CI Financial Corp revenue increased on 6.5% in 2015 while EBITDA Margin decreased slightly on 1.5 pp from 48.0% to 46.5%
10.02.2016 • About CI Financial Corp (
$CIX) • By InTwits
CI Financial Corp reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts: CI Financial Corp has low CAPEX intensity: 5 year average CAPEX/Revenue was 0.5%..
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
CI Financial Corp ($CIX) key annual financial indicators
| mln. CAD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 1,496 | 1,458 | 1,617 | 1,876 | 1,998 | 6.5% |
| EBITDA | 726 | 704 | 770 | 900 | 928 | 3.1% |
| Net Income | 377 | 352 | 426 | 525 | 553 | 5.4% |
Balance Sheet
|
|---|
| Cash | 123 | 24 | 119 | 51 | 57 | 10.4% |
| Short Term Debt | 258 | 24 | 200 | 2 | 2 | 0.0% |
| Long Term Debt | 523 | 570 | 299 | 305 | 557 | 82.5% |
Cash flow
|
|---|
| Capex | 21 | 6 | 5 | 3 | 3 | 2.5% |
Ratios
|
|---|
| Revenue growth | 8.4% | -2.6% | 10.9% | 16.0% | 6.5% | |
| EBITDA growth | 8.4% | -3.1% | 9.4% | 17.0% | 3.1% | |
| EBITDA Margin | 48.5% | 48.3% | 47.6% | 48.0% | 46.5% | -1.5% |
| Net Income Margin | 25.2% | 24.2% | 26.4% | 28.0% | 27.7% | -0.3% |
| CAPEX, % of revenue | 1.4% | 0.4% | 0.3% | 0.2% | 0.1% | -0.0% |
| ROE | 23.7% | 21.4% | 24.4% | 28.2% | 29.2% | 0.9% |
| Net Debt/EBITDA | 0.9x | 0.8x | 0.5x | 0.3x | 0.5x | 0.3x |
Revenue and profitability
The company's Revenue increased on 6.5% in 2015. Revenue growth was financed by EBITDA margin decline. EBITDA Margin decreased slightly on 1.5 pp from 48.0% to 46.5% in 2015.
Net Income marign showed almost no change in 2015.
Capital expenditures (CAPEX) and working capital investments
CI Financial Corp's CAPEX/Revenue was 0.15% in 2015. CI Financial Corp's CAPEX/Revenue showed almost no change from 2012 to 2015. It's average level of CAPEX/Revenue for the last three years was 0.21%.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.5x and Debt / EBITDA is 0.6x. Net Debt / EBITDA jumped on 0.3x from 0.3x to 0.5x in 2015. Debt jumped on 82.0% in 2015 while cash surged on 10.4% in 2015.
Appendix 1: Peers in Financial
Below we provide CI Financial Corp benchmarking against other companies in Financial 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 |
|---|
| Westaim Corp/The ($WED) | 35.7% | -99.9% | 38.0% | 5,680.8% | |
| Wall Financial Corp ($WFC) | | 35.2% | -74.1% | 285.4% | -75.3% |
| Element Financial Corp ($EFN) | | | 206.6% | 189.1% | |
| DealNet Capital Corp ($DLS) | -73.3% | 4,437.5% | 540.4% | 112.7% | |
| Gluskin Sheff + Associates Inc ($GS) | | -39.1% | 60.6% | 97.9% | -33.5% |
| |
|---|
| Median (73 companies) | 9.9% | 9.4% | 7.1% | 8.9% | 0.5% |
|---|
| CI Financial Corp ($CIX) | | -2.6% | 10.9% | 16.0% | 6.5% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Olympia Financial Group Inc ($OLY) | 85.3% | 80.9% | 82.6% | 83.2% | |
| Morguard Corp ($MRC) | 74.8% | 74.0% | 69.9% | 68.6% | |
| DealNet Capital Corp ($DLS) | | 14.9% | 36.7% | 45.6% | |
| Brookfield Asset Management Inc ($BAM.A) | 34.3% | 25.6% | 30.7% | 28.6% | |
| Onex Corp ($OCX) | 20.0% | 20.1% | 26.2% | 27.9% | |
| |
|---|
| Median (11 companies) | 25.2% | 22.6% | 25.7% | 20.5% | 27.7% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Firm Capital Mortgage Investment Corp ($FC) | 88.7% | 87.6% | 87.9% | 88.8% | |
| Equitable Group Inc ($EQB) | 89.7% | 88.1% | 87.4% | 86.0% | |
| Alaris Royalty Corp ($AD) | 97.0% | 81.3% | 61.8% | 81.8% | |
| Brookfield Real Estate Services Inc ($BRE) | 77.1% | 77.7% | 77.9% | 78.4% | |
| First National Financial Corp ($FN) | 66.1% | 67.8% | 76.5% | 77.1% | |
| |
|---|
| Median (48 companies) | 35.6% | 32.3% | 32.0% | 30.5% | 37.5% |
|---|
| CI Financial Corp ($CIX) | 48.5% | 48.3% | 47.6% | 48.0% | 46.5% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Killam Properties Inc ($KMP) | 73.6% | 80.7% | 114.1% | 143.5% | |
| Dundee Corp ($DC.A) | | 10.3% | 14.1% | 88.8% | 123.6% |
| StorageVault Canada Inc ($SVI) | 29.6% | 150.5% | 73.3% | 79.1% | |
| Mainstreet Equity Corp ($MEQ) | 152.4% | 115.8% | 62.3% | 75.8% | 56.3% |
| First Capital Realty Inc ($FCR) | 102.8% | 127.9% | 76.1% | 73.8% | |
| |
|---|
| Median (75 companies) | 1.2% | 1.6% | 0.8% | 1.0% | 1.1% |
|---|
| CI Financial Corp ($CIX) | 1.4% | 0.4% | 0.3% | 0.2% | 0.1% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Gluskin Sheff + Associates Inc ($GS) | 71.3% | 21.0% | 82.9% | 153.9% | 63.6% |
| Brookfield Real Estate Services Inc ($BRE) | 17.1% | 26.0% | 31.0% | 47.0% | |
| Redishred Capital Corp ($KUT) | -3.9% | -24.5% | 6.5% | 15.8% | |
| IGM Financial Inc ($IGM) | 15.3% | 14.2% | 14.2% | 13.7% | |
| Street Capital Group Inc ($SCB) | 2.3% | 10.9% | 11.0% | 13.4% | |
| |
|---|
| Median (77 companies) | 5.0% | 4.8% | 4.5% | 4.8% | 5.4% |
|---|
| CI Financial Corp ($CIX) | | | | | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| First National Financial Corp ($FN) | 37.6x | 34.3x | 33.7x | 40.9x | |
| Element Financial Corp ($EFN) | | 140.2x | 31.9x | 37.6x | |
| Gazit-Globe Ltd ($GZT) | 14.8x | 12.8x | 12.7x | 15.3x | |
| Morguard Corp ($MRC) | 7.5x | 8.9x | | 14.2x | |
| StorageVault Canada Inc ($SVI) | 6.0x | 11.2x | 9.7x | 13.6x | |
| |
|---|
| Median (40 companies) | 5.3x | 5.3x | 5.0x | 4.5x | 2.4x |
|---|
| CI Financial Corp ($CIX) | 0.9x | 0.8x | 0.5x | 0.3x | 0.5x |
