Nobilis Health Corp Net Income jumped on 657% in 2015 and Revenue jumped on 173%
15.03.2016 • About Nobilis Health Corp (
$NHC) • By InTwits
Nobilis Health Corp reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Nobilis Health Corp is a fast growth stock: 2015 revenue growth was 173%, 5 year revenue CAGR was 79.4% at 2015 ROIC 24.5%
- EBITDA Margin is quite volatile: 15.9% in 2015, 26.7% in 2014, 17.4% in 2013, 29.7% in 2012, -6.1% in 2011
- Nobilis Health Corp has low CAPEX intensity: 5 year average CAPEX/Revenue was 2.5%. At the same time it's a lot of higher than industry average of 8.4%.
- CAPEX is quite volatile: 4.4 in 2015, 2.0 in 2014, 1.2 in 2013, 0.28 in 2012, 0.41 in 2011
- The company has highly profitable business model: ROIC is at 24.5%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Nobilis Health Corp ($NHC) key annual financial indicators
| mln. $ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 14.4 | 20.9 | 31.1 | 84.0 | 229.2 | 172.8% |
| Gross Profit | | | | 83.8 | | -100.0% |
| SG&A | 6.0 | 6.2 | 12.9 | 35.9 | 102.1 | 184.5% |
| EBITDA | -0.9 | 6.2 | 5.4 | 22.5 | 36.3 | 61.7% |
| Net Income | -2.2 | 1.2 | 1.4 | 6.7 | 50.8 | 656.5% |
Balance Sheet
|
|---|
| Cash | 2.5 | 4.2 | 5.6 | 7.6 | 15.7 | 107.0% |
| Short Term Debt | 0.0 | 0.0 | 1.7 | 9.7 | 6.4 | -34.0% |
| Long Term Debt | 2.1 | 1.7 | 0.2 | 11.2 | 38.1 | 241.8% |
Cash flow
|
|---|
| Capex | 0.4 | 0.3 | 1.2 | 2.0 | 4.4 | 116.5% |
Ratios
|
|---|
| Revenue growth | 16.6% | 45.3% | 49.0% | 169.9% | 172.8% | |
| EBITDA growth | -83.7% | -802.9% | -12.9% | 315.7% | 61.7% | |
| Gross Margin | | | | 99.8% | | -99.8% |
| EBITDA Margin | -6.1% | 29.7% | 17.4% | 26.7% | 15.9% | -10.9% |
| Net Income Margin | -15.1% | 5.7% | 4.5% | 8.0% | 22.2% | 14.2% |
| SG&A, % of revenue | 41.9% | 29.5% | 41.4% | 42.7% | 44.5% | 1.8% |
| CAPEX, % of revenue | 2.9% | 1.4% | 3.8% | 2.4% | 1.9% | -0.5% |
| ROIC | -20.2% | 49.4% | 29.7% | 39.0% | 24.5% | -14.5% |
| ROE | -50.6% | 33.7% | 17.8% | 23.4% | 58.9% | 35.5% |
| Net Debt/EBITDA | | -0.4x | -0.7x | 0.6x | 0.8x | 0.2x |
Revenue and profitability
The company's Revenue jumped on 173% in 2015. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin dropped on 58.6 pp from 41.8% to -16.8% in 2015.
SG&A as a % of Revenue increased slightly on 1.8 pp from 42.7% to 44.5% in 2015.
Net Income marign jumped on 14.2 pp from 8.0% to 22.2% in 2015.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 1.9% in 2015. Nobilis Health Corp's CAPEX/Revenue increased slightly on 0.56 pp from 1.4% in 2012 to 1.9% in 2015. It's average level of CAPEX/Revenue for the last three years was 2.7%.
Return on investment
The company operates at high and attractive ROIC (24.50%) and ROE (58.89%). ROIC dropped on 14.5 pp from 39.0% to 24.5% in 2015. ROE surged on 35.5 pp from 23.4% to 58.9% in 2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.8x and Debt / EBITDA is 1.2x. Net Debt / EBITDA jumped on 0.2x from 0.6x to 0.8x in 2015. Debt jumped on 113% in 2015 while cash jumped on 107% in 2015.
Management team
Nobilis Health Corp's CEO Harry Joseph Fleming is a founder and has spent 2 years at the company.
Appendix 1: Peers in Consumer, Non-cyclical
Below you can find Nobilis Health Corp benchmarking vs. other companies in Consumer, Non-cyclical 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 |
|---|
| GDI Integrated Facility Services Inc ($GDI) | | -38.8% | -72.9% | 218,969.1% | 18.7% |
| Cardiome Pharma Corp ($COM) | | -47.6% | 471.7% | 566.0% | -30.4% |
| Patient Home Monitoring Corp ($PHM) | | 170.2% | 1.9% | 433.0% | 238.4% |
| Family Memorials Inc ($FAM) | -13.6% | 54.7% | 22.9% | 245.3% | |
| Concordia Healthcare Corp ($CXR) | | | | 159.5% | |
| |
|---|
| Median (86 companies) | 16.3% | 8.7% | 5.3% | 12.7% | 11.4% |
|---|
| Nobilis Health Corp ($NHC) | | 45.3% | 49.0% | 169.9% | 172.8% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cipher Pharmaceuticals Inc ($CPH) | | | 99.5% | 98.3% | 92.7% |
| Heritage Global Inc ($HGP) | 99.5% | | | 95.7% | |
| Ritchie Bros Auctioneers Inc ($RBA) | 87.9% | 88.7% | 88.4% | 88.0% | 89.1% |
| Concordia Healthcare Corp ($CXR) | | | 79.4% | 86.0% | |
| Merus Labs International Inc ($MSL) | | 88.6% | 91.4% | 82.8% | 84.6% |
| |
|---|
| Median (74 companies) | 35.5% | 37.4% | 36.1% | 35.1% | 36.1% |
|---|
| Nobilis Health Corp ($NHC) | | | | 99.8% | |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cipher Pharmaceuticals Inc ($CPH) | -50.0% | 40.6% | 71.4% | 63.7% | 12.8% |
| Merus Labs International Inc ($MSL) | | 32.9% | 64.7% | 46.2% | 61.5% |
| Valeant Pharmaceuticals International Inc ($VRX) | 37.0% | 30.6% | 27.8% | 45.6% | 39.8% |
| EnerCare Inc ($ECI) | 59.0% | 52.8% | 51.0% | 45.5% | 39.3% |
| Information Services Corp ($ISV) | 34.1% | 39.6% | 39.6% | 37.6% | 36.1% |
| |
|---|
| Median (85 companies) | 7.9% | 7.4% | 8.7% | 10.6% | 10.8% |
|---|
| Nobilis Health Corp ($NHC) | -6.1% | 29.7% | 17.4% | 26.7% | 15.9% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Neptune Technologies & Bioressources Inc ($NTB) | 6.0% | 4.7% | 73.6% | 84.6% | 119.0% |
| CanaDream Corp ($CDN) | 68.6% | 43.3% | 38.1% | 70.4% | 63.4% |
| Ceapro Inc ($CZO) | 2.2% | 3.9% | 35.3% | 52.0% | |
| Feronia Inc/Canada ($FRN) | 129.0% | 191.4% | 117.4% | 42.4% | |
| Microbix Biosystems Inc ($MBX) | 1.0% | 1.2% | 3.0% | 40.3% | 38.7% |
| |
|---|
| Median (86 companies) | 2.3% | 2.8% | 2.4% | 2.6% | 2.3% |
|---|
| Nobilis Health Corp ($NHC) | 2.9% | 1.4% | 3.8% | 2.4% | 1.9% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Biosyent Inc ($RX) | 45.5% | 71.7% | 62.4% | 62.9% | 48.2% |
| Information Services Corp ($ISV) | 56.0% | 71.8% | 72.8% | 58.9% | 38.1% |
| Covalon Technologies Ltd ($COV) | -49.6% | -75.8% | -30.1% | 50.6% | -12.4% |
| Cipher Pharmaceuticals Inc ($CPH) | -22.9% | 21.8% | 81.4% | 44.6% | -0.1% |
| Ceapro Inc ($CZO) | 69.9% | -33.5% | 15.5% | 43.5% | |
| |
|---|
| Median (86 companies) | 7.7% | 6.3% | 6.7% | 6.7% | 6.6% |
|---|
| Nobilis Health Corp ($NHC) | -20.2% | 49.4% | 29.7% | 39.0% | 24.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Noble Iron Inc ($NIR) | | 25.5x | 12.9x | 227.3x | |
| Family Memorials Inc ($FAM) | | | | 15.2x | |
| Amica Mature Lifestyles Inc ($ACC) | 11.7x | 9.4x | 14.7x | 13.8x | 12.3x |
| Cott Corp ($BCB) | 2.6x | 2.0x | 2.2x | 13.4x | 4.9x |
| CRH Medical Corp ($CRH) | -2.3x | -3.1x | -3.5x | 12.0x | 1.3x |
| |
|---|
| Median (70 companies) | 1.9x | 2.8x | 2.2x | 2.7x | 1.7x |
|---|
| Nobilis Health Corp ($NHC) | | -0.4x | -0.7x | 0.6x | 0.8x |
