ValueMax Group Limited: Integrated pawnbroker and lender

Singapore’s leading secured lender rides a strong gold cycle 

About ValueMax

Founded in 1988, ValueMax provides pawnbroking and moneylending services, as well as the retail and trading of jewellery and gold.

Listed on the SGX Mainboard since 2013, ValueMax had a market capitalisation of approximately S$880 million as at 20 July 2026.

As at 31 December 2025, ValueMax's pawnbroking network comprised 50 pawnbroking and retail outlets in Singapore, one additional Singapore outlet operated by an associated company, and 32 outlets in Malaysia through associated companies, bringing its total regional footprint to 83 outlets.

Founder and Executive Chairman Yeah Hiang Nam has over 50 years of experience in the gold, jewellery and pawnbroking trades. As at 9 March 2026, the Founder and family holds 81.8% shareholding in ValueMax.   

Business segments

ValueMax generates operating cash flows from three business segments :  

Pawnbroking (21% of pretax profit)

ValueMax extends collateralised loans against pledges of gold and white-gold jewellery, diamond jewellery, branded timepieces, and gold, platinum or silver bars and coins. This is the Group's core, capital-light secured lending business and generated segment profit of S$25.9 million in FY2025 (FY2024: S$15.2 million).

ValueMax offers collateral-backed pawnbroking loans secured against pledged valuables. Interest is charged at 1.0% to 1.5% in the first month and 1.5% per month thereafter for up to eight months. 

If customers do not redeem their pledged items within the loan period, the company can repossess and sell them at their retail network. 

Governed by the Pawnbrokers Act 2015, the maximum interest rate is capped at 1.5% per month. 

Average pledge value ranges from S$1,000 to S$2,000 for jewellery-backed loans and S$1.0 million to S$2.0 million for real estate-backed loans.

Retail and trading of jewellery and gold (37% of pretax profit)

ValueMax sells new and pre-owned jewellery and watches at all outlets and operates a wholesale gold-trading business that buys scrap gold from its own subsidiaries and other pawnbrokers/jewellery traders, and sells fine gold bars to jewellery factories, wholesalers and retailers. 

This is the largest revenue segment, contributing S$425.0 million of external revenue in FY2025 (77% of Group revenue) and segment profit of S$45.8 million.

In its gold trading business, ValueMax extends short-term trade credit to customers. These receivables do not earn interest, are generally repayable on demand, and are initially recorded at their invoiced amount, which is considered to approximate fair value.

Moneylending (29% of pretax profit)

ValueMax grants secured and unsecured term loans, mainly to businessmen and corporates with short-term cash needs, and also provides hire-purchase and floor-stock financing for the automotive industry. 

This segment contributed S$67.3 million of revenue and S$36.0 million of segment profit in FY2025 — the highest segment margin in the Group.

Moneylending is separately regulated under the Moneylenders Act, which stipulates a maximum interest rate at 4.0% per month.  ValueMax's moneylending business offers both secured and unsecured loans. 

Secured loans are backed by pledged assets, with loan amounts determined based on a percentage of the collateral's value. These loans carried interest rates ranging from 6.4% to 36.0% per annum in FY2025 (FY2024: 7.0% to 36.0%). 

Unsecured loans, which do not require collateral, earned interest rates of 7.9% to 47.0% per annum (FY2024: 10.1% to 47.0%).

The wide range of interest rates reflects differences in loan size, tenure, collateral quality, and borrowers' credit profiles. Secured loans benefit from collateral protection, while unsecured loans typically command higher interest rates to compensate for the higher credit risk. 

Other operations (13% of pretax profit)

Investment holding and provision of support services to Group companies, including the share of results of the Malaysia pawnbroking associates (S$11.6 million in FY2025, up from S$6.3 million in FY2024).

Risk Management

Risk management is embedded across ValueMax's lending and pawnbroking operations through disciplined underwriting, conservative collateral practices and close monitoring of credit quality.

Statistical Expected Credit Loss (ECL) model 

For its pawnbroking business, ValueMax uses a statistical Expected Credit Loss (ECL) model based on five to ten years of historical default data to estimate credit losses. The model is regularly updated using actual portfolio performance, allowing loan loss provisions to better reflect underlying credit risk.

Singapore property market regulations

In its property-backed lending business, the group benefits from Singapore's well-regulated residential property market. Measures such as the Additional Buyer's Stamp Duty (ABSD), Total Debt Servicing Ratio (TDSR) framework and Seller's Stamp Duty (SSD) have helped curb excessive leverage and speculative activity, contributing to greater stability in collateral values.

Regular portfolio review

The group also maintains active oversight of its loan portfolio through weekly collections meetings to review delinquent accounts that are more than 30 days past due. This allows management to identify emerging credit issues early and implement recovery actions where necessary.

Sophisticated gemstone testing equipment

Operational risks are mitigated through investments in specialised appraisal capabilities. ValueMax employs sophisticated gemstone testing equipment to authenticate jewellery and assess collateral quality, reducing the risk of accepting counterfeit or misrepresented items.

Blacklisting system and industry WhatsApp alerts for suspicious items

To guard against fraud and stolen goods, ValueMax maintains an internal blacklisting system and participates in industry-wide information sharing. Suspicious items and transactions are promptly communicated through industry WhatsApp groups, enabling pawnbrokers to identify potential risks and strengthen fraud prevention across the network.

Together, these measures support the group's historically low credit losses and prudent risk profile, while safeguarding the quality of its loan portfolio.

Key strengths

An integrated ecosystem that captures value across the gold cycle

ValueMax's pawnbroking, gold trading and jewellery retail businesses are deliberately integrated: pledged gold that is not redeemed can be refined and sold through the Group's own gold-trading and retail channels, while rising gold prices simultaneously increase loan quantum per pledge and the value of gold inventory held. 

This gives the Group a natural hedge against precious-metal price cycles. 

Stringent credit approval process 

ValueMax employs a disciplined credit approval framework with escalating approval requirements based on loan size, helping to strengthen risk oversight. The Chief Credit Officer may approve loans of up to S$7.5 million, while loans exceeding S$7.5 million and up to S$20.0 million require approval from two additional Executive Directors. 

Loans above S$20.0 million must be approved by the Board of Directors, providing an additional layer of governance for larger credit exposures.

Along with the company’s discipline, Valuemax has a clean track record of no principal losses since 2014.  It has only made a S$58,000 write-off on the expenses. 

Predominantly secured, collateral-backed lending book

Over 95% of ValueMax’s loan book is secured by tangible collateral — gold, jewellery, branded watches, real estate and vehicles — which limits credit losses relative to unsecured consumer lenders. 

Of the loan book, gold accounts for 70% of the outstanding loans. 

Allowance for expected credit losses on trade receivables was S$4.2 million in FY2025 (FY2024: S$2.6 million), modest relative to a S$1.27 billion trade and other receivables base. The translated to a charge-off rate of 0.33%. 

Disciplined, diversified funding base

Funding is diversified across bank facilities from six principal bankers (CIMB, DBS, OCBC, Maybank, RHB, Sing Investments & Finance, UOB), commercial paper issued on the SDAX and ADDX platforms, and a S$300 million multicurrency medium-term note programme. 

As at 31 December 2025, gearing remains healthy at 1.43x net debt-to-equity despite continued loan-book growth.

ValueMax is rated BB by Fitch Ratings. The external credit rating provides independent validation of the group's credit profile. Fitch also highlighted that ValueMax's credit cost ratio has consistently remained below 0.5%, reflecting the healthy quality of its loan book and prudent borrower selection.

Track record of network expansion and shareholder returns

ValueMax has grown its Singapore footprint through selective M&A while its Malaysian associate network continues to expand. In 2025, it acquired two pawnbroking companies in Singapore.

ValueMax has built a strong regional footprint in secured lending and jewellery retail. As at 31 December 2025, the Group's network comprised 50 outlets in Singapore and 32 outlets in Malaysia through its associate, including Well Chip Group Berhard. Well Chip was listed on Bursa Malaysia in FY2024.   

ValueMax is one of the leading local pawnbroker in Singapore, accounting or around 20% of the total sector outlets. 

Progressively higher dividend payout ratio

ValueMax has progressively raised its dividend, with total FY2025 dividends of 3.88 cents per share, equivalent to a dividend payout ratio of 35%.  ‘

Recognition and index inclusion

The Group has been awarded many accolades for the management’s exceptional track record.  ValueMax's CFO, Ms Carol Liew, was named Best CFO (Mid Cap Category) at the Singapore Corporate Awards 2025, and the Group received The Edge Singapore Billion Dollar Club 2025 Centurion Club award for the highest growth in profit after tax over three years. 

Following an increase in its public float to at least 15%, ValueMax was also included in the iEdge Singapore NEXT 50 Index on 23 March 2026.

Industry outlook

Gold: a structural, multi-year tailwind

Gold has been one of the best-performing assets, rising from roughly US$1,060/oz at end-2015 to around US$4,010/oz today — a near four-fold gain — including a spike to an all-time high of approximately US$5,600/oz in January 2026. 

We see this as a structural move: central banks (led by China, Poland, India and Turkey) have been buying gold at record pace since 2022 as part of a broader de-dollarisation trend, adding over 1,000 tonnes a year to reserves; persistent geopolitical tension and elevated fiscal deficits continue to support safe-haven demand; and gold retains its role as a hedge against currency debasement and inflation. 

Several major sell-side houses (including JPMorgan, Deutsche Bank, UBS and Societe Generale) have publicly targeted gold prices of US$6,000–6,300/oz by end-2026, underscoring the extent to which the structural bull case remains intact even after the recent pullback from January's peak.

For ValueMax, as gold prices rise, buyers are keen to gain exposure.  Sellers are also keen to realise gains from the higher gold prices.  Sellers benefit from the higher gold prices which translate to higher value of pledge.    

Higher gold prices support larger loan quantum per pledge, lifting pawnbroking interest income.  ValueMax could also make higher margins on gold trading and jewellery resale, and mark-to-market gains on the Group's own gold inventory. FY2025 gross margin was 30.3%, higher by 1.8 percentage point from 28.5% in FY2024. 

With the structural gold cycle, we would expect ValueMax's core segments to benefit in the long run.   That said, ValueMax does not take a view on the gold prices. Revenue and cash flow are generated from interest income. 

Beyond gold, pawnbroking itself is a licensed, collateral-based form of consumer and small-business credit that has historically been resilient through economic cycles, as demand for short-term secured liquidity tends to rise, not fall, during periods of economic uncertainty. 

The chart below shows the growth of retail sales of watches and jewellery are mostly ahead of the total retail sales. 

The Singapore industry is regulated under the Pawnbrokers Act, which caps pledge-loan interest and governs licensing, capital and disclosure requirements — creating a moderate barrier to entry that favours incumbents such as ValueMax, Maxi-Cash and MoneyMax with established outlet networks, brand recognition and access to capital markets funding.

The amount of loans disbursed by pawnshops reached a high of S$1.3 billion in March 2026, an increase of 55.2% year-on-year. 

Regionally, ValueMax's exposure to Malaysia through associated companies provides diversification, though it also introduces foreign-exchange translation exposure and a different regulatory regime for pawnbroking and lending.

Competitors

ValueMax competes primarily with two other SGX-listed pawnbroking and jewellery-retail groups, MoneyMax Financial Services (SGX: 5WJ) and Maxi-Cash Financial Services, as well as smaller independent pawnshops. Maxi-Cash Financial is part of Aspial Lifestyle Limited (SGX : 5UF).  They are all listed on SGX Mainboard. The competitive landscape has remained relatively stable in the past 10 over years. 

ValueMax is the largest of the listed Singapore pawnbroking operators by market capitalisation and profitability.  It highlighted that competition is based on location, expertise and trust.  They do not compete based only on interest rates. 

Valuemax positioned the brand as having superior appraisal skill for a wide range of items, including precious gemstones, etc. 

Financial performance

Five-year track record: consistent, accelerating growth

ValueMax has delivered five consecutive years of growth in revenue, profit before tax, net asset value and earnings per share — with the pace of growth clearly accelerating in FY2024 and FY2025 as the gold cycle strengthened. 

Revenue has more than doubled since FY2021, profit before tax has grown roughly 2.5x, and EPS has nearly doubled, underscoring the operating leverage in the model as gold prices rise.

Revenue and profitability

Revenue increased to S$553.1 million in FY2025, up 21.3% year-on-year. All the three revenue-generating segments contributed to the growth.  Retail and trading of jewellery and gold increased by 23.6% year-on-year to S$425.0 million.  Pawnbroking and Moneylending increased by 24.3% year-on-year and 6.0% year-on-year, respectively. 

Gross profit margin expanded to 30.3%, up 1.8 percentage point, on stronger gold prices and a favourable business mix. 

Profit before tax rose 26.2% to S$123.2 million, and profit after tax reached S$103.6 million (+23.7% YoY), or S$102.1 million attributable to owners of the Company. Basic earnings per share rose to 11.16 cents (FY2024: 9.78 cents).

Capital management 

ValueMax is running a balance sheet business.  It is important that the management maintains a prudent and proactive approach towards capital management.

As of 31 December 2025, ValueMax held S$122.4 million in cash and bank balances. ValueMax manage the capital structure by monitoring the gearing ratio, which was 60% as of end-Dec 2025.   

Trade and other receivables rose by 17.3% year-on-year to S$867.1 million. 

Total assets grew 25.1% to S$1.56 billion as at 31 December 2025, largely reflecting expansion of the loan book.

As at 31 December 2025, interest-bearing loans and borrowings (current and non-current) totalled S$886.3 million, funded through a diversified base of bank facilities, commercial paper issued on the SDAX and ADDX platforms, and a S$300 million multicurrency medium-term note programme. 

Equity attributable to shareholders increased to S$605.4 million, up 18.2% year-on-year.  The increase was due to retained earnings growth and further share issuance under the Group's rights-cum-warrants programme.

During FY2025, the Company raised S$25.9 million (net) through the issuance of 71.9 million ordinary shares pursuant to the exercise of warrants, taking the issued share base to 940.2 million shares (before treasury shares), with 7.7 million warrants still outstanding and exercisable up to 14 September 2026 at S$0.36 per share.

As of 31 December 2025, the gearing ratio was 1.43x, below the target 2.0x or the absolute maximum level of 2.5x. 

Net asset value per share improved to 64.40 cents.

Cash flow adequacy

Net cash used in operating activities increased to S$166.7 million in FY2025, reflecting the expansion in loan book. 

Net cash inflow from financing increased to S$184.0 million, comprising net proceeds from loans and borrowings of S$201.3 million and S$25.9 million raised from the exercise of warrants, partly offset by S$37.1 million of dividends paid.

Valuation

At the current price of S$1.00, ValueMax trades at a market capitalisation of roughly S$0.94 billion. Based on FY2025 EPS S$0.1116,  this implies FY2025 P/E of 9.0x and a P/B of 1.54x. On FY2025 dividend per share of S$0.0388, ValueMax is trading at trailing dividend yield of 3.9%. 

ValueMax is predominantly focused in Singapore, the close peers are MoneyMax and Aspial Lifestyle. The comparable listed in Malaysia are Pappajack and Well Chip Group.  The pawnbroking and jewellery-retail peers are trading at an average FY2025 P/E 16.2x and P/B 2.2x. 

ValueMax passes some of our three opportunity pot checks. Core FY2025 EPS would have increased by 22%. FY2025 ROE of 18.3% is above our 8% threshold. Net leverage is high in absolute terms but it reflects the lending business.  

FY2025 earnings per share (EPS) grew 14%, lower than the revenue growth of 23%.  This was partly due to shares issued pursuant to exercise of warrants.  The number of shares outstanding increased by 8.3% year-on-year to 940.2 million shares.   

Excluding the effect of the new shares issue, EPS would have increased by 22%.  The exercise of the warrants raised S$25.9 million for used as working capital.  We think ValueMax has maintained a positive earnings momentum.   

FY2025 net gearing ratio was 1.43x. Gearing is elevated, but this is common for a regulated pawnbroker because borrowings are used to fund pawn loans and inventory, which are backed by productive and liquid collateral. 

As at 31 December 2025, more than 95% of the trade receivables are secured with collateralised assets. 

Key risks 

Key risks include gold price volatility, credit risk, regulatory risk, interest rate risk, foreign exchange risk, and competition.

Gold price volatility

While we view the multi-year gold uptrend as structurally supported, gold can still see sharp near-term corrections — as seen in the pullback from January 2026's ~US$5,600/oz peak to around US$4,010/oz by mid-2026 amid shifting Federal Reserve rate expectations. 

A period of consolidation or retracement would still reduce loan collateral values, gold trading margins, and the carrying value of inventory relative to the very strong FY2025 base, even if the longer-term structural drivers remain intact.

Collateral and credit risk

Although over 95% of the loan book is secured, recoverability depends on the Group's ability to realise collateral value (through auction or resale) if pledges are not redeemed. A prolonged downturn in gold, jewellery or vehicle resale values could increase impairment charges.

Regulatory risk

Pawnbroking interest rates and moneylending terms in Singapore are subject to statutory caps and licensing conditions under the Pawnbrokers Act 2015 and Moneylenders Act.  Any tightening of regulation, licensing conditions, or interest rate caps could compress margins.

In 2024, AML/CFT (Anti-money laundering / countering the financing of terrorism) was strengthened. To ensure transparency and credibility , the execution will incur additional costs. 

Funding cost and interest rate risk

The Group relies on bank facilities, commercial paper and medium-term notes to fund loan book growth; interest-bearing borrowings grew alongside the loan book in FY2025. Rising interest rates or tighter credit markets could increase funding costs and compress net interest margins.

Foreign exchange and associate execution risk

The Group's Malaysian pawnbroking exposure is held through associated companies, exposing ValueMax to foreign exchange translation risk and reliance on the operational and financial performance of entities it does not directly control.

Competitive intensity

ValueMax competes with other listed pawnbroking chains such as MoneyMax and Maxi-Cash/Aspial Lifestyle, as well as numerous independent pawnshops, for prime retail locations and customer pledges, which could pressure loan quantum, pricing and outlet economics over time.

Related links:

• Valuemax Group Ltd share price and share price target

Download the full report here. 

Check out Beansprout guide to the best stock trading platforms in Singapore with the latest promotions  to invest in Valuemax Group Ltd.

Join the Beansprout Telegram group for the latest insights on Singapore stocks, REITs, bonds and ETFs. 

Important Disclosures

Analyst Certification and Disclosures 

The analyst(s) named in this report certifies that (i) all views expressed in this report accurately reflect the personal views of the analyst(s) with regard to any and all of the subject securities and companies mentioned in this report and (ii) no part of the compensation of the analyst(s) was, is, or will be, directly or indirectly, related to the specific views expressed by that analyst herein. The analyst(s) named in this report (or their associates) does not have a financial interest in the corporation(s) mentioned in this report.

An associate is defined as (i) the spouse, or any minor child (natural or adopted) or minor step-child, of the analyst; (ii) the trustee of a trust of which the analyst, his spouse, minor child (natural or adopted) or minor step-child, is a beneficiary or discretionary object; or (iii) another person accustomed or obliged to act in accordance with the directions or instructions of the analyst.

Company Disclosure

Global Wealth Technology Pte Ltd (“Beansprout”) does not have any financial interest in the corporation(s) mentioned in this report.

Disclaimer

This report is provided by Beansprout for the use of intended recipients only and may not be reproduced, in whole or in part, or delivered or transmitted to any other person without our prior written consent. By accepting this report, the recipient agrees to be bound by the terms and limitations set out herein.

You acknowledge that this document is provided for general information purposes only. Nothing in this document shall be construed as a recommendation to purchase, sell, or hold any security or other investment, or to pursue any investment style or strategy. Nothing in this document shall be construed as advice that purports to be tailored to your needs or the needs of any person or company receiving the advice. The information in this document is intended for general circulation only and does not constitute investment advice. Nothing in this document is published with regard to the specific investment objectives, financial situation and particular needs of any person who may receive the information. 

Nothing in this document shall be construed as, or form part of, any offer for sale or subscription of or solicitation or invitation of any offer to buy or subscribe for any securities. The data and information made available in this document are of a general nature and do not purport, and shall not in any way be deemed, to constitute an offer or provision of any professional or expert advice, including without limitation any financial, investment, legal, accounting or tax advice, and shall not be relied upon by you in that regard. You should at all times consult a qualified expert or professional adviser to obtain advice and independent verification of the information and data contained herein before acting on it. Any financial or investment information in this document are intended to be for your general information only. You should not rely upon such information in making any particular investment or other decision which should only be made after consulting with a fully qualified financial adviser. Such information do not nor are they intended to constitute any form of financial or investment advice, opinion or recommendation about any investment product, or any inducement or invitation relating to any of the products listed or referred to. Any arrangement made between you and a third party named on or linked to from these pages is at your sole risk and responsibility. 

You acknowledge that Beansprout is under no obligation to exercise editorial control over, and to review, edit or amend any data, information, materials or contents of any content in this document. You agree that all statements, offers, information, opinions, materials, content in this document should be used, accepted and relied upon only with care and discretion and at your own risk, and Beansprout shall not be responsible for any loss, damage or liability incurred by you arising from such use or reliance. 

This document (including all information and materials contained in this document) is provided “as is”. Although the material in this document is based upon information that Beansprout considers reliable and endeavours to keep current, Beansprout does not assure that this material is accurate, current or complete and is not providing any warranties or representations regarding the material contained in this document. All opinions contained herein constitute the views of the analyst(s) named in this report, they are subject to change without notice and are not intended to provide the sole basis of any evaluation of the subject securities and companies mentioned in this report. Any reference to past performance should not be taken as an indication of future performance. To the fullest extent permissible pursuant to applicable law, Beansprout disclaims all warranties and/or representations of any kind with regard to this document, including but not limited to any implied warranties of merchantability, non-infringement of third-party rights, or fitness for a particular purpose. 

Beansprout does not warrant, either expressly or impliedly, the accuracy or completeness of the information, text, graphics, links or other items contained in this document. Neither Beansprout nor any of its affiliates, directors, employees or other representatives will be liable for any damages, losses or liabilities of any kind arising out of or in connection with the use of this document. To the best of Beansprout’s knowledge, this document does not contain and is not based on any non-public, material information. The information in this document is not intended for distribution to, or use by, any person or entity in any jurisdiction where such distribution or use would be contrary to law or regulation, or which would subject Beansprout to any registration requirement within such jurisdiction or country. Beansprout is not licensed or regulated by any authority in any jurisdiction or country to provide the information in this document.

As a condition of your use of this document, you agree to indemnify, defend and hold harmless Beansprout and its affiliates, and their respective officers, directors, employees, members, managing members, managers, agents, representatives, successors and assigns from and against any and all actions, causes of action, claims, charges, cost, demands, expenses and damages (including attorneys’ fees and expenses), losses and liabilities or other expenses of any kind that arise directly or indirectly out of or from, arising out of or in connection with violation of these terms, use of this document, violation of the rights of any third party, acts, omissions or negligence of third parties, their directors, employees or agents. To the extent permitted by law, Beansprout shall not be liable to you, any other person, or organization, for any direct, indirect, special, punitive, exemplary, incidental or consequential damages, whether in contract, tort (including negligence), or otherwise, arising in any way from, or in connection with, the use of this document and/or its content. This includes, without limitation, liability for any act or omission in reliance on the information in this document. Beansprout expressly disclaims and excludes all warranties, conditions, representations and terms not expressly set out in this User Agreement, whether express, implied or statutory, with regard to this document and its content, including any implied warranties or representations about the accuracy or completeness of this document and the content, suitability and general availability, or whether it is free from error. 

If these terms or any part of them is understood to be illegal, invalid or otherwise unenforceable under the laws of any state or country in which these terms are intended to be effective, then to the extent that they are illegal, invalid or unenforceable, they shall in that state or country be treated as severed and deleted from these terms and the remaining terms shall survive and remain fully intact and in effect and will continue to be binding and enforceable in that state or country. 

These terms, as well as any claims arising from or related thereto, are governed by the laws of Singapore without reference to the principles of conflicts of laws thereof. You agree to submit to the personal and exclusive jurisdiction of the courts of Singapore with respect to all disputes arising out of or related to this Agreement. Beansprout and you each hereby irrevocably consent to the jurisdiction of such courts, and each Party hereby waives any claim or defence that such forum is not convenient or proper.