Aimia Inc EBITDA jumped on 10.5% in 2015 and EBITDA Margin increased slightly on 0.77 pp from 7.1% to 7.9%
24.02.2016 • About Aimia Inc (
$AIM) • By InTwits
Aimia Inc reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Aimia Inc doesn't have a profitable business model yet: 2015 ROIC is -0.1%
- EBITDA Margin is quite volatile: 7.9% in 2015, 7.1% in 2014, -32.1% in 2013, 17.0% in 2012, 8.1% in 2011
- Aimia Inc has low CAPEX intensity: 5 year average CAPEX/Revenue was 3.0%. At the same time it's in pair with industry average of 72.5%.
- CAPEX is quite volatile: 1,820 in 2015, 2,893 in 2014, 2,601 in 2013, 1,373 in 2012, 1,050 in 2011
- The company has unprofitable business model: ROIC is at -0.1%
- It operates with high leverage: Net Debt/EBITDA is 0.9x while industry average is 0.0x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Aimia Inc ($AIM) key annual financial indicators
| mln. CAD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 2,116 | 2,249 | 1,674 | 2,469 | 2,461 | -0.3% |
| Gross Profit | 654 | 822 | 244 | 679 | 664 | -2.1% |
| SG&A | 559 | 566 | 890 | 688 | 652 | -5.2% |
| EBITDA | 170 | 382 | -537 | 175 | 193 | 10.5% |
| Net Income | -60 | 166 | -498 | -40 | 0 | -100.2% |
Balance Sheet
|
|---|
| Cash | 202 | 498 | 449 | 568 | 482 | -15.0% |
| Short Term Debt | 200 | 0 | 150 | 0 | 0 | |
| Long Term Debt | 387 | 793 | 645 | 646 | 647 | 0.1% |
Cash flow
|
|---|
| Capex | 45 | 58 | 54 | 82 | 94 | 14.8% |
Ratios
|
|---|
| Revenue growth | 2.9% | 6.3% | -25.6% | 47.5% | -0.3% | |
| EBITDA growth | -21.9% | 123.8% | -240.8% | -132.6% | 10.5% | |
| Gross Margin | 30.9% | 36.6% | 14.6% | 27.5% | 27.0% | -0.5% |
| EBITDA Margin | 8.1% | 17.0% | -32.1% | 7.1% | 7.9% | 0.8% |
| Net Income Margin | -2.8% | 7.4% | -29.8% | -1.6% | 0.0% | 1.6% |
| SG&A, % of revenue | 26.4% | 25.2% | 53.2% | 27.9% | 26.5% | -1.4% |
| CAPEX, % of revenue | 2.1% | 2.6% | 3.2% | 3.3% | 3.8% | 0.5% |
| ROIC | 1.8% | 11.6% | -33.0% | -0.6% | -0.1% | 0.5% |
| ROE | -4.8% | 11.7% | -48.4% | -7.9% | -2.8% | 5.0% |
| Net Debt/EBITDA | 2.3x | 0.8x | | 0.5x | 0.9x | 0.4x |
Revenue and profitability
The company's Revenue showed almost no change in 2015. Revenue decline happened at the same time with EBITDA margin expansion. EBITDA Margin increased slightly on 0.77 pp from 7.1% to 7.9% in 2015.
Gross Margin showed almost no change in 2015. SG&A as a % of Revenue decreased slightly on 1.4 pp from 27.9% to 26.5% in 2015.
Net Income marign increased slightly on 1.6 pp from -1.6% to 0.0041% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 the company had CAPEX/Revenue of 3.8%. CAPEX/Revenue increased slightly on 1.2 pp from 2.6% in 2012 to 3.8% in 2015. Average CAPEX/Revenue for the last three years was 3.5%.
Return on investment
The company operates at negative ROIC (-0.09%) and ROE (-2.81%). ROIC showed almost no change in 2015. ROE increased on 5.0 pp from -7.9% to -2.8% in 2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.9x and Debt / EBITDA is 3.4x. Net Debt / EBITDA surged on 0.4x from 0.5x to 0.9x in 2015. Debt showed almost no change in 2015 while cash dropped on 15.0% in 2015.
Appendix 1: Peers in Communications
Below we provide Aimia Inc benchmarking against other companies in Communications 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 |
|---|
| Telehop Communications Inc ($HOP) | -11.7% | -13.1% | -7.8% | 105.7% | |
| Wi2Wi Corp ($YTY) | | | 11.5% | 100.3% | |
| BSM Technologies Inc ($GPS) | | | 39.1% | 55.5% | 2.7% |
| Plaintree Systems Inc ($NPT) | | 14.5% | 9.1% | 50.8% | -7.1% |
| Blackline Safety Corp ($BLN) | | 37.1% | 9.4% | 45.1% | 73.8% |
| |
|---|
| Median (49 companies) | 10.2% | 2.5% | 2.1% | 1.9% | 2.7% |
|---|
| Aimia Inc ($AIM) | | 6.3% | -25.6% | 47.5% | -0.3% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Wanted Technologies Corp ($WAN) | 86.6% | 90.5% | 93.2% | 94.3% | 95.6% |
| CounterPath Corp ($CCV) | 74.1% | 80.0% | 85.1% | 80.9% | 81.5% |
| Mediagrif Interactive Technologies Inc ($MDF) | 78.2% | 79.8% | 79.8% | 78.8% | 80.1% |
| NeuLion Inc ($NLN) | 45.2% | 53.6% | 63.8% | 70.2% | |
| Sangoma Technologies Corp ($STC) | 74.5% | 68.8% | | 66.9% | 67.2% |
| |
|---|
| Median (40 companies) | 43.3% | 43.3% | 42.7% | 42.5% | 46.9% |
|---|
| Aimia Inc ($AIM) | 30.9% | 36.6% | 14.6% | 27.5% | 27.0% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Manitoba Telecom Services Inc ($MBT) | 33.7% | 34.3% | 33.7% | 47.4% | 42.3% |
| Cogeco Cable Inc ($CCA) | 45.8% | 46.0% | 44.9% | 43.8% | 46.2% |
| Cogeco Inc ($CGO) | 28.1% | 43.2% | 43.5% | 43.3% | 44.3% |
| Shaw Communications Inc ($SJR.B) | 43.3% | 42.7% | 43.3% | 42.1% | 44.6% |
| BCE Inc ($BCE) | 37.0% | 38.8% | 37.7% | 38.4% | 37.7% |
| |
|---|
| Median (49 companies) | 16.4% | 13.5% | 14.8% | 13.4% | 18.2% |
|---|
| Aimia Inc ($AIM) | 8.1% | 17.0% | -32.1% | 7.1% | 7.9% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Newfoundland Capital Corp Ltd ($NCC.B) | | 8.7% | 5.5% | 76.8% | |
| Axia NetMedia Corp ($AXX) | 10.7% | 30.8% | 27.2% | 27.0% | |
| UrtheCast Corp ($UR) | | | | 26.5% | |
| TeraGo Inc ($TGO) | 21.6% | 20.9% | 21.5% | 23.1% | |
| Manitoba Telecom Services Inc ($MBT) | 16.3% | 19.8% | 18.1% | 22.4% | 22.9% |
| |
|---|
| Median (52 companies) | 4.3% | 2.2% | 3.0% | 2.1% | 2.3% |
|---|
| Aimia Inc ($AIM) | 2.1% | 2.6% | 3.2% | 3.3% | 3.8% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Wi2Wi Corp ($YTY) | -28.5% | -166.9% | | 136.7% | |
| Tucows Inc ($TC) | 12.8% | 17.7% | 22.5% | 35.4% | 51.4% |
| Asian Television Network International Ltd ($SAT) | 102.7% | 34.6% | 23.6% | 23.4% | |
| Points International Ltd ($PTS) | 20.7% | 14.9% | 15.0% | 21.2% | |
| NeuLion Inc ($NLN) | -62.1% | -55.8% | -10.3% | 18.5% | |
| |
|---|
| Median (53 companies) | 7.2% | 8.0% | 8.3% | 8.3% | 6.5% |
|---|
| Aimia Inc ($AIM) | 1.8% | 11.6% | -33.0% | -0.6% | -0.1% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Plaintree Systems Inc ($NPT) | 0.7x | | | 124.2x | 3.9x |
| Advantex Marketing International Inc ($ADX) | | 4.8x | 2.2x | 5.0x | |
| MDC Partners Inc ($MDZ.A) | 7.3x | 12.4x | 112.6x | 4.6x | 5.5x |
| Quebecor Inc ($QBR.B) | 2.0x | 3.7x | 3.9x | 4.2x | |
| Postmedia Network Canada Corp ($PNC.B) | 2.9x | 3.3x | 3.4x | 4.2x | |
| |
|---|
| Median (41 companies) | 0.9x | 1.4x | 1.3x | 1.5x | 2.1x |
|---|
| Aimia Inc ($AIM) | 2.3x | 0.8x | | 0.5x | 0.9x |
