Goldbond Group Holdings Ltd reports 98.0% EBITDA growth and 4.5% Revenue growth
17/06/2015 • About Goldbond Group Holdings Ltd (
$172) • By InTwits
Goldbond Group Holdings Ltd reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Goldbond Group Holdings Ltd doesn't have a profitable business model yet: FY2015 ROIC is 1.2%
- EBITDA Margin is quite volatile: 44.2% in FY2015, 23.3% in FY2014, 40.3% in FY2013, 66.4% in FY2012, 39.1% in FY2011
- Goldbond Group Holdings Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 5.0%. At the same time it's a lot of higher than industry average of 19.7%.
- CAPEX is quite volatile: 2.8 in FY2015, 2.3 in FY2014, 1.3 in FY2013, 9.5 in FY2012, 3.4 in FY2011
- The company has potentially unprofitable business model: ROIC is at 1.2%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Goldbond Group Holdings Ltd ($172) key annual financial indicators
| mln. HKD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 48.6 | 124.8 | 50.5 | 64.3 | 67.3 | 4.5% |
| EBITDA | 19.0 | 82.9 | 20.3 | 15.0 | 29.7 | 98.0% |
| Net Income | 64.7 | 500.8 | 119.9 | 135.7 | 118.2 | -12.9% |
Balance Sheet
|
|---|
| Cash | 321.2 | 524.3 | 340.0 | 411.9 | 80.5 | -80.5% |
| Short Term Debt | 248.0 | 372.7 | 457.6 | 0.0 | 32.3 | |
| Long Term Debt | 257.0 | 426.4 | 566.4 | 3.7 | 4.2 | 15.0% |
Cash flow
|
|---|
| Capex | 3.4 | 9.5 | 1.3 | 2.3 | 2.8 | 21.1% |
Ratios
|
|---|
| Revenue growth | -84.1% | 157.1% | -59.5% | 27.4% | 4.5% | |
| EBITDA growth | -89.1% | 336.5% | -75.5% | -26.3% | 98.0% | |
| EBITDA Margin | 39.1% | 66.4% | 40.3% | 23.3% | 44.2% | 20.8% |
| Net Income Margin | 133.2% | 401.2% | 237.3% | 210.8% | 175.7% | -35.1% |
| CAPEX, % of revenue | 6.9% | 7.6% | 2.6% | 3.6% | 4.1% | 0.6% |
| ROIC | 0.7% | 3.1% | 0.6% | 0.5% | 1.2% | 0.7% |
| ROE | 4.6% | 29.0% | 5.8% | 6.2% | 5.2% | -1.1% |
| Net Debt/EBITDA | 9.7x | 3.3x | 33.6x | -27.2x | -1.5x | 25.7x |
Revenue and profitability
The company's Revenue increased on 4.5% in FY2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin surged on 16.1 pp from -107% to -90.4% in 2015.
Net Income marign dropped on 35.1 pp from 211% to 176% in FY2015.
Capital expenditures (CAPEX) and working capital investments
In FY2015 Goldbond Group Holdings Ltd had CAPEX/Revenue of 4.1%. Goldbond Group Holdings Ltd showed decline in CAPEX/Revenue of 3.4 pp from 7.6% in FY2012 to 4.1% in FY2015. Average CAPEX/Revenue for the last three years was 3.5%.
Return on investment
The company operates at low ROIC (1.23%) and ROE (5.16%). ROIC increased slightly on 0.73 pp from 0.50% to 1.2% in FY2015. ROE decreased slightly on 1.1 pp from 6.2% to 5.2% in FY2015.
Leverage (Debt)
Company's Net Debt / EBITDA is -1.5x and Debt / EBITDA is 1.2x. Net Debt / EBITDA jumped on 25.7x from -27.2x to -1.5x in FY2015. Debt jumped on 899% in FY2015 while cash dropped on 80.5% in FY2015.
Appendix 1: Peers in Diversified Finan Serv
Below you can find Goldbond Group Holdings Ltd benchmarking vs. other companies in Diversified Finan Serv 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 |
|---|
| China New Energy Power Group Ltd ($1041) | | 100.0% | 0.0% | 64,246.0% | |
| ReOrient Group Ltd ($376) | 63.3% | 112.8% | 75.1% | 1,106.9% | |
| Global Strategic Group Ltd ($8007) | 2.2% | -3.9% | 2.1% | 806.3% | |
| AID Partners Capital Holdings Ltd ($8088) | -38.7% | 0.9% | -79.5% | 655.2% | |
| Willie International Holdings Ltd ($273) | | | | 543.9% | |
| |
|---|
| Median (62 companies) | 6.3% | 0.9% | 14.7% | 24.9% | 31.3% |
|---|
| Goldbond Group Holdings Ltd ($172) | | 157.1% | -59.5% | 27.4% | 4.5% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Roma Group Ltd ($8072) | | | | 99.4% | 98.7% |
| Freeman Financial Corp Ltd ($279) | 97.1% | 52.3% | 99.3% | 98.5% | |
| Chinese Strategic Holdings Ltd ($8089) | 97.9% | 99.1% | 97.9% | 97.0% | |
| First China Financial Network Holdings Ltd ($8123) | 98.6% | 93.4% | | 94.5% | |
| Allied Group Ltd ($373) | 94.5% | 95.1% | 94.4% | 93.6% | |
| |
|---|
| Median (13 companies) | 80.8% | 64.2% | 75.1% | 88.2% | 98.7% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Styland Holdings Ltd ($211) | 68.6% | 198.6% | 91.5% | 161.0% | |
| Roma Group Ltd ($8072) | 81.4% | 18.1% | 36.8% | 143.0% | 44.7% |
| First China Financial Network Holdings Ltd ($8123) | -231.6% | -329.2% | -211.2% | 124.3% | |
| Willie International Holdings Ltd ($273) | | | 75.3% | 95.2% | |
| Get Nice Holdings Ltd ($64) | 28.4% | 2.6% | 153.4% | 92.7% | |
| |
|---|
| Median (63 companies) | 29.5% | 14.0% | 35.5% | 47.2% | 56.9% |
|---|
| Goldbond Group Holdings Ltd ($172) | 39.1% | 66.4% | 40.3% | 23.3% | 44.2% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Gemini Investments Holdings Ltd ($174) | 14.9% | 479.1% | 37.3% | 216.0% | |
| China Assurance Finance Group Ltd ($8090) | | 94.7% | 68.9% | 53.3% | |
| Chinese Strategic Holdings Ltd ($8089) | 93.2% | 376.0% | 5.7% | 32.6% | |
| AID Partners Capital Holdings Ltd ($8088) | 196.3% | 4.1% | 2.9% | 28.4% | |
| Asian Capital Holdings Ltd ($8295) | 2.3% | 0.1% | 0.2% | 15.6% | |
| |
|---|
| Median (63 companies) | 2.2% | 1.8% | 1.7% | 1.1% | 0.2% |
|---|
| Goldbond Group Holdings Ltd ($172) | 6.9% | 7.6% | 2.6% | 3.6% | 4.1% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| ReOrient Group Ltd ($376) | -24.9% | -45.6% | -53.5% | 128.6% | |
| Roma Group Ltd ($8072) | | 19.6% | 43.7% | 107.8% | 13.3% |
| Convoy Financial Holdings Ltd ($1019) | 31.1% | 3.4% | 39.3% | 47.3% | |
| Willie International Holdings Ltd ($273) | -28.1% | -9.5% | 4.7% | 30.9% | |
| Value Partners Group Ltd ($806) | 8.7% | 16.8% | 16.5% | 26.8% | |
| |
|---|
| Median (65 companies) | 4.9% | 3.9% | 4.0% | 4.8% | 13.3% |
|---|
| Goldbond Group Holdings Ltd ($172) | 0.7% | 3.1% | 0.6% | 0.5% | 1.2% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cash Financial Services Group Ltd ($510) | -1.1x | 7.8x | | 67.5x | |
| Far East Horizon Ltd ($3360) | 17.8x | 16.9x | 21.7x | 20.0x | |
| Bright Smart Securities & Commodities Group Ltd ($1428) | 7.3x | 2.1x | 10.3x | 9.3x | |
| China Cinda Asset Management Co Ltd ($1359) | 2.1x | 5.0x | 7.7x | 8.4x | |
| Aeon Credit Service Asia Co Ltd ($900) | 6.3x | 5.2x | 6.0x | 6.9x | 5.5x |
| |
|---|
| Median (45 companies) | -1.1x | -1.3x | -0.0x | 0.1x | 2.4x |
|---|
| Goldbond Group Holdings Ltd ($172) | 9.7x | 3.3x | 33.6x | -27.2x | -1.5x |
