Celebrate International Holdings Ltd CAPEX jumped on 1,107% in 2015 and Revenue surged on 117%
22/09/2015 • About Celebrate International Holdings Ltd (
$8212) • By InTwits
Celebrate International Holdings Ltd reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Celebrate International Holdings Ltd doesn't have a profitable business model yet: FY2015 ROIC is 0.9%
- Celebrate International Holdings Ltd spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for FY2011-FY2015 is 0.0%. Average EBITDA Margin for the same period was -108.1%0
- Celebrate International Holdings Ltd has high CAPEX intensity: 5 year average CAPEX/Revenue was 81.0%. At the same time it's a lot of higher than industry average of 8.2%.
- CAPEX is quite volatile: 14.5 in FY2015, 1.2 in FY2014, 2.5 in FY2013, 2.9 in FY2012, 19.4 in FY2011
- The company has potentially unprofitable business model: ROIC is at 0.9%
- It operates with high leverage: Net Debt/EBITDA is 22.2x while industry average is -22.9x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Celebrate International Holdings Ltd ($8212) key annual financial indicators
| mln. | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 13.771 | 1.360 | 20.912 | 19.592 | 42.509 | 117.0% |
| Gross Profit | 7.478 | 0.096 | 0.754 | 0.009 | 0.031 | 244.4% |
| SG&A | | | | 20.897 | 25.433 | 21.7% |
| EBITDA | -50.251 | -14.023 | -17.342 | -30.088 | 5.594 | -118.6% |
| Net Income | -95.347 | -1,050.110 | -40.570 | -50.318 | -6.595 | -86.9% |
Balance Sheet
|
|---|
| Cash | 20.976 | 3.784 | 0.908 | 24.604 | 16.862 | -31.5% |
| Short Term Debt | 0.000 | 0.000 | 0.000 | 0.181 | 0.190 | 5.0% |
| Long Term Debt | 110.824 | 119.587 | 123.830 | 141.314 | 141.040 | -0.2% |
Cash flow
|
|---|
| Capex | 19.400 | 2.879 | 2.519 | 1.205 | 14.549 | 1,107.4% |
Ratios
|
|---|
| Revenue growth | 264.3% | -90.1% | 1,437.6% | -6.3% | 117.0% | |
| EBITDA growth | 34.5% | -72.1% | 23.7% | 73.5% | -118.6% | |
| Gross Margin | 54.3% | 7.1% | 3.6% | 0.0% | 0.1% | 0.0% |
| EBITDA Margin | -364.9% | -1,031.1% | -82.9% | -153.6% | 13.2% | 166.7% |
| Net Income Margin | -692.4% | -77,214.0% | -194.0% | -256.8% | -15.5% | 241.3% |
| SG&A, % of revenue | | | | 106.7% | 59.8% | -46.8% |
| CAPEX, % of revenue | 140.9% | 211.7% | 12.0% | 6.2% | 34.2% | 28.1% |
| ROIC | -5.1% | -2.8% | -37.0% | -41.0% | 0.9% | 41.9% |
| ROE | -12.2% | | | | | 0.0% |
| Net Debt/EBITDA | | | | | 22.2x | 22.2x |
Revenue and profitability
Celebrate International Holdings Ltd's Revenue surged on 117% in FY2015. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin dropped on 17.5 pp from -4.6% to -22.1% in 2015.
Gross Margin showed almost no change in FY2015. SG&A as a % of Revenue dropped on 46.8 pp from 107% to 59.8% in FY2015.
Net Income marign jumped on 241 pp from -257% to -15.5% in FY2015.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 34.2% in FY2015. Celebrate International Holdings Ltd's CAPEX/Revenue dropped on 177 pp from 212% in FY2012 to 34.2% in FY2015. For the last three years the average CAPEX/Revenue was 17.5%.Celebrate International Holdings Ltd has spent a lot to CAPEX (260% of EBITDA) to fuel its growth.
Leverage (Debt)
Company's Net Debt / EBITDA is 22.2x and Debt / EBITDA is 25.2x. Net Debt / EBITDA jumped22.2x from to 22.2x in FY2015. Debt showed almost no change in FY2015 while cash dropped on 31.5% in FY2015.
Appendix 1: Peers in Commercial Services
Below you can find Celebrate International Holdings Ltd benchmarking vs. other companies in Commercial Services 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 |
|---|
| Global Energy Resources International Group Ltd ($8192) | 429.3% | -61.9% | -27.8% | 2,912.9% | |
| Dingyi Group Investment Ltd ($508) | | 8.8% | -95.9% | 1,361.2% | -32.6% |
| China Smartpay Group Holdings Ltd ($8325) | | 60.0% | 274.7% | 75.6% | 124.5% |
| Goldpac Group Ltd ($3315) | 24.4% | 52.3% | 64.4% | 36.8% | |
| Wonderful Sky Financial Group Holdings Ltd ($1260) | | 21.3% | 4.5% | 33.5% | 14.2% |
| |
|---|
| Median (56 companies) | 19.1% | 8.0% | 4.3% | 9.4% | 3.9% |
|---|
| Celebrate International Holdings Ltd ($8212) | | -90.1% | 1,437.6% | -6.3% | 117.0% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| HC International Inc ($2280) | 84.7% | 87.5% | 91.9% | 92.5% | |
| Fu Shou Yuan International Group Ltd ($1448) | 81.6% | 80.5% | 80.4% | 80.0% | |
| China Communication Telecom Services Co Ltd ($8206) | -56.6% | 61.6% | 58.6% | 69.1% | 70.2% |
| Dingyi Group Investment Ltd ($508) | 76.5% | 75.8% | | 64.5% | 86.0% |
| Yuexiu Transport Infrastructure Ltd ($1052) | 67.1% | 66.2% | 66.8% | 62.8% | |
| |
|---|
| Median (52 companies) | 33.0% | 31.9% | 30.5% | 30.9% | 38.0% |
|---|
| Celebrate International Holdings Ltd ($8212) | 54.3% | 7.1% | 3.6% | 0.0% | 0.1% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Shenzhen International Holdings Ltd ($152) | 69.3% | 60.2% | 65.8% | 97.1% | |
| Shenzhen Expressway Co Ltd ($548) | 80.4% | 74.3% | 79.4% | 76.6% | |
| Yuexiu Transport Infrastructure Ltd ($1052) | 74.3% | 78.3% | 74.5% | 74.0% | |
| Anhui Expressway Co Ltd ($995) | 62.7% | 56.9% | 54.1% | 60.4% | |
| Dragon Crown Group Holdings Ltd ($935) | 57.8% | 67.3% | 62.9% | 60.2% | |
| |
|---|
| Median (56 companies) | 16.4% | 16.0% | 13.4% | 9.3% | 3.3% |
|---|
| Celebrate International Holdings Ltd ($8212) | -364.9% | -1,031.1% | -82.9% | -153.6% | 13.2% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Kai Yuan Holdings Ltd ($1215) | 16.8% | 3.9% | 7.0% | 59.8% | |
| COSCO Pacific Ltd ($1199) | 111.3% | 96.6% | 66.6% | 43.3% | |
| Finet Group Ltd ($8317) | 3.9% | 10.3% | 9.1% | 26.0% | 8.4% |
| HC International Inc ($2280) | 15.1% | 8.5% | 28.7% | 24.7% | |
| Dragon Crown Group Holdings Ltd ($935) | 2.5% | 37.2% | 52.0% | 23.0% | |
| |
|---|
| Median (55 companies) | 3.6% | 3.2% | 4.0% | 4.0% | 2.1% |
|---|
| Celebrate International Holdings Ltd ($8212) | 140.9% | 211.7% | 12.0% | 6.2% | 34.2% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Mega Expo Holdings Ltd ($1360) | | 270.5% | 481.1% | 54.4% | 10.1% |
| China Packaging Holdings Development Ltd ($1439) | 50.0% | 52.0% | 46.6% | 34.1% | |
| Wonderful Sky Financial Group Holdings Ltd ($1260) | 136.8% | 51.5% | 26.6% | 30.0% | 29.5% |
| 1010 Printing Group Ltd ($1127) | 14.4% | 13.5% | 20.8% | 17.8% | |
| Poly Culture Group Corp Ltd ($3636) | 48.0% | 29.1% | 33.0% | 16.3% | |
| |
|---|
| Median (56 companies) | 5.2% | 6.0% | 4.2% | 3.2% | 2.2% |
|---|
| Celebrate International Holdings Ltd ($8212) | -5.1% | -2.8% | -37.0% | -41.0% | 0.9% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Dalian Port PDA Co Ltd ($2880) | 5.7x | 5.7x | 4.8x | 4.7x | |
| Sichuan Expressway Co Ltd ($107) | 1.8x | 2.7x | 3.8x | 4.3x | |
| Anxian Yuan China Holdings Ltd ($922) | | | 4.6x | 3.8x | 0.8x |
| Eagle Legend Asia Ltd ($936) | 4.3x | 4.0x | 4.0x | 3.3x | |
| Yuexiu Transport Infrastructure Ltd ($1052) | 2.9x | 4.5x | 3.1x | 2.7x | |
| |
|---|
| Median (36 companies) | -0.1x | 0.0x | -0.7x | -0.7x | -2.2x |
|---|
