BRC Group Holdings Inc. 5.25% Senior Notes due 2028 (RILYZ)

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I start with Graham's question: what is behind this security? RILYZ is a 5.25% senior note due 2028 issued by BRC Group Holdings, a financial services company. The filed record shows a violent swing: revenue of $986.0M in FY2024 and net income of -$764.3M, then revenue of $789.0M in FY2025 and net income of $307.4M. That recovery is real, but not yet smooth. In fiscal Q1 2026, net income was $213.3M on revenue of $182.0M; in fiscal Q2 2026, net income fell to $20.5M on revenue of $185.9M. Fiscal Q3 2025 had net income of $91.1M on revenue of $215.3M, and fiscal Q2 2025 had net income of $139.5M on revenue of $188.2M. So the business has returned to profit, and FairStock's computed Lynch category is TURNAROUND because it returned to profit after a loss within the last three years. But I cannot establish a moat from this data; industry is not given, and revenue has shrunk from FY2024 to FY2025. Financial health is the weak spot in the packet: no D/E, ROE, ROCE, cash flow, or interest coverage is provided. Valuation is also incomplete. The note price was $18.36 at the 2026-10-16 close, within a 52-week range of $8.65 to $21.10, so the market has moved from fear toward more confidence, but I have no yield-to-maturity, asset coverage, or covenant data. As a Buffett-style investor, I would demand a margin of safety in the credit, not just a turnaround in reported earnings. For now, the numbers say improving but uneven; the missing credit facts keep it in the needs-more-work pile.

In plain English: This is a bond issued by BRC Group Holdings, a financial services company; it pays 5.25% and comes due in 2028. The company lost a lot of money in 2023 and 2024 but made money in 2025 and early 2026, though the latest quarter was much weaker than the one before. At $18.36, the price is closer to its one-year high than its low, but the figures given do not provide enough valuation measures to say clearly whether it is cheap, fair, or expensive.

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Data as of 2026-10-16 close · note generated 2026-10-20 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K/A (period ended 2025-12-31) · FY2024 10-K/A (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer