Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd demonstrated healthy growth in recent years
25/03/2016 • About Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd (
$1349) • By InTwits
Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd is a growth stock in Biotechnology industry. Its revenue performance, profitability and healthy financial model stands it out vs. other public companies on the market.
Growth story
Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd showed fast growth in the last financial year. Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd's revenue surged on 23.1% in FY2015. At the same time Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd well managed its profitability and also showed EBITDA growth of 14.7% for the same period.
In the last 3 years Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd showed fast revenue growth of 35.6% from 2012 to 2015 annualy. EBITDA surged on 29.9% from 2012 to 2015 annualy.
Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd ($1349) financials for the last 5 years
| mln. CNY | 2011 | 2012 | 2013 | 2014 | 2015 |
|---|
| Revenue | 134 | 233 | 416 | 471 | 579 |
|---|
| Revenue growth, % | | 73.7% | 78.9% | 13.2% | 23.1% |
|---|
| Gross margin, % | 82.8% | 89.9% | 92.2% | 92.2% | 91.4% |
|---|
| SG&A, % | 53.8% | 61.7% | 60.8% | 59.6% | 58.3% |
|---|
| EBITDA | 47 | 78 | 120 | 148 | 170 |
|---|
| EBITDA growth, % | | 63.4% | 55.3% | 23.0% | 14.7% |
|---|
| EBITDA margin, % | 35.5% | 33.4% | 29.0% | 31.5% | 29.3% |
|---|
| Net Income | 31 | 53 | 87 | 118 | 128 |
|---|
| Net Income margin, % | 23.0% | 22.9% | 21.0% | 25.1% | 22.0% |
|---|
| |
| CAPEX | 33 | 115 | 57 | 44 | 38 |
|---|
| CAPEX/Revenue, % | 24.6% | 49.3% | 13.6% | 9.36% | 6.60% |
|---|
| Debt | 78 | 126 | 40 | 25 | 125 |
|---|
| Cash | 110 | 158 | 325 | 356 | 446 |
|---|
| Net Debt/EBITDA | -0.7x | -0.4x | -2.4x | -2.2x | -1.9x |
|---|
| |
| ROIC, % | 15.7% | 20.0% | 20.9% | 18.6% | 17.6% |
|---|
| ROE, % | 19.9% | 27.0% | 23.1% | 20.0% | 18.5% |
|---|
Profitability and return on investment
EBITDA margin declined slightly from 31.5% in FY2014 to 29.3% in FY2015. In the last 3 years EBITDA margin dropped on 4.10 pp from 33.4% in 2012 to 29.3% in 2015.
Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd shows attractive ROIC at 17.6% for the last 12 months which assumes stable development model. During the last three years it dropped - it was 20.0% in FY2012. It's average ROIC for the last three years was 19.0%.
Net Income margin dropped on 3.10 pp from 25.1% to 22% in 2015. In the last 3 years the company's Net Income margin decreased slightly on 0.900 pp from 22.9% in 2012 to 22% in 2015.
Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd operates at ROE of 18.5%. It's average ROE for the last three years was 20.5%.
Capital expenditures (CAPEX)
To fuel this fast growth Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd had to invest in CAPEX.In FY2015 the company had CAPEX/Revenue of 6.60%. CAPEX/Revenue dropped on 42.7 pp from 49.3% in 2012 to 6.60% in 2015. It's average CAPEX/Revenue for the last three years was 9.87%.
Leverage (Debt)
The company has negative net debt at -1.9x Net Debt/EBITDA - at the same time with high growth. If we look for the longer period Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd showed fast leverage growth of 1.48x from -0.41x in 2012 to -1.89x in 2015.
Peers in Biotechnology
Below we provide Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd benchmarking against other companies in Biotechnology 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, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| Essex Bio-technology Ltd ($1061) | | 25.6% | 29.9% | 49.3% | 26.2% |
| Bloomage BioTechnology Corp Ltd ($963) | 34.1% | 33.4% | 36.4% | 28.3% | |
| Uni-Bio Science Group Ltd ($690) | -48.2% | -25.7% | 46.1% | 23.1% | |
| Amgen Inc ($4332) | | 10.8% | 8.2% | 7.4% | 8.0% |
| CK Life Sciences International Holdings Inc ($775) | | 29.4% | 9.4% | -0.3% | -0.7% |
| |
|---|
| Median (8 companies) | 26.6% | 18.2% | 19.6% | 3.5% | 17.1% |
|---|
| Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd ($1349) | | 73.7% | 78.9% | 13.2% | 23.1% |
Top companies by Gross margin, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| Uni-Bio Science Group Ltd ($690) | 62.1% | 67.2% | 79.5% | 80.0% | |
| Essex Bio-technology Ltd ($1061) | 90.5% | 91.2% | 89.6% | 79.3% | 81.0% |
| Bloomage BioTechnology Corp Ltd ($963) | 73.2% | 69.3% | 79.9% | 78.0% | |
| Amgen Inc ($4332) | 84.4% | 81.5% | 82.1% | 78.0% | 80.5% |
| CK Life Sciences International Holdings Inc ($775) | 33.6% | 34.2% | 35.0% | 35.1% | 35.4% |
| |
|---|
| Median (8 companies) | 63.2% | 50.7% | 57.3% | 56.5% | 64.8% |
|---|
| Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd ($1349) | 82.8% | 89.9% | 92.2% | 92.2% | 91.4% |
Top companies by EBITDA margin, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| Bloomage BioTechnology Corp Ltd ($963) | 56.2% | 46.8% | 39.2% | 45.2% | |
| Amgen Inc ($4332) | 34.5% | 38.6% | 38.3% | 41.3% | 48.8% |
| Essex Bio-technology Ltd ($1061) | 18.0% | 19.0% | 21.9% | 21.3% | 22.6% |
| CK Life Sciences International Holdings Inc ($775) | 9.3% | 9.9% | 10.0% | 10.7% | 11.3% |
| Tianjin TEDA Biomedical Engineering Co Ltd ($8189) | 6.0% | 6.9% | 7.4% | 9.1% | |
| |
|---|
| Median (8 companies) | 13.6% | 8.4% | 8.7% | 9.9% | 17.0% |
|---|
| Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd ($1349) | 35.5% | 33.4% | 29.0% | 31.5% | 29.3% |
Top companies by CAPEX/Revenue, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| China Regenerative Medicine International Ltd ($8158) | 1,076.2% | 40,271.9% | 810.7% | 3,305.9% | 1,295.1% |
| Uni-Bio Science Group Ltd ($690) | 5.1% | 23.9% | 28.9% | 35.5% | |
| Bloomage BioTechnology Corp Ltd ($963) | 7.0% | 35.8% | 30.4% | 24.6% | |
| CK Life Sciences International Holdings Inc ($775) | 5.4% | 3.8% | 5.8% | 9.9% | 6.0% |
| Tianjin TEDA Biomedical Engineering Co Ltd ($8189) | 1.8% | 1.6% | 1.4% | 4.8% | |
| |
|---|
| Median (8 companies) | 6.2% | 20.8% | 8.1% | 7.3% | 4.4% |
|---|
| Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd ($1349) | 24.6% | 49.3% | 13.6% | 9.4% | 6.6% |
Top companies by ROIC, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| Essex Bio-technology Ltd ($1061) | 24.7% | 22.6% | 25.2% | 28.5% | 31.4% |
| Bloomage BioTechnology Corp Ltd ($963) | 33.7% | 30.1% | 24.1% | 27.2% | |
| Amgen Inc ($4332) | 11.1% | 13.0% | 11.7% | 11.2% | 14.6% |
| Tianjin TEDA Biomedical Engineering Co Ltd ($8189) | 7.5% | 12.4% | 10.1% | 9.8% | |
| CK Life Sciences International Holdings Inc ($775) | 3.0% | 4.2% | 4.1% | 4.3% | 4.8% |
| |
|---|
| Median (8 companies) | 9.3% | 8.3% | 7.1% | 7.0% | 9.7% |
|---|
| Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd ($1349) | 15.7% | 20.0% | 20.9% | 18.6% | 17.6% |
Top companies by Net Debt / EBITDA
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| CK Life Sciences International Holdings Inc ($775) | 5.4x | 4.3x | 6.1x | 6.4x | 6.0x |
| Amgen Inc ($4332) | 2.7x | 3.5x | 4.0x | 3.3x | 2.6x |
| Tianjin TEDA Biomedical Engineering Co Ltd ($8189) | 2.0x | 2.0x | 1.4x | 0.9x | |
| Essex Bio-technology Ltd ($1061) | -1.0x | 0.3x | -0.0x | -0.1x | -0.1x |
| Bloomage BioTechnology Corp Ltd ($963) | -1.2x | -0.5x | -0.3x | -0.5x | |
| |
|---|
| Median (5 companies) | 2.1x | 2.7x | 1.4x | 0.9x | 2.6x |
|---|
| Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co Ltd ($1349) | -0.7x | -0.4x | -2.4x | -2.2x | -1.9x |
