Green International Holdings Ltd revenue dropped on 71.7% in 2015 and EBITDA Margin dropped on 220 pp from -30.8% to -251%
31/03/2016 • About Green International Holdings Ltd (
$2700) • By InTwits
Green International Holdings Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Green International Holdings Ltd is a company in decline: 2015 revenue growth was -71.7%, 5 years revenue CAGR was -33.8%
- The company operates at negative EBITDA Margin: -251.2%
- Green International 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 -4.6%0
- Green International Holdings Ltd has medium CAPEX intensity: 5 year average CAPEX/Revenue was 7.8%. At the same time it's in pair with industry average of 7.1%.
- CAPEX is quite volatile: 13.3 in 2015, 10.5 in 2014, 18.4 in 2013, 0.90 in 2012, 0.60 in 2011
- The company has unprofitable business model: ROIC is at -24.5%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Green International Holdings Ltd ($2700) key annual financial indicators
| mln. HKD | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 572.3 | 441.6 | 583.1 | 160.9 | 45.6 | -71.7% |
| Gross Profit | 73.3 | 78.5 | 10.7 | 13.0 | 27.0 | 107.2% |
| SG&A | 38.8 | 37.7 | 24.0 | 67.5 | 106.9 | 58.3% |
| EBITDA | 51.0 | 43.1 | -12.1 | -49.6 | -114.6 | 131.2% |
| Net Income | 305.3 | 18.8 | -48.9 | -99.1 | -205.1 | 106.9% |
Balance Sheet
|
|---|
| Cash | 22.3 | 37.5 | 80.5 | 131.2 | 53.1 | -59.5% |
| Short Term Debt | 0.0 | 22.1 | 0.0 | 0.0 | 5.5 | |
| Long Term Debt | 61.8 | 0.0 | 4.2 | 8.6 | 54.4 | 533.4% |
Cash flow
|
|---|
| Capex | 0.6 | 0.9 | 18.4 | 10.5 | 13.3 | 27.1% |
Ratios
|
|---|
| Revenue growth | 59.7% | -22.8% | 32.0% | -72.4% | -71.7% | |
| EBITDA growth | 85.0% | -15.5% | -128.1% | 309.9% | 131.2% | |
| Gross Margin | 12.8% | 17.8% | 1.8% | 8.1% | 59.2% | 51.1% |
| EBITDA Margin | 8.9% | 9.8% | -2.1% | -30.8% | -251.2% | -220.4% |
| Net Income Margin | 53.3% | 4.3% | -8.4% | -61.6% | -449.6% | -388.0% |
| SG&A, % of revenue | 6.8% | 8.5% | 4.1% | 41.9% | 234.3% | 192.3% |
| CAPEX, % of revenue | 0.1% | 0.2% | 3.2% | 6.5% | 29.2% | 22.7% |
| ROIC | | 18.5% | -5.1% | -14.3% | -24.5% | -10.2% |
| ROE | | 12.4% | -24.0% | -29.8% | -51.4% | -21.6% |
| Net Debt/EBITDA | 0.8x | -0.4x | | | | 0.0x |
Revenue and profitability
The company's Revenue dropped on 71.7% in 2015. Revenue decline was worsened by EBITDA margin decline. EBITDA Margin dropped on 220 pp from -30.8% to -251% in 2015.
Gross Margin jumped on 51.1 pp from 8.1% to 59.2% in 2015. SG&A as a % of Revenue jumped on 192 pp from 41.9% to 234% in 2015.
Net Income marign dropped on 388 pp from -61.6% to -450% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 the company had CAPEX/Revenue of 29.2%. Green International Holdings Ltd's CAPEX/Revenue surged on 29.0 pp from 0.20% in 2012 to 29.2% in 2015. It's average level of CAPEX/Revenue for the last three years was 12.9%.
Return on investment
The company operates at negative ROIC (-24.50%) and ROE (-51.37%). ROIC dropped on 10.2 pp from -14.3% to -24.5% in 2015. ROE dropped on 21.6 pp from -29.8% to -51.4% in 2015.
Leverage (Debt)
Debt level is -88.5x Net Debt / EBITDA and Debt / EBITDA. Net Debt / EBITDA didn't change in 2015. Debt jumped on 597% in 2015 while cash dropped on 59.5% in 2015.
Appendix 1: Peers in Toys/Games/Hobbies
Below we provide Green International Holdings Ltd benchmarking against other companies in Toys/Games/Hobbies 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 |
|---|
| Leyou Technologies Holdings Ltd ($1089) | | 18.8% | 32.3% | 17.7% | 31.0% |
| Kin Yat Holdings Ltd ($638) | | -5.9% | 8.8% | 5.0% | 17.1% |
| Dream International Ltd ($1126) | | 24.9% | -0.1% | 21.0% | 10.8% |
| Matrix Holdings Ltd ($1005) | | -0.2% | 17.5% | 12.2% | 10.1% |
| Kader Holdings Co Ltd ($180) | | -3.7% | -25.8% | -11.1% | 8.3% |
| |
|---|
| Median (8 companies) | -0.8% | 18.8% | 8.8% | 17.7% | 9.2% |
|---|
| Green International Holdings Ltd ($2700) | | -22.8% | 32.0% | -72.4% | -71.7% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Playmates Holdings Ltd ($635) | 68.1% | 65.7% | 66.1% | 64.7% | 65.6% |
| Playmates Toys Ltd ($869) | 28.6% | 60.3% | 62.8% | 61.9% | 61.6% |
| Matrix Holdings Ltd ($1005) | 35.2% | 34.3% | 37.1% | 38.4% | 36.9% |
| Dream International Ltd ($1126) | 24.3% | 25.6% | 29.1% | 22.4% | 23.5% |
| Leyou Technologies Holdings Ltd ($1089) | 18.4% | 8.8% | 5.7% | 9.0% | 15.2% |
| |
|---|
| Median (7 companies) | 22.5% | 28.2% | 29.1% | 27.3% | 23.5% |
|---|
| Green International Holdings Ltd ($2700) | 12.8% | 17.8% | 1.8% | 8.1% | 59.2% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Playmates Holdings Ltd ($635) | -14.7% | 22.0% | 36.7% | 33.5% | 32.8% |
| Playmates Toys Ltd ($869) | -186.4% | 15.1% | 33.0% | 30.2% | 25.8% |
| Kader Holdings Co Ltd ($180) | -6.7% | -4.2% | -3.0% | 5.8% | 23.0% |
| Matrix Holdings Ltd ($1005) | 11.0% | 10.2% | 13.2% | 15.0% | 17.4% |
| Dream International Ltd ($1126) | 10.3% | 13.2% | 14.8% | 9.8% | 12.9% |
| |
|---|
| Median (8 companies) | 5.1% | 6.6% | 8.4% | 8.8% | 15.2% |
|---|
| Green International Holdings Ltd ($2700) | 8.9% | 9.8% | -2.1% | -30.8% | -251.2% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Playmates Holdings Ltd ($635) | 44.9% | 11.5% | 4.5% | 2.0% | 15.4% |
| Dream International Ltd ($1126) | 2.6% | 2.9% | 3.8% | 11.2% | 7.3% |
| Kin Yat Holdings Ltd ($638) | 7.9% | 9.8% | 4.6% | 7.5% | 4.8% |
| Leyou Technologies Holdings Ltd ($1089) | 15.7% | 15.8% | 3.8% | 2.6% | 4.5% |
| Quali-Smart Holdings Ltd ($1348) | 1.7% | 1.5% | 2.2% | 12.7% | 3.0% |
| |
|---|
| Median (8 companies) | 5.8% | 4.7% | 3.7% | 2.8% | 3.7% |
|---|
| Green International Holdings Ltd ($2700) | 0.1% | 0.2% | 3.2% | 6.5% | 29.2% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Playmates Toys Ltd ($869) | -48.9% | 30.7% | 121.1% | 73.0% | 36.6% |
| Matrix Holdings Ltd ($1005) | 5.8% | 5.9% | 13.1% | 18.6% | 21.2% |
| Dream International Ltd ($1126) | 12.4% | 19.3% | 19.4% | 13.3% | 19.4% |
| Kader Holdings Co Ltd ($180) | -8.5% | -5.7% | -3.9% | 0.6% | 7.9% |
| Playmates Holdings Ltd ($635) | -1.0% | 2.4% | 12.6% | 12.0% | 7.9% |
| |
|---|
| Median (8 companies) | 5.8% | 2.4% | 12.6% | 9.1% | 7.9% |
|---|
| Green International Holdings Ltd ($2700) | | 18.5% | -5.1% | -14.3% | -24.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Quali-Smart Holdings Ltd ($1348) | 1.2x | 0.6x | -0.7x | 0.9x | 4.5x |
| Kader Holdings Co Ltd ($180) | | | | 9.6x | 1.5x |
| Leyou Technologies Holdings Ltd ($1089) | -1.4x | 1.1x | 4.4x | 3.8x | 1.2x |
| Kin Yat Holdings Ltd ($638) | 0.0x | 1.6x | 0.3x | 0.4x | -0.0x |
| Matrix Holdings Ltd ($1005) | 0.5x | 0.6x | 0.0x | -0.2x | -0.6x |
| |
|---|
| Median (8 companies) | 0.0x | 0.6x | -0.4x | 0.1x | -0.3x |
|---|
