Cipher Pharmaceuticals Inc reports 2,237% Net Income decline
02.03.2017 • About Cipher Pharmaceuticals Inc (
$CPH) • By InTwits
Cipher Pharmaceuticals Inc reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts: EBITDA Margin is declining: in FY2016 vs. 12.8% in FY2015 vs. 40.6% in FY2012.
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Cipher Pharmaceuticals Inc ($CPH) key annual financial indicators
| mln. $ | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 8.464 | 26.230 | 26.469 | 26.944 | 30.818 | 14.4% |
| Gross Profit | | 26.092 | 26.008 | 24.967 | | -100.0% |
| SG&A | 3.529 | 6.034 | 8.144 | 19.893 | | -100.0% |
| EBITDA | 3.436 | 18.725 | 16.871 | 3.443 | | -100.0% |
| Net Income | 2.546 | 24.245 | 17.004 | 1.385 | -29.598 | -2,236.7% |
Balance Sheet
|
|---|
| Cash | 15.924 | 22.750 | 39.060 | 19.657 | | -100.0% |
| Short Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | | |
| Long Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | | |
Cash flow
|
|---|
| Capex | 0.020 | 0.015 | 0.014 | 0.134 | | -100.0% |
Ratios
|
|---|
| Revenue growth | 134.5% | 209.9% | 0.9% | 1.8% | 14.4% | |
| EBITDA growth | -290.3% | 444.9% | -9.9% | -79.6% | | |
| Gross Margin | | 99.5% | 98.3% | 92.7% | | -92.7% |
| EBITDA Margin | 40.6% | 71.4% | 63.7% | 12.8% | 0.0% | -12.8% |
| Net Income Margin | 30.1% | 92.4% | 64.2% | 5.1% | -96.0% | -101.2% |
| SG&A, % of revenue | 41.7% | 23.0% | 30.8% | 73.8% | | -73.8% |
| CAPEX, % of revenue | 0.2% | 0.1% | 0.1% | 0.5% | | -0.5% |
| ROIC | 21.8% | 81.4% | 44.6% | -0.1% | | 0.1% |
| ROE | 23.2% | 97.6% | 40.4% | 3.3% | | -3.3% |
| Net Debt/EBITDA | -4.6x | -1.2x | -2.3x | -5.7x | | 5.7x |
Cipher Pharmaceuticals Inc ($CPH) key quoterly financial indicators
| mln. $ | FY16Q1 | FY16Q2 | FY16Q3 | FY16Q4 | YoY change |
|---|
P&L
|
|---|
| Revenue | 9 | 12 | 9 | 11 | 22.9% | 32.4% | 9.5% | 34.7% |
| EBITDA | 0 | 2 | -19 | 14 | -89.9% | 27.9% | | |
| Net Income | -3 | -3 | -22 | -11 | -207.6% | | | -886.6% |
Balance Sheet
|
|---|
| Cash | 29 | 31 | 31 | 34 | -38.8% | 3.8% | 9.1% | 26.9% |
| Short Term Debt | 0 | 0 | 0 | 0 | | | | |
| Long Term Debt | 0 | 0 | 0 | 0 | | | | |
Ratios
|
|---|
| Gross Margin | 89.3% | 90.9% | 91.3% | 83.6% | -8.1% | 1.5% | 1.3% | -9.9% |
| EBITDA Margin | 4.0% | 16.5% | -207.3% | 130.3% | -44.4% | -0.6% | -197.6% | 139.2% |
| Net Income Margin | -29.6% | -28.8% | -235.1% | -105.7% | -63.4% | -22.5% | -208.9% | -123.9% |
Revenue and profitability
The company's Revenue jumped on 14.4%. Revenue growth showed acceleration in FY16Q4 - it increased 34.7% YoY.
Net Income marign dropped on 101 pp from 5.1% to -96.0% in FY2016.
Appendix 1: Peers in Consumer, Non-cyclical
Below you can find Cipher Pharmaceuticals Inc 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 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Concordia Healthcare Corp ($CXR) | | | 159.5% | 275.7% | 107.0% |
| Heritage Global Inc ($HGP) | | -37.0% | 76.2% | 11.2% | 80.8% |
| EnerCare Inc ($ECI) | | 8.6% | 21.1% | 55.7% | 76.6% |
| CRH Medical Corp ($CRH) | | 12.5% | 56.0% | 284.2% | 70.2% |
| Nuvo Research Inc ($NRI) | | -25.3% | -29.1% | 57.0% | 31.9% |
| |
|---|
| Median (40 companies) | | 8.5% | 13.9% | 15.6% | 12.6% |
|---|
| Cipher Pharmaceuticals Inc ($CPH) | | 209.9% | 0.9% | 1.8% | 14.4% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Ritchie Bros Auctioneers Inc ($RBA) | 88.7% | 88.4% | 88.0% | 89.1% | 88.3% |
| Information Services Corp ($ISV) | 77.5% | 80.4% | 80.9% | 87.6% | 85.1% |
| Biosyent Inc ($RX) | 79.3% | 79.2% | 78.1% | 78.7% | |
| Concordia Healthcare Corp ($CXR) | | 79.4% | 86.0% | 76.1% | 72.9% |
| Valeant Pharmaceuticals International Inc ($VRX) | 72.1% | 67.0% | 72.8% | 75.3% | 73.0% |
| |
|---|
| Median (34 companies) | 32.5% | 35.0% | 35.6% | 33.4% | 31.1% |
|---|
| Cipher Pharmaceuticals Inc ($CPH) | | 99.5% | 98.3% | 92.7% | |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| CRH Medical Corp ($CRH) | 21.0% | 24.5% | 29.1% | 44.1% | |
| Valeant Pharmaceuticals International Inc ($VRX) | 30.6% | 27.8% | 45.6% | 39.8% | 23.8% |
| Concordia Healthcare Corp ($CXR) | | 43.7% | 37.0% | 39.8% | -92.8% |
| Ritchie Bros Auctioneers Inc ($RBA) | 36.8% | 36.3% | 36.4% | 39.7% | 31.4% |
| EnerCare Inc ($ECI) | 52.8% | 51.0% | 45.5% | 39.3% | 26.6% |
| |
|---|
| Median (43 companies) | 9.1% | 12.0% | 12.7% | 11.0% | 10.1% |
|---|
| Cipher Pharmaceuticals Inc ($CPH) | 40.6% | 71.4% | 63.7% | 12.8% | |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| ProMetic Life Sciences Inc ($PLI) | 2.1% | 33.6% | 34.6% | 23.3% | |
| EnerCare Inc ($ECI) | 25.7% | 26.5% | 23.6% | 20.7% | 15.5% |
| Black Diamond Group Ltd ($BDI) | 61.9% | 27.5% | 31.0% | 17.6% | |
| easyhome Ltd ($EH) | 32.2% | 25.6% | 21.6% | 16.9% | 12.7% |
| K-Bro Linen Inc ($KBL) | 10.0% | 19.0% | 11.4% | 16.6% | |
| |
|---|
| Median (42 companies) | 3.1% | 2.8% | 2.4% | 2.4% | 2.1% |
|---|
| Cipher Pharmaceuticals Inc ($CPH) | 0.2% | 0.1% | 0.1% | 0.5% | |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Information Services Corp ($ISV) | 71.8% | 72.8% | 58.9% | 38.1% | 27.6% |
| Colliers International Group Inc ($CIG) | 10.5% | 11.2% | 15.2% | 10.9% | 26.1% |
| Nuvo Research Inc ($NRI) | -11.6% | -17.4% | -37.9% | 12.9% | 20.8% |
| International Road Dynamics Inc ($IRD) | 0.9% | 6.7% | 4.4% | 10.6% | 16.5% |
| Premium Brands Holdings Corp ($PBH) | 10.3% | 9.9% | 6.9% | 12.6% | 15.3% |
| |
|---|
| Median (43 companies) | 8.6% | 7.5% | 8.4% | 7.5% | 8.0% |
|---|
| Cipher Pharmaceuticals Inc ($CPH) | 21.8% | 81.4% | 44.6% | -0.1% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Concordia Healthcare Corp ($CXR) | | -1.3x | 5.6x | 20.2x | |
| SunOpta Inc ($SOY) | 2.9x | 3.5x | 1.3x | 16.9x | 140.8x |
| Centric Health Corp ($CHH) | 5.6x | 10.2x | 11.2x | 15.6x | |
| Sienna Senior Living Inc ($SIA) | 9.5x | 11.8x | 9.2x | 9.1x | 9.1x |
| Valeant Pharmaceuticals International Inc ($VRX) | 9.5x | 10.4x | 4.0x | 7.3x | 12.7x |
| |
|---|
| Median (37 companies) | 2.9x | 2.3x | 3.5x | 2.8x | 2.8x |
|---|
| Cipher Pharmaceuticals Inc ($CPH) | -4.6x | -1.2x | -2.3x | -5.7x | |
