: -13.14%(-4.78 pp)
F2.060 / F2.010 × 100%
Net profitability
-36.73%
Prior: -26.2%(-10.53 pp)
F2.210 / F2.010 × 100%
Revenue dynamics
6.64%
(F2.010_N / F2.010_N-1) - 1
Debt dynamics
-57.1%
(F1.510 + F1.610)_N / (F1.510 + F1.610)_N-1 - 1
Debt load
(F1.590 + F1.690) / (F1.590 + F1.690 + F1.410 + F1.460)
Operating cash-flow margin
4.3%
Prior: 21.21%
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

Red flags
  • Net loss for the second year running and growing: −4,429k for 2025 versus −2,963 for 2024; accumulated uncovered loss reached −22,504k.F2.210 · F1.460
  • Real equity is deeply negative: without revaluation of fixed assets (additional paid-in capital 26,144k), own funds amount to −12,844k — the positive total of Section III (13,312) rests solely on revaluation.F1.410 · F1.460 · F1.450 · F1.490
  • Current liquidity is critically low: 0.32 — current assets of 4,407k cover only about a third of current liabilities of 13,629; there is no own working capital (provision −3.19).F1.290 · F1.690 · F1.490 · F1.190
  • Operations are loss-making at every level: sales profitability −17.9%, net profitability −36.7%; gross profit almost wiped out — 324k on revenue of 12,059.F2.060 · F2.010 · F2.210 · F2.030
Yellow flags
  • The value of fixed assets fell sharply (42,273 → 26,355k) — mainly through a downward revaluation (−11,649k) rather than disposal; only 457k was directed to acquiring fixed assets.F1.110 · F2.220 · F4.061
  • The short-term portion of long-term liabilities grew (2,254 → 5,567k): a significant share of long-term debt falls due within the year, intensifying liquidity pressure.F1.620
Green signals
  • Operating cash flow remains positive: +518k (4.3% of revenue) — current activity generates cash despite the accounting loss, a significant part of which is non-cash (downward revaluation −11,649k).F4.040 · F2.010 · F2.220
  • Credit debt is shrinking: long-term loans and borrowings 7,439 → 4,022k, short-term 2,042 → 47; part of the debt has meanwhile moved into the short-term portion of long-term liabilities (2,254 → 5,567). Revenue grew nominally: 11,308 → 12,059k.F1.510 · F1.610 · F1.620 · F2.010

Recommendation

Suggested outcome
Restructuring
Category
Distressed
Health score
0.71
Confidence level
High

Rechitsa Textile is a manufacturer of textile articles (light industry) managed by a sector-specific state concern, with a state share of about 98.9%.

Recommendation: Restructuring — (recapitalization, correction of the cost structure, debt restructuring) as the main path, with liquidation as the alternative if stabilization does not take hold.

Why restructuring. The 2025 financial result is deeply negative: net loss of −4,429k BYN widened from −2,963 a year earlier, operations are loss-making at every level (sales profitability −17.9%, net −36.7%), and current liquidity is critical (0.32) with no own working capital. The key structural problem is deeply negative real equity (−12,844k BYN): the positive balance-sheet total is provided solely by revaluation of fixed assets. Accumulated uncovered loss is −22,504k BYN; the enterprise discloses overdue obligations and assesses bankruptcy risk as medium. At the same time the business retains a cash core: operating flow remains positive (+518k BYN), a significant part of the loss is non-cash (downward revaluation of buildings −11,649k BYN), overdue obligations nearly halved over the year, the self-assessed bankruptcy risk was lowered from high to medium, and revenue grew nominally. A state-supported modernization is under way at the enterprise.

Confidence: HIGH. The assessment rests on full annual reporting for 2025; the choice between restructuring and liquidation requires an expert decision. The F1–F4 set is complete and all 6 cross-form consistency checks pass.

Rechitsa Textile — BELSOE