Vietnam Manufacturing & Export Processing Holdings Ltd revenue dropped on 29.2% in 2015 while EBITDA Margin increased slightly on 1.9 pp from -5.5% to -3.6%
24/03/2016 • About Vietnam Manufacturing & Export Processing Holdings Ltd (
$422) • By InTwits
Vietnam Manufacturing & Export Processing Holdings Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Vietnam Manufacturing & Export Processing Holdings Ltd is a company in decline: 2015 revenue growth was -29.2%, 5 years revenue CAGR was -12.6%
- The company operates at negative EBITDA Margin: -3.6%
- Vietnam Manufacturing & Export Processing Holdings Ltd motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for 2011-2015 was 0.0%. On average EBITDA Margin was -1.1% for the sames years0
- Vietnam Manufacturing & Export Processing Holdings Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 2.3%. At the same time it's a lot of higher than industry average of 11.2%.
- CAPEX is quite volatile: 2.8 in 2015, 3.6 in 2014, 3.0 in 2013, 2.8 in 2012, 11.1 in 2011
- The company has unprofitable business model: ROIC is at -5.4%
- It operates with high leverage: Net Debt/EBITDA is 0.1x while industry average is -26.5x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Vietnam Manufacturing & Export Processing Holdings Ltd ($422) key annual financial indicators
| mln. $ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 270.2 | 204.3 | 172.7 | 177.5 | 125.7 | -29.2% |
| Gross Profit | 47.4 | 22.3 | 13.4 | 11.9 | 9.1 | -23.6% |
| SG&A | 29.1 | 25.4 | 25.8 | 23.5 | 17.5 | -25.7% |
| EBITDA | 20.3 | -8.0 | -8.7 | -9.7 | -4.5 | -53.4% |
| Net Income | 17.2 | 0.7 | -9.5 | -10.4 | -8.0 | -22.7% |
Balance Sheet
|
|---|
| Cash | 65.9 | 54.9 | 22.7 | 16.0 | 21.0 | 31.3% |
| Short Term Debt | 0.4 | 0.0 | 21.3 | 37.3 | 24.6 | -34.2% |
| Long Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 11.1 | 2.8 | 3.0 | 3.6 | 2.8 | -23.1% |
Ratios
|
|---|
| Revenue growth | 9.5% | -24.4% | -15.5% | 2.8% | -29.2% | |
| EBITDA growth | -40.5% | -139.3% | 9.0% | 11.5% | -53.4% | |
| Gross Margin | 17.5% | 10.9% | 7.8% | 6.7% | 7.2% | 0.5% |
| EBITDA Margin | 7.5% | -3.9% | -5.0% | -5.5% | -3.6% | 1.9% |
| Net Income Margin | 6.3% | 0.4% | -5.5% | -5.8% | -6.4% | -0.5% |
| SG&A, % of revenue | 10.8% | 12.4% | 15.0% | 13.3% | 13.9% | 0.7% |
| CAPEX, % of revenue | 4.1% | 1.4% | 1.8% | 2.0% | 2.2% | 0.2% |
| ROIC | 6.8% | -9.2% | -8.9% | -8.6% | -5.4% | 3.2% |
| ROE | 10.0% | 0.4% | -5.7% | -6.7% | -5.6% | 1.1% |
| Net Debt/EBITDA | -3.2x | | | | | 0.0x |
Revenue and profitability
Vietnam Manufacturing & Export Processing Holdings Ltd's Revenue dropped on 29.2% in 2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased slightly on 1.9 pp from -5.5% to -3.6% in 2015.
Gross Margin increased slightly on 0.53 pp from 6.7% to 7.2% in 2015. SG&A as a % of Revenue increased slightly on 0.66 pp from 13.3% to 13.9% in 2015.
Net Income marign decreased slightly on 0.54 pp from -5.8% to -6.4% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 Vietnam Manufacturing & Export Processing Holdings Ltd had CAPEX/Revenue of 2.2%. The company showed small growth in CAPEX/Revenue of 0.81 pp from 1.4% in 2012 to 2.2% in 2015. For the last three years the average CAPEX/Revenue was 2.0%.
Return on investment
The company operates at negative ROIC (-5.43%) and ROE (-5.62%). ROIC increased on 3.2 pp from -8.6% to -5.4% in 2015. ROE increased slightly on 1.1 pp from -6.7% to -5.6% in 2015.
Leverage (Debt)
Debt level is 0.1x Net Debt / EBITDA and Debt / EBITDA. Net Debt / EBITDA didn't change in 2015. Debt dropped on 34.2% in 2015 while cash jumped on 31.3% in 2015.
Appendix 1: Peers in Leisure Time
Below we provide Vietnam Manufacturing & Export Processing Holdings Ltd benchmarking against other companies in Leisure Time 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 |
|---|
| Feiyu Technology International Co Ltd ($1022) | | 380.8% | -8.6% | 133.8% | -5.0% |
| Travel Expert Asia Enterprises Ltd ($1235) | | 11.9% | 15.3% | 19.5% | 18.9% |
| Water Oasis Group Ltd ($1161) | | -16.3% | -23.7% | 8.0% | 1.9% |
| Perfect Shape PRC Holdings Ltd ($1830) | | 23.4% | 16.2% | 6.1% | 55.0% |
| Genting Hong Kong Ltd ($678) | | 5.3% | 6.6% | 2.9% | 20.9% |
| |
|---|
| Median (11 companies) | -2.5% | 9.5% | 2.0% | 2.6% | 10.9% |
|---|
| Vietnam Manufacturing & Export Processing Holdings Ltd ($422) | | -24.4% | -15.5% | 2.8% | -29.2% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Feiyu Technology International Co Ltd ($1022) | 99.1% | 96.9% | 95.4% | 87.5% | 83.1% |
| Sino Splendid Holdings Ltd ($8006) | 55.1% | 51.7% | 51.4% | 51.9% | 53.9% |
| China Travel International Investment Hong Kong Ltd ($308) | 48.2% | 46.1% | 47.8% | 46.0% | |
| China Jiuhao Health Industry Corp Ltd ($419) | 15.5% | 57.0% | 13.5% | 23.4% | 44.9% |
| EGL Holdings Co Ltd ($6882) | 15.7% | 16.7% | 21.4% | 20.2% | 23.4% |
| |
|---|
| Median (7 companies) | 32.0% | 48.9% | 34.6% | 23.4% | 53.9% |
|---|
| Vietnam Manufacturing & Export Processing Holdings Ltd ($422) | 17.5% | 10.9% | 7.8% | 6.7% | 7.2% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Feiyu Technology International Co Ltd ($1022) | 74.8% | 77.0% | 44.0% | 51.0% | 30.0% |
| China Travel International Investment Hong Kong Ltd ($308) | 25.6% | 28.2% | 29.1% | 48.5% | |
| Perfect Shape PRC Holdings Ltd ($1830) | 26.3% | 27.5% | 29.1% | 26.5% | 29.8% |
| Travel Expert Asia Enterprises Ltd ($1235) | 20.1% | 17.4% | 16.2% | 18.3% | 15.0% |
| Water Oasis Group Ltd ($1161) | 11.3% | 6.5% | 4.7% | 11.4% | 13.1% |
| |
|---|
| Median (11 companies) | 11.3% | 17.4% | 8.5% | 8.6% | 11.5% |
|---|
| Vietnam Manufacturing & Export Processing Holdings Ltd ($422) | 7.5% | -3.9% | -5.0% | -5.5% | -3.6% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Jiuhao Health Industry Corp Ltd ($419) | 4.2% | 2.1% | 31.8% | 67.3% | 43.3% |
| Genting Hong Kong Ltd ($678) | 7.3% | 16.6% | 25.4% | 33.0% | 58.1% |
| China Travel International Investment Hong Kong Ltd ($308) | 14.6% | 13.4% | 28.3% | 29.9% | |
| Perfect Shape PRC Holdings Ltd ($1830) | 7.9% | 6.1% | 8.9% | 7.7% | 24.8% |
| Feiyu Technology International Co Ltd ($1022) | 5.5% | 6.3% | 1.6% | 3.2% | 3.1% |
| |
|---|
| Median (11 companies) | 2.7% | 3.7% | 4.0% | 3.2% | 3.3% |
|---|
| Vietnam Manufacturing & Export Processing Holdings Ltd ($422) | 4.1% | 1.4% | 1.8% | 2.0% | 2.2% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| EGL Holdings Co Ltd ($6882) | | 30.4% | 63.2% | 39.4% | 58.3% |
| Perfect Shape PRC Holdings Ltd ($1830) | 140.4% | 62.8% | 44.1% | 37.7% | 44.1% |
| Travel Expert Asia Enterprises Ltd ($1235) | 179.4% | 50.9% | 26.7% | 29.8% | 23.0% |
| Feiyu Technology International Co Ltd ($1022) | | 329.5% | 19.2% | 17.1% | 6.1% |
| Water Oasis Group Ltd ($1161) | 21.6% | 5.3% | 1.7% | 15.7% | 19.2% |
| |
|---|
| Median (11 companies) | 2.1% | 5.3% | 5.0% | 9.6% | 12.7% |
|---|
| Vietnam Manufacturing & Export Processing Holdings Ltd ($422) | 6.8% | -9.2% | -8.9% | -8.6% | -5.4% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Sino Golf Holdings Ltd ($361) | 7.3x | 10.0x | 1.9x | 3.0x | |
| China Travel International Investment Hong Kong Ltd ($308) | -2.4x | -1.7x | -1.1x | -1.1x | |
| Perfect Shape PRC Holdings Ltd ($1830) | -0.9x | -2.0x | -0.8x | -1.4x | -1.8x |
| Travel Expert Asia Enterprises Ltd ($1235) | -2.3x | -1.3x | -1.2x | -1.7x | -0.3x |
| Water Oasis Group Ltd ($1161) | -2.2x | -3.2x | -5.1x | -2.8x | -2.6x |
| |
|---|
| Median (8 companies) | -2.2x | -1.3x | -1.6x | -2.2x | -2.5x |
|---|
