B2Gold Corp revenue returned to growth in 2015: increased 13.8% vs. 10.6% decline a year earliner
17.03.2016 • About B2Gold Corp (
$BTO) • By InTwits
B2Gold Corp reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is declining: in 2015 vs. -128.4% in 2014 vs. 49.7% in 2011
- B2Gold Corp motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for 2011-2015 was 0.0%. On average EBITDA Margin was -9.2% for the sames years0
- It operates with high leverage: Net Debt/EBITDA is 2.9x while industry average is 2.3x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
B2Gold Corp ($BTO) key annual financial indicators
| mln. $ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 225.4 | 259.1 | 544.3 | 486.6 | 553.7 | 13.8% |
| Gross Profit | 123.9 | 136.5 | 196.5 | 93.9 | | -100.0% |
| SG&A | 16.6 | 17.6 | 31.9 | 38.0 | | -100.0% |
| EBITDA | 112.0 | 117.7 | 204.2 | -624.8 | | -100.0% |
| Net Income | 56.3 | 51.9 | 67.3 | -665.3 | -149.9 | -77.5% |
Balance Sheet
|
|---|
| Cash | 102.3 | 67.9 | 252.7 | 132.6 | 85.1 | -35.8% |
| Short Term Debt | 1.5 | 4.2 | 13.0 | 10.5 | 11.7 | 12.1% |
| Long Term Debt | 0.0 | 0.0 | 300.4 | 368.8 | 451.5 | 22.4% |
Cash flow
|
|---|
| Capex | 94.5 | 141.0 | 295.7 | 311.7 | | -100.0% |
Ratios
|
|---|
| Revenue growth | 76.7% | 15.0% | 110.1% | -10.6% | 13.8% | |
| EBITDA growth | 88.7% | 5.1% | 73.5% | -406.0% | | |
| Gross Margin | 55.0% | 52.7% | 36.1% | 19.3% | | -19.3% |
| EBITDA Margin | 49.7% | 45.4% | 37.5% | -128.4% | 0.0% | 128.4% |
| Net Income Margin | 25.0% | 20.0% | 12.4% | -136.7% | -27.1% | 109.6% |
| SG&A, % of revenue | 7.4% | 6.8% | 5.9% | 7.8% | | -7.8% |
| CAPEX, % of revenue | 41.9% | 54.4% | 54.3% | 64.0% | | -64.0% |
| ROIC | 21.4% | 15.3% | 8.5% | -35.4% | | 35.4% |
| ROE | 14.8% | 10.1% | 6.1% | -42.5% | | 42.5% |
| Net Debt/EBITDA | -0.9x | -0.5x | 0.3x | | | 0.0x |
Revenue and profitability
The company's Revenue jumped on 13.8% in 2015.
Net Income marign surged on 110 pp from -137% to -27.1% in 2015.
Leverage (Debt)
Debt surged on 22.1% in 2015 while cash dropped on 35.8% in 2015.
Appendix 1: Peers in Basic Materials
Below you can find B2Gold Corp benchmarking vs. other companies in Basic Materials 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 |
|---|
| Barkerville Gold Mines Ltd ($BGM) | | 97.4% | -90.6% | -97.6% | 84,715.6% |
| Golden Minerals Co ($AUM) | | 1,320.8% | -59.1% | -97.8% | 3,334.5% |
| Jemi Fibre Corp ($JFI) | | | | -27.3% | 375.3% |
| Osisko Gold Royalties Ltd ($OR) | | | | | 164.4% |
| VMS Ventures Inc ($VMS) | | | | | 139.7% |
| |
|---|
| Median (109 companies) | 40.9% | 8.0% | -5.1% | -0.8% | -1.1% |
|---|
| B2Gold Corp ($BTO) | | 15.0% | 110.1% | -10.6% | 13.8% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Nevsun Resources Ltd ($NSU) | 90.3% | 89.9% | 94.8% | 95.5% | 82.3% |
| Franco-Nevada Corp ($FNV) | 84.6% | 86.1% | 85.0% | 83.5% | 30.3% |
| Labrador Iron Ore Royalty Corp ($LIF) | 80.2% | 80.2% | 80.2% | 80.2% | 80.3% |
| Lucara Diamond Corp ($LUC) | | 42.5% | 57.4% | 66.7% | 60.9% |
| Royal Gold Inc ($RGL) | 68.9% | 71.5% | 70.6% | 57.6% | 86.0% |
| |
|---|
| Median (133 companies) | 30.1% | 31.5% | 20.7% | 16.8% | 15.5% |
|---|
| B2Gold Corp ($BTO) | 55.0% | 52.7% | 36.1% | 19.3% | |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Royal Gold Inc ($RGL) | 86.1% | 88.2% | 88.6% | 84.4% | 65.0% |
| Franco-Nevada Corp ($FNV) | 38.6% | 62.1% | 44.6% | 72.3% | 60.8% |
| Silver Wheaton Corp ($SLW) | 84.8% | 82.6% | 75.3% | 69.6% | 65.8% |
| Sandstorm Gold Ltd ($SSL) | 63.8% | 74.3% | 49.9% | 62.1% | |
| Nevsun Resources Ltd ($NSU) | 81.0% | 76.8% | 54.5% | 60.4% | 38.6% |
| |
|---|
| Median (137 companies) | 22.0% | 18.4% | 11.3% | 9.9% | 6.6% |
|---|
| B2Gold Corp ($BTO) | 49.7% | 45.4% | 37.5% | -128.4% | |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Barkerville Gold Mines Ltd ($BGM) | 123.7% | 38.5% | 49.9% | 7,166.9% | 3.2% |
| Marlin Gold Mining Ltd ($MLN) | | | | 508.8% | |
| Imperial Metals Corp ($III) | 28.2% | 69.2% | 185.7% | 280.2% | |
| Golden Minerals Co ($AUM) | 462.4% | 36.9% | 16.8% | 212.8% | 0.5% |
| Franco-Nevada Corp ($FNV) | 9.3% | 3.7% | 35.5% | 201.6% | 230.0% |
| |
|---|
| Median (139 companies) | 23.9% | 26.3% | 25.2% | 16.0% | 13.9% |
|---|
| B2Gold Corp ($BTO) | 41.9% | 54.4% | 54.3% | 64.0% | |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Lucara Diamond Corp ($LUC) | -7.1% | -2.9% | 41.3% | 54.7% | 39.6% |
| CanAf Group Inc ($CAF) | 74.9% | 37.0% | 65.2% | 37.6% | 13.8% |
| Nevsun Resources Ltd ($NSU) | 89.8% | 52.2% | 8.8% | 35.0% | 10.4% |
| Dynacor Gold Mines Inc ($DNG) | 45.6% | 62.8% | 50.9% | 31.3% | |
| Canfor Pulp Products Inc ($CFX) | 103.5% | 4.9% | 13.2% | 21.3% | 24.1% |
| |
|---|
| Median (143 companies) | 5.4% | 4.9% | -0.1% | 0.6% | -3.6% |
|---|
| B2Gold Corp ($BTO) | 21.4% | 15.3% | 8.5% | -35.4% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| VMS Ventures Inc ($VMS) | | | | 86.7x | 4.7x |
| Ur-Energy Inc ($URE) | | | | 55.1x | 6.7x |
| Katanga Mining Ltd ($KAT) | 0.4x | 19.4x | 3.3x | 18.8x | |
| HudBay Minerals Inc ($HBM) | -2.8x | -4.8x | 2.0x | 14.0x | |
| Imperial Metals Corp ($III) | -0.1x | 1.5x | 4.9x | 12.9x | |
| |
|---|
| Median (95 companies) | -0.0x | 0.3x | 0.9x | 0.9x | 1.3x |
|---|
