Alimentation Couche-Tard Inc reports 11.9% EBITDA growth while 9.0% Revenue decline
14.07.2015 • About Alimentation Couche-Tard Inc (
$ATD.A) • By InTwits
Alimentation Couche-Tard Inc reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is relatively stable: 5.1% in FY2015 vs. 4.2% in FY2014 vs. 3.7% in FY2011
- Alimentation Couche-Tard Inc has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.5%. At the same time it's in pair with industry average of 4.7%.
- CAPEX is quite volatile: 635 in FY2015, 529 in FY2014, 537 in FY2013, 317 in FY2012, 220 in FY2011
- The company has highly profitable business model: ROIC is at 18.0%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Alimentation Couche-Tard Inc ($ATD.A) key annual financial indicators
| mln. $ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 18,550 | 22,980 | 35,543 | 37,962 | 34,530 | -9.0% |
| Gross Profit | 2,746 | 2,975 | 4,610 | 4,988 | 5,268 | 5.6% |
| SG&A | 2,029 | 2,156 | 3,240 | 3,420 | 3,378 | -1.2% |
| EBITDA | 692 | 779 | 1,325 | 1,588 | 1,778 | 11.9% |
| Net Income | 369 | 458 | 573 | 811 | 929 | 14.6% |
Balance Sheet
|
|---|
| Cash | 310 | 304 | 658 | 511 | 576 | 12.7% |
| Short Term Debt | 5 | 484 | 621 | 20 | 21 | 5.4% |
| Long Term Debt | 497 | 181 | 2,984 | 2,586 | 3,047 | 17.8% |
Cash flow
|
|---|
| Capex | 220 | 317 | 537 | 529 | 635 | 19.9% |
Ratios
|
|---|
| Revenue growth | 12.8% | 23.9% | 54.7% | 6.8% | -9.0% | |
| EBITDA growth | 11.8% | 12.7% | 70.0% | 19.9% | 11.9% | |
| Gross Margin | 14.8% | 12.9% | 13.0% | 13.1% | 15.3% | 2.1% |
| EBITDA Margin | 3.7% | 3.4% | 3.7% | 4.2% | 5.1% | 1.0% |
| Net Income Margin | 2.0% | 2.0% | 1.6% | 2.1% | 2.7% | 0.6% |
| SG&A, % of revenue | 10.9% | 9.4% | 9.1% | 9.0% | 9.8% | 0.8% |
| CAPEX, % of revenue | 1.2% | 1.4% | 1.5% | 1.4% | 1.8% | 0.4% |
| ROIC | 19.2% | 19.8% | 15.9% | 14.2% | 18.0% | 3.7% |
| ROE | 20.5% | 22.0% | 21.2% | 22.6% | 23.7% | 1.1% |
| Net Debt/EBITDA | 0.3x | 0.5x | 2.2x | 1.3x | 1.4x | 0.1x |
Revenue and profitability
The company's Revenue decreased on 9.0% in FY2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased slightly on 0.96 pp from 4.2% to 5.1% in FY2015.
Gross Margin increased on 2.1 pp from 13.1% to 15.3% in FY2015. SG&A as a % of Revenue increased slightly on 0.78 pp from 9.0% to 9.8% in FY2015.
Net Income marign increased slightly on 0.55 pp from 2.1% to 2.7% in FY2015.
Capital expenditures (CAPEX) and working capital investments
Alimentation Couche-Tard Inc's CAPEX/Revenue was 1.8% in FY2015. CAPEX/Revenue showed almost no change from FY2012 to FY2015. Average CAPEX/Revenue for the last three years was 1.6%.
Return on investment
The company operates at high and attractive ROE (23.67%) while ROIC is a bit lower (17.96%). ROIC increased on 3.7 pp from 14.2% to 18.0% in FY2015. ROE increased slightly on 1.1 pp from 22.6% to 23.7% in FY2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 1.4x and Debt / EBITDA is 1.7x. Net Debt / EBITDA increased on 0.1x from 1.3x to 1.4x in FY2015. Debt surged on 17.7% in FY2015 while cash surged on 12.7% in FY2015.
Management team
Brian P Hannasch is a Alimentation Couche-Tard Inc's CEO. Brian P Hannasch has spent 4 years at the company.
Appendix 1: Peers in Consumer, Cyclical
Below you can find Alimentation Couche-Tard Inc benchmarking vs. other companies in Consumer, Cyclical 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.
Top companies by Revenue growth, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Amaya Inc ($AYA) | 216.4% | 311.5% | 85.2% | 254.0% | |
| Partner Jet Corp ($PJT) | -19.9% | -15.2% | 1.2% | 119.7% | |
| Kelso Technologies Inc ($KLS) | 80.5% | 577.5% | 487.8% | 81.4% | |
| XPEL Technologies Corp ($DAP.U) | 46.3% | 76.6% | 67.7% | 65.5% | |
| Holloway Lodging Corp ($HLC) | 5.4% | -24.6% | 2.7% | 62.7% | |
| |
|---|
| Median (67 companies) | 11.0% | 5.3% | 4.9% | 7.7% | 4.1% |
|---|
| Alimentation Couche-Tard Inc ($ATD.A) | | 23.9% | 54.7% | 6.8% | -9.0% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Restaurant Brands International Inc ($QSR) | | | 69.7% | 87.0% | |
| Imvescor Restaurant Group Inc ($IRG) | 96.2% | 94.2% | 89.7% | 84.9% | |
| DEQ Systems Corp ($DEQ) | 74.3% | 77.5% | 78.4% | 84.7% | |
| Second Cup Ltd/The ($SCU) | 91.1% | 86.6% | 85.1% | 72.7% | |
| New Look Vision Group Inc ($BCI) | 72.3% | 71.8% | 72.6% | 72.6% | |
| |
|---|
| Median (59 companies) | 37.9% | 36.5% | 32.1% | 34.6% | 36.9% |
|---|
| Alimentation Couche-Tard Inc ($ATD.A) | 14.8% | 12.9% | 13.0% | 13.1% | 15.3% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Westshore Terminals Investment Corp ($WTE) | | 49.7% | 65.9% | 60.9% | 59.6% |
| Gamehost Inc ($GH) | 44.2% | 46.1% | 45.7% | 45.9% | |
| Great Canadian Gaming Corp ($GC) | 34.1% | 16.8% | 41.1% | 40.1% | |
| Amaya Inc ($AYA) | -5.7% | 7.2% | 38.2% | 39.3% | |
| MTY Food Group Inc ($MTY) | 32.2% | 36.3% | 38.7% | 37.0% | |
| |
|---|
| Median (65 companies) | 8.7% | 8.1% | 9.8% | 10.0% | 9.4% |
|---|
| Alimentation Couche-Tard Inc ($ATD.A) | 3.7% | 3.4% | 3.7% | 4.2% | 5.1% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Poydras Gaming Finance Corp ($PYD) | | | | 32.5% | |
| WestJet Airlines Ltd ($WJA) | 3.9% | 7.9% | 19.5% | 18.6% | |
| Exchange Income Corp ($EIF) | 8.2% | 7.9% | 15.8% | 15.5% | |
| Holloway Lodging Corp ($HLC) | 3.4% | 8.2% | 6.7% | 14.8% | |
| Kelso Technologies Inc ($KLS) | 79.2% | 0.4% | 0.7% | 13.5% | |
| |
|---|
| Median (68 companies) | 2.9% | 2.7% | 2.9% | 2.4% | 2.9% |
|---|
| Alimentation Couche-Tard Inc ($ATD.A) | 1.2% | 1.4% | 1.5% | 1.4% | 1.8% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Partner Jet Corp ($PJT) | -30.7% | -51.6% | -50.8% | 85.1% | |
| Kelso Technologies Inc ($KLS) | -121.3% | | | 48.8% | |
| XPEL Technologies Corp ($DAP.U) | 52.9% | 54.7% | 57.5% | 43.2% | |
| Westshore Terminals Investment Corp ($WTE) | | 24.0% | 37.8% | 35.0% | 38.3% |
| Iplayco Corp Ltd ($IPC) | -35.4% | 23.0% | 58.5% | 33.6% | |
| |
|---|
| Median (68 companies) | 10.4% | 9.7% | 10.1% | 9.7% | 0.5% |
|---|
| Alimentation Couche-Tard Inc ($ATD.A) | 19.2% | 19.8% | 15.9% | 14.2% | 18.0% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Mountain China Resorts Holding Ltd ($MCG) | | | | 317.1x | |
| Restaurant Brands International Inc ($QSR) | | | 3.8x | 33.6x | |
| Allied Hotel Properties Inc ($AHP) | | | | 21.3x | |
| Hudson's Bay Co ($HBC) | 8.7x | 3.8x | 3.6x | 19.1x | 3.6x |
| Amaya Inc ($AYA) | | 17.9x | 1.8x | 13.5x | |
| |
|---|
| Median (57 companies) | 1.3x | 1.4x | 1.6x | 2.0x | 0.4x |
|---|
| Alimentation Couche-Tard Inc ($ATD.A) | 0.3x | 0.5x | 2.2x | 1.3x | 1.4x |
