Graphene 3D Lab Inc revenue decreased slightly on 1.3% and EBITDA Margin dropped on 35.2 pp from -52.5% to -87.7%
28.09.2020 • About Graphene 3D Lab Inc (
$GGG) • By InTwits
Graphene 3D Lab Inc reported FY2020 financial results today. Overall the company's long term financial model is characterised by the following facts:
- The company operates at negative EBITDA Margin: -87.7%
- Graphene 3D Lab Inc spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for FY2016-FY2020 is 0.0%. Average EBITDA Margin for the same period was -113.3%
- Graphene 3D Lab Inc has low CAPEX intensity: 5 year average CAPEX/Revenue was 3.7%. At the same time it's a lot of higher than industry average of 1.5%.
- CAPEX is quite volatile: 0 CADm in FY2020, 0 CADm in FY2019, 0 CADm in FY2018, 0 CADm in FY2017, 0 CADm in FY2016
- The company has unprofitable business model: ROIC is -118.9%
- It operates with medium-size leverage: Net Debt/EBITDA is 0.9x while industry average is 1.0x
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue decreased slightly on 1.3%. Annual revenue decline showed slowdown in FY20Q4 - revenue surged on 105%. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin surged on 80.7 pp from -265% to -184% in FY2020.
Gross Margin dropped on 40.7 pp from 62.6% to 21.9% in FY2020. During FY2016-FY2020 Gross Margin topped in FY2018 at 67.9% and was declining since that time. SG&A as a % of Revenue decreased slightly on 1.9 pp from 32.1% to 30.2% in FY2020. During FY2016-FY2020 SG&A as a % of Revenue topped in FY2018 at 40.0% and was declining since that time.
Net Income margin dropped on 46.6 pp from -63.3% to -110% in FY2020.
Return on investment
The company operates at negative ROIC (-118.9%) and ROE (-129.9%). ROIC dropped on 60.1 pp from -58.8% to -119% in FY2020. ROE dropped on 72.0 pp from -57.9% to -130% in FY2020. During FY2016-FY2020 ROIC topped in FY2019 at -58.8%. During the last 5 years ROE topped in FY2019 at -57.9%.
Leverage (Debt)
Debt level is 0.9x Net Debt / EBITDA and Debt / EBITDA. Debt jumped while cash surged on 472%.
Graphene 3D Lab Inc has no short term refinancing risk: cash is higher than short term debt (404.5%).
Financial and operational results
FY ended 31.05.2020
Graphene 3D Lab Inc ($GGG) key annual financial indicators| mln. CAD | 2016 | 2017 | 2018 | 2019 | 2020 | 2020/2019 |
|---|
P&L
|
|---|
| Revenue | 1.022 | 1.468 | 1.157 | 1.253 | 1.236 | -1.3% |
| Gross Profit | 0.239 | 0.639 | 0.786 | 0.784 | 0.271 | -65.4% |
| SG&A | 0.297 | 0.491 | 0.463 | 0.402 | 0.373 | -7.2% |
| EBITDA | -2.801 | -1.184 | -1.228 | -0.657 | -1.084 | |
| Net Income | -2.918 | -1.347 | -1.353 | -0.793 | -1.359 | |
Balance Sheet
|
|---|
| Cash | 0.172 | 0.053 | 0.553 | 0.135 | 0.776 | 472.5% |
| Short Term Debt | 0.049 | 0.058 | 0.000 | 0.000 | 0.192 | |
| Long Term Debt | 0.129 | 0.078 | 0.000 | 0.000 | 0.000 | |
Cash flow
|
|---|
| Capex | 0.084 | 0.012 | 0.090 | 0.022 | 0.000 | -100.0% |
Ratios
|
|---|
| Revenue growth | 2,046.3% | 43.6% | -21.2% | 8.3% | -1.3% | |
| EBITDA growth | -42.5% | -57.7% | 3.7% | -46.5% | 64.9% | |
|
|---|
| Gross Margin | 23.4% | 43.5% | 67.9% | 62.6% | 21.9% | -40.7% |
| EBITDA Margin | -273.9% | -80.7% | -106.2% | -52.5% | -87.7% | -35.2% |
| SG&A, % of revenue | 29.0% | 33.4% | 40.0% | 32.1% | 30.2% | -1.9% |
| Net Income Margin | -285.4% | -91.8% | -117.0% | -63.3% | -109.9% | -46.6% |
| CAPEX, % of revenue | 8.3% | 0.8% | 7.8% | 1.8% | 0.0% | |
|
|---|
| ROIC | -211.0% | -104.3% | -102.2% | -58.8% | -118.9% | -60.1% |
| ROE | -240.3% | -130.4% | -111.9% | -57.9% | -129.9% | -72.0% |
Graphene 3D Lab Inc ($GGG) key quoterly financial indicators
| mln. CAD | FY20Q1 | FY20Q2 | FY20Q3 | FY20Q4 | | YoY change |
|---|
P&L
|
|---|
| Revenue | 0 | 0 | 0 | 1 | | -5.7% | -32.3% | -45.3% | 105.5% |
| EBITDA | -0 | -0 | -0 | -0 | | - | - | - | - |
| Net Income | -0 | -0 | -0 | -0 | | - | - | - | - |
Balance Sheet
|
|---|
| Cash | 0 | 0 | 0 | 1 | | -74.0% | -54.6% | -62.6% | 472.5% |
| Short Term Debt | 0 | 0 | 0 | 0 | | - | - | - | - |
| Long Term Debt | 0 | 0 | 0 | 0 | | - | - | - | - |
Ratios
|
|---|
| Gross Margin | 37.5% | 15.0% | 38.2% | 10.2% | | -16.3% | 4.4% | -39.1% | - |
| EBITDA Margin | -63.2% | -206.3% | -81.5% | -58.0% | | 10.3% | -92.4% | -76.7% | -23.2% |
| Net Income Margin | -92.1% | -228.1% | -134.8% | -64.4% | | -3.9% | -98.3% | -118.8% | -28.8% |
Peers in Basic Materials
Below you can find Graphene 3D Lab Inc benchmarking vs. other companies in Basic Materials industry. It's shown for the period of 5 years for the key financial metrics. Each table has median value for all the companies in the industry together with individual financial data of the top-5 companies in the industry by particular financial metric.
Top companies by Revenue growth, %
| Top 5 | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Archon Minerals Ltd ($ACS) | - | - | - | -13.3% | 127.6% |
| Monument Mining Ltd ($MMY) | - | -33.4% | 22.5% | 9.1% | 42.8% |
| Rochester Resources Ltd ($RCT) | - | 0.0% | 16.7% | -19.2% | 13.2% |
| Orbit Garant Drilling Inc ($OGD) | - | 16.4% | 38.3% | -11.7% | -9.8% |
| Monarques Gold Corp ($MQR) | - | - | - | 5.1% | -78.9% |
| |
|---|
| Median (5 companies) | 6.2% | -16.7% | 19.6% | -12.5% | 13.2% |
|---|
| Graphene 3D Lab Inc ($GGG) | - | 43.6% | -21.2% | 8.3% | -1.3% |
Top companies by Gross margin, %
| Top | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Monarques Gold Corp ($MQR) | - | - | 4.8% | 13.7% | 61.8% |
| Monument Mining Ltd ($MMY) | 23.4% | 23.7% | 42.3% | 43.9% | 43.2% |
| Orbit Garant Drilling Inc ($OGD) | 9.5% | 6.4% | 12.4% | 10.7% | 9.4% |
| Rochester Resources Ltd ($RCT) | -43.8% | 2.3% | 15.9% | -18.2% | 1.4% |
| |
|---|
| Median (4 companies) | 23.4% | 6.4% | 14.1% | 12.2% | 26.3% |
|---|
| Graphene 3D Lab Inc ($GGG) | 23.4% | 43.5% | 67.9% | 62.6% | 21.9% |
Top companies by EBITDA margin, %
| Top 5 | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Archon Minerals Ltd ($ACS) | - | - | -28.3% | -12.1% | 63.2% |
| Monument Mining Ltd ($MMY) | 26.6% | -10.7% | 17.9% | 33.8% | 33.6% |
| Orbit Garant Drilling Inc ($OGD) | 10.3% | 2.2% | 8.5% | 5.9% | 6.4% |
| Rochester Resources Ltd ($RCT) | -148.8% | -13.5% | -32.9% | -31.9% | -10.3% |
| Monarques Gold Corp ($MQR) | - | - | - | -3.3% | -49.0% |
| |
|---|
| Median (5 companies) | 22.6% | -12.1% | -28.3% | -7.7% | 6.4% |
|---|
| Graphene 3D Lab Inc ($GGG) | -273.9% | -80.7% | -106.2% | -52.5% | -87.7% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Monarques Gold Corp ($MQR) | - | - | 20.8% | 29.9% | 43.9% |
| Monument Mining Ltd ($MMY) | 43.3% | 46.0% | 35.1% | 37.2% | 18.3% |
| Orbit Garant Drilling Inc ($OGD) | 6.1% | 6.2% | 5.0% | 5.4% | 7.6% |
| Rochester Resources Ltd ($RCT) | 5.0% | 4.3% | 2.8% | 3.8% | 2.9% |
| Archon Minerals Ltd ($ACS) | - | - | 0.0% | 0.0% | 0.0% |
| |
|---|
| Median (5 companies) | 17.9% | 26.1% | 12.9% | 17.7% | 7.6% |
|---|
| Graphene 3D Lab Inc ($GGG) | 8.3% | 0.8% | 7.8% | 1.8% | 0.0% |
Top companies by ROIC, %
| Top 5 | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Archon Minerals Ltd ($ACS) | -111.6% | -20.4% | -3.5% | -1.2% | 13.7% |
| Monument Mining Ltd ($MMY) | 1.0% | -2.6% | -0.4% | 1.2% | 2.0% |
| Orbit Garant Drilling Inc ($OGD) | 0.3% | -7.8% | 6.4% | -1.0% | -2.4% |
| Teras Resources Inc ($TRA) | -2.9% | -3.4% | -3.3% | -3.9% | -3.1% |
| Cadillac Ventures Inc ($CDC) | -2.9% | -3.6% | -2.5% | -2.5% | -3.6% |
| |
|---|
| Median (32 companies) | 1.3% | -25.5% | -20.0% | -26.9% | -16.5% |
|---|
| Graphene 3D Lab Inc ($GGG) | -211.0% | -104.3% | -102.2% | -58.8% | -118.9% |
Top companies by Net Debt / EBITDA
| Top | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Archon Minerals Ltd ($ACS) | - | - | - | - | 7.6x |
| Orbit Garant Drilling Inc ($OGD) | 0.6x | 5.7x | 1.0x | 3.0x | 4.1x |
| Monument Mining Ltd ($MMY) | -3.3x | - | -4.4x | -1.3x | -1.0x |
| |
|---|
| Median (3 companies) | 0.6x | 5.7x | -1.7x | 0.8x | 4.1x |
|---|
