Cypress Jade Agricultural Holdings Ltd EBITDA Margin jumped on 81.6 pp from -68.5% to 13.2% in 2015 while Revenue decreased on 2.5%
28/03/2016 • About Cypress Jade Agricultural Holdings Ltd (
$875) • By InTwits
Cypress Jade Agricultural Holdings Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Cypress Jade Agricultural Holdings Ltd doesn't have a profitable business model yet: 2015 ROIC is -0.1%
- Cypress Jade Agricultural Holdings Ltd spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for 2011-2015 is 0.0%. Average EBITDA Margin for the same period was -10.6%0
- Cypress Jade Agricultural Holdings Ltd has high CAPEX intensity: 5 year average CAPEX/Revenue was 12.3%. At the same time it's a lot of higher than industry average of 8.6%.
- CAPEX is quite volatile: 13.3 in 2015, 15.1 in 2014, 43.4 in 2013, 47.4 in 2012, 0 in 2011
- The company has unprofitable business model: ROIC is at -0.1%
- It operates with high leverage: Net Debt/EBITDA is 6.2x while industry average is 4.6x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Cypress Jade Agricultural Holdings Ltd ($875) key annual financial indicators
| mln. | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 15.8 | 267.9 | 268.4 | 103.8 | 101.2 | -2.5% |
| Gross Profit | 0.4 | 87.8 | 82.1 | -19.9 | 3.4 | -117.1% |
| SG&A | | 116.7 | 120.3 | 77.0 | 220.8 | 186.7% |
| EBITDA | -12.1 | 5.1 | -15.3 | -71.1 | 13.3 | -118.7% |
| Net Income | -12.1 | 31.4 | -58.8 | -164.2 | -42.4 | -74.2% |
Balance Sheet
|
|---|
| Cash | 42.3 | 18.8 | 14.8 | 10.1 | 44.1 | 336.5% |
| Short Term Debt | 80.1 | 25.3 | 75.7 | 63.4 | 49.4 | -22.0% |
| Long Term Debt | 0.2 | 0.1 | 0.0 | 21.2 | 77.0 | 263.4% |
Cash flow
|
|---|
| Capex | 0.0 | 47.4 | 43.4 | 15.1 | 13.3 | -12.4% |
Ratios
|
|---|
| Revenue growth | 4.7% | 1,594.6% | 0.2% | -61.3% | -2.5% | |
| EBITDA growth | 28.4% | -142.3% | -397.8% | 365.4% | -118.7% | |
| Gross Margin | 2.6% | 32.8% | 30.6% | -19.2% | 3.4% | 22.6% |
| EBITDA Margin | -76.7% | 1.9% | -5.7% | -68.5% | 13.2% | 81.6% |
| Net Income Margin | -76.7% | 11.7% | -21.9% | -158.1% | -41.9% | 116.3% |
| SG&A, % of revenue | | 43.6% | 44.8% | 74.2% | 218.1% | 143.9% |
| CAPEX, % of revenue | 0.0% | 17.7% | 16.2% | 14.6% | 13.1% | -1.5% |
| ROIC | | -15.4% | -17.7% | -52.2% | -0.1% | 52.1% |
| ROE | | | -46.0% | -188.4% | -23.6% | 164.8% |
| Net Debt/EBITDA | | 1.3x | | | 6.2x | 6.2x |
Revenue and profitability
The company's Revenue decreased on 2.5% in 2015. Despite revenue decline the EBITDA margin expanded. EBITDA Margin jumped on 81.6 pp from -68.5% to 13.2% in 2015.
Gross Margin jumped on 22.6 pp from -19.2% to 3.4% in 2015. SG&A as a % of Revenue surged on 144 pp from 74.2% to 218% in 2015.
Net Income marign surged on 116 pp from -158% to -41.9% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 Cypress Jade Agricultural Holdings Ltd had CAPEX/Revenue of 13.1%. Cypress Jade Agricultural Holdings Ltd showed decline in CAPEX/Revenue of 4.6 pp from 17.7% in 2012 to 13.1% in 2015. It's average level of CAPEX/Revenue for the last three years was 14.6%.The company invested a big chunk of EBITDA (99.5%) to CAPEX which didn't stop revenue from falling.
Return on investment
The company operates at negative ROIC (-0.14%) and ROE (-23.62%). ROIC surged on 52.1 pp from -52.2% to -0.14% in 2015. ROE jumped on 165 pp from -188% to -23.6% in 2015.
Leverage (Debt)
Debt level is 6.2x Net Debt / EBITDA and 9.5x Debt / EBITDA. Net Debt / EBITDA jumped6.2x from to 6.2x in 2015. Debt jumped on 49.5% in 2015 while cash jumped on 336% in 2015.
Appendix 1: Peers in Agriculture
Below you can find Cypress Jade Agricultural Holdings Ltd benchmarking vs. other companies in Agriculture 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 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| CP Pokphand Co Ltd ($43) | | 36.9% | 9.2% | 1.7% | -6.9% |
| Chaoda Modern Agriculture Holdings Ltd ($682) | | -60.8% | -27.8% | -36.0% | -9.8% |
| China Agri-Industries Holdings Ltd ($606) | | 10.9% | 3.5% | -1.4% | -11.5% |
| |
|---|
| Median (3 companies) | 16.9% | 11.3% | 5.7% | -0.9% | -9.8% |
|---|
| Cypress Jade Agricultural Holdings Ltd ($875) | | 1,594.6% | 0.2% | -61.3% | -2.5% |
Top companies by Gross margin, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| CP Pokphand Co Ltd ($43) | 15.3% | 13.6% | 12.7% | 15.5% | 17.6% |
| China Agri-Industries Holdings Ltd ($606) | 8.2% | 6.4% | 6.0% | 4.6% | 5.2% |
| Chaoda Modern Agriculture Holdings Ltd ($682) | 61.8% | -7.8% | -6.2% | -18.6% | -29.1% |
| |
|---|
| Median (3 companies) | 19.4% | 10.0% | 9.4% | 10.1% | 5.2% |
|---|
| Cypress Jade Agricultural Holdings Ltd ($875) | 2.6% | 32.8% | 30.6% | -19.2% | 3.4% |
Top companies by EBITDA margin, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| CP Pokphand Co Ltd ($43) | 8.3% | 7.6% | 6.1% | 8.0% | 9.9% |
| China Agri-Industries Holdings Ltd ($606) | 5.3% | 3.7% | 2.7% | 1.7% | 3.1% |
| Chaoda Modern Agriculture Holdings Ltd ($682) | 46.8% | -130.5% | -101.7% | -79.4% | -458.9% |
| |
|---|
| Median (3 companies) | 14.2% | 5.6% | 4.4% | 4.9% | 3.1% |
|---|
| Cypress Jade Agricultural Holdings Ltd ($875) | -76.7% | 1.9% | -5.7% | -68.5% | 13.2% |
Top companies by CAPEX/Revenue, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Chaoda Modern Agriculture Holdings Ltd ($682) | 55.4% | 52.1% | 10.9% | 19.2% | 12.4% |
| CP Pokphand Co Ltd ($43) | 2.3% | 3.6% | 5.2% | 5.9% | 6.5% |
| China Agri-Industries Holdings Ltd ($606) | 7.4% | 5.4% | 3.5% | 2.0% | 1.9% |
| |
|---|
| Median (3 companies) | 6.5% | 12.1% | 8.1% | 7.5% | 6.5% |
|---|
| Cypress Jade Agricultural Holdings Ltd ($875) | 0.0% | 17.7% | 16.2% | 14.6% | 13.1% |
Top companies by ROIC, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| CP Pokphand Co Ltd ($43) | 22.3% | 19.7% | 13.5% | 15.2% | 16.7% |
| China Agri-Industries Holdings Ltd ($606) | 6.5% | 3.5% | 1.8% | -0.1% | 1.3% |
| Chaoda Modern Agriculture Holdings Ltd ($682) | 12.8% | -20.2% | -16.8% | -11.6% | -56.2% |
| |
|---|
| Median (3 companies) | 17.5% | 11.6% | 7.7% | 5.7% | 1.3% |
|---|
| Cypress Jade Agricultural Holdings Ltd ($875) | | -15.4% | -17.7% | -52.2% | -0.1% |
Top companies by Net Debt / EBITDA
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Agri-Industries Holdings Ltd ($606) | 5.4x | 6.7x | 7.6x | 13.8x | 8.8x |
| CP Pokphand Co Ltd ($43) | 1.2x | 1.0x | 1.8x | 1.9x | 1.6x |
| |
|---|
| Median (2 companies) | 0.9x | 1.0x | 1.8x | 2.0x | 5.2x |
|---|
| Cypress Jade Agricultural Holdings Ltd ($875) | | 1.3x | | | 6.2x |
