Yoho Resources Inc reports 779% EBITDA decline and 30.3% Revenue decline
14.01.2016 • About Yoho Resources Inc (
$YO) • By InTwits
Yoho Resources Inc reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Yoho Resources Inc is a company in decline: FY2015 revenue growth was -30.3%, 5 years revenue CAGR was -7.4%
- Yoho Resources Inc spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for FY2011-FY2015 is 0.0%. Average EBITDA Margin for the same period was -20.2%0
- Yoho Resources Inc has high CAPEX intensity: 5 year average CAPEX/Revenue was 151.3%. At the same time it's a lot of higher than industry average of 94.4%.
- CAPEX is quite volatile: 0.94 in 2015, 23.4 in 2014, 3.1 in 2013, 3.8 in 2012, 9.0 in 2011
- The company has unprofitable business model: ROIC is at -70.5%
- It operates with high leverage: Net Debt/EBITDA is 18.6x while industry average is 2.7x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Yoho Resources Inc ($YO) key annual financial indicators
| mln. CAD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 27.230 | 21.986 | 27.431 | 22.625 | 15.768 | -30.3% |
| Gross Profit | 4.375 | 2.085 | 5.881 | 5.536 | 7.669 | 38.5% |
| SG&A | | | | | 2.034 | |
| EBITDA | 14.224 | 9.717 | 14.214 | 10.590 | -71.945 | -779.4% |
| Net Income | -6.197 | -8.899 | 9.602 | 43.154 | -62.564 | -245.0% |
Balance Sheet
|
|---|
| Cash | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
| Short Term Debt | 16.554 | 15.505 | 29.262 | 6.990 | 19.830 | 183.7% |
| Long Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | 9.207 | |
Cash flow
|
|---|
| Capex | 35.030 | 34.697 | 30.438 | 31.722 | 34.540 | 8.9% |
Ratios
|
|---|
| Revenue growth | 17.6% | -19.3% | 24.8% | -17.5% | -30.3% | |
| EBITDA growth | 13.1% | -31.7% | 46.3% | -25.5% | -779.4% | |
| Gross Margin | 16.1% | 9.5% | 21.4% | 24.5% | 48.6% | 24.2% |
| EBITDA Margin | 52.2% | 44.2% | 51.8% | 46.8% | -456.3% | -503.1% |
| Net Income Margin | -22.8% | -40.5% | 35.0% | 190.7% | -396.8% | -587.5% |
| SG&A, % of revenue | | | | | 12.9% | 12.9% |
| CAPEX, % of revenue | 128.6% | 157.8% | 111.0% | 140.2% | 219.1% | 78.8% |
| ROIC | 0.7% | -1.2% | 1.5% | 0.9% | -70.5% | -71.4% |
| ROE | -7.1% | -8.6% | 8.0% | 36.0% | -72.0% | -108.1% |
| Net Debt/EBITDA | 1.2x | 1.6x | 2.1x | 0.7x | | -0.7x |
Revenue and profitability
The company's Revenue dropped on 30.3% in FY2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased on 4.8 pp from -14.1% to -9.3% in 2015.
Gross Margin surged on 24.2 pp from 24.5% to 48.6% in FY2015.
Net Income marign dropped on 588 pp from 191% to -397% in FY2015.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 219% in FY2015. Yoho Resources Inc showed fast CAPEX/Revenue growth of 61.2 pp from 158% in FY2012 to 219% in FY2015. For the last three years the average CAPEX/Revenue was 157%.
Return on investment
The company operates at negative ROIC (-70.49%) and ROE (-72.02%). ROIC dropped on 71.4 pp from 0.89% to -70.5% in FY2015. ROE dropped on 108 pp from 36.0% to -72.0% in FY2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 18.6x and Debt / EBITDA is . Net Debt / EBITDA dropped on 0.7x from 0.7x to in FY2015. Debt jumped on 315% in FY2015 while cash didn't change in FY2015.
Appendix 1: Peers in Energy
Below we provide Yoho Resources Inc benchmarking against other companies in Energy industry for the last 5 years. We show data for the top-5 companies by key financial metric together with the median value for all the companies in the industry.
Top companies by Revenue growth, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Petro Rio SA ($PRJ) | -36.3% | -32.1% | -34.9% | 10,977.1% | |
| ONEnergy Inc ($OEG) | | | | 6,002.6% | |
| Sterling Resources Ltd ($SLG) | | -94.8% | 4,514.9% | 2,244.4% | |
| Ikkuma Resources Corp ($IKM) | 22.5% | 17.0% | -4.5% | 1,231.1% | |
| Spartan Energy Corp ($SPE) | -8.2% | 16.6% | 29.9% | 923.7% | |
| |
|---|
| Median (160 companies) | 37.6% | 10.4% | 16.2% | 18.5% | -14.6% |
|---|
| Yoho Resources Inc ($YO) | | -19.3% | 24.8% | -17.5% | -30.3% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| TransAlta Renewables Inc ($RNW) | | | 94.4% | 94.5% | |
| Advantage Oil & Gas Ltd ($AAV) | 70.5% | 62.0% | 84.5% | 92.5% | |
| Freehold Royalties Ltd ($FRU) | 91.7% | 90.4% | 89.0% | 90.2% | |
| MEG Energy Corp ($MEG) | 85.5% | 86.8% | 87.4% | 87.6% | |
| NXT Energy Solutions Inc ($SFD) | -43.2% | 65.6% | 36.0% | 87.3% | |
| |
|---|
| Median (140 companies) | 34.2% | 29.3% | 31.6% | 30.3% | 44.3% |
|---|
| Yoho Resources Inc ($YO) | 16.1% | 9.5% | 21.4% | 24.5% | 48.6% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Seven Generations Energy Ltd ($VII) | | 56.9% | 54.0% | 106.0% | |
| Tourmaline Oil Corp ($TOU) | 67.4% | 67.9% | 80.0% | 97.6% | |
| Bonavista Energy Corp ($BNP) | 63.8% | 64.6% | 62.6% | 91.6% | |
| Bellatrix Exploration Ltd ($BXE) | 42.7% | 58.6% | 83.6% | 89.6% | |
| Advantage Oil & Gas Ltd ($AAV) | -4.0% | 5.2% | 66.1% | 87.8% | |
| |
|---|
| Median (159 companies) | 24.7% | 25.0% | 30.5% | 28.9% | -15.9% |
|---|
| Yoho Resources Inc ($YO) | 52.2% | 44.2% | 51.8% | 46.8% | -456.3% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Oryx Petroleum Corp Ltd ($OXC) | | | | 1,997.8% | |
| Petroshale Inc ($PSH) | 30.6% | | 346.6% | 865.9% | |
| Toro Oil & Gas Ltd ($TOO) | 192.4% | 139.0% | 39.2% | 808.7% | |
| Athabasca Oil Corp ($ATH) | 176.2% | 2,426.4% | 596.6% | 504.7% | |
| BNK Petroleum Inc ($BKX) | 139.2% | 195.8% | 789.1% | 316.6% | |
| |
|---|
| Median (162 companies) | 42.0% | 47.3% | 39.1% | 47.1% | 49.6% |
|---|
| Yoho Resources Inc ($YO) | 128.6% | 157.8% | 111.0% | 140.2% | 219.1% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Pason Systems Inc ($PSI) | 33.5% | 30.0% | 29.7% | 41.0% | |
| Sea Dragon Energy Inc ($SDX) | -10.1% | 8.1% | 21.8% | 32.9% | |
| Raging River Exploration Inc ($RRX) | | | | 29.1% | |
| High Arctic Energy Services Inc ($HWO) | 27.0% | 31.4% | 26.3% | 24.9% | |
| Rooster Energy Ltd ($COQ) | | | | 22.9% | |
| |
|---|
| Median (165 companies) | 4.5% | 3.5% | 4.6% | 5.1% | -13.6% |
|---|
| Yoho Resources Inc ($YO) | 0.7% | -1.2% | 1.5% | 0.9% | -70.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Veresen Inc ($VSN) | 22.3x | 16.2x | 14.7x | 30.3x | |
| Lightstream Resources Ltd ($LTS) | | 2.0x | | 27.8x | |
| Petroshale Inc ($PSH) | 0.1x | | | 21.7x | |
| Connacher Oil and Gas Ltd ($CLC) | 9.7x | 16.7x | 8.8x | 17.1x | |
| Pengrowth Energy Corp ($PGF) | 1.5x | 2.9x | 2.1x | 16.8x | |
| |
|---|
| Median (136 companies) | 1.2x | 1.5x | 1.5x | 1.4x | 8.7x |
|---|
| Yoho Resources Inc ($YO) | 1.2x | 1.6x | 2.1x | 0.7x | |
