BRC Group Reports Q3 Turnaround with 38.7% Stock Surge
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 15 2026
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Source: Fool
- Earnings Turnaround: BRC Group reported earnings of $2.91 per share in Q3 2025, a significant recovery from a loss of $9.39 per share in the same quarter last year, indicating a strong financial turnaround that is likely to drive further stock price increases.
- Revenue Surge: The company experienced a 58% year-over-year revenue increase to $277.9 million, primarily driven by a rebound in its capital markets segment, showcasing robust performance in investment banking and advisory services despite declines in other business areas.
- Capital Markets Recovery: Capital markets revenue rebounded from a negative $24.7 million to $116.2 million, reflecting BRC's success in equity and debt capital raises totaling approximately $10.5 billion during the quarter, which enhances market confidence in the firm's prospects.
- Compliance Restoration: BRC has completed and filed its three missing 10-Q forms, regaining compliance with Nasdaq listing requirements, marking an improvement in corporate governance that is expected to attract more investor interest and support future growth.
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Analyst Views on RILY
About RILY
BRC Group Holdings, Inc., formerly B. Riley Financial, Inc., is a diversified holding company, including financial services, telecom, and retail, and investments in equity, debt and venture capital. The Company's core financial services platform provides small cap and middle market companies customized end-to-end solutions at every stage of enterprise life cycle. The Company's banking business offers comprehensive services in capital markets, sales, trading, research, merchant banking, mergers and acquisitions (M&A) and restructuring. The Company's wealth management business offers wealth management and financial planning services including brokerage, investment management, insurance and tax preparation. Its telecom businesses provide consumer and business services including traditional, mobile and cloud phone, Internet and data, security and email. The Company's retail businesses provide mobile computing accessories and home furnishings.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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BRC Group Projects Significant Q4 Revenue Growth
- Revenue Expectations Rise: BRC Group anticipates Q4 2025 revenue to be approximately $271 million to $282.5 million, significantly up from $178.6 million in Q4 2024, reflecting strong performance amid market recovery.
- Net Income Rebound: Expected net income is projected to range from $60 million to $65.4 million, a substantial increase from $0.9 million in Q4 2024, indicating a notable improvement in the company's profitability and a return to financial health.
- Adjusted EBITDA Turnaround: The company forecasts adjusted EBITDA between $98.9 million and $109.4 million, a significant recovery from a loss of $(113.8) million in Q4 2024, showcasing enhanced operational efficiency and successful cost management.
- Earnings Per Share Surge: Basic and diluted earnings per share are expected to range from $1.96 to $2.14, compared to $0.03 in Q4 2024, reflecting a robust recovery in profitability and increased investor confidence.
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