Vision Fame International Holding Ltd revenue jumped on 106% in 2015 and EBITDA Margin decreased slightly on 0.51 pp from -5.0% to -5.5%
30/06/2015 • About Vision Fame International Holding Ltd (
$1315) • By InTwits
Vision Fame International Holding Ltd reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Vision Fame International Holding Ltd doesn't have a profitable business model yet: FY2015 ROIC is -37.5%
- The company operates at negative EBITDA Margin: -5.5%
- EBITDA Margin is quite volatile: -5.5% in FY2015, -5.0% in FY2014, 2.7% in FY2013, 4.7% in FY2012, 9.9% in FY2011
- Vision Fame International Holding Ltd motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for FY2011-FY2015 was 0.0%. On average EBITDA Margin was -0.2% for the sames years0
- Vision Fame International Holding Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.3%. At the same time it's a lot of higher than industry average of 4.7%.
- CAPEX is quite volatile: 31.8 in FY2015, 8.5 in FY2014, 6.1 in FY2013, 4.1 in FY2012, 19.7 in FY2011
- The company has unprofitable business model: ROIC is at -37.5%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Vision Fame International Holding Ltd ($1315) key annual financial indicators
| mln. | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 735 | 662 | 965 | 864 | 1,776 | 105.6% |
| Gross Profit | 110 | 89 | 71 | 22 | -23 | -203.5% |
| SG&A | | | | | 88 | |
| EBITDA | 73 | 31 | 26 | -43 | -98 | 126.4% |
| Net Income | 55 | 33 | 26 | -48 | -117 | 142.7% |
Balance Sheet
|
|---|
| Cash | 65 | 66 | 50 | 267 | 189 | -29.4% |
| Short Term Debt | 79 | 67 | 49 | 3 | 33 | 874.5% |
| Long Term Debt | 0 | 0 | 0 | 178 | 174 | -2.0% |
Cash flow
|
|---|
| Capex | 20 | 4 | 6 | 9 | 32 | 273.7% |
Ratios
|
|---|
| Revenue growth | 15.4% | -9.9% | 45.9% | -10.5% | 105.6% | |
| EBITDA growth | 45.5% | -57.6% | -15.8% | -266.4% | 126.4% | |
| Gross Margin | 15.0% | 13.5% | 7.4% | 2.5% | -1.3% | -3.8% |
| EBITDA Margin | 9.9% | 4.7% | 2.7% | -5.0% | -5.5% | -0.5% |
| Net Income Margin | 7.5% | 5.0% | 2.7% | -5.6% | -6.6% | -1.0% |
| SG&A, % of revenue | | | | | 4.9% | 4.9% |
| CAPEX, % of revenue | 2.7% | 0.6% | 0.6% | 1.0% | 1.8% | 0.8% |
| ROIC | 38.0% | 13.6% | 9.3% | -16.9% | -37.5% | -20.6% |
| ROE | 50.2% | 24.9% | 13.8% | -28.2% | -137.3% | -109.2% |
| Net Debt/EBITDA | 0.2x | 0.0x | -0.1x | | | 0.0x |
Revenue and profitability
The company's Revenue surged on 106% in FY2015. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin decreased on 3.1 pp from 5.2% to 2.1% in FY2015.
Gross Margin decreased on 3.8 pp from 2.5% to -1.3% in FY2015.
Net Income marign decreased slightly on 1.0 pp from -5.6% to -6.6% in FY2015.
Capital expenditures (CAPEX) and working capital investments
In FY2015 Vision Fame International Holding Ltd had CAPEX/Revenue of 1.8%. The company showed small growth in CAPEX/Revenue of 1.2 pp from 0.62% in FY2012 to 1.8% in FY2015. It's average CAPEX/Revenue for the last three years was 1.1%.
Return on investment
The company operates at negative ROIC (-37.54%) and ROE (-137.34%). ROIC dropped on 20.6 pp from -16.9% to -37.5% in FY2015. ROE dropped on 109 pp from -28.2% to -137% in FY2015.
Leverage (Debt)
Debt level is 3.5x Net Debt / EBITDA and Debt / EBITDA. Net Debt / EBITDA didn't change in FY2015. Debt surged on 14.4% in FY2015 while cash dropped on 29.4% in FY2015.
Appendix 1: Peers in Engineering&Construction
Below you can find Vision Fame International Holding Ltd benchmarking vs. other companies in Engineering&Construction 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 |
|---|
| Richly Field China Development Ltd ($313) | | | -45.0% | 464.2% | -65.7% |
| Junefield Department Store Group Ltd ($758) | 22.9% | -20.3% | -24.9% | 126.6% | |
| CNQC International Holdings Ltd ($1240) | 401.9% | 21.6% | 91.0% | 103.7% | |
| Wison Engineering Services Co Ltd ($2236) | 1.2% | -2.9% | -24.9% | 90.3% | |
| China Resources and Transportation Group Ltd ($269) | | 939.8% | 3,196.3% | 87.9% | -41.6% |
| |
|---|
| Median (40 companies) | 14.0% | 11.5% | 21.0% | 14.0% | 14.6% |
|---|
| Vision Fame International Holding Ltd ($1315) | | -9.9% | 45.9% | -10.5% | 105.6% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Huayu Expressway Group Ltd ($1823) | 2.2% | 43.6% | 65.6% | 64.0% | |
| HNA Infrastructure Company Ltd ($357) | 61.6% | 66.4% | 62.1% | 62.4% | |
| Freetech Road Recycling Technology Holdings Ltd ($6888) | 50.1% | 54.1% | 54.3% | 41.5% | |
| Grand Ming Group Holdings Ltd ($1271) | 20.4% | 11.0% | 18.1% | 35.7% | 19.7% |
| China Saite Group Co Ltd ($153) | 29.4% | 32.1% | 33.7% | 29.8% | |
| |
|---|
| Median (35 companies) | 11.0% | 11.0% | 12.1% | 12.9% | 12.6% |
|---|
| Vision Fame International Holding Ltd ($1315) | 15.0% | 13.5% | 7.4% | 2.5% | -1.3% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Huayu Expressway Group Ltd ($1823) | -0.5% | 46.2% | 73.8% | 77.1% | |
| HNA Infrastructure Company Ltd ($357) | 60.0% | 62.8% | 63.7% | 62.8% | |
| Beijing Capital International Airport Co Ltd ($694) | 55.1% | 53.4% | 52.9% | 50.3% | |
| Cheung Kong Infrastructure Holdings Ltd ($1038) | 39.8% | 31.2% | 20.6% | 36.2% | |
| Grand Ming Group Holdings Ltd ($1271) | 17.5% | 10.0% | 15.8% | 31.0% | 19.0% |
| |
|---|
| Median (41 companies) | 7.5% | 9.2% | 7.8% | 6.8% | 4.7% |
|---|
| Vision Fame International Holding Ltd ($1315) | 9.9% | 4.7% | 2.7% | -5.0% | -5.5% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| HNA Infrastructure Company Ltd ($357) | 43.3% | 36.8% | 5.7% | 85.4% | |
| PYI Corp Ltd ($498) | 6.6% | 3.7% | 4.2% | 24.5% | 13.1% |
| Shun Cheong Holdings ($650) | 7.2% | 16.4% | 8.0% | 23.9% | |
| Freetech Road Recycling Technology Holdings Ltd ($6888) | 6.1% | 4.2% | 7.7% | 20.2% | |
| KFM Kingdom Holdings Ltd ($3816) | 6.5% | 4.6% | 11.5% | 14.9% | 9.6% |
| |
|---|
| Median (41 companies) | 4.7% | 2.5% | 3.5% | 2.6% | 2.0% |
|---|
| Vision Fame International Holding Ltd ($1315) | 2.7% | 0.6% | 0.6% | 1.0% | 1.8% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Chun Sing Engineering Holdings Ltd ($2277) | | | 98.3% | 54.9% | 43.7% |
| Ngai Shun Holdings Ltd ($1246) | | 68.8% | 77.2% | 45.2% | 31.0% |
| CNQC International Holdings Ltd ($1240) | 23.1% | 12.2% | 22.3% | 40.4% | |
| China Saite Group Co Ltd ($153) | 46.3% | 64.0% | 53.2% | 35.3% | |
| Excel Development Holdings Ltd ($1372) | | 33.1% | 27.2% | 16.4% | 8.6% |
| |
|---|
| Median (42 companies) | 6.9% | 5.5% | 5.1% | 4.1% | 2.6% |
|---|
| Vision Fame International Holding Ltd ($1315) | 38.0% | 13.6% | 9.3% | -16.9% | -37.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Resources and Transportation Group Ltd ($269) | | | | 66.7x | 29.7x |
| CNC Holdings Ltd ($8356) | -0.7x | | 22.0x | 21.9x | 24.3x |
| Deson Development International Holdings ($262) | 3.1x | 3.8x | 4.9x | 13.7x | 47.0x |
| Chun Wo Development Holdings Ltd ($711) | | 14.3x | 8.1x | 12.6x | 15.9x |
| Hsin Chong Construction Group Ltd ($404) | 4.3x | 1.8x | 8.0x | 10.2x | |
| |
|---|
| Median (35 companies) | 0.8x | 1.8x | 2.5x | 2.6x | 3.4x |
|---|
