Biosino Bio-Technology & Science Inc EBITDA dropped on 35.0% in 2015 and EBITDA Margin decreased on 5.4 pp from 13.4% to 7.9%
18/03/2016 • About Biosino Bio-Technology & Science Inc (
$8247) • By InTwits
Biosino Bio-Technology & Science Inc reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Biosino Bio-Technology & Science Inc doesn't have a profitable business model yet: 2015 ROIC is 1.0%
- EBITDA Margin is declining: 7.9% in 2015 vs. 13.4% in 2014 vs. 25.0% in 2011
- EBITDA Margin is quite volatile: 7.9% in 2015, 13.4% in 2014, 17.1% in 2013, 18.3% in 2012, 25.0% in 2011
- Biosino Bio-Technology & Science Inc has high CAPEX intensity: 5 year average CAPEX/Revenue was 10.3%. At the same time it's a lot of higher than industry average of 8.1%.
- CAPEX is quite volatile: 15.0 in 2015, 18.3 in 2014, 11.5 in 2013, 26.6 in 2012, 40.5 in 2011
- The company has potentially unprofitable business model: ROIC is at 1.0%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Biosino Bio-Technology & Science Inc ($8247) key annual financial indicators
| mln. CNY | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 184.2 | 210.1 | 234.5 | 265.3 | 290.4 | 9.4% |
| Gross Profit | 106.6 | 116.5 | 127.8 | 131.8 | 139.4 | 5.8% |
| SG&A | | 77.1 | 92.2 | 97.9 | 116.2 | 18.6% |
| EBITDA | 46.1 | 38.4 | 40.2 | 35.5 | 23.1 | -35.0% |
| Net Income | 18.0 | 17.2 | 9.1 | 8.5 | 0.6 | -93.1% |
Balance Sheet
|
|---|
| Cash | 92.1 | 43.2 | 69.0 | 54.8 | 45.1 | -17.8% |
| Short Term Debt | 30.0 | 0.0 | 0.0 | 1.0 | 0.0 | -100.0% |
| Long Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 40.5 | 26.6 | 11.5 | 18.3 | 15.0 | -18.2% |
Ratios
|
|---|
| Revenue growth | 9.4% | 14.1% | 11.6% | 13.2% | 9.4% | |
| EBITDA growth | -5.0% | -16.8% | 4.7% | -11.7% | -35.0% | |
| Gross Margin | 57.9% | 55.5% | 54.5% | 49.7% | 48.0% | -1.7% |
| EBITDA Margin | 25.0% | 18.3% | 17.1% | 13.4% | 7.9% | -5.4% |
| Net Income Margin | 9.8% | 8.2% | 3.9% | 3.2% | 0.2% | -3.0% |
| SG&A, % of revenue | | 36.7% | 39.3% | 36.9% | 40.0% | 3.1% |
| CAPEX, % of revenue | 22.0% | 12.6% | 4.9% | 6.9% | 5.1% | -1.7% |
| ROIC | 8.6% | 6.8% | 7.1% | 5.2% | 1.0% | -4.1% |
| ROE | 6.2% | 5.9% | 3.1% | 2.9% | 0.2% | -2.7% |
| Net Debt/EBITDA | -1.3x | -1.1x | -1.7x | -1.5x | -2.0x | -0.4x |
Revenue and profitability
The company's Revenue increased on 9.4% in 2015. Revenue growth was financed by EBITDA margin decline. EBITDA Margin decreased on 5.4 pp from 13.4% to 7.9% in 2015.
Gross Margin decreased slightly on 1.7 pp from 49.7% to 48.0% in 2015. SG&A as a % of Revenue increased on 3.1 pp from 36.9% to 40.0% in 2015.
Net Income marign decreased on 3.0 pp from 3.2% to 0.20% in 2015.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 5.1% in 2015. Biosino Bio-Technology & Science Inc's CAPEX/Revenue decreased on 7.5 pp from 12.6% in 2012 to 5.1% in 2015. It's average level of CAPEX/Revenue for the last three years was 5.6%.The company invested a large share of EBITDA (64.8%) to CAPEX.
Return on investment
The company operates at low ROIC (1.04%) and ROE (0.21%). ROIC decreased on 4.1 pp from 5.2% to 1.0% in 2015. ROE decreased on 2.7 pp from 2.9% to 0.21% in 2015.
Leverage (Debt)
The company paid down all the debt in 2015. Cash dropped on 17.8% in 2015.
Appendix 1: Peers in Healthcare-Products
Below you can find Biosino Bio-Technology & Science Inc benchmarking vs. other companies in Healthcare-Products 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 |
|---|
| Microport Scientific Corp ($853) | 20.9% | 13.5% | 2.8% | 134.3% | |
| PW Medtech Group Ltd ($1358) | 188.2% | 89.2% | 37.9% | 33.0% | |
| China Medical System Holdings Ltd ($867) | 52.0% | 30.8% | 26.5% | 31.0% | |
| Lifetech Scientific Corp ($1302) | 34.0% | 29.3% | 27.3% | 22.4% | |
| Shandong Weigao Group Medical Polymer Co Ltd ($1066) | 29.2% | 16.0% | 25.1% | 14.4% | |
| |
|---|
| Median (14 companies) | 29.2% | 6.4% | 15.9% | 6.6% | -0.0% |
|---|
| Biosino Bio-Technology & Science Inc ($8247) | | 14.1% | 11.6% | 13.2% | 9.4% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Lifetech Scientific Corp ($1302) | 80.5% | 80.1% | 81.6% | 81.4% | |
| PW Medtech Group Ltd ($1358) | 62.3% | 66.0% | 67.9% | 72.8% | |
| Golden Meditech Holdings Ltd ($801) | 57.5% | 69.1% | 69.8% | 70.2% | 72.8% |
| Microport Scientific Corp ($853) | 83.7% | 83.6% | 81.0% | 68.5% | |
| Shandong Weigao Group Medical Polymer Co Ltd ($1066) | 55.3% | 57.3% | 59.1% | 58.8% | |
| |
|---|
| Median (14 companies) | 42.6% | 39.9% | 48.1% | 46.4% | 25.1% |
|---|
| Biosino Bio-Technology & Science Inc ($8247) | 57.9% | 55.5% | 54.5% | 49.7% | 48.0% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| PW Medtech Group Ltd ($1358) | 42.3% | 44.2% | 30.6% | 41.6% | |
| China Medical System Holdings Ltd ($867) | 31.6% | 34.5% | 32.4% | 39.4% | |
| Golden Meditech Holdings Ltd ($801) | 42.5% | 41.4% | 37.9% | 29.8% | -31.7% |
| Shandong Weigao Group Medical Polymer Co Ltd ($1066) | 31.3% | 28.5% | 28.0% | 29.0% | |
| Hengan International Group Co Ltd ($1044) | 20.8% | 27.4% | 25.3% | 25.3% | |
| |
|---|
| Median (14 companies) | 17.2% | 20.2% | 22.2% | 11.4% | -28.2% |
|---|
| Biosino Bio-Technology & Science Inc ($8247) | 25.0% | 18.3% | 17.1% | 13.4% | 7.9% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| PW Medtech Group Ltd ($1358) | 21.1% | 14.8% | 22.3% | 30.2% | |
| Golden Meditech Holdings Ltd ($801) | 9.5% | 12.7% | 51.2% | 27.3% | 26.1% |
| Microport Scientific Corp ($853) | 18.5% | 31.6% | 27.9% | 15.0% | |
| Arts Optical International Hldgs ($1120) | 5.6% | 14.0% | 4.5% | 14.0% | |
| Shandong Weigao Group Medical Polymer Co Ltd ($1066) | 41.7% | 26.0% | 20.2% | 11.7% | |
| |
|---|
| Median (14 companies) | 7.2% | 3.7% | 6.6% | 4.8% | 2.3% |
|---|
| Biosino Bio-Technology & Science Inc ($8247) | 22.0% | 12.6% | 4.9% | 6.9% | 5.1% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Medical System Holdings Ltd ($867) | 19.7% | 19.4% | 20.2% | 27.4% | |
| Lifetech Scientific Corp ($1302) | 13.0% | 17.5% | 15.9% | 21.2% | |
| Hengan International Group Co Ltd ($1044) | 16.9% | 19.5% | 14.9% | 14.0% | |
| Shandong Weigao Group Medical Polymer Co Ltd ($1066) | 14.6% | 10.5% | 11.7% | 12.8% | |
| PW Medtech Group Ltd ($1358) | 30.9% | 30.7% | 9.2% | 10.0% | |
| |
|---|
| Median (14 companies) | 13.1% | 7.1% | 7.2% | 5.1% | -12.4% |
|---|
| Biosino Bio-Technology & Science Inc ($8247) | 8.6% | 6.8% | 7.1% | 5.2% | 1.0% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Fortune Investments Holdings Ltd ($8116) | 18.2x | | 2.9x | 93.0x | |
| Techcomp Holdings Ltd ($1298) | 1.7x | 4.3x | 3.6x | 2.7x | 3.0x |
| Hengan International Group Co Ltd ($1044) | 0.9x | 1.4x | 1.7x | 1.8x | |
| China Medical System Holdings Ltd ($867) | -0.8x | -0.4x | -0.2x | 0.2x | |
| PW Medtech Group Ltd ($1358) | -0.8x | -1.2x | -7.5x | -0.3x | |
| |
|---|
| Median (10 companies) | -1.0x | -1.1x | -1.4x | -0.9x | 0.1x |
|---|
| Biosino Bio-Technology & Science Inc ($8247) | -1.3x | -1.1x | -1.7x | -1.5x | -2.0x |
