Medical Facilities Corp Net Income surged on 102% in 2015 and Revenue increased on 3.8%
17.03.2016 • About Medical Facilities Corp (
$DR) • By InTwits
Medical Facilities Corp reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Medical Facilities Corp has low CAPEX intensity: 5 year average CAPEX/Revenue was 3.1%. At the same time it's a lot of higher than industry average of 91.1%.
- CAPEX is quite volatile: 7.4 in 2015, 8.3 in 2014, 13.3 in 2013, 10.6 in 2012, 3.1 in 2011
- The company has highly profitable business model: ROIC is at 28.5%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Medical Facilities Corp ($DR) key annual financial indicators
| mln. $ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 216.4 | 239.4 | 309.2 | 297.4 | 308.8 | 3.8% |
| SG&A | | | | | 45.0 | |
| EBITDA | 94.9 | 98.5 | 117.0 | 92.7 | 99.2 | 7.1% |
| Net Income | -15.4 | 32.8 | 11.0 | 23.3 | 47.1 | 102.2% |
Balance Sheet
|
|---|
| Cash | 18.0 | 35.4 | 35.9 | 41.3 | 58.0 | 40.3% |
| Short Term Debt | 11.9 | 14.0 | 24.5 | 6.4 | 7.8 | 21.9% |
| Long Term Debt | 75.2 | 27.7 | 59.1 | 71.8 | 58.2 | -18.9% |
Cash flow
|
|---|
| Capex | 3.1 | 10.6 | 13.3 | 8.3 | 7.4 | -11.0% |
Ratios
|
|---|
| Revenue growth | -0.7% | 10.6% | 29.2% | -3.8% | 3.8% | |
| EBITDA growth | 16.1% | 3.8% | 18.8% | -20.8% | 7.1% | |
| EBITDA Margin | 43.8% | 41.2% | 37.8% | 31.2% | 32.1% | 1.0% |
| Net Income Margin | -7.1% | 13.7% | 3.6% | 7.8% | 15.3% | 7.4% |
| SG&A, % of revenue | | | | | 14.6% | 14.6% |
| CAPEX, % of revenue | 1.4% | 4.4% | 4.3% | 2.8% | 2.4% | -0.4% |
| ROIC | 41.0% | 36.1% | 39.5% | 26.5% | 28.5% | 2.0% |
| ROE | -19.8% | 24.4% | 7.5% | 15.2% | 30.0% | 14.8% |
| Net Debt/EBITDA | 0.7x | 0.1x | 0.4x | 0.4x | 0.1x | -0.3x |
Revenue and profitability
The company's Revenue increased on 3.8% in 2015. Revenue growth happened at the same time with EBITDA margin expansion. EBITDA Margin increased slightly on 0.97 pp from 31.2% to 32.1% in 2015.
Net Income marign increased on 7.4 pp from 7.8% to 15.3% in 2015.
Capital expenditures (CAPEX) and working capital investments
Medical Facilities Corp's CAPEX/Revenue was 2.4% in 2015. Medical Facilities Corp's CAPEX/Revenue decreased on 2.1 pp from 4.4% in 2012 to 2.4% in 2015. It's average CAPEX/Revenue for the last three years was 3.2%.
Return on investment
The company operates at high and attractive ROIC (28.52%) and ROE (30.00%). ROIC increased slightly on 2.0 pp from 26.5% to 28.5% in 2015. ROE jumped on 14.8 pp from 15.2% to 30.0% in 2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.1x and Debt / EBITDA is 0.7x. Net Debt / EBITDA dropped on 0.3x from 0.4x to 0.1x in 2015. Debt dropped on 15.6% in 2015 while cash surged on 40.3% in 2015.
Appendix 1: Peers in Consumer, Non-cyclical
Below we provide Medical Facilities Corp benchmarking against other companies in Consumer, Non-cyclical 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 |
|---|
| 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% | |
| Nobilis Health Corp ($NHC) | | 45.3% | 49.0% | 169.9% | 172.8% |
| |
|---|
| Median (86 companies) | 14.3% | 8.7% | 5.3% | 13.2% | 11.9% |
|---|
| Medical Facilities Corp ($DR) | | 10.6% | 29.2% | -3.8% | 3.8% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Nobilis Health Corp ($NHC) | | | | 99.8% | |
| Cipher Pharmaceuticals Inc ($CPH) | | | 99.5% | 98.3% | 92.7% |
| Heritage Global Inc ($HGP) | 99.5% | | | 95.7% | 62.5% |
| Ritchie Bros Auctioneers Inc ($RBA) | 87.9% | 88.7% | 88.4% | 88.0% | 89.1% |
| Concordia Healthcare Corp ($CXR) | | | 79.4% | 86.0% | |
| |
|---|
| Median (75 companies) | 35.5% | 37.4% | 36.1% | 35.6% | 36.1% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cipher Pharmaceuticals Inc ($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) | 7.5% | 7.4% | 8.7% | 10.6% | 10.6% |
|---|
| Medical Facilities Corp ($DR) | 43.8% | 41.2% | 37.8% | 31.2% | 32.1% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Neptune Technologies & Bioressources Inc ($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) | 2.4% | 2.6% | 2.4% | 2.5% | 2.3% |
|---|
| Medical Facilities Corp ($DR) | 1.4% | 4.4% | 4.3% | 2.8% | 2.4% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Biosyent Inc ($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) | 7.0% | 6.3% | 6.7% | 6.7% | 6.7% |
|---|
| Medical Facilities Corp ($DR) | 41.0% | 36.1% | 39.5% | 26.5% | 28.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Noble Iron Inc ($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 | 1.6x |
|---|
| Medical Facilities Corp ($DR) | 0.7x | 0.1x | 0.4x | 0.4x | 0.1x |
