Dynam Japan Holdings Co Ltd Net Income surged on 16.1% and EBITDA Margin increased slightly on 1.3 pp from 18.0% to 19.3%
23/05/2018 • About Dynam Japan Holdings Co Ltd (
$6889) • By InTwits
Dynam Japan Holdings Co Ltd reported FY2018 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Dynam Japan Holdings Co Ltd has medium CAPEX intensity: 5 year average CAPEX/Revenue was 6.7%.
- CAPEX is quite volatile: 4,984 in FY2018, 9,925 in FY2017, 12,613 in FY2016, 16,008 in FY2015, 9,292 in FY2014
- The company has business model with average profitability: ROIC is at 11.5%
- It operates with high leverage: Net Debt/EBITDA is -1.1x while industry average is -3.9x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Dynam Japan Holdings Co Ltd ($6889) key annual financial indicators
| mln. JPY | 2014 | 2015 | 2016 | 2017 | 2018 | 2018/2017 |
|---|
P&L
|
|---|
| Revenue | 165,754 | 154,556 | 155,911 | 156,869 | 152,092 | -3.0% |
| SG&A | 4,075 | 5,456 | 5,798 | 5,622 | 5,049 | -10.2% |
| EBITDA | 40,832 | 25,837 | 30,183 | 28,236 | 29,287 | 3.7% |
| Net Income | 21,328 | 11,303 | 10,544 | 9,360 | 10,870 | 16.1% |
Balance Sheet
|
|---|
| Cash | 34,830 | 29,239 | 28,134 | 48,499 | 40,533 | -16.4% |
| Short Term Debt | 2,134 | 3,414 | 2,455 | 7,583 | 7,607 | 0.3% |
| Long Term Debt | 3,391 | 9,226 | 18,520 | 23,343 | 1,547 | -93.4% |
Cash flow
|
|---|
| Capex | 9,292 | 16,008 | 12,613 | 9,925 | 4,984 | -49.8% |
Ratios
|
|---|
| Revenue growth | 1.1% | -6.8% | 0.9% | 0.6% | -3.0% | |
| EBITDA growth | -3.1% | -36.7% | 16.8% | -6.5% | 3.7% | |
| EBITDA Margin | 24.6% | 16.7% | 19.4% | 18.0% | 19.3% | 1.3% |
| Net Income Margin | 12.9% | 7.3% | 6.8% | 6.0% | 7.1% | 1.2% |
| SG&A, % of revenue | 2.5% | 3.5% | 3.7% | 3.6% | 3.3% | -0.3% |
| CAPEX, % of revenue | 5.6% | 10.4% | 8.1% | 6.3% | 3.3% | -3.0% |
| ROIC | 21.8% | 10.5% | 12.6% | 10.3% | 11.5% | 1.1% |
| ROE | 15.9% | 8.1% | 7.9% | 6.9% | 7.9% | 1.0% |
| Net Debt/EBITDA | -0.7x | -0.6x | -0.2x | -0.6x | -1.1x | -0.4x |
Revenue and profitability
Dynam Japan Holdings Co Ltd's Revenue decreased on 3.0%. Despite revenue decline the EBITDA margin expanded. EBITDA Margin increased slightly on 1.3 pp from 18.0% to 19.3% in FY2018.
SG&A as a % of Revenue showed almost no change in FY2018.
Net Income marign increased slightly on 1.2 pp from 6.0% to 7.1% in FY2018.
Capital expenditures (CAPEX) and working capital investments
Dynam Japan Holdings Co Ltd's CAPEX/Revenue was 3.3% in FY2018. Dynam Japan Holdings Co Ltd showed decline in CAPEX/Revenue of 7.1 pp from 10.4% in FY2015 to 3.3% in FY2018. Average CAPEX/Revenue for the last three years was 5.9%.
Return on investment
The company operates at low ROIC (11.48%) and ROE (7.92%). ROIC increased slightly on 1.1 pp from 10.3% to 11.5% in FY2018. ROE increased slightly on 0.98 pp from 6.9% to 7.9% in FY2018.
Leverage (Debt)
Debt level is -1.1x Net Debt / EBITDA and 0.3x Debt / EBITDA. Net Debt / EBITDA dropped on 0.4x from -0.6x to -1.1x in FY2018. Debt dropped on 70.4% while cash dropped on 16.4%.
Appendix 1: Peers in Entertainment
Below you can find Dynam Japan Holdings Co Ltd benchmarking vs. other companies in Entertainment industry. It's shown for the period of 5 years for the key financial metrics. Each table has median value for all the companies in the industry together with individual financial data of the top-5 companies in the industry by particular financial metric.
