CL Group Holdings Ltd reports 8.5% Net Income decline while 6.6% Revenue growth
24/06/2015 • About CL Group Holdings Ltd (
$8098) • By InTwits
CL Group Holdings Ltd reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- CL Group Holdings Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.3%. At the same time it's in pair with industry average of 4.9%.
- CAPEX is quite volatile: 2.1 in FY2015, 0.096 in FY2014, 0.077 in FY2013, 1.1 in FY2012, 0.51 in FY2011
- The company has business model with average profitability: ROIC is at 12.0%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
CL Group Holdings Ltd ($8098) key annual financial indicators
| mln. HKD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 92.503 | 51.482 | 52.607 | 55.854 | 59.518 | 6.6% |
| EBITDA | 44.932 | 28.794 | 28.959 | 30.901 | 29.721 | -3.8% |
| Net Income | 36.180 | 22.749 | 22.492 | 24.784 | 22.675 | -8.5% |
Balance Sheet
|
|---|
| Cash | 156.247 | 48.023 | 48.563 | 36.682 | 32.192 | -12.2% |
| Short Term Debt | 0.000 | 0.000 | 0.000 | 10.000 | 0.000 | -100.0% |
| Long Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
Cash flow
|
|---|
| Capex | 0.513 | 1.061 | 0.077 | 0.096 | 2.102 | 2,095.5% |
Ratios
|
|---|
| Revenue growth | 20.1% | -44.3% | 2.2% | 6.2% | 6.6% | |
| EBITDA growth | -9.1% | -35.9% | 0.6% | 6.7% | -3.8% | |
| EBITDA Margin | 48.6% | 55.9% | 55.0% | 55.3% | 49.9% | -5.4% |
| Net Income Margin | 39.1% | 44.2% | 42.8% | 44.4% | 38.1% | -6.3% |
| CAPEX, % of revenue | 0.6% | 2.1% | 0.1% | 0.2% | 3.5% | 3.4% |
| ROIC | 34.8% | 14.9% | 15.0% | 14.1% | 12.0% | -2.1% |
| ROE | 28.7% | 12.4% | 12.0% | 12.0% | 9.9% | -2.1% |
| Net Debt/EBITDA | -3.5x | -1.7x | -1.7x | -0.9x | -1.1x | -0.2x |
Revenue and profitability
The company's Revenue increased on 6.6% in FY2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin jumped on 38.0 pp from -70.9% to -33.0% in 2015.
Net Income marign decreased on 6.3 pp from 44.4% to 38.1% in FY2015.
Capital expenditures (CAPEX) and working capital investments
In FY2015 CL Group Holdings Ltd had CAPEX/Revenue of 3.5%. CAPEX/Revenue increased slightly on 1.5 pp from 2.1% in FY2012 to 3.5% in FY2015. It's average level of CAPEX/Revenue for the last three years was 1.3%.
Return on investment
The company operates at low ROIC (11.98%) and ROE (9.94%). ROIC decreased on 2.1 pp from 14.1% to 12.0% in FY2015. ROE decreased on 2.1 pp from 12.0% to 9.9% in FY2015.
Leverage (Debt)
The company paid down all the debt in FY2015. Cash dropped on 12.2% in FY2015.
Appendix 1: Peers in Diversified Finan Serv
Below we provide CL Group Holdings Ltd benchmarking against other companies in Diversified Finan Serv 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 |
|---|
| 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) | 4.7% | 1.2% | 14.7% | 26.5% | 28.0% |
|---|
| CL Group Holdings Ltd ($8098) | | -44.3% | 2.2% | 6.2% | 6.6% |
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% | 96.9% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Styland Holdings Ltd ($211) | 68.6% | 198.6% | 91.5% | 161.0% | 17.9% |
| 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% | 83.9% |
| |
|---|
| Median (63 companies) | 29.5% | 14.0% | 35.5% | 43.6% | 50.6% |
|---|
| CL Group Holdings Ltd ($8098) | 48.6% | 55.9% | 55.0% | 55.3% | 49.9% |
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) | 2.3% | 1.8% | 1.8% | 1.1% | 0.7% |
|---|
| CL Group Holdings Ltd ($8098) | 0.6% | 2.1% | 0.1% | 0.2% | 3.5% |
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) | 4.6% | 3.4% | 4.0% | 4.7% | 4.8% |
|---|
| CL Group Holdings Ltd ($8098) | 34.8% | 14.9% | 15.0% | 14.1% | 12.0% |
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 | 39.3x |
| 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) | -1.0x | -0.7x | 0.3x | 0.1x | 2.4x |
|---|
| CL Group Holdings Ltd ($8098) | -3.5x | -1.7x | -1.7x | -0.9x | -1.1x |
