Burwill Holdings Ltd revenue dropped on 25.7% in 2015 and EBITDA Margin decreased slightly on 0.99 pp from -0.39% to -1.4%
31/03/2016 • About Burwill Holdings Ltd (
$24) • By InTwits
Burwill Holdings Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Burwill Holdings Ltd is a company in decline: 2015 revenue growth was -25.7%, 5 years revenue CAGR was -5.3%
- The company operates at negative EBITDA Margin: -1.4%
- Burwill 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 -0.4%0
- Burwill Holdings Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 0.0%.
- The company has unprofitable business model: ROIC is at -3.4%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Burwill Holdings Ltd ($24) key annual financial indicators
| mln. HKD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 7,623 | 4,916 | 4,466 | 6,215 | 4,619 | -25.7% |
| Gross Profit | 179 | 95 | 64 | 84 | 71 | -15.7% |
| SG&A | | 103 | 54 | 57 | 98 | 72.1% |
| EBITDA | 49 | -39 | -27 | -24 | -64 | 162.1% |
| Net Income | -305 | -465 | -4 | -279 | -123 | -55.8% |
Balance Sheet
|
|---|
| Cash | 247 | 229 | 165 | 129 | 348 | 169.8% |
| Short Term Debt | 918 | 749 | 695 | 577 | 557 | -3.5% |
| Long Term Debt | 168 | 193 | 224 | 57 | 57 | -0.3% |
Cash flow
|
|---|
| Capex | 9 | 1 | 3 | 1 | 0 | -85.8% |
Ratios
|
|---|
| Revenue growth | 25.4% | -35.5% | -9.2% | 39.2% | -25.7% | |
| EBITDA growth | 56.9% | -179.5% | -30.1% | -10.4% | 162.1% | |
| Gross Margin | 2.3% | 1.9% | 1.4% | 1.4% | 1.5% | 0.2% |
| EBITDA Margin | 0.6% | -0.8% | -0.6% | -0.4% | -1.4% | -1.0% |
| Net Income Margin | -4.0% | -9.5% | -0.1% | -4.5% | -2.7% | 1.8% |
| SG&A, % of revenue | | 2.1% | 1.2% | 0.9% | 2.1% | 1.2% |
| CAPEX, % of revenue | 0.1% | 0.0% | 0.1% | 0.0% | 0.0% | -0.0% |
| ROIC | 0.8% | -1.8% | -1.5% | -1.6% | -3.4% | -1.8% |
| ROE | -15.1% | -27.1% | -0.2% | -20.2% | -9.9% | 10.3% |
| Net Debt/EBITDA | 17.2x | | | | | 0.0x |
Revenue and profitability
The company's Revenue dropped on 25.7% in 2015. Revenue decline was worsened by EBITDA margin decline. EBITDA Margin decreased slightly on 0.99 pp from -0.39% to -1.4% in 2015.
Gross Margin showed almost no change in 2015. SG&A as a % of Revenue increased slightly on 1.2 pp from 0.92% to 2.1% in 2015.
Net Income marign increased slightly on 1.8 pp from -4.5% to -2.7% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 Burwill Holdings Ltd had CAPEX/Revenue of 0.0041%. CAPEX/Revenue showed almost no change from 2012 to 2015. It's average level of CAPEX/Revenue for the last three years was 0.029%.
Return on investment
The company operates at negative ROIC (-3.39%) and ROE (-9.90%). ROIC decreased slightly on 1.8 pp from -1.6% to -3.4% in 2015. ROE jumped on 10.3 pp from -20.2% to -9.9% in 2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 1.4x and Debt / EBITDA is . Net Debt / EBITDA didn't change in 2015. Debt decreased on 3.2% in 2015 while cash surged on 170% in 2015.
Appendix 1: Peers in Metal Fabricate/Hardware
Below we provide Burwill Holdings Ltd benchmarking against other companies in Metal Fabricate/Hardware 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 |
|---|
| EVA Precision Industrial Holdings Ltd ($838) | | 19.7% | 12.2% | 30.1% | 2.3% |
| China Zhongwang Holdings Ltd ($1333) | | 31.0% | 6.0% | 11.6% | 1.3% |
| Ka Shui International Holdings Ltd ($822) | | 31.7% | 15.1% | -12.4% | -2.7% |
| Shengli Oil & Gas Pipe Holdings Ltd ($1080) | | 5.4% | 33.1% | -21.4% | -2.7% |
| Lung Kee Bermuda Holdings ($255) | | -5.2% | -7.5% | 8.2% | -5.2% |
| |
|---|
| Median (8 companies) | | 10.8% | 11.1% | 2.2% | -4.0% |
|---|
| Burwill Holdings Ltd ($24) | | -35.5% | -9.2% | 39.2% | -25.7% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Zhongwang Holdings Ltd ($1333) | 21.6% | 24.2% | 26.8% | 28.0% | 32.9% |
| EVA Precision Industrial Holdings Ltd ($838) | 24.7% | 21.6% | 24.1% | 26.2% | 26.5% |
| Ka Shui International Holdings Ltd ($822) | 19.4% | 22.5% | 22.1% | 19.6% | 19.0% |
| Chu Kong Petroleum & Natural Gas Steel Pipe Holdings Ltd ($1938) | 15.1% | 17.0% | 15.4% | 11.6% | 16.0% |
| New Times Energy Corp Ltd ($166) | 1.0% | -2.7% | 0.8% | 22.6% | 4.6% |
| |
|---|
| Median (7 companies) | 15.1% | 17.0% | 15.4% | 19.6% | 16.0% |
|---|
| Burwill Holdings Ltd ($24) | 2.3% | 1.9% | 1.4% | 1.4% | 1.5% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Zhongwang Holdings Ltd ($1333) | 22.0% | 22.3% | 24.3% | 24.2% | 29.1% |
| Lung Kee Bermuda Holdings ($255) | 19.3% | 15.3% | 14.8% | 11.7% | 15.2% |
| EVA Precision Industrial Holdings Ltd ($838) | 16.8% | 10.4% | 9.9% | 16.7% | 14.9% |
| Ka Shui International Holdings Ltd ($822) | 12.6% | 14.3% | 9.5% | 12.0% | 6.1% |
| Chu Kong Petroleum & Natural Gas Steel Pipe Holdings Ltd ($1938) | 11.0% | 13.1% | 5.8% | -2.4% | -1.7% |
| |
|---|
| Median (8 companies) | 11.8% | 11.7% | 9.7% | 8.4% | 2.2% |
|---|
| Burwill Holdings Ltd ($24) | 0.6% | -0.8% | -0.6% | -0.4% | -1.4% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Zhongwang Holdings Ltd ($1333) | 25.1% | 56.3% | 41.6% | 54.8% | 63.1% |
| New Times Energy Corp Ltd ($166) | 9.0% | 11.4% | 1.7% | 52.1% | 61.1% |
| Chu Kong Petroleum & Natural Gas Steel Pipe Holdings Ltd ($1938) | 20.3% | 25.9% | 71.7% | 31.4% | 17.1% |
| EVA Precision Industrial Holdings Ltd ($838) | 15.3% | 9.2% | 6.3% | 6.3% | 8.0% |
| Ka Shui International Holdings Ltd ($822) | 5.0% | 9.3% | 7.4% | 11.1% | 6.5% |
| |
|---|
| Median (8 companies) | 15.3% | 11.5% | 8.1% | 11.0% | 7.3% |
|---|
| Burwill Holdings Ltd ($24) | 0.1% | 0.0% | 0.1% | 0.0% | 0.0% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Zhongwang Holdings Ltd ($1333) | 7.8% | 9.5% | 8.8% | 7.4% | 6.9% |
| EVA Precision Industrial Holdings Ltd ($838) | 10.5% | 3.3% | 1.9% | 9.1% | 6.4% |
| Lung Kee Bermuda Holdings ($255) | 12.3% | 6.7% | 4.9% | 3.2% | 4.8% |
| Ka Shui International Holdings Ltd ($822) | 10.5% | 14.6% | 7.1% | 7.6% | 0.5% |
| Chu Kong Petroleum & Natural Gas Steel Pipe Holdings Ltd ($1938) | 8.3% | 8.3% | 0.1% | -2.0% | -2.0% |
| |
|---|
| Median (8 companies) | 8.0% | 5.0% | 1.9% | 0.7% | -0.8% |
|---|
| Burwill Holdings Ltd ($24) | 0.8% | -1.8% | -1.5% | -1.6% | -3.4% |
Top companies by Net Debt / EBITDA
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| China Zhongwang Holdings Ltd ($1333) | -0.8x | 1.3x | 2.6x | 4.1x | 6.2x |
| Ka Shui International Holdings Ltd ($822) | 0.7x | 0.9x | 1.3x | 1.7x | 3.6x |
| EVA Precision Industrial Holdings Ltd ($838) | -0.4x | 1.1x | 1.8x | 1.2x | 0.7x |
| Lung Kee Bermuda Holdings ($255) | -0.7x | -1.5x | -1.6x | -0.9x | -1.4x |
| |
|---|
| Median (4 companies) | 0.7x | 1.2x | 2.6x | 1.7x | 2.2x |
|---|
