Crown International Corp Ltd revenue jumped on 802% in 2015 and EBITDA Margin surged on 324 pp from -292% to 32.6%
01/07/2015 • About Crown International Corp Ltd (
$727) • By InTwits
Crown International Corp Ltd reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Crown International Corp Ltd motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for FY2011-FY2015 was 0.0%. On average EBITDA Margin was -24.5% for the sames years0
- Crown International Corp Ltd has high CAPEX intensity: 5 year average CAPEX/Revenue was 81.4%. At the same time it's a lot of higher than industry average of 8.1%.
- CAPEX is quite volatile: 10.3 in FY2015, 1.9 in FY2014, 10.9 in FY2013, 21.0 in FY2012, 15.2 in FY2011
- The company has potentially unprofitable business model: ROIC is at 4.4%
- It operates with high leverage: Net Debt/EBITDA is 9.9x while industry average is 1.1x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Crown International Corp Ltd ($727) key annual financial indicators
| mln. HKD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 9.0 | 29.4 | 7.4 | 16.0 | 144.2 | 802.5% |
| EBITDA | -22.3 | -7.3 | -21.4 | -46.6 | 47.1 | -201.0% |
| Net Income | -66.4 | -52.4 | -70.8 | -45.3 | 155.1 | -442.4% |
Balance Sheet
|
|---|
| Cash | 96.4 | 125.1 | 90.8 | 41.3 | 34.6 | -16.1% |
| Short Term Debt | 435.8 | 467.3 | 448.4 | 407.4 | 500.8 | 22.9% |
| Long Term Debt | 6.2 | 0.0 | 0.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 15.2 | 21.0 | 10.9 | 1.9 | 10.3 | 431.4% |
Ratios
|
|---|
| Revenue growth | -37.7% | 225.8% | -75.0% | 117.4% | 802.5% | |
| EBITDA growth | -56.6% | -67.2% | 192.1% | 118.2% | -201.0% | |
| EBITDA Margin | -246.8% | -24.9% | -290.5% | -291.6% | 32.6% | 324.2% |
| Net Income Margin | -736.2% | -178.4% | -963.1% | -283.4% | 107.5% | 390.9% |
| CAPEX, % of revenue | 168.4% | 71.6% | 147.6% | 12.1% | 7.1% | -5.0% |
| ROIC | -14.0% | -11.7% | -14.8% | -22.0% | 4.4% | 26.4% |
| Net Debt/EBITDA | | | | | 9.9x | 9.9x |
Revenue and profitability
The company's Revenue surged on 802% in FY2015. Revenue growth happened at the same time with EBITDA margin expansion. EBITDA Margin surged on 324 pp from -292% to 32.6% in FY2015.
Net Income marign surged on 391 pp from -283% to 108% in FY2015.
Capital expenditures (CAPEX) and working capital investments
In FY2015 Crown International Corp Ltd had CAPEX/Revenue of 7.1%. CAPEX/Revenue dropped on 64.5 pp from 71.6% in FY2012 to 7.1% in FY2015. It's average CAPEX/Revenue for the last three years was 55.6%.
Leverage (Debt)
Debt level is 9.9x Net Debt / EBITDA and 10.6x Debt / EBITDA. Net Debt / EBITDA surged9.9x from to 9.9x in FY2015. Debt jumped on 22.9% in FY2015 while cash dropped on 16.1% in FY2015.
Appendix 1: Peers in Diversified Finan Serv
Below you can find Crown International Corp 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) | 6.9% | 0.9% | 14.7% | 24.9% | 16.4% |
|---|
| Crown International Corp Ltd ($727) | | 225.8% | -75.0% | 117.4% | 802.5% |
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% | 90.3% |
|---|
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) | 30.3% | 16.4% | 36.2% | 47.2% | 41.1% |
|---|
| Crown International Corp Ltd ($727) | -246.8% | -24.9% | -290.5% | -291.6% | 32.6% |
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% | 1.5% |
|---|
| Crown International Corp Ltd ($727) | 168.4% | 71.6% | 147.6% | 12.1% | 7.1% |
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% | 2.6% |
|---|
| Crown International Corp Ltd ($727) | -14.0% | -11.7% | -14.8% | -22.0% | 4.4% |
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 (46 companies) | -1.1x | -1.0x | 0.1x | -0.0x | -1.1x |
|---|
