READ THE FULL UFG RESEARCH REPORT
WHAT’S NEW
Commercial Paper Issuance
On July 21, 2025, the Uni-Fuels (NASDAQ:UFG) announced that it had successfully completed its first-ever commercial paper issuance, raising $3.0 million through ADDX, a private market platform regulated by the Monetary Authority of Singapore. The offering was oversubscribed, which reflected strong demand from accredited investors.
The commercial paper was structured as U.S. dollar denominated, short-term unsecured debt and issued through ADDX’s digital investment platform. The transaction enables Uni-Fuels to diversify its funding sources and enhance capital efficiency across its operational entities. Proceeds will be used for general working capital and to support the company’s expanding operations across global trading hubs.
Koh Kuan Hua, CEO of Uni-Fuels, stated, “This oversubscribed debut issuance is a strong signal of investor confidence in our business strategy and growth outlook. We’re pleased to partner with ADDX as we modernize our capital structure and engage new investor channels. Our investors’ strong support allows us to pursue strategic growth initiatives and positions us to deliver stronger shareholder returns over time.”
This issuance marks a strategic milestone in Uni-Fuels’ capital markets roadmap as it continues to leverage innovative financing to support liquidity, working capital, and operational flexibility.
New Shanghai Office
On June 30, 2025, the company announced the opening of a new office in Shanghai. As part of their global expansion strategy, Uni-Fuels has also recently established an office in Dubai, located near Fujairah, in April 2025.
The new office will be located in Lujiazui, which is a prominent financial center and modern urban area located in the Pudong New Area of Shanghai. It is located on a peninsula formed by a bend in the Huangpu River. This new location positions the company to meet the growing demand for reliable, sustainable marine fuel solutions across Asia. Shanghai is home to the world’s busiest container port and serves as a vital maritime hub and gateway for global shipping.
Alan Tan, Senior Vice President, Commercial of Uni-Fuels, stated, “Calibrated efforts to expand our geographical footprint reflect the Company’s dedication to being where our customers and suppliers operate. With this new office, we walk the talk of putting our customers first by leveraging expertise, enhanced operational reach and greater service responsiveness to better serve them. Our local team possesses a deep understanding of the Asian market, enabling us to respond nimbly to customers’ needs and the evolving dynamics in our operating landscape.”
These new regional offices enable more frequent face-to-face interactions with suppliers, which results in better problem-solving and support regional sourcing strategies that bolster supply chain resilience. Uni-Fuels continues to actively build robust regional partnerships and deepen access in key marine fuel hubs.
Valuation
We believe Uni-Fuels has the potential to deliver strong revenue growth and positive earnings over the next 10 years as it continues to expand into additional markets and executes on its sales and marketing efforts. We believe the company can generate strong double-digit annual revenue growth over the next 10 years. In the near term, we expect revenue growth in the 20%-30% range. The company should be able to maintain industry gross margins of approximately 2.0%. As the company expands into higher margin ancillary services, we believe gross margins could exceed 2.0% depending on market conditions and industry dynamics.
Our primary valuation tool utilizes a Discounted Cash Flow process. We are lowering our discount rate due to lower prevailing interest rates expected on a going forward basis. Under the scenario described above, we increase our DCF based valuation target to approximately $7.00 per share.
Our 2025 full year revenue estimate is $201.7 million, and our 2025 EPS estimate is $0.02. For 2026, our revenue estimate is $252.2 million, and our EPS estimate is $0.05.
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