Termbray Industries International Holdings Ltd revenue jumped on 79.4% and EBITDA Margin surged on 51.2 pp from -110% to -58.6%
17/06/2016 • About Termbray Industries International Holdings Ltd (
$93) • By InTwits
Termbray Industries International Holdings Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Termbray Industries International Holdings Ltd doesn't have a profitable business model yet: FY2016 ROIC is -1.0%
- The company operates at negative EBITDA Margin: -58.6%
- Termbray Industries International Holdings Ltd spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for FY2012-FY2016 is 0.0%. Average EBITDA Margin for the same period was -89.7%0
- Termbray Industries International Holdings Ltd has medium CAPEX intensity: 5 year average CAPEX/Revenue was 7.3%. At the same time it's a lot of higher than industry average of 60.7%.
- CAPEX is quite volatile: 0 in FY2016, 0 in FY2015, 0 in FY2014, 0.40 in FY2013, 1.8 in FY2012
- The company has unprofitable business model: ROIC is at -1.0%
- It operates with high leverage: Net Debt/EBITDA is 7.0x while industry average is 2.4x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Termbray Industries International Holdings Ltd ($93) key annual financial indicators
| mln. HKD | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 5.642 | 8.464 | 6.351 | 6.941 | 12.449 | 79.4% |
| Gross Profit | 3.006 | 4.631 | 3.605 | 3.990 | 6.863 | 72.0% |
| SG&A | | | | 13.397 | 15.621 | 16.6% |
| EBITDA | -10.462 | 0.243 | -10.615 | -7.621 | -7.289 | |
| Net Income | -7.077 | 244.994 | 43.550 | -149.548 | -407.214 | |
Balance Sheet
|
|---|
| Cash | 473.155 | 361.259 | 354.739 | 330.334 | 302.771 | -8.3% |
| Short Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
| Long Term Debt | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
Cash flow
|
|---|
| Capex | 1.787 | 0.400 | 0.000 | 0.000 | 0.000 | |
Ratios
|
|---|
| Revenue growth | -38.4% | 50.0% | -25.0% | 9.3% | 79.4% | |
| EBITDA growth | 29.0% | -102.3% | -4,468.3% | -28.2% | -4.4% | |
| Gross Margin | 53.3% | 54.7% | 56.8% | 57.5% | 55.1% | -2.4% |
| EBITDA Margin | -185.4% | 2.9% | -167.1% | -109.8% | -58.6% | 51.2% |
| Net Income Margin | -125.4% | 2,894.5% | 685.7% | -2,154.6% | -3,271.1% | -1,116.5% |
| SG&A, % of revenue | | | | 193.0% | 125.5% | -67.5% |
| CAPEX, % of revenue | 31.7% | 4.7% | 0.0% | 0.0% | 0.0% | 0.0% |
| ROIC | -1.0% | -0.1% | -1.0% | -0.8% | -1.0% | -0.2% |
| ROE | -0.6% | 21.0% | 3.5% | -12.6% | -45.2% | -32.6% |
| Net Debt/EBITDA | | -1,486.7x | | | | 0.0x |
Revenue and profitability
The company's Revenue surged on 79.4%. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin dropped on 23.3 pp from -105% to -129% in FY2016.
Gross Margin decreased on 2.4 pp from 57.5% to 55.1% in FY2016. SG&A as a % of Revenue dropped on 67.5 pp from 193% to 125% in FY2016.
Net Income marign dropped on 1,116 pp from -2,155% to -3,271% in FY2016.
Return on investment
The company operates at negative ROIC (-0.96%) and ROE (-45.21%). ROIC showed almost no change in FY2016. ROE dropped on 32.6 pp from -12.6% to -45.2% in FY2016.
Leverage (Debt)
The company has no debt. Cash decreased on 8.3%.
Appendix 1: Peers in Real Estate
Below we provide Termbray Industries International Holdings Ltd benchmarking against other companies in Real Estate 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 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Guangdong Land Holdings Ltd ($124) | | | | 24,971.2% | |
| GR Properties Ltd ($108) | 21.6% | -82.9% | 14.6% | 1,203.6% | |
| Wanda Hotel Development Co Ltd ($169) | | -51.4% | -86.2% | 1,071.2% | |
| Henderson Investment Ltd ($97) | -78.9% | | | 737.1% | |
| ITC Properties Group Ltd ($199) | -70.5% | -95.2% | 75.7% | 678.6% | |
| |
|---|
| Median (179 companies) | 16.6% | 13.1% | 5.3% | 4.2% | 5.4% |
|---|
| Termbray Industries International Holdings Ltd ($93) | | 50.0% | -25.0% | 9.3% | 79.4% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Renhe Commercial Holdings Co Ltd ($1387) | 79.0% | 95.2% | 97.9% | 99.9% | |
| Tern Properties Co Ltd ($277) | 96.7% | 98.4% | 98.4% | 98.7% | 98.8% |
| YT Realty Group Ltd ($75) | 94.4% | 96.6% | 96.7% | 97.6% | |
| Wah Ha Realty Co Ltd ($278) | 96.3% | 96.0% | 93.2% | 95.9% | |
| Soundwill Holdings Ltd ($878) | 53.1% | 74.5% | 46.9% | 95.7% | |
| |
|---|
| Median (160 companies) | 41.9% | 41.8% | 39.1% | 38.2% | 28.8% |
|---|
| Termbray Industries International Holdings Ltd ($93) | 53.3% | 54.7% | 56.8% | 57.5% | 55.1% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Chinese Estates Holdings Ltd ($127) | 356.2% | 91.6% | 195.5% | 397.4% | |
| Zall Development Group Ltd ($2098) | 105.3% | 133.1% | 143.2% | 213.9% | |
| SOHO China Ltd ($410) | 113.6% | 80.8% | 104.0% | 201.9% | |
| Beijing Properties Holdings Ltd ($925) | -606.3% | 2,162.6% | 224.3% | 186.5% | |
| Swire Properties Ltd ($1972) | 154.5% | 114.6% | 73.2% | 100.3% | |
| |
|---|
| Median (179 companies) | 29.3% | 28.5% | 27.8% | 23.5% | 12.1% |
|---|
| Termbray Industries International Holdings Ltd ($93) | -185.4% | 2.9% | -167.1% | -109.8% | -58.6% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| LT Commercial Real Estate Ltd ($112) | 0.0% | 18.0% | 27,965.5% | 4,834.8% | |
| China Oceanwide Holdings Ltd ($715) | 0.8% | 0.3% | 2.0% | 880.6% | |
| Madex International Holdings Ltd ($231) | 174.5% | 519.7% | 205.3% | 350.6% | |
| Pacific Century Premium Developments Ltd ($432) | 2.9% | 323.1% | 351.2% | 340.6% | |
| Hon Kwok Land Investment Co Ltd ($160) | 20.6% | 157.3% | 144.5% | 296.3% | |
| |
|---|
| Median (179 companies) | 5.6% | 6.2% | 4.8% | 3.3% | 2.1% |
|---|
| Termbray Industries International Holdings Ltd ($93) | 31.7% | 4.7% | 0.0% | 0.0% | 0.0% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Hydoo International Holding Ltd ($1396) | 44.3% | 62.0% | 12.9% | 16.6% | |
| Gemdale Properties & Investment Corp Ltd ($535) | 15.3% | 19.6% | 10.8% | 15.9% | |
| China Overseas Land & Investment Ltd ($688) | | 15.1% | 18.5% | 15.4% | 13.0% |
| Colour Life Services Group Co Ltd ($1778) | 44.2% | 47.9% | 29.3% | 14.5% | |
| Dalian Wanda Commercial Properties Co Ltd ($3699) | 26.8% | 19.6% | 12.3% | 14.4% | |
| |
|---|
| Median (181 companies) | 4.2% | 4.1% | 4.2% | 2.5% | 1.6% |
|---|
| Termbray Industries International Holdings Ltd ($93) | -1.0% | -0.1% | -1.0% | -0.8% | -1.0% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Shui On Land Ltd ($272) | 22.1x | 13.2x | 17.1x | 54.2x | |
| Beijing Capital Land Ltd ($2868) | 7.1x | 4.6x | 11.7x | 49.1x | |
| Talent Property Group Ltd ($760) | | | | 43.0x | |
| Mingfa Group International Co Ltd ($846) | 2.5x | 3.0x | 6.3x | 42.9x | |
| Sunshine 100 China Holdings Ltd ($2608) | 9.9x | 12.4x | 12.9x | 42.3x | |
| |
|---|
| Median (137 companies) | 2.4x | 2.8x | 3.0x | 3.2x | 1.2x |
|---|
