Sino Oil And Gas Holdings Ltd Net Income dropped on 4,692% in 2015 and EBITDA Margin dropped on 113 pp from 49.6% to -63.8%
30/03/2016 • About Sino Oil And Gas Holdings Ltd (
$702) • By InTwits
Sino Oil And Gas Holdings Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Sino Oil And Gas Holdings Ltd doesn't have a profitable business model yet: 2015 ROIC is -1.3%
- The company operates at negative EBITDA Margin: -63.8%
- Sino Oil And Gas 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 -123.2%0
- Sino Oil And Gas Holdings Ltd has high CAPEX intensity: 5 year average CAPEX/Revenue was 29.9%. At the same time it's a lot of higher than industry average of 13.8%.
- CAPEX is quite volatile: 3.4 in 2015, 1.8 in 2014, 1.7 in 2013, 6.2 in 2012, 36.5 in 2011
- The company has unprofitable business model: ROIC is at -1.3%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Sino Oil And Gas Holdings Ltd ($702) key annual financial indicators
| mln. HKD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 35.079 | 28.932 | 21.598 | 16.540 | 67.021 | 305.2% |
| Gross Profit | 3.699 | 3.517 | -3.799 | -3.199 | 3.663 | -214.5% |
| SG&A | | | | 62.101 | 149.735 | 141.1% |
| EBITDA | -95.988 | -49.404 | -28.570 | 8.203 | -42.727 | -620.9% |
| Net Income | -96.239 | -113.405 | -61.332 | 10.420 | -478.521 | -4,692.3% |
Balance Sheet
|
|---|
| Cash | 344.451 | 71.114 | 17.536 | 19.455 | 35.564 | 82.8% |
| Short Term Debt | 101.164 | 92.834 | 145.932 | 126.885 | 378.184 | 198.1% |
| Long Term Debt | 285.693 | 368.739 | 471.130 | 348.145 | 509.587 | 46.4% |
Cash flow
|
|---|
| Capex | 36.511 | 6.167 | 1.701 | 1.826 | 3.441 | 88.4% |
Ratios
|
|---|
| Revenue growth | 20.0% | -17.5% | -25.3% | -23.4% | 305.2% | |
| EBITDA growth | 83.8% | -48.5% | -42.2% | -128.7% | -620.9% | |
| Gross Margin | 10.5% | 12.2% | -17.6% | -19.3% | 5.5% | 24.8% |
| EBITDA Margin | -273.6% | -170.8% | -132.3% | 49.6% | -63.8% | -113.3% |
| Net Income Margin | -274.3% | -392.0% | -284.0% | 63.0% | -714.0% | -777.0% |
| SG&A, % of revenue | | | | 375.5% | 223.4% | -152.0% |
| CAPEX, % of revenue | 104.1% | 21.3% | 7.9% | 11.0% | 5.1% | -5.9% |
| ROIC | -3.5% | -1.6% | -0.9% | 0.1% | -1.3% | -1.4% |
| ROE | -3.4% | -3.7% | -1.9% | 0.3% | -12.7% | -13.0% |
| Net Debt/EBITDA | | | | 55.5x | | -55.5x |
Revenue and profitability
Sino Oil And Gas Holdings Ltd's Revenue surged on 305% in 2015. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin dropped on 39.3 pp from 0.19% to -39.1% in 2015.
Gross Margin jumped on 24.8 pp from -19.3% to 5.5% in 2015. SG&A as a % of Revenue dropped on 152 pp from 375% to 223% in 2015.
Net Income marign dropped on 777 pp from 63.0% to -714% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 Sino Oil And Gas Holdings Ltd had CAPEX/Revenue of 5.1%. Sino Oil And Gas Holdings Ltd's CAPEX/Revenue dropped on 16.2 pp from 21.3% in 2012 to 5.1% in 2015. Average CAPEX/Revenue for the last three years was 8.0%.
Return on investment
The company operates at negative ROIC (-1.31%) and ROE (-12.69%). ROIC decreased slightly on 1.4 pp from 0.090% to -1.3% in 2015. ROE dropped on 13.0 pp from 0.28% to -12.7% in 2015.
Leverage (Debt)
Debt level is -1.5x Net Debt / EBITDA and Debt / EBITDA. Net Debt / EBITDA dropped on 55.5x from 55.5x to in 2015. Debt jumped on 86.9% in 2015 while cash jumped on 82.8% in 2015.
Appendix 1: Peers in Oil&Gas
Below you can find Sino Oil And Gas Holdings Ltd benchmarking vs. other companies in Oil&Gas 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 CBM Group Co Ltd ($8270) | | -27.6% | 1.8% | 60.9% | 9.3% |
| Brightoil Petroleum Holdings Ltd ($933) | | 76.9% | -20.8% | 52.5% | -12.3% |
| United Energy Group Ltd ($467) | | 266.5% | 49.0% | 27.8% | -11.5% |
| Yanchang Petroleum International Ltd ($346) | -1.8% | 641.9% | 155.6% | 15.5% | |
| Kunlun Energy Co Ltd ($135) | | 27.2% | 31.8% | 10.6% | -13.3% |
| |
|---|
| Median (17 companies) | 30.1% | 15.7% | 8.7% | -1.8% | -19.5% |
|---|
| Sino Oil And Gas Holdings Ltd ($702) | | -17.5% | -25.3% | -23.4% | 305.2% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| EPI Holdings Ltd ($689) | 0.3% | 58.0% | 50.7% | 54.6% | 41.2% |
| United Energy Group Ltd ($467) | 15.4% | 39.4% | 48.0% | 53.8% | 51.5% |
| Enviro Energy International Holdings Ltd ($1102) | 25.0% | 49.3% | 76.9% | 38.6% | 3.4% |
| South Sea Petroleum Holdings Ltd ($76) | 48.2% | 27.3% | 25.3% | 38.5% | |
| Zhongyu Gas Holdings Ltd ($3633) | 23.9% | 23.6% | 23.8% | 24.9% | |
| |
|---|
| Median (11 companies) | 6.2% | 6.9% | 6.8% | 10.6% | 5.3% |
|---|
| Sino Oil And Gas Holdings Ltd ($702) | 10.5% | 12.2% | -17.6% | -19.3% | 5.5% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| United Energy Group Ltd ($467) | 100.6% | 71.2% | 65.3% | 69.8% | -31.9% |
| MIE Holdings Corp ($1555) | 58.1% | 57.0% | 54.5% | 57.1% | -74.8% |
| CNOOC Ltd ($883) | 50.3% | 48.5% | 47.2% | 50.7% | 53.0% |
| Kunlun Energy Co Ltd ($135) | 46.8% | 47.0% | 39.5% | 34.9% | 30.9% |
| Zhongyu Gas Holdings Ltd ($3633) | 15.3% | 18.6% | 18.9% | 21.0% | |
| |
|---|
| Median (17 companies) | 5.6% | 5.2% | 4.1% | 5.9% | 4.4% |
|---|
| Sino Oil And Gas Holdings Ltd ($702) | -273.6% | -170.8% | -132.3% | 49.6% | -63.8% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Enviro Energy International Holdings Ltd ($1102) | 1,208.5% | 301.4% | 46.5% | 111.0% | 7.9% |
| MIE Holdings Corp ($1555) | 43.9% | 52.2% | 43.3% | 44.1% | 62.4% |
| United Energy Group Ltd ($467) | 60.0% | 37.2% | 62.7% | 42.4% | 49.1% |
| CNOOC Ltd ($883) | 21.9% | 25.4% | 30.3% | 34.8% | 39.5% |
| China CBM Group Co Ltd ($8270) | 52.3% | 58.1% | 81.7% | 22.5% | 9.7% |
| |
|---|
| Median (17 companies) | 17.6% | 12.5% | 9.5% | 4.5% | 11.2% |
|---|
| Sino Oil And Gas Holdings Ltd ($702) | 104.1% | 21.3% | 7.9% | 11.0% | 5.1% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| CNOOC Ltd ($883) | 32.4% | 25.7% | 18.1% | 15.8% | 3.2% |
| United Energy Group Ltd ($467) | 3.6% | 7.4% | 10.3% | 15.7% | -25.0% |
| Shanghai Tonva Petrochemical Co Ltd ($1103) | 5.4% | 7.3% | 12.6% | 13.0% | |
| Zhongyu Gas Holdings Ltd ($3633) | 10.6% | 17.4% | 15.0% | 12.3% | |
| Kunlun Energy Co Ltd ($135) | 12.3% | 13.0% | 12.6% | 11.0% | 7.7% |
| |
|---|
| Median (19 companies) | 4.5% | 4.2% | 6.3% | 4.7% | -5.7% |
|---|
| Sino Oil And Gas Holdings Ltd ($702) | -3.5% | -1.6% | -0.9% | 0.1% | -1.3% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Titan Petrochemicals Group Ltd ($1192) | | | | 95.2x | |
| Zhongyu Gas Holdings Ltd ($3633) | 2.0x | 1.6x | 2.3x | 3.7x | |
| Shanghai Tonva Petrochemical Co Ltd ($1103) | 8.3x | 6.0x | 4.3x | 3.6x | |
| China CBM Group Co Ltd ($8270) | 1.3x | 3.2x | | 3.3x | 2.1x |
| Brightoil Petroleum Holdings Ltd ($933) | 2.7x | 8.9x | | 3.1x | 2.9x |
| |
|---|
| Median (12 companies) | 1.2x | 1.5x | 1.1x | 2.1x | 1.7x |
|---|
| Sino Oil And Gas Holdings Ltd ($702) | | | | 55.5x | |
