Boer Power Holdings Ltd EBITDA jumped on 20.8% in 2015 and EBITDA Margin showed almost no change
30/03/2016 • About Boer Power Holdings Ltd (
$1685) • By InTwits
Boer Power Holdings Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Boer Power Holdings Ltd is a fast growth stock: 2015 revenue growth was 20.8%, 5 year revenue CAGR was 22.1% at 2015 ROIC 19.5%
- Boer Power Holdings Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 4.1%. At the same time it's a lot of higher than industry average of 13.9%.
- CAPEX is quite volatile: 5.0 in 2015, 20.1 in 2014, 28.0 in 2013, 53.4 in 2012, 131 in 2011
- The company has highly profitable business model: ROIC is at 19.5%
- It operates with high leverage: Net Debt/EBITDA is 2.4x while industry average is 0.2x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Boer Power Holdings Ltd ($1685) key annual financial indicators
| mln. CNY | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 1,015 | 1,221 | 1,354 | 2,048 | 2,474 | 20.8% |
| Gross Profit | 376 | 450 | 487 | 722 | 883 | 22.2% |
| SG&A | 135 | 147 | 191 | 214 | 282 | 31.9% |
| EBITDA | 285 | 321 | 377 | 585 | 706 | 20.8% |
| Net Income | 253 | 294 | 345 | 459 | 520 | 13.3% |
Balance Sheet
|
|---|
| Cash | 653 | 382 | 852 | 666 | 155 | -76.7% |
| Short Term Debt | 38 | 0 | 430 | 671 | 1,852 | 175.9% |
| Long Term Debt | 0 | 0 | 0 | 0 | 0 | |
Cash flow
|
|---|
| Capex | 131 | 53 | 28 | 20 | 5 | -75.2% |
Ratios
|
|---|
| Revenue growth | 11.4% | 20.4% | 10.9% | 51.3% | 20.8% | |
| EBITDA growth | 31.5% | 12.7% | 17.4% | 55.2% | 20.8% | |
| Gross Margin | 37.1% | 36.8% | 36.0% | 35.3% | 35.7% | 0.4% |
| EBITDA Margin | 28.1% | 26.3% | 27.8% | 28.5% | 28.6% | 0.0% |
| Net Income Margin | 24.9% | 24.1% | 25.5% | 22.4% | 21.0% | -1.4% |
| SG&A, % of revenue | 13.4% | 12.1% | 14.1% | 10.5% | 11.4% | 1.0% |
| CAPEX, % of revenue | 13.0% | 4.4% | 2.1% | 1.0% | 0.2% | -0.8% |
| ROIC | 18.2% | 18.0% | 17.0% | 21.2% | 19.5% | -1.7% |
| ROE | 17.6% | 18.1% | 18.7% | 22.1% | 23.7% | 1.6% |
| Net Debt/EBITDA | -2.2x | -1.2x | -1.1x | 0.0x | 2.4x | 2.4x |
Revenue and profitability
Boer Power Holdings Ltd's Revenue surged on 20.8% in 2015. EBITDA Margin showed almost no change in 2015.
Gross Margin showed almost no change in 2015. SG&A as a % of Revenue increased slightly on 0.96 pp from 10.5% to 11.4% in 2015.
Net Income marign decreased slightly on 1.4 pp from 22.4% to 21.0% in 2015.
Capital expenditures (CAPEX) and working capital investments
Boer Power Holdings Ltd's CAPEX/Revenue was 0.20% in 2015. Boer Power Holdings Ltd showed decline in CAPEX/Revenue of 4.2 pp from 4.4% in 2012 to 0.20% in 2015. Average CAPEX/Revenue for the last three years was 1.1%.
Return on investment
The company operates at high and attractive ROE (23.69%) while ROIC is a bit lower (19.46%). ROIC decreased slightly on 1.7 pp from 21.2% to 19.5% in 2015. ROE increased slightly on 1.6 pp from 22.1% to 23.7% in 2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 2.4x and Debt / EBITDA is 2.6x. Net Debt / EBITDA jumped on 2.4x from 0.0091x to 2.4x in 2015. Debt jumped on 176% in 2015 while cash dropped on 76.7% in 2015.
Appendix 1: Peers in Electrical Compo&Equip
Below you can find Boer Power Holdings Ltd benchmarking vs. other companies in Electrical Compo&Equip 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 |
|---|
| Applied Development Holdings Ltd ($519) | | -29.1% | | | 850.5% |
| FDG Electric Vehicles Ltd ($729) | | -23.1% | -7.0% | 54.0% | 270.8% |
| Xinjiang Goldwind Science & Technology Co Ltd ($2208) | | -12.0% | 8.7% | 44.1% | 69.8% |
| Sun King Power Electronics Group ($580) | | -6.0% | 29.0% | -30.1% | 51.2% |
| CEC International Holdings Ltd ($759) | | 23.9% | 60.8% | 43.0% | 32.3% |
| |
|---|
| Median (26 companies) | 13.4% | -6.0% | 8.5% | 15.5% | 4.6% |
|---|
| Boer Power Holdings Ltd ($1685) | | 20.4% | 10.9% | 51.3% | 20.8% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Titans Energy Technology Group Co Ltd ($2188) | 45.4% | 41.4% | 27.3% | 33.7% | 36.6% |
| Sun King Power Electronics Group ($580) | 16.2% | 25.4% | 30.0% | 30.8% | 34.1% |
| CEC International Holdings Ltd ($759) | 18.5% | 23.6% | 27.9% | 29.9% | 31.8% |
| Johnson Electric Holdings Ltd ($179) | 27.5% | 27.3% | 28.0% | 29.5% | 29.6% |
| Xinjiang Goldwind Science & Technology Co Ltd ($2208) | 16.1% | 14.2% | 20.1% | 26.0% | 26.1% |
| |
|---|
| Median (31 companies) | 20.4% | 18.8% | 17.4% | 16.2% | 18.1% |
|---|
| Boer Power Holdings Ltd ($1685) | 37.1% | 36.8% | 36.0% | 35.3% | 35.7% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Shougang Concord Technology Holdings ($521) | 22.7% | 12.3% | 28.1% | 31.9% | |
| China High Speed Transmission Equipment Group Co Ltd ($658) | 21.0% | 20.2% | 19.2% | 20.8% | 26.3% |
| Xinjiang Goldwind Science & Technology Co Ltd ($2208) | 9.2% | 5.7% | 7.4% | 16.9% | 13.2% |
| Johnson Electric Holdings Ltd ($179) | 14.9% | 14.2% | 14.5% | 15.5% | 15.4% |
| Guodian Technology & Environment Group Corp Ltd ($1296) | 9.4% | 11.2% | 10.8% | 13.5% | 9.6% |
| |
|---|
| Median (33 companies) | 10.7% | 7.8% | 7.0% | 3.8% | 6.0% |
|---|
| Boer Power Holdings Ltd ($1685) | 28.1% | 26.3% | 27.8% | 28.5% | 28.6% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Applied Development Holdings Ltd ($519) | 46.4% | 79.7% | | 1,285.3% | 89.8% |
| FDG Electric Vehicles Ltd ($729) | 177.5% | 374.3% | 82.3% | 71.1% | 417.0% |
| Sun King Power Electronics Group ($580) | 9.2% | 16.5% | 7.7% | 15.5% | 1.6% |
| Xinjiang Goldwind Science & Technology Co Ltd ($2208) | 23.7% | 23.1% | 50.7% | 13.5% | 22.8% |
| Coslight Technology International Group Co Ltd ($1043) | 11.0% | 9.3% | 11.4% | 11.5% | |
| |
|---|
| Median (33 companies) | 9.2% | 6.7% | 5.4% | 4.0% | 2.7% |
|---|
| Boer Power Holdings Ltd ($1685) | 13.0% | 4.4% | 2.1% | 1.0% | 0.2% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Jiangnan Group Ltd ($1366) | 17.0% | 14.9% | 14.1% | 13.5% | 12.8% |
| Johnson Electric Holdings Ltd ($179) | 13.1% | 11.7% | 11.6% | 12.7% | 11.2% |
| Xinjiang Goldwind Science & Technology Co Ltd ($2208) | 5.1% | 1.8% | 3.0% | 10.4% | 12.0% |
| Wai Chi Holdings Co Ltd ($1305) | | | 10.4% | 9.8% | -0.3% |
| Hengxin Technology Ltd ($1085) | 13.9% | 8.1% | 9.3% | 9.0% | 10.2% |
| |
|---|
| Median (33 companies) | 5.4% | 2.7% | 3.0% | 0.7% | 2.9% |
|---|
| Boer Power Holdings Ltd ($1685) | 18.2% | 18.0% | 17.0% | 21.2% | 19.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Wai Chi Holdings Co Ltd ($1305) | 3.1x | 3.4x | 3.1x | 2.0x | 11.8x |
| Guodian Technology & Environment Group Corp Ltd ($1296) | 5.4x | 6.3x | 7.6x | 6.8x | 6.9x |
| Leoch International Technology Ltd ($842) | 3.4x | 9.3x | 16.3x | 4.7x | 5.0x |
| CEC International Holdings Ltd ($759) | 2.5x | 3.9x | 6.1x | 4.1x | 4.9x |
| Chaowei Power Holdings Ltd ($951) | 0.5x | 1.4x | 2.1x | 6.1x | 2.9x |
| |
|---|
| Median (21 companies) | 0.5x | 1.6x | 1.8x | 2.3x | 1.4x |
|---|
| Boer Power Holdings Ltd ($1685) | -2.2x | -1.2x | -1.1x | 0.0x | 2.4x |
