Orient Securities International Holdings Ltd Net Income jumped on 45.6% in 2015 and Revenue jumped on 19.4%
24/03/2016 • About Orient Securities International Holdings Ltd (
$8001) • By InTwits
Orient Securities International Holdings Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is expanding: 62.3% in 2015 vs. 53.2% in 2014 vs. 45.4% in 2011
- Orient Securities International Holdings Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 0.4%.
- The company has highly profitable business model: ROIC is at 12.4%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Orient Securities International Holdings Ltd ($8001) key annual financial indicators
| mln. HKD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 29.188 | 28.664 | 36.196 | 43.574 | 52.036 | 19.4% |
| EBITDA | 13.249 | 13.205 | 16.906 | 23.166 | 32.406 | 39.9% |
| Net Income | 10.229 | 10.105 | 12.790 | 17.930 | 26.105 | 45.6% |
Balance Sheet
|
|---|
| Cash | 78.479 | 71.042 | 102.390 | 183.566 | 180.299 | -1.8% |
| Short Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
| Long Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
Cash flow
|
|---|
| Capex | 0.166 | 0.021 | 0.122 | 0.084 | 0.318 | 278.6% |
Ratios
|
|---|
| Revenue growth | -40.4% | -1.8% | 26.3% | 20.4% | 19.4% | |
| EBITDA growth | -58.3% | -0.3% | 28.0% | 37.0% | 39.9% | |
| EBITDA Margin | 45.4% | 46.1% | 46.7% | 53.2% | 62.3% | 9.1% |
| Net Income Margin | 35.0% | 35.3% | 35.3% | 41.1% | 50.2% | 9.0% |
| CAPEX, % of revenue | 0.6% | 0.1% | 0.3% | 0.2% | 0.6% | 0.4% |
| ROIC | 9.9% | 10.6% | 13.3% | 12.1% | 12.4% | 0.2% |
| ROE | 8.1% | 8.4% | 10.1% | 9.4% | 10.0% | 0.6% |
| Net Debt/EBITDA | -5.9x | -5.4x | -6.1x | -7.9x | -5.6x | 2.4x |
Revenue and profitability
Orient Securities International Holdings Ltd's Revenue jumped on 19.4% in 2015. Revenue growth happened at the same time with EBITDA margin expansion. EBITDA Margin increased on 9.1 pp from 53.2% to 62.3% in 2015.
Net Income marign increased on 9.0 pp from 41.1% to 50.2% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 the company had CAPEX/Revenue of 0.61%. The company showed small growth in CAPEX/Revenue of 0.54 pp from 0.073% in 2012 to 0.61% in 2015. It's average CAPEX/Revenue for the last three years was 0.38%.
Return on investment
The company operates at good ROIC (12.36%) while ROE is low (10.01%). ROIC showed almost no change in 2015. ROE increased slightly on 0.58 pp from 9.4% to 10.0% in 2015.
Leverage (Debt)
The company has no debt. Cash decreased slightly on 1.8% in 2015.
Appendix 1: Peers in Diversified Finan Serv
Below you can find Orient Securities International Holdings 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 Smarter Energy Group Holdings Ltd ($1004) | | -4.0% | -23.1% | -87.3% | 1,860.5% |
| Crown International Corp Ltd ($727) | | 225.8% | -75.0% | 117.4% | 802.5% |
| Global Strategic Group Ltd ($8007) | | -3.9% | 2.1% | 806.3% | 681.2% |
| Upbest Group Ltd ($335) | | -38.5% | -61.8% | 24.1% | 208.1% |
| GF Securities Co Ltd ($1776) | | 16.3% | 31.8% | 75.0% | 163.9% |
| |
|---|
| Median (51 companies) | 1.4% | 3.6% | 14.7% | 27.6% | 27.2% |
|---|
| Orient Securities International Holdings Ltd ($8001) | | -1.8% | 26.3% | 20.4% | 19.4% |
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% | 96.6% |
| First China Financial Network Holdings Ltd ($8123) | 98.6% | 93.4% | | 94.5% | 97.4% |
| Allied Group Ltd ($373) | 94.5% | 95.1% | 94.4% | 93.6% | 92.2% |
| |
|---|
| Median (13 companies) | 80.8% | 64.2% | 75.1% | 88.2% | 91.9% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Smarter Energy Group Holdings Ltd ($1004) | -122.8% | -282.7% | -373.2% | -1,524.9% | 212.2% |
| China Aircraft Leasing Group Holdings Ltd ($1848) | 89.3% | 91.3% | 86.4% | 92.9% | 107.0% |
| Get Nice Holdings Ltd ($64) | 28.4% | 2.6% | 153.4% | 92.7% | 83.9% |
| Hong Kong Exchanges and Clearing Ltd ($388) | 83.5% | 81.6% | 73.4% | 75.7% | 82.1% |
| Hong Kong Finance Group Co Ltd ($1273) | 79.8% | 76.9% | 67.5% | 65.2% | 74.8% |
| |
|---|
| Median (52 companies) | 29.5% | 16.4% | 36.2% | 47.2% | 31.4% |
|---|
| Orient Securities International Holdings Ltd ($8001) | 45.4% | 46.1% | 46.7% | 53.2% | 62.3% |
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% | 10.0% |
| China Assurance Finance Group Ltd ($8090) | | 94.7% | 68.9% | 53.3% | 51.0% |
| China Aircraft Leasing Group Holdings Ltd ($1848) | 0.4% | 351.0% | 0.1% | 33.3% | 64.6% |
| Chinese Strategic Holdings Ltd ($8089) | 93.2% | 376.0% | 5.7% | 32.6% | 5.8% |
| AID Partners Capital Holdings Ltd ($8088) | 196.3% | 4.1% | 2.9% | 28.4% | 26.6% |
| |
|---|
| Median (65 companies) | 2.3% | 2.1% | 1.8% | 1.1% | 1.6% |
|---|
| Orient Securities International Holdings Ltd ($8001) | 0.6% | 0.1% | 0.3% | 0.2% | 0.6% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Hong Kong Exchanges and Clearing Ltd ($388) | 65.6% | 29.1% | 20.1% | 21.5% | 29.1% |
| China Smarter Energy Group Holdings Ltd ($1004) | -8.2% | -19.4% | -23.0% | -14.0% | 22.5% |
| Oi Wah Pawnshop Credit Holdings Ltd ($1319) | 30.4% | 32.7% | 20.7% | 14.0% | 15.3% |
| Emperor Capital Group Ltd ($717) | 5.1% | 5.1% | 12.8% | 13.1% | 14.6% |
| Roma Group Ltd ($8072) | | 19.6% | 43.7% | 107.8% | 13.3% |
| |
|---|
| Median (54 companies) | 4.6% | 3.4% | 4.0% | 4.8% | 3.6% |
|---|
| Orient Securities International Holdings Ltd ($8001) | 9.9% | 10.6% | 13.3% | 12.1% | 12.4% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| South China Financial Holdings Ltd ($619) | | | | | 56.9x |
| Bright Smart Securities & Commodities Group Ltd ($1428) | 7.3x | 2.1x | 10.3x | 9.3x | 39.3x |
| Quam Ltd ($952) | 4.9x | 58.9x | 15.9x | 4.1x | 14.8x |
| China Aircraft Leasing Group Holdings Ltd ($1848) | 13.9x | 14.7x | 19.0x | 17.5x | 14.6x |
| Crown International Corp Ltd ($727) | | | | | 9.9x |
| |
|---|
| Median (40 companies) | -1.0x | -0.7x | 0.3x | 0.1x | -0.7x |
|---|
| Orient Securities International Holdings Ltd ($8001) | -5.9x | -5.4x | -6.1x | -7.9x | -5.6x |
