Technovator International Ltd Net Income jumped on 314% in 2015 and Revenue jumped on 19.0%
23/03/2016 • About Technovator International Ltd (
$1206) • By InTwits
Technovator International Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Technovator International Ltd has medium CAPEX intensity: 5 year average CAPEX/Revenue was 6.1%. At the same time it's a lot of higher than industry average of 1.1%.
- CAPEX is quite volatile: 7.8 in 2015, 10.0 in 2014, 30.2 in 2013, 4.6 in 2012, 1.4 in 2011
- The company has business model with low profitability: ROIC is at 9.7%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Technovator International Ltd ($1206) key annual financial indicators
| mln. $ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 97.5 | 124.2 | 166.6 | 226.3 | 269.4 | 19.0% |
| Gross Profit | 36.4 | 44.5 | 56.2 | 60.3 | 63.0 | 4.5% |
| SG&A | | 22.8 | 29.2 | 28.7 | 34.1 | 18.8% |
| EBITDA | 18.7 | 23.6 | 31.7 | 47.0 | 48.5 | 3.1% |
| Net Income | 10.4 | 13.4 | 15.6 | 29.9 | 124.0 | 313.9% |
Balance Sheet
|
|---|
| Cash | 27.9 | 40.5 | 69.2 | 73.3 | 194.5 | 165.5% |
| Short Term Debt | 3.7 | 7.9 | 33.6 | 62.9 | 42.7 | -32.1% |
| Long Term Debt | 3.4 | 7.2 | 34.8 | 38.0 | 26.1 | -31.4% |
Cash flow
|
|---|
| Capex | 1.4 | 4.6 | 30.2 | 10.0 | 7.8 | -22.0% |
Ratios
|
|---|
| Revenue growth | 31.6% | 27.4% | 34.1% | 35.9% | 19.0% | |
| EBITDA growth | 58.7% | 26.2% | 34.0% | 48.5% | 3.1% | |
| Gross Margin | 37.3% | 35.8% | 33.8% | 26.6% | 23.4% | -3.3% |
| EBITDA Margin | 19.2% | 19.0% | 19.0% | 20.8% | 18.0% | -2.8% |
| Net Income Margin | 10.7% | 10.8% | 9.4% | 13.2% | 46.0% | 32.8% |
| SG&A, % of revenue | | 18.3% | 17.5% | 12.7% | 12.7% | -0.0% |
| CAPEX, % of revenue | 1.4% | 3.7% | 18.1% | 4.4% | 2.9% | -1.5% |
| ROIC | 21.1% | 21.2% | 16.9% | 14.2% | 9.7% | -4.5% |
| ROE | 19.2% | 18.7% | 17.3% | 20.9% | 49.5% | 28.6% |
| Net Debt/EBITDA | -1.1x | -1.1x | -0.0x | 0.6x | -2.6x | -3.2x |
Revenue and profitability
The company's Revenue jumped on 19.0% in 2015. Revenue growth was financed by EBITDA margin decline. EBITDA Margin decreased on 2.8 pp from 20.8% to 18.0% in 2015.
Gross Margin decreased on 3.3 pp from 26.6% to 23.4% in 2015. SG&A as a % of Revenue showed almost no change in 2015.
Net Income marign jumped on 32.8 pp from 13.2% to 46.0% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 Technovator International Ltd had CAPEX/Revenue of 2.9%. The company's CAPEX/Revenue decreased slightly on 0.79 pp from 3.7% in 2012 to 2.9% in 2015. It's average CAPEX/Revenue for the last three years was 8.5%.
Return on investment
The company operates at good ROE (49.47%) while ROIC is low (9.69%). ROIC decreased on 4.5 pp from 14.2% to 9.7% in 2015. ROE surged on 28.6 pp from 20.9% to 49.5% in 2015.
Leverage (Debt)
Debt level is -2.6x Net Debt / EBITDA and 1.4x Debt / EBITDA. Net Debt / EBITDA dropped on 3.2x from 0.6x to -2.6x in 2015. Debt dropped on 31.9% in 2015 while cash surged on 166% in 2015.
Appendix 1: Peers in Electronics
Below we provide Technovator International Ltd benchmarking against other companies in Electronics 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 Netcom Technology Holdings Ltd ($8071) | -22.0% | 11.6% | -23.0% | 104.1% | |
| Tongda Group Holdings Ltd ($698) | | 8.3% | 6.4% | 32.1% | 26.8% |
| Advanced Card Systems Holdings Ltd ($8210) | | 36.9% | 20.8% | 26.7% | -4.8% |
| Alltronics Holdings Ltd ($833) | 33.9% | -1.6% | -1.6% | 23.4% | |
| QPL International Holdings Ltd ($243) | | -21.1% | -22.2% | 21.0% | -0.2% |
| |
|---|
| Median (49 companies) | 6.9% | -1.6% | 3.1% | 3.8% | 0.4% |
|---|
| Technovator International Ltd ($1206) | | 27.4% | 34.1% | 35.9% | 19.0% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Advanced Card Systems Holdings Ltd ($8210) | 51.4% | 54.0% | 58.1% | 49.5% | 49.6% |
| AAC Technologies Holdings Inc ($2018) | 44.0% | 44.2% | 42.7% | 41.4% | 41.5% |
| TeleEye Holdings Ltd ($8051) | 51.6% | 44.0% | 42.1% | 38.5% | 37.0% |
| Wasion Group Holdings Ltd ($3393) | 30.3% | 32.8% | 35.1% | 34.2% | 30.2% |
| Datronix Holdings Ltd ($889) | 41.3% | 32.9% | 32.0% | 34.1% | 34.6% |
| |
|---|
| Median (47 companies) | 13.5% | 13.6% | 13.7% | 13.8% | 16.8% |
|---|
| Technovator International Ltd ($1206) | 37.3% | 35.8% | 33.8% | 26.6% | 23.4% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| AAC Technologies Holdings Inc ($2018) | 35.2% | 35.8% | 35.8% | 34.9% | 34.8% |
| Nanjing Sample Technology Co Ltd ($1708) | 31.5% | 26.8% | 21.1% | 22.3% | 15.7% |
| Wasion Group Holdings Ltd ($3393) | 18.9% | 18.8% | 21.2% | 22.0% | 19.3% |
| Trigiant Group Ltd ($1300) | 17.0% | 17.6% | 18.2% | 18.5% | 16.2% |
| Tongda Group Holdings Ltd ($698) | 15.3% | 17.1% | 16.8% | 18.4% | 18.9% |
| |
|---|
| Median (49 companies) | 8.8% | 5.7% | 4.4% | 4.0% | 7.4% |
|---|
| Technovator International Ltd ($1206) | 19.2% | 19.0% | 19.0% | 20.8% | 18.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| AKM Industrial Co Ltd ($1639) | 7.4% | 5.0% | 17.4% | 25.2% | 18.0% |
| AAC Technologies Holdings Inc ($2018) | 25.9% | 18.7% | 8.7% | 19.6% | 18.4% |
| Irico Group Electronics Co Ltd ($438) | 92.0% | 39.9% | 30.4% | 17.4% | 25.8% |
| Tech Pro Technology Development Ltd ($3823) | 32.8% | 7.6% | 13.1% | 15.4% | |
| Nanjing Sample Technology Co Ltd ($1708) | 3.7% | 23.9% | 15.5% | 12.0% | 2.7% |
| |
|---|
| Median (49 companies) | 3.4% | 3.8% | 2.9% | 3.3% | 3.2% |
|---|
| Technovator International Ltd ($1206) | 1.4% | 3.7% | 18.1% | 4.4% | 2.9% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| AAC Technologies Holdings Inc ($2018) | 22.3% | 29.1% | 30.0% | 26.0% | 27.8% |
| Cowell e Holdings Inc ($1415) | | 12.5% | 27.1% | 24.4% | 25.8% |
| Advanced Card Systems Holdings Ltd ($8210) | 15.5% | 26.7% | 24.7% | 20.2% | 9.7% |
| Alltronics Holdings Ltd ($833) | 19.3% | 13.1% | 15.2% | 19.8% | |
| Tongda Group Holdings Ltd ($698) | 14.3% | 15.2% | 13.5% | 16.5% | 16.3% |
| |
|---|
| Median (49 companies) | 5.4% | 4.1% | 3.5% | 2.9% | 3.2% |
|---|
| Technovator International Ltd ($1206) | 21.1% | 21.2% | 16.9% | 14.2% | 9.7% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| National Electronic Hldgs ($213) | 43.0x | 16.3x | 30.2x | 84.8x | 19.9x |
| Sino-Tech International Holdings Ltd ($724) | | | 15.7x | 24.7x | |
| Eyang Holdings Group Co Ltd ($117) | 4.2x | 3.3x | 3.7x | 17.9x | |
| SAS Dragon Hldg Ltd ($1184) | 2.8x | 7.1x | 2.0x | 6.4x | |
| Willas-Array Electronics Holdings Ltd ($854) | 2.8x | 2.2x | 2.6x | 5.7x | 5.4x |
| |
|---|
| Median (35 companies) | 0.8x | 1.1x | 1.1x | 1.2x | 0.5x |
|---|
| Technovator International Ltd ($1206) | -1.1x | -1.1x | -0.0x | 0.6x | -2.6x |
