Consun Pharmaceutical Group Ltd EBITDA jumped on 24.0% in 2015 and Revenue surged on 13.7%
30/03/2016 • About Consun Pharmaceutical Group Ltd (
$1681) • By InTwits
Consun Pharmaceutical Group Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Consun Pharmaceutical Group Ltd is a fast growth stock: 2015 revenue growth was 13.7%, 5 year revenue CAGR was 22.3% at 2015 ROIC 18.3%
- Consun Pharmaceutical Group Ltd has medium CAPEX intensity: 5 year average CAPEX/Revenue was 6.5%. At the same time it's in pair with industry average of 8.2%.
- CAPEX is quite volatile: 17.3 in 2015, 21.0 in 2014, 64.1 in 2013, 37.3 in 2012, 31.6 in 2011
- The company has highly profitable business model: ROIC is at 18.3%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Consun Pharmaceutical Group Ltd ($1681) key annual financial indicators
| mln. CNY | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 389.3 | 457.8 | 571.8 | 730.7 | 831.1 | 13.7% |
| Gross Profit | 293.8 | 346.7 | 452.2 | 571.8 | 670.6 | 17.3% |
| SG&A | 151.2 | 172.8 | 234.8 | 317.6 | 350.7 | 10.4% |
| EBITDA | 154.2 | 188.4 | 219.1 | 251.2 | 311.6 | 24.0% |
| Net Income | 107.3 | 136.2 | 152.9 | 211.2 | 249.7 | 18.2% |
Balance Sheet
|
|---|
| Cash | 64.9 | 81.8 | 902.0 | 843.7 | 490.0 | -41.9% |
| Short Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
| Long Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 31.6 | 37.3 | 64.1 | 21.0 | 17.3 | -17.6% |
Ratios
|
|---|
| Revenue growth | 28.2% | 17.6% | 24.9% | 27.8% | 13.7% | |
| EBITDA growth | 36.2% | 22.2% | 16.3% | 14.7% | 24.0% | |
| Gross Margin | 75.5% | 75.7% | 79.1% | 78.3% | 80.7% | 2.4% |
| EBITDA Margin | 39.6% | 41.2% | 38.3% | 34.4% | 37.5% | 3.1% |
| Net Income Margin | 27.6% | 29.8% | 26.7% | 28.9% | 30.0% | 1.1% |
| SG&A, % of revenue | 38.8% | 37.7% | 41.1% | 43.5% | 42.2% | -1.3% |
| CAPEX, % of revenue | 8.1% | 8.2% | 11.2% | 2.9% | 2.1% | -0.8% |
| ROIC | 50.1% | 51.1% | 24.2% | 16.8% | 18.3% | 1.5% |
| ROE | 43.5% | 45.3% | 19.0% | 15.7% | 16.3% | 0.6% |
| Net Debt/EBITDA | -0.4x | -0.4x | -4.1x | -3.4x | -1.6x | 1.8x |
Revenue and profitability
Consun Pharmaceutical Group Ltd's Revenue jumped on 13.7% in 2015. Revenue growth happened at the same time with EBITDA margin expansion. EBITDA Margin increased on 3.1 pp from 34.4% to 37.5% in 2015.
Gross Margin increased on 2.4 pp from 78.3% to 80.7% in 2015. SG&A as a % of Revenue decreased slightly on 1.3 pp from 43.5% to 42.2% in 2015.
Net Income marign increased slightly on 1.1 pp from 28.9% to 30.0% in 2015.
Capital expenditures (CAPEX) and working capital investments
Consun Pharmaceutical Group Ltd's CAPEX/Revenue was 2.1% in 2015. The company's CAPEX/Revenue decreased on 6.1 pp from 8.2% in 2012 to 2.1% in 2015. It's average CAPEX/Revenue for the last three years was 5.4%.
Return on investment
The company operates at good ROIC (18.33%) and ROE (16.27%). ROIC increased slightly on 1.5 pp from 16.8% to 18.3% in 2015. ROE increased slightly on 0.57 pp from 15.7% to 16.3% in 2015.
Leverage (Debt)
The company has no debt. Cash dropped on 41.9% in 2015.
Appendix 1: Peers in Pharmaceuticals
Below we provide Consun Pharmaceutical Group Ltd benchmarking against other companies in Pharmaceuticals 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 |
|---|
| China Health Group Inc ($8225) | | 58.5% | -48.0% | -60.1% | 244.1% |
| Wai Yuen Tong Medicine Holdings Ltd ($897) | | -9.9% | 45.9% | -10.5% | 105.6% |
| Oriental Unicorn Agricultural Group Ltd ($8120) | | 30.2% | -78.1% | 16.8% | 100.8% |
| China Traditional Chinese Medicine Co Ltd ($570) | | 22.3% | 35.2% | 90.0% | 40.0% |
| Shandong Luoxin Pharmaceutical Group Stock Co Ltd ($8058) | | 37.0% | 13.5% | 9.4% | 30.5% |
| |
|---|
| Median (38 companies) | 7.4% | 14.3% | 13.5% | 15.3% | 3.3% |
|---|
| Consun Pharmaceutical Group Ltd ($1681) | | 17.6% | 24.9% | 27.8% | 13.7% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Luye Pharma Group Ltd ($2186) | 83.0% | 83.5% | 83.6% | 81.0% | 81.4% |
| Jilin Province Huinan Changlong Bio-pharmacy Co Ltd ($8049) | 83.9% | 82.0% | 81.5% | 80.9% | 79.9% |
| Sino Biopharmaceutical Ltd ($1177) | 78.5% | 78.5% | 77.5% | 76.4% | 77.7% |
| China Health Group Inc ($8225) | 38.7% | 43.4% | 33.6% | 76.2% | 75.7% |
| Sihuan Pharmaceutical Holdings Group Ltd ($460) | 76.5% | 75.2% | 56.3% | 68.5% | 70.3% |
| |
|---|
| Median (37 companies) | 38.0% | 39.1% | 37.2% | 48.7% | 49.9% |
|---|
| Consun Pharmaceutical Group Ltd ($1681) | 75.5% | 75.7% | 79.1% | 78.3% | 80.7% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Northeast Tiger Pharmaceutical Corp Ltd ($8197) | 132.2% | 193.8% | 205,840.0% | -15,344.8% | 49,650.0% |
| Sihuan Pharmaceutical Holdings Group Ltd ($460) | 48.4% | 38.8% | 65.4% | 70.9% | 93.3% |
| Hua Han Bio-Pharmaceutical Holdings Ltd ($587) | 32.9% | 60.6% | 21.0% | 28.8% | 61.1% |
| U-Home Group Holdings Ltd ($2327) | 23.9% | 9.8% | -16.6% | -46.7% | 51.7% |
| Beijing Tong Ren Tang Chinese Medicine Co Ltd ($8138) | 29.7% | 41.3% | 45.4% | 47.5% | 49.1% |
| |
|---|
| Median (38 companies) | 17.0% | 18.7% | 19.7% | 21.4% | 20.0% |
|---|
| Consun Pharmaceutical Group Ltd ($1681) | 39.6% | 41.2% | 38.3% | 34.4% | 37.5% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Hao Wen Holdings Ltd ($8019) | 6.4% | 30.0% | 2.3% | 38.2% | 44.8% |
| Hua Han Bio-Pharmaceutical Holdings Ltd ($587) | 3.8% | 0.9% | 1.4% | 7.6% | 40.5% |
| Lee's Pharmaceutical Holdings Ltd ($950) | 8.5% | 18.6% | 20.9% | 7.1% | 26.1% |
| Tianda Pharmaceuticals Ltd ($455) | 4.8% | 6.0% | 3.9% | 10.5% | 24.4% |
| Lijun International Pharmaceutical Holding Co Ltd ($2005) | 19.5% | 16.8% | 52.4% | 39.6% | 18.7% |
| |
|---|
| Median (37 companies) | 10.9% | 8.3% | 8.1% | 7.6% | 4.5% |
|---|
| Consun Pharmaceutical Group Ltd ($1681) | 8.1% | 8.2% | 11.2% | 2.9% | 2.1% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Sino Biopharmaceutical Ltd ($1177) | 19.9% | 26.2% | 26.8% | 26.5% | 26.2% |
| Beijing Tong Ren Tang Chinese Medicine Co Ltd ($8138) | | 25.3% | 27.5% | 23.8% | 25.9% |
| Sihuan Pharmaceutical Holdings Group Ltd ($460) | 14.3% | 13.7% | 18.3% | 22.0% | 25.4% |
| Dawnrays Pharmaceutical Holdings Ltd ($2348) | 17.7% | 12.6% | 14.0% | 17.8% | 23.5% |
| Lee's Pharmaceutical Holdings Ltd ($950) | 31.3% | 26.1% | 22.0% | 22.4% | 22.7% |
| |
|---|
| Median (39 companies) | 8.5% | 12.2% | 9.3% | 11.1% | 10.1% |
|---|
| Consun Pharmaceutical Group Ltd ($1681) | 50.1% | 51.1% | 24.2% | 16.8% | 18.3% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Northeast Tiger Pharmaceutical Corp Ltd ($8197) | 2.2x | 2.3x | 3.7x | | 22.2x |
| U-Home Group Holdings Ltd ($2327) | 3.3x | 10.1x | | | 9.9x |
| Lansen Pharmaceutical Holdings Ltd ($503) | 0.9x | 1.7x | 2.8x | 3.4x | 4.7x |
| China Grand Pharmaceutical and Healthcare Holdings Ltd ($512) | 2.5x | 5.4x | 4.0x | 3.4x | 4.3x |
| United Laboratories International Holdings Ltd/The ($3933) | 4.4x | 6.5x | 4.6x | 4.2x | 4.0x |
| |
|---|
| Median (31 companies) | -0.8x | 0.0x | -0.2x | -0.6x | -0.3x |
|---|
| Consun Pharmaceutical Group Ltd ($1681) | -0.4x | -0.4x | -4.1x | -3.4x | -1.6x |
