China Packaging Holdings Development Ltd revenue growth decelerated from 28.3% in 2014 to 25.2% in 2015
28/03/2016 • About China Packaging Holdings Development Ltd (
$1439) • By InTwits
China Packaging Holdings Development Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- China Packaging Holdings Development Ltd is a fast growth stock: 2015 revenue growth was 25.2%, 5 year revenue CAGR was 35.8% at 2015 ROIC 19.8%
- China Packaging Holdings Development Ltd has medium CAPEX intensity: 5 year average CAPEX/Revenue was 6.7%. At the same time it's in pair with industry average of 8.9%.
- CAPEX is quite volatile: 0.12 in 2015, 68.0 in 2014, 45.9 in 2013, 20.0 in 2012, 0.83 in 2011
- The company has highly profitable business model: ROIC is at 19.8%
- It operates with high leverage: Net Debt/EBITDA is -0.6x while industry average is -20.4x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
China Packaging Holdings Development Ltd ($1439) key annual financial indicators
| mln. CNY | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 193.9 | 280.6 | 383.0 | 491.5 | 615.4 | 25.2% |
| Gross Profit | 36.5 | 59.3 | 89.6 | 117.3 | 148.5 | 26.6% |
| SG&A | 16.4 | 23.5 | 37.6 | 47.2 | 56.5 | 19.8% |
| EBITDA | 26.4 | 44.0 | 64.6 | 84.7 | 98.8 | 16.7% |
| Net Income | 19.6 | 34.2 | 44.3 | 62.1 | 54.8 | -11.8% |
Balance Sheet
|
|---|
| Cash | 11.5 | 25.7 | 45.8 | 92.5 | 266.2 | 187.8% |
| Short Term Debt | 15.0 | 16.1 | 21.2 | 11.7 | 108.3 | 828.7% |
| Long Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 102.7 | |
Cash flow
|
|---|
| Capex | 0.8 | 20.0 | 45.9 | 68.0 | 0.1 | -99.8% |
Ratios
|
|---|
| Revenue growth | 45.8% | 44.7% | 36.5% | 28.3% | 25.2% | |
| EBITDA growth | 45.3% | 66.3% | 47.0% | 31.1% | 16.7% | |
| Gross Margin | 18.8% | 21.1% | 23.4% | 23.9% | 24.1% | 0.3% |
| EBITDA Margin | 13.6% | 15.7% | 16.9% | 17.2% | 16.1% | -1.2% |
| Net Income Margin | 10.1% | 12.2% | 11.6% | 12.6% | 8.9% | -3.7% |
| SG&A, % of revenue | 8.5% | 8.4% | 9.8% | 9.6% | 9.2% | -0.4% |
| CAPEX, % of revenue | 0.4% | 7.1% | 12.0% | 13.8% | 0.0% | -13.8% |
| ROIC | 50.0% | 52.0% | 46.6% | 34.1% | 19.8% | -14.3% |
| ROE | 58.3% | 56.2% | 40.9% | 29.9% | 17.5% | -12.5% |
| Net Debt/EBITDA | 0.1x | -0.2x | -0.4x | -1.0x | -0.6x | 0.4x |
Revenue and profitability
China Packaging Holdings Development Ltd's Revenue surged on 25.2% in 2015. Despite revenue decline the EBITDA margin expanded. EBITDA Margin jumped on 34.6 pp from -47.9% to -13.3% in 2015.
Gross Margin showed almost no change in 2015. SG&A as a % of Revenue showed almost no change in 2015.
Net Income marign decreased on 3.7 pp from 12.6% to 8.9% in 2015.
Capital expenditures (CAPEX) and working capital investments
China Packaging Holdings Development Ltd's CAPEX/Revenue was 0.019% in 2015. The company showed decline in CAPEX/Revenue of 7.1 pp from 7.1% in 2012 to 0.019% in 2015. For the last three years the average CAPEX/Revenue was 8.6%.
Return on investment
The company operates at good ROIC (19.82%) and ROE (17.46%). ROIC dropped on 14.3 pp from 34.1% to 19.8% in 2015. ROE dropped on 12.5 pp from 29.9% to 17.5% in 2015.
Leverage (Debt)
Company's Net Debt / EBITDA is -0.6x and Debt / EBITDA is 2.1x. Net Debt / EBITDA surged on 0.4x from -1.0x to -0.6x in 2015. Debt surged on 1,710% in 2015 while cash jumped on 188% in 2015.
Appendix 1: Peers in Commercial Services
Below you can find China Packaging Holdings Development Ltd benchmarking vs. other companies in Commercial Services 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 Smartpay Group Holdings Ltd ($8325) | | 60.0% | 274.7% | 75.6% | 124.5% |
| Celebrate International Holdings Ltd ($8212) | | -90.1% | 1,437.6% | -6.3% | 117.0% |
| Haier Healthwise Holdings Ltd ($348) | | -22.0% | -50.1% | -7.5% | 101.1% |
| CAR Inc ($699) | | 96.4% | 68.0% | 30.3% | 42.1% |
| Fu Shou Yuan International Group Ltd ($1448) | | 13.9% | 27.5% | 30.0% | 39.3% |
| |
|---|
| Median (51 companies) | 36.1% | 8.8% | 4.7% | 9.4% | 5.8% |
|---|
| China Packaging Holdings Development Ltd ($1439) | | 44.7% | 36.5% | 28.3% | 25.2% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Dingyi Group Investment Ltd ($508) | 76.5% | 75.8% | | 64.5% | 86.0% |
| Fu Shou Yuan International Group Ltd ($1448) | 81.6% | 80.5% | 80.4% | 80.0% | 77.6% |
| U Banquet Group Holding Ltd ($8107) | | | | 76.5% | 74.5% |
| Anxian Yuan China Holdings Ltd ($922) | 58.4% | 74.0% | 54.7% | 39.8% | 70.8% |
| China Communication Telecom Services Co Ltd ($8206) | -56.6% | 61.6% | 58.6% | 69.1% | 70.2% |
| |
|---|
| Median (46 companies) | 33.0% | 31.5% | 30.5% | 31.0% | 31.2% |
|---|
| China Packaging Holdings Development Ltd ($1439) | 18.8% | 21.1% | 23.4% | 23.9% | 24.1% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Zuoli Kechuang Micro-Finance Co Ltd ($6866) | | 61.6% | 84.9% | 75.9% | 80.9% |
| Shenzhen International Holdings Ltd ($152) | 69.3% | 60.2% | 65.8% | 97.1% | 73.6% |
| Yuexiu Transport Infrastructure Ltd ($1052) | 74.3% | 78.3% | 74.5% | 74.0% | 71.6% |
| CAR Inc ($699) | 31.6% | 43.6% | 30.1% | 43.1% | 67.4% |
| Jiangsu Expressway Co Ltd ($177) | 60.8% | 57.0% | 60.7% | 59.3% | 61.5% |
| |
|---|
| Median (51 companies) | 16.8% | 16.9% | 13.4% | 11.0% | 8.8% |
|---|
| China Packaging Holdings Development Ltd ($1439) | 13.6% | 15.7% | 16.9% | 17.2% | 16.1% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Blue Sky Power Holdings Ltd ($6828) | 11.5% | 21.3% | 9.0% | 13.9% | 47.4% |
| Shenzhen International Holdings Ltd ($152) | 28.3% | 23.0% | 22.1% | 20.9% | 35.0% |
| Celebrate International Holdings Ltd ($8212) | 140.9% | 211.7% | 12.0% | 6.2% | 34.2% |
| China Maple Leaf Educational Systems Ltd ($1317) | 39.5% | 25.7% | 50.9% | 21.1% | 32.8% |
| Qingdao Port International Co Ltd ($6198) | 29.5% | 31.9% | 28.7% | 8.5% | 28.2% |
| |
|---|
| Median (51 companies) | 3.9% | 3.1% | 4.0% | 3.6% | 4.7% |
|---|
| China Packaging Holdings Development Ltd ($1439) | 0.4% | 7.1% | 12.0% | 13.8% | 0.0% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Wonderful Sky Financial Group Holdings Ltd ($1260) | 136.8% | 51.5% | 26.6% | 30.0% | 29.5% |
| 1010 Printing Group Ltd ($1127) | 14.4% | 13.5% | 20.8% | 17.8% | 19.9% |
| CAR Inc ($699) | | 5.2% | 2.7% | 12.2% | 19.0% |
| eprint Group Ltd ($1884) | | 33.0% | 34.8% | 15.4% | 18.5% |
| Pico Far East Holdings Ltd ($752) | 18.8% | 16.7% | 12.3% | 14.3% | 17.4% |
| |
|---|
| Median (51 companies) | 5.0% | 6.0% | 5.2% | 4.2% | 3.7% |
|---|
| China Packaging Holdings Development Ltd ($1439) | 50.0% | 52.0% | 46.6% | 34.1% | 19.8% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Celebrate International Holdings Ltd ($8212) | | | | | 22.2x |
| Eagle Legend Asia Ltd ($936) | 4.3x | 4.0x | 4.0x | 3.3x | 6.2x |
| Yuexiu Transport Infrastructure Ltd ($1052) | 2.9x | 4.5x | 3.1x | 2.7x | 5.3x |
| Dalian Port PDA Co Ltd ($2880) | 5.7x | 5.7x | 4.8x | 4.7x | 4.1x |
| Speedy Global Holdings Ltd ($540) | -0.1x | -0.3x | -1.1x | -0.3x | 3.6x |
| |
|---|
| Median (33 companies) | -0.1x | -0.0x | -0.8x | -0.4x | -0.5x |
|---|
| China Packaging Holdings Development Ltd ($1439) | 0.1x | -0.2x | -0.4x | -1.0x | -0.6x |
