Pine Technology Holdings Ltd revenue decreased on 8.3% and EBITDA Margin decreased slightly on 1.7 pp from -1.7% to -3.4%
19/09/2016 • About Pine Technology Holdings Ltd (
$1079) • By InTwits
Pine Technology Holdings Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Pine Technology Holdings Ltd is a company in decline: FY2016 revenue growth was -8.3%, 5 years revenue CAGR was -9.7%
- The company operates at negative EBITDA Margin: -3.4%
- EBITDA Margin is quite volatile: -3.4% in FY2016, -1.7% in FY2015, 1.8% in FY2014, 3.2% in FY2013, 0.9% in FY2012
- Pine Technology Holdings Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 0.1%.
- The company has unprofitable business model: ROIC is at -6.9%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Pine Technology Holdings Ltd ($1079) key annual financial indicators
| mln. $ | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 232.0 | 214.2 | 233.7 | 169.6 | 155.5 | -8.3% |
| Gross Profit | 22.1 | 22.1 | 19.7 | 8.5 | 6.6 | -22.1% |
| SG&A | | 13.8 | 12.9 | 10.9 | 13.1 | 19.9% |
| EBITDA | 2.1 | 6.8 | 4.3 | -2.8 | -5.2 | |
| Net Income | -3.4 | 2.1 | 0.8 | -6.6 | -6.4 | |
Balance Sheet
|
|---|
| Cash | 12.6 | 8.6 | 9.4 | 8.7 | 5.9 | -31.6% |
| Short Term Debt | 27.4 | 28.9 | 28.2 | 28.2 | 25.5 | -9.5% |
| Long Term Debt | 2.3 | 2.3 | 2.3 | 0.0 | 0.0 | -35.5% |
Cash flow
|
|---|
| Capex | 0.5 | 0.4 | 0.3 | 0.0 | 0.1 | 85.7% |
Ratios
|
|---|
| Revenue growth | -10.6% | -7.7% | 9.1% | -27.4% | -8.3% | |
| EBITDA growth | -372.8% | 219.4% | -36.6% | -165.2% | 86.4% | |
| Gross Margin | 9.5% | 10.3% | 8.4% | 5.0% | 4.3% | -0.8% |
| EBITDA Margin | 0.9% | 3.2% | 1.8% | -1.7% | -3.4% | -1.7% |
| Net Income Margin | -1.5% | 1.0% | 0.3% | -3.9% | -4.1% | -0.2% |
| SG&A, % of revenue | | 6.5% | 5.5% | 6.4% | 8.4% | 2.0% |
| CAPEX, % of revenue | 0.2% | 0.2% | 0.1% | 0.0% | 0.1% | 0.0% |
| ROIC | -2.2% | 3.1% | 2.2% | -3.6% | -6.9% | -3.3% |
| ROE | -4.7% | 2.9% | 1.1% | -9.5% | -10.3% | -0.8% |
| Net Debt/EBITDA | 8.0x | 3.3x | 4.9x | | | 0.0x |
Revenue and profitability
The company's Revenue decreased on 8.3%. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin decreased slightly on 1.7 pp from -1.7% to -3.4% in FY2016.
Gross Margin decreased slightly on 0.75 pp from 5.0% to 4.3% in FY2016. SG&A as a % of Revenue increased slightly on 2.0 pp from 6.4% to 8.4% in FY2016.
Net Income marign showed almost no change in FY2016.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 0.059% in FY2016. The company showed almost no change in CAPEX/Revenue from FY2013 to FY2016. For the last three years the average CAPEX/Revenue was 0.065%.
Return on investment
The company operates at negative ROIC (-6.87%) and ROE (-10.26%). ROIC decreased on 3.3 pp from -3.6% to -6.9% in FY2016. ROE decreased slightly on 0.76 pp from -9.5% to -10.3% in FY2016.
Leverage (Debt)
Debt level is -7.5x Net Debt / EBITDA and Debt / EBITDA. Net Debt / EBITDA didn't change in FY2016. Debt decreased on 9.5% while cash dropped on 31.6%.
Appendix 1: Peers in Electronics
Below we provide Pine Technology Holdings Ltd benchmarking against other companies in Electronics 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 |
|---|
| GCL New Energy Holdings Ltd ($451) | 14.7% | -6.8% | 10.9% | 53.9% | |
| Tech Pro Technology Development Ltd ($3823) | 7.4% | -44.9% | -13.7% | 52.4% | |
| Nanjing Sample Technology Co Ltd ($1708) | 36.1% | 8.0% | 15.4% | 34.8% | |
| AAC Technologies Holdings Inc ($2018) | 54.8% | 28.9% | 9.7% | 32.2% | |
| Ningbo Wanhao Holdings Co Ltd ($8249) | 5.7% | 412.4% | -6.9% | 28.9% | |
| |
|---|
| Median (49 companies) | 3.9% | 4.1% | 5.0% | 0.9% | 0.5% |
|---|
| Pine Technology Holdings Ltd ($1079) | | -7.7% | 9.1% | -27.4% | -8.3% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Advanced Card Systems Holdings Ltd ($8210) | 54.0% | 58.1% | 49.5% | 49.6% | |
| AAC Technologies Holdings Inc ($2018) | 44.2% | 42.7% | 41.4% | 41.5% | |
| TeleEye Holdings Ltd ($8051) | 44.0% | 42.1% | 38.5% | 37.0% | |
| Hi Sun Technology China Ltd ($818) | 28.1% | 37.4% | 33.3% | 34.7% | |
| Datronix Holdings Ltd ($889) | 32.9% | 32.0% | 34.1% | 34.6% | |
| |
|---|
| Median (47 companies) | 14.1% | 13.8% | 14.1% | 16.6% | 13.5% |
|---|
| Pine Technology Holdings Ltd ($1079) | 9.5% | 10.3% | 8.4% | 5.0% | 4.3% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| AAC Technologies Holdings Inc ($2018) | 35.8% | 35.8% | 34.9% | 34.8% | |
| GCL New Energy Holdings Ltd ($451) | 10.8% | 11.1% | 12.6% | 33.0% | |
| Daiwa Associate Holdings ($1037) | 2.4% | 3.8% | 2.8% | 25.6% | -53.6% |
| Wasion Group Holdings Ltd ($3393) | 18.8% | 21.2% | 22.0% | 19.3% | |
| Tongda Group Holdings Ltd ($698) | 17.1% | 16.8% | 18.4% | 18.9% | |
| |
|---|
| Median (49 companies) | 7.4% | 7.6% | 5.4% | 5.5% | 2.1% |
|---|
| Pine Technology Holdings Ltd ($1079) | 0.9% | 3.2% | 1.8% | -1.7% | -3.4% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| GCL New Energy Holdings Ltd ($451) | 5.5% | 5.1% | 5.4% | 401.2% | |
| National Electronic Hldgs ($213) | 3.4% | 18.1% | 7.1% | 49.7% | 4.7% |
| Irico Group Electronics Co Ltd ($438) | 39.9% | 30.4% | 17.4% | 25.8% | |
| Kingwell Group Ltd ($1195) | 8.6% | 5.4% | 5.3% | 21.4% | |
| AAC Technologies Holdings Inc ($2018) | 18.7% | 8.7% | 19.6% | 18.4% | |
| |
|---|
| Median (49 companies) | 3.9% | 3.2% | 4.2% | 2.9% | 2.6% |
|---|
| Pine Technology Holdings Ltd ($1079) | 0.2% | 0.2% | 0.1% | 0.0% | 0.1% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| AAC Technologies Holdings Inc ($2018) | 29.1% | 30.0% | 26.0% | 27.8% | |
| Cowell e Holdings Inc ($1415) | 12.5% | 27.1% | 24.4% | 25.8% | |
| Changhong Jiahua Holdings Ltd ($8016) | 29.6% | 17.7% | 15.1% | 16.7% | |
| Tongda Group Holdings Ltd ($698) | 15.2% | 13.5% | 16.5% | 16.3% | |
| Alltronics Holdings Ltd ($833) | 13.1% | 15.2% | 19.8% | 15.6% | |
| |
|---|
| Median (49 companies) | 4.6% | 4.1% | 3.7% | 2.6% | 0.5% |
|---|
| Pine Technology Holdings Ltd ($1079) | -2.2% | 3.1% | 2.2% | -3.6% | -6.9% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| National Electronic Hldgs ($213) | 16.3x | 30.2x | 84.8x | 19.9x | 42.7x |
| GCL New Energy Holdings Ltd ($451) | 2.9x | 2.6x | 1.7x | 17.4x | |
| Man Yue Technology Holdings Ltd ($894) | 2.1x | 2.7x | 3.3x | 6.5x | |
| Willas-Array Electronics Holdings Ltd ($854) | 2.2x | 2.6x | 5.7x | 5.4x | 14.1x |
| SAS Dragon Hldg Ltd ($1184) | 7.1x | 2.0x | 6.4x | 4.8x | |
| |
|---|
| Median (33 companies) | 1.0x | 1.1x | 0.8x | 0.2x | 1.2x |
|---|
