ProntoForms Corp revenue growth accelerated to 46.4% in 2015 vs. 43.9% a year earliner
10.03.2016 • About ProntoForms Corp (
$PFM) • By InTwits
ProntoForms Corp reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- ProntoForms Corp doesn't have a profitable business model yet: 2015 ROIC is -86.9%
- The company operates at negative EBITDA Margin: -27.8%
- ProntoForms Corp spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for 2011-2015 is 0.0%. Average EBITDA Margin for the same period was -38.6%0
- ProntoForms Corp has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.7%. At the same time it's in pair with industry average of 1.8%.
- CAPEX is quite volatile: 0.18 in 2015, 0.22 in 2014, 0.036 in 2013, 0.027 in 2012, 0.020 in 2011
- The company has unprofitable business model: ROIC is at -86.9%
- It operates with high leverage: Net Debt/EBITDA is -1.3x while industry average is -2.4x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
ProntoForms Corp ($PFM) key annual financial indicators
| mln. CAD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 1.556 | 2.488 | 4.363 | 6.277 | 9.192 | 46.4% |
| Gross Profit | 1.402 | 2.392 | 4.279 | 6.151 | 7.302 | 18.7% |
| SG&A | | 2.692 | 3.146 | 4.752 | 7.111 | 49.7% |
| EBITDA | -2.733 | -1.921 | -0.829 | -1.162 | -2.560 | 120.4% |
| Net Income | -2.768 | -1.981 | -0.361 | -1.350 | -2.609 | 93.3% |
Balance Sheet
|
|---|
| Cash | 0.890 | 0.630 | 0.896 | 2.306 | 3.987 | 72.9% |
| Short Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
| Long Term Debt | 0.000 | 0.254 | 0.583 | 0.668 | 0.764 | 14.5% |
Cash flow
|
|---|
| Capex | 0.020 | 0.027 | 0.036 | 0.223 | 0.176 | -21.4% |
Ratios
|
|---|
| Revenue growth | 113.2% | 59.9% | 75.4% | 43.9% | 46.4% | |
| EBITDA growth | 37.5% | -29.7% | -56.8% | 40.0% | 120.4% | |
| Gross Margin | 90.1% | 96.1% | 98.1% | 98.0% | 79.4% | -18.6% |
| EBITDA Margin | -175.7% | -77.2% | -19.0% | -18.5% | -27.8% | -9.3% |
| Net Income Margin | -177.9% | -79.6% | -8.3% | -21.5% | -28.4% | -6.9% |
| SG&A, % of revenue | | 108.2% | 72.1% | 75.7% | 77.4% | 1.7% |
| CAPEX, % of revenue | 1.3% | 1.1% | 0.8% | 3.6% | 1.9% | -1.7% |
| ROIC | -2,391.9% | -1,223.6% | -751.1% | -94.4% | -86.9% | 7.6% |
| ROE | | | | | -113.5% | -113.5% |
Revenue and profitability
The company's Revenue jumped on 46.4% in 2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin surged on 26.1 pp from 9.3% to 35.4% in 2015.
Gross Margin dropped on 18.6 pp from 98.0% to 79.4% in 2015. SG&A as a % of Revenue increased slightly on 1.7 pp from 75.7% to 77.4% in 2015.
Net Income marign decreased on 6.9 pp from -21.5% to -28.4% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 ProntoForms Corp had CAPEX/Revenue of 1.9%. ProntoForms Corp showed small growth in CAPEX/Revenue of 0.82 pp from 1.1% in 2012 to 1.9% in 2015. For the last three years the average CAPEX/Revenue was 2.1%.
Return on investment
The company operates at negative ROIC (-86.89%) and ROE (-113.54%). ROIC increased on 7.6 pp from -94.4% to -86.9% in 2015.
Leverage (Debt)
Company's Net Debt / EBITDA is -1.3x and Debt / EBITDA is . Net Debt / EBITDA didn't change in 2015. Debt surged on 14.5% in 2015 while cash jumped on 72.9% in 2015.
Appendix 1: Peers in Technology
Below we provide ProntoForms Corp benchmarking against other companies in Technology 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 |
|---|
| Mitel Networks Corp ($MNW) | | 3.8% | -5.7% | 91.4% | 4.9% |
| Redknee Solutions Inc ($RKN) | | -4.5% | 151.6% | 81.4% | -13.6% |
| Intrinsyc Technologies Corp ($ITC) | -19.0% | -26.8% | -21.7% | 70.8% | |
| Espial Group Inc ($ESP) | | -9.5% | -5.5% | 59.4% | 24.2% |
| iLOOKABOUT Corp ($ILA) | -7.6% | 19.6% | 8.9% | 58.8% | |
| |
|---|
| Median (34 companies) | 0.4% | 2.4% | 11.4% | 12.6% | 12.9% |
|---|
| ProntoForms Corp ($PFM) | | 59.9% | 75.4% | 43.9% | 46.4% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Constellation Software Inc/Canada ($CSU) | 85.5% | 86.2% | 85.5% | 86.1% | 86.2% |
| Symbility Solutions Inc ($SY) | 82.1% | 80.6% | 79.9% | 81.0% | |
| Espial Group Inc ($ESP) | 77.9% | 77.5% | 81.7% | 78.5% | 74.3% |
| Absolute Software Corp ($ABT) | 71.6% | 73.6% | 76.3% | 78.4% | 81.1% |
| Sandvine Corp ($SVC) | 74.3% | 67.5% | 74.1% | 76.8% | 77.8% |
| |
|---|
| Median (31 companies) | 49.5% | 52.4% | 48.8% | 51.1% | 58.6% |
|---|
| ProntoForms Corp ($PFM) | 90.1% | 96.1% | 98.1% | 98.0% | 79.4% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Wi-LAN Inc ($WIN) | 26.5% | 40.9% | 12.2% | 56.2% | 53.2% |
| Computer Modelling Group Ltd ($CMG) | 51.5% | 53.8% | 52.2% | 51.5% | 50.8% |
| Open Text Corp ($OTC) | 27.1% | 26.5% | 29.1% | 30.0% | 31.8% |
| Sandvine Corp ($SVC) | 5.1% | 0.9% | 24.0% | 28.2% | 35.1% |
| Enghouse Systems Ltd ($ESL) | 24.8% | 25.4% | 23.6% | 24.7% | 21.9% |
| |
|---|
| Median (34 companies) | 8.6% | 8.5% | 5.8% | 7.1% | 16.5% |
|---|
| ProntoForms Corp ($PFM) | -175.7% | -77.2% | -19.0% | -18.5% | -27.8% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Halogen Software Inc ($HGN) | | 4.9% | 9.0% | 8.4% | 2.9% |
| Intermap Technologies Corp ($IMP) | 0.4% | 1.0% | 3.2% | 7.4% | |
| Kinaxis Inc ($KXS) | 2.2% | 2.9% | 2.3% | 5.0% | 4.7% |
| BlackBerry Ltd ($BB) | 5.2% | 4.9% | 3.8% | 4.2% | 2.6% |
| Sandvine Corp ($SVC) | 7.3% | 4.9% | 3.2% | 3.2% | 4.8% |
| |
|---|
| Median (34 companies) | 1.2% | 1.6% | 1.5% | 1.2% | 1.4% |
|---|
| ProntoForms Corp ($PFM) | 1.3% | 1.1% | 0.8% | 3.6% | 1.9% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Kinaxis Inc ($KXS) | | | 61.8% | 63.6% | 44.0% |
| Computer Modelling Group Ltd ($CMG) | 75.5% | 74.2% | 68.6% | 62.9% | 63.5% |
| SMART Technologies Inc ($SMA) | 43.2% | 21.4% | -18.9% | 28.1% | 43.8% |
| Constellation Software Inc/Canada ($CSU) | 45.8% | 45.9% | 22.4% | 24.7% | 38.5% |
| Sandvine Corp ($SVC) | -1.7% | -4.9% | 16.9% | 20.2% | 21.7% |
| |
|---|
| Median (34 companies) | 5.9% | 4.4% | -4.5% | 0.9% | 7.4% |
|---|
| ProntoForms Corp ($PFM) | -2,391.9% | -1,223.6% | -751.1% | -94.4% | -86.9% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Mad Catz Interactive Inc ($MCZ) | 0.7x | 32.2x | 1.2x | | 9.4x |
| Mitel Networks Corp ($MNW) | 4.9x | 3.7x | 3.8x | 2.6x | 6.2x |
| BlackBerry Ltd ($BB) | -0.3x | -0.5x | -2.3x | | 1.7x |
| Open Text Corp ($OTC) | 0.0x | 0.1x | 0.2x | 1.8x | 1.5x |
| SMART Technologies Inc ($SMA) | 1.4x | 2.1x | | 1.2x | 1.3x |
| |
|---|
| Median (19 companies) | -0.3x | -0.4x | -0.4x | -1.3x | -0.2x |
|---|
