Strongco Corp revenue decreased on 4.8% in 2015
23.03.2016 • About Strongco Corp (
$SQP) • By InTwits
Strongco Corp reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts: It operates with high leverage: Net Debt/EBITDA is 9.8x while industry average is 2.3x.
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Strongco Corp ($SQP) key annual financial indicators
| mln. CAD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 423.2 | 464.2 | 485.7 | 498.3 | 474.3 | -4.8% |
| Gross Profit | 80.6 | 86.5 | | | | |
| EBITDA | 43.1 | 49.1 | | | | |
| Net Income | 9.9 | 7.6 | 3.0 | 0.9 | -7.4 | -922.2% |
Balance Sheet
|
|---|
| Cash | 0.0 | 1.4 | | | | |
| Short Term Debt | 179.7 | 230.9 | | | | |
| Long Term Debt | 16.8 | 24.8 | | | | |
Cash flow
|
|---|
| Capex | 22.4 | 20.9 | | | | |
Ratios
|
|---|
| Revenue growth | 43.6% | 9.7% | 4.6% | 2.6% | -4.8% | |
| EBITDA growth | 1,012.7% | 14.0% | | | | |
| Gross Margin | 19.0% | 18.6% | | | | 0.0% |
| EBITDA Margin | 10.2% | 10.6% | 0.0% | 0.0% | 0.0% | 0.0% |
| Net Income Margin | 2.3% | 1.6% | 0.6% | 0.2% | -1.6% | -1.7% |
| CAPEX, % of revenue | 5.3% | 4.5% | | | | 0.0% |
| ROIC | 7.6% | 6.4% | | | | 0.0% |
| ROE | 17.9% | 12.5% | | | | 0.0% |
| Net Debt/EBITDA | 4.6x | 5.2x | | | | 0.0x |
Revenue and profitability
The company's Revenue decreased on 4.8% in FY2015.
Net Income marign decreased slightly on 1.7 pp from 0.18% to -1.6% in FY2015.
Appendix 1: Peers in Industrial
Below you can find Strongco Corp benchmarking vs. other companies in Industrial 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 |
|---|
| Electrovaya Inc ($EFL) | | -4.0% | -71.2% | 160.5% | 123.8% |
| Enterprise Group Inc ($E) | 14.5% | 3.5% | 88.3% | 128.5% | |
| Carmanah Technologies Corp ($CMH) | 5.8% | -26.4% | -2.0% | 68.8% | |
| Exco Technologies Ltd ($XTC) | | 19.7% | 0.9% | 50.5% | 35.3% |
| Lumenpulse Inc ($LMP) | | 56.7% | 33.9% | 47.0% | 61.8% |
| |
|---|
| Median (92 companies) | 0.7% | 11.5% | 5.3% | 9.4% | 9.7% |
|---|
| Strongco Corp ($SQP) | | 9.7% | 4.6% | 2.6% | -4.8% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| WSP Global Inc ($WSP) | 81.1% | 81.1% | 83.2% | 81.0% | 74.0% |
| Pure Technologies Ltd ($PUR) | 75.7% | 77.9% | 78.0% | 77.5% | 75.6% |
| Alarmforce Industries Inc ($AF) | 76.4% | 75.0% | 76.5% | 72.2% | 69.2% |
| Epicore BioNetworks Inc ($EBN) | 59.0% | 60.8% | 63.2% | 64.1% | 58.1% |
| FLYHT Aerospace Solutions Ltd ($FLY) | 54.0% | 57.2% | 59.2% | 62.9% | |
| |
|---|
| Median (89 companies) | 23.4% | 23.4% | 23.4% | 22.9% | 24.0% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Canadian National Railway Co ($CNR) | 46.3% | 46.5% | 45.9% | 46.8% | 50.9% |
| Canadian Pacific Railway Ltd ($CP) | 28.1% | 26.1% | 32.4% | 43.7% | 48.9% |
| Vitreous Glass Inc ($VCI) | 29.0% | 31.4% | 32.2% | 37.8% | 39.0% |
| Evertz Technologies Ltd ($ET) | 37.2% | 29.6% | 29.1% | 23.0% | 27.0% |
| Badger Daylighting Ltd ($BAD) | 27.2% | 25.7% | 25.9% | 27.9% | 24.6% |
| |
|---|
| Median (70 companies) | 8.1% | 9.2% | 8.3% | 7.4% | 9.6% |
|---|
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cargojet Inc ($CJT.A) | 6.8% | 7.0% | 6.3% | 54.1% | 41.3% |
| Newalta Corp ($NAL) | 17.2% | 21.7% | 34.5% | 35.1% | 42.0% |
| Enterprise Group Inc ($E) | 3.6% | 17.4% | 27.2% | 32.7% | |
| ENTREC Corp ($ENT) | | 35.0% | 26.7% | 29.5% | 18.0% |
| Horizon North Logistics Inc ($HNL) | 25.1% | 26.5% | 16.3% | 24.1% | 14.7% |
| |
|---|
| Median (93 companies) | 2.4% | 3.0% | 3.6% | 3.1% | 3.9% |
|---|
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Vitreous Glass Inc ($VCI) | 26.1% | 30.5% | 32.3% | 48.3% | 51.0% |
| Photon Control Inc ($PHO) | 10.1% | 21.0% | 44.4% | 38.0% | |
| SNC-Lavalin Group Inc ($SNC) | 14.6% | 10.7% | 4.0% | 35.2% | 11.4% |
| Alarmforce Industries Inc ($AF) | 18.3% | 5.3% | 24.0% | 33.9% | 19.0% |
| Epicore BioNetworks Inc ($EBN) | 24.8% | 28.1% | 16.1% | 32.5% | 26.3% |
| |
|---|
| Median (93 companies) | 9.1% | 10.0% | 8.5% | 8.8% | 11.2% |
|---|
| Strongco Corp ($SQP) | 7.6% | 6.4% | | | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Conifex Timber Inc ($CFF) | | | 2.7x | 6.1x | 35.9x |
| Ag Growth International Inc ($AFN) | 2.4x | 2.9x | -0.1x | 2.1x | 14.1x |
| Cargojet Inc ($CJT.A) | 1.8x | 1.5x | 1.5x | 31.5x | 12.9x |
| Progressive Waste Solutions Ltd ($BIN) | 2.5x | 4.5x | 3.3x | 2.9x | 10.6x |
| Finning International Inc ($FTT) | 1.8x | 2.3x | 1.8x | 1.4x | 9.4x |
| |
|---|
| Median (63 companies) | 1.1x | 1.5x | 1.5x | 1.3x | 1.0x |
|---|
