Bellatrix Exploration Ltd Net Income dropped on 372% in 2015 and Revenue dropped on 32.9%
16.03.2016 • About Bellatrix Exploration Ltd (
$BXE) • By InTwits
Bellatrix Exploration Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Bellatrix Exploration Ltd doesn't have a profitable business model yet: 2015 ROIC is -31.8%
- EBITDA Margin is quite volatile: -115.8% in 2015, 89.6% in 2014, 83.6% in 2013, 58.6% in 2012, 42.7% in 2011
- Bellatrix Exploration Ltd has high CAPEX intensity: 5 year average CAPEX/Revenue was 109.6%. At the same time it's a lot of higher than industry average of 73.9%.
- CAPEX is quite volatile: 160 in 2015, 725 in 2014, 304 in 2013, 185 in 2012, 180 in 2011
- The company has unprofitable business model: ROIC is at -31.8%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Bellatrix Exploration Ltd ($BXE) key annual financial indicators
| mln. CAD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 166.1 | 189.7 | 244.0 | 442.4 | 297.0 | -32.9% |
| Gross Profit | 46.6 | 55.6 | 81.4 | 124.3 | -536.6 | -531.6% |
| SG&A | 12.4 | 14.3 | 16.2 | 25.4 | 23.4 | -7.9% |
| EBITDA | 70.9 | 111.1 | 203.9 | 396.2 | -344.0 | -186.8% |
| Net Income | -5.9 | 27.8 | 71.7 | 163.1 | -444.2 | -372.3% |
Balance Sheet
|
|---|
| Cash | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
| Short Term Debt | 0.5 | 1.4 | 1.5 | 1.6 | 1.6 | 3.8% |
| Long Term Debt | 110.4 | 196.9 | 298.7 | 559.9 | 681.2 | 21.7% |
Cash flow
|
|---|
| Capex | 179.6 | 185.3 | 303.7 | 725.0 | 159.6 | -78.0% |
Ratios
|
|---|
| Revenue growth | 53.5% | 14.2% | 28.6% | 81.4% | -32.9% | |
| EBITDA growth | 18.5% | 56.7% | 83.5% | 94.3% | -186.8% | |
| Gross Margin | 28.1% | 29.3% | 33.4% | 28.1% | -180.7% | -208.8% |
| EBITDA Margin | 42.7% | 58.6% | 83.6% | 89.6% | -115.8% | -205.3% |
| Net Income Margin | -3.6% | 14.6% | 29.4% | 36.9% | -149.5% | -186.4% |
| SG&A, % of revenue | 7.4% | 7.5% | 6.6% | 5.7% | 7.9% | 2.1% |
| CAPEX, % of revenue | 108.1% | 97.7% | 124.5% | 163.9% | 53.7% | -110.1% |
| ROIC | 1.8% | 6.9% | 13.0% | 13.7% | -31.8% | -45.6% |
| ROE | -1.8% | 7.6% | 11.2% | 15.2% | -43.2% | -58.3% |
| Net Debt/EBITDA | 1.6x | 1.8x | 1.5x | 1.4x | | -1.4x |
Revenue and profitability
Bellatrix Exploration Ltd's Revenue dropped on 32.9% in 2015. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin dropped on 205 pp from 89.6% to -116% in 2015.
Gross Margin dropped on 209 pp from 28.1% to -181% in 2015. SG&A as a % of Revenue increased on 2.1 pp from 5.7% to 7.9% in 2015.
Net Income marign dropped on 186 pp from 36.9% to -150% in 2015.
Capital expenditures (CAPEX) and working capital investments
Bellatrix Exploration Ltd's CAPEX/Revenue was 53.7% in 2015. CAPEX/Revenue dropped on 44.0 pp from 97.7% in 2012 to 53.7% in 2015. It's average CAPEX/Revenue for the last three years was 114%.
Return on investment
The company operates at negative ROIC (-31.85%) and ROE (-43.15%). ROIC dropped on 45.6 pp from 13.7% to -31.8% in 2015. ROE dropped on 58.3 pp from 15.2% to -43.2% in 2015.
Leverage (Debt)
Debt level is -0.5x Net Debt / EBITDA and Debt / EBITDA. Net Debt / EBITDA dropped on 1.4x from 1.4x to in 2015. Debt surged on 21.6% in 2015 while cash didn't change in 2015.
Appendix 1: Peers in Energy
Below we provide Bellatrix Exploration Ltd 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 ($SPE) | | 16.6% | 29.9% | 923.7% | -3.7% |
| |
|---|
| Median (161 companies) | 41.6% | 9.4% | 17.0% | 18.3% | -27.4% |
|---|
| Bellatrix Exploration Ltd ($BXE) | | 14.2% | 28.6% | 81.4% | -32.9% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| TransAlta Renewables Inc ($RNW) | | | 94.4% | 94.5% | 94.5% |
| Advantage Oil & Gas Ltd ($AAV) | 70.5% | 62.0% | 84.5% | 92.5% | 88.5% |
| Freehold Royalties Ltd ($FRU) | 91.7% | 90.4% | 89.0% | 90.2% | 86.3% |
| MEG Energy Corp ($MEG) | 85.5% | 86.8% | 87.4% | 87.6% | 84.1% |
| NXT Energy Solutions Inc ($SFD) | -43.2% | 65.6% | 36.0% | 87.3% | |
| |
|---|
| Median (140 companies) | 34.2% | 29.3% | 31.5% | 30.3% | 33.9% |
|---|
| Bellatrix Exploration Ltd ($BXE) | 28.1% | 29.3% | 33.4% | 28.1% | -180.7% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Seven Generations Energy Ltd ($VII) | | 56.9% | 54.0% | 106.0% | 70.0% |
| Tourmaline Oil Corp ($TOU) | 67.4% | 67.9% | 80.0% | 97.6% | 70.1% |
| Bonavista Energy Corp ($BNP) | 63.8% | 64.6% | 62.6% | 91.6% | 54.5% |
| Advantage Oil & Gas Ltd ($AAV) | -4.0% | 5.2% | 66.1% | 87.8% | 81.8% |
| Peyto Exploration & Development Corp ($PEY) | 83.6% | 86.1% | 83.2% | 86.3% | 84.6% |
| |
|---|
| Median (160 companies) | 25.3% | 24.8% | 30.7% | 29.3% | 9.2% |
|---|
| Bellatrix Exploration Ltd ($BXE) | 42.7% | 58.6% | 83.6% | 89.6% | -115.8% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Oryx Petroleum Corp Ltd ($OXC) | | | | 1,997.8% | 712.8% |
| Petroshale Inc ($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% | 315.2% |
| BNK Petroleum Inc ($BKX) | 139.2% | 195.8% | 789.1% | 316.6% | 52.8% |
| |
|---|
| Median (163 companies) | 40.9% | 48.7% | 39.2% | 48.6% | 31.3% |
|---|
| Bellatrix Exploration Ltd ($BXE) | 108.1% | 97.7% | 124.5% | 163.9% | 53.7% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Pason Systems Inc ($PSI) | 33.5% | 30.0% | 29.7% | 41.0% | 6.0% |
| Sea Dragon Energy Inc ($SDX) | -10.1% | 8.1% | 21.8% | 32.9% | |
| Raging River Exploration Inc ($RRX) | | | | 29.1% | 6.2% |
| High Arctic Energy Services Inc ($HWO) | 27.0% | 31.4% | 26.3% | 24.9% | 24.2% |
| Rooster Energy Ltd ($COQ) | | | | 22.9% | |
| |
|---|
| Median (166 companies) | 4.5% | 3.1% | 4.6% | 5.0% | -7.2% |
|---|
| Bellatrix Exploration Ltd ($BXE) | 1.8% | 6.9% | 13.0% | 13.7% | -31.8% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Veresen Inc ($VSN) | 22.3x | 16.2x | 14.7x | 30.3x | 7.4x |
| Lightstream Resources Ltd ($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 ($PGF) | 1.5x | 2.9x | 2.1x | 16.8x | |
| |
|---|
| Median (137 companies) | 1.2x | 1.5x | 1.5x | 1.4x | 2.7x |
|---|
| Bellatrix Exploration Ltd ($BXE) | 1.6x | 1.8x | 1.5x | 1.4x | |
