Vitreous Glass Inc CAPEX jumped on 995% in 2015 and Revenue increased on 2.8%
18.12.2015 • About Vitreous Glass Inc (
$VCI) • By InTwits
Vitreous Glass Inc reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is expanding: 39.0% in FY2015 vs. 37.8% in FY2014 vs. 29.0% in FY2011
- Vitreous Glass Inc has low CAPEX intensity: 5 year average CAPEX/Revenue was 2.3%. At the same time it's a lot of higher than industry average of 1.6%.
- CAPEX is quite volatile: 0.66 in FY2015, 0.060 in FY2014, 0.12 in FY2013, 0.045 in FY2012, 0.039 in FY2011
- The company has highly profitable business model: ROIC is at 51.0%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Vitreous Glass Inc ($VCI) key annual financial indicators
| mln. CAD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 7.033 | 7.143 | 6.934 | 8.214 | 8.443 | 2.8% |
| Gross Profit | 2.795 | 3.127 | 3.096 | 4.182 | 4.422 | 5.7% |
| SG&A | | | | | 1.129 | |
| EBITDA | 2.043 | 2.243 | 2.234 | 3.107 | 3.293 | 6.0% |
| Net Income | 1.291 | 1.359 | 1.368 | 2.019 | 1.972 | -2.3% |
Balance Sheet
|
|---|
| Cash | 0.367 | 0.385 | 0.165 | 0.523 | 0.592 | 13.1% |
| Short Term Debt | 0.558 | 0.000 | 0.070 | 0.000 | 0.000 | |
| Long Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
Cash flow
|
|---|
| Capex | 0.039 | 0.045 | 0.124 | 0.060 | 0.662 | 995.1% |
Ratios
|
|---|
| Revenue growth | -2.5% | 1.6% | -2.9% | 18.5% | 2.8% | |
| EBITDA growth | -11.0% | 9.8% | -0.4% | 39.0% | 6.0% | |
| Gross Margin | 39.7% | 43.8% | 44.6% | 50.9% | 52.4% | 1.5% |
| EBITDA Margin | 29.0% | 31.4% | 32.2% | 37.8% | 39.0% | 1.2% |
| Net Income Margin | 18.4% | 19.0% | 19.7% | 24.6% | 23.4% | -1.2% |
| SG&A, % of revenue | | | | | 13.4% | 13.4% |
| CAPEX, % of revenue | 0.6% | 0.6% | 1.8% | 0.7% | 7.8% | 7.1% |
| ROIC | 26.1% | 30.5% | 32.3% | 48.3% | 51.0% | 2.8% |
| ROE | 25.5% | 26.5% | 27.2% | 40.7% | 38.6% | -2.1% |
| Net Debt/EBITDA | 0.1x | -0.2x | -0.0x | -0.2x | -0.2x | -0.0x |
Revenue and profitability
Vitreous Glass Inc's Revenue increased on 2.8% in FY2015. Revenue growth happened at the same time with EBITDA margin expansion. EBITDA Margin increased slightly on 1.2 pp from 37.8% to 39.0% in FY2015.
Gross Margin increased slightly on 1.5 pp from 50.9% to 52.4% in FY2015.
Net Income marign decreased slightly on 1.2 pp from 24.6% to 23.4% in FY2015.
Capital expenditures (CAPEX) and working capital investments
In FY2015 Vitreous Glass Inc had CAPEX/Revenue of 7.8%. The company's CAPEX/Revenue increased on 7.2 pp from 0.63% in FY2012 to 7.8% in FY2015. It's average level of CAPEX/Revenue for the last three years was 3.5%.
Return on investment
The company operates at high and attractive ROIC (51.02%) and ROE (38.62%). ROIC increased on 2.8 pp from 48.3% to 51.0% in FY2015. ROE decreased on 2.1 pp from 40.7% to 38.6% in FY2015.
Leverage (Debt)
The company has no debt. Cash surged on 13.1% in FY2015.
Appendix 1: Peers in Industrial
Below you can find Vitreous Glass Inc benchmarking vs. other companies in Industrial 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 |
|---|
| Electrovaya Inc ($EFL) | | -4.0% | -71.2% | 160.5% | 123.8% |
| Enterprise Group Inc ($E) | 14.5% | 3.5% | 88.3% | 128.5% | |
| Carmanah Technologies Corp ($CMH) | 5.8% | -26.4% | -2.0% | 68.8% | |
| Exco Technologies Ltd ($XTC) | | 19.7% | 0.9% | 50.5% | 35.3% |
| Lumenpulse Inc ($LMP) | | 56.7% | 33.9% | 47.0% | 61.8% |
| |
|---|
| Median (92 companies) | 12.4% | 11.5% | 5.3% | 9.1% | 24.2% |
|---|
| Vitreous Glass Inc ($VCI) | | 1.6% | -2.9% | 18.5% | 2.8% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| WSP Global Inc ($WSP) | 81.1% | 81.1% | 83.2% | 81.0% | |
| Pure Technologies Ltd ($PUR) | 75.7% | 77.9% | 78.0% | 77.5% | |
| Alarmforce Industries Inc ($AF) | 76.4% | 75.0% | 76.5% | 72.2% | |
| Epicore BioNetworks Inc ($EBN) | 59.0% | 60.8% | 63.2% | 64.1% | 58.1% |
| FLYHT Aerospace Solutions Ltd ($FLY) | 54.0% | 57.2% | 59.2% | 62.9% | |
| |
|---|
| Median (88 companies) | 23.2% | 23.0% | 23.3% | 22.6% | 26.2% |
|---|
| Vitreous Glass Inc ($VCI) | 39.7% | 43.8% | 44.6% | 50.9% | 52.4% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Canadian National Railway Co ($CNR) | 46.3% | 46.5% | 45.9% | 46.8% | |
| Canadian Pacific Railway Ltd ($CP) | 28.1% | 26.1% | 32.4% | 43.7% | |
| Questor Technology Inc ($QST) | 25.1% | 25.7% | 34.9% | 34.1% | |
| Progressive Waste Solutions Ltd ($BIN) | 32.2% | 30.7% | 33.1% | 34.0% | |
| Photon Control Inc ($PHO) | 8.1% | 17.6% | 24.8% | 29.3% | |
| |
|---|
| Median (85 companies) | 8.1% | 9.2% | 8.3% | 7.2% | 11.5% |
|---|
| Vitreous Glass Inc ($VCI) | 29.0% | 31.4% | 32.2% | 37.8% | 39.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cargojet Inc ($CJT.A) | 6.8% | 7.0% | 6.3% | 54.1% | |
| Newalta Corp ($NAL) | 17.2% | 21.7% | 34.5% | 35.1% | |
| Enterprise Group Inc ($E) | 3.6% | 17.4% | 27.2% | 32.7% | |
| ENTREC Corp ($ENT) | | 35.0% | 26.7% | 29.5% | |
| Horizon North Logistics Inc ($HNL) | 25.1% | 26.5% | 16.3% | 24.1% | |
| |
|---|
| Median (92 companies) | 3.0% | 3.1% | 3.7% | 3.2% | 2.8% |
|---|
| Vitreous Glass Inc ($VCI) | 0.6% | 0.6% | 1.8% | 0.7% | 7.8% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Photon Control Inc ($PHO) | 10.1% | 21.0% | 44.4% | 38.0% | |
| SNC-Lavalin Group Inc ($SNC) | 14.6% | 10.7% | 4.0% | 35.2% | |
| Alarmforce Industries Inc ($AF) | 18.3% | 5.3% | 24.0% | 33.9% | |
| Epicore BioNetworks Inc ($EBN) | 24.8% | 28.1% | 16.1% | 32.5% | 26.3% |
| STT Enviro Corp ($STT) | 88.7% | 55.1% | 44.3% | 30.4% | |
| |
|---|
| Median (93 companies) | 8.9% | 9.3% | 8.5% | 8.5% | 9.3% |
|---|
| Vitreous Glass Inc ($VCI) | 26.1% | 30.5% | 32.3% | 48.3% | 51.0% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Sigma Industries Inc ($SSG) | | 4.4x | 11.3x | 225.9x | 2.9x |
| H2O Innovation Inc ($HEO) | | | 4.2x | 73.2x | 1.6x |
| Grand Power Logistics Group Inc ($GPW) | | 47.8x | | 53.1x | |
| Cargojet Inc ($CJT.A) | 1.8x | 1.5x | 1.5x | 31.5x | |
| IBI Group Inc ($IBG) | 4.2x | 6.5x | | 8.3x | |
| |
|---|
| Median (72 companies) | 1.1x | 1.5x | 1.5x | 1.3x | -0.3x |
|---|
| Vitreous Glass Inc ($VCI) | 0.1x | -0.2x | -0.0x | -0.2x | -0.2x |
