Siberian Mining Group Co Ltd reports 93.3% CAPEX decline in 2016 and 18.1% Revenue decline
23/09/2016 • About Siberian Mining Group Co Ltd (
$1142) • By InTwits
Siberian Mining Group Co Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Siberian Mining Group Co Ltd is a company in decline: FY2016 revenue growth was -18.1%, 5 years revenue CAGR was -29.1%
- The company operates at negative EBITDA Margin: -1,420.0%
- Siberian Mining Group Co Ltd motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for FY2012-FY2016 was 0.0%. On average EBITDA Margin was -1,656.4% for the sames years0
- Siberian Mining Group Co Ltd has high CAPEX intensity: 5 year average CAPEX/Revenue was 120.7%. At the same time it's a lot of higher than industry average of 28.0%.
- CAPEX is quite volatile: 0.42 in FY2016, 6.2 in FY2015, 12.8 in FY2014, 7.5 in FY2013, 0.43 in FY2012
- The company has unprofitable business model: ROIC is at -7.8%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Siberian Mining Group Co Ltd ($1142) key annual financial indicators
| mln. HKD | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 9.291 | 9.498 | 5.874 | 2.227 | 1.824 | -18.1% |
| Gross Profit | 0.033 | 0.156 | 0.118 | 0.011 | 0.013 | 18.2% |
| SG&A | | 113.044 | 68.491 | 81.264 | 44.306 | -45.5% |
| EBITDA | -41.662 | -29.909 | -356.319 | -21.838 | -25.900 | |
| Net Income | -395.999 | -2,037.510 | -670.714 | -601.347 | -459.930 | |
Balance Sheet
|
|---|
| Cash | 1.524 | 0.833 | 3.719 | 5.045 | 0.337 | -93.3% |
| Short Term Debt | 0.000 | 15.401 | 76.759 | 74.390 | 87.710 | 17.9% |
| Long Term Debt | 157.146 | 2,293.419 | 2,560.211 | 2,773.655 | 2,900.349 | 4.6% |
Cash flow
|
|---|
| Capex | 0.425 | 7.483 | 12.765 | 6.230 | 0.420 | -93.3% |
Ratios
|
|---|
| Revenue growth | -9.0% | 2.2% | -38.2% | -62.1% | -18.1% | |
| EBITDA growth | 34.2% | -28.2% | 1,091.3% | -93.9% | 18.6% | |
| Gross Margin | 0.4% | 1.6% | 2.0% | 0.5% | 0.7% | 0.2% |
| EBITDA Margin | -448.4% | -314.9% | -6,066.0% | -980.6% | -1,420.0% | -439.4% |
| Net Income Margin | -4,262.2% | -21,452.0% | -11,418.4% | -27,002.6% | -25,215.5% | 1,787.1% |
| SG&A, % of revenue | | 1,190.2% | 1,166.0% | 3,649.0% | 2,429.1% | -1,220.0% |
| CAPEX, % of revenue | 4.6% | 78.8% | 217.3% | 279.7% | 23.0% | -256.7% |
| ROIC | -11.4% | -8.8% | -35.4% | -5.9% | -7.8% | -1.9% |
| ROE | -33.9% | | | | | 0.0% |
Revenue and profitability
The company's Revenue dropped on 18.1%. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin jumped on 91.4 pp from -514% to -423% in FY2016.
Gross Margin showed almost no change in FY2016. SG&A as a % of Revenue dropped on 1,220 pp from 3,649% to 2,429% in FY2016.
Net Income marign surged on 1,787 pp from -27,003% to -25,215% in FY2016.
Capital expenditures (CAPEX) and working capital investments
Siberian Mining Group Co Ltd's CAPEX/Revenue was 23.0% in FY2016. Siberian Mining Group Co Ltd's CAPEX/Revenue dropped on 55.8 pp from 78.8% in FY2013 to 23.0% in FY2016. For the last three years the average CAPEX/Revenue was 173%.
Leverage (Debt)
Company's Net Debt / EBITDA is 7.0x and Debt / EBITDA is . Net Debt / EBITDA didn't change in FY2016. Debt increased on 4.9% while cash dropped on 93.3%.
Appendix 1: Peers in Coal
Below we provide Siberian Mining Group Co Ltd benchmarking against other companies in Coal 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 |
|---|
| Sino Resources Group Ltd ($223) | | -44.8% | 14.7% | 354.5% | 0.4% |
| Asia Coal Ltd ($835) | | -15.3% | 43.2% | 133.6% | -60.1% |
| Dowell Property Holdings Ltd ($668) | -19.2% | -55.7% | -35.8% | 83.2% | |
| Capital Finance Holdings Ltd ($8239) | 83.6% | -5.2% | -5.5% | 70.6% | |
| Up Energy Development Group Ltd ($307) | | | | 60.5% | |
| |
|---|
| Median (21 companies) | -12.5% | -9.4% | -5.5% | -16.1% | -29.3% |
|---|
| Siberian Mining Group Co Ltd ($1142) | | 2.2% | -38.2% | -62.1% | -18.1% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Capital Finance Holdings Ltd ($8239) | 6.4% | 7.2% | 8.7% | 98.2% | |
| Nan Nan Resources Enterprise Ltd ($1229) | 23.9% | 17.6% | 18.1% | 44.3% | 41.0% |
| Agritrade Resources Ltd ($1131) | 22.9% | 29.4% | 31.8% | 30.0% | 30.9% |
| Shougang Fushan Resources Group Ltd ($639) | 63.5% | 50.9% | 40.1% | 24.5% | |
| Inner Mongolia Yitai Coal Co Ltd ($3948) | 35.2% | 33.7% | 27.4% | 19.2% | |
| |
|---|
| Median (20 companies) | 20.0% | 17.5% | 10.2% | 3.9% | 19.0% |
|---|
| Siberian Mining Group Co Ltd ($1142) | 0.4% | 1.6% | 2.0% | 0.5% | 0.7% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Capital Finance Holdings Ltd ($8239) | -27.2% | -23.7% | -56.2% | 71.5% | |
| Nan Nan Resources Enterprise Ltd ($1229) | 19.1% | 14.1% | -0.2% | 40.5% | 24.1% |
| Agritrade Resources Ltd ($1131) | 41.6% | 37.3% | 33.4% | 31.1% | 56.3% |
| Feishang Anthracite Resources Ltd ($1738) | -13.1% | -32.9% | 19.0% | 15.9% | |
| Kinetic Mines and Energy Ltd ($1277) | -277.0% | -51.9% | 29.3% | 15.8% | |
| |
|---|
| Median (21 companies) | 1.5% | -0.8% | -7.5% | -14.3% | 1.6% |
|---|
| Siberian Mining Group Co Ltd ($1142) | -448.4% | -314.9% | -6,066.0% | -980.6% | -1,420.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Feishang Anthracite Resources Ltd ($1738) | 244.9% | 159.7% | 80.9% | 90.2% | |
| Up Energy Development Group Ltd ($307) | | | 279.5% | 75.2% | |
| King Stone Energy Group Ltd ($663) | 58.5% | 135.3% | 205.7% | 69.3% | |
| SouthGobi Resources Ltd ($1878) | 124.8% | 20.2% | 11.5% | 52.6% | |
| Mongolian Mining Corp ($975) | 59.9% | 42.0% | 20.5% | 42.7% | |
| |
|---|
| Median (20 companies) | 14.9% | 25.8% | 18.3% | 15.8% | 5.4% |
|---|
| Siberian Mining Group Co Ltd ($1142) | 4.6% | 78.8% | 217.3% | 279.7% | 23.0% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Capital Finance Holdings Ltd ($8239) | -25.1% | -14.9% | -26.9% | 21.0% | |
| Nan Nan Resources Enterprise Ltd ($1229) | 6.4% | 1.6% | -1.2% | 10.0% | 1.5% |
| Agritrade Resources Ltd ($1131) | 2.7% | 5.8% | 6.4% | 6.9% | 9.4% |
| Kinetic Mines and Energy Ltd ($1277) | -6.6% | -5.7% | 8.5% | 3.2% | |
| Inner Mongolia Yitai Coal Co Ltd ($3948) | 28.5% | 15.2% | 8.5% | 2.0% | |
| |
|---|
| Median (21 companies) | -2.0% | -0.4% | -3.5% | -3.9% | -8.5% |
|---|
| Siberian Mining Group Co Ltd ($1142) | -11.4% | -8.8% | -35.4% | -5.9% | -7.8% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Feishang Anthracite Resources Ltd ($1738) | | | 24.3x | 32.6x | |
| China Coal Energy Co Ltd ($1898) | 1.9x | 4.9x | 9.7x | 14.4x | |
| Inner Mongolia Yitai Coal Co Ltd ($3948) | 0.4x | 1.7x | 3.5x | 9.8x | |
| Yanzhou Coal Mining Co Ltd ($1171) | 2.9x | 6.2x | 4.9x | 9.0x | |
| Kinetic Mines and Energy Ltd ($1277) | | | 4.5x | 5.9x | |
| |
|---|
| Median (8 companies) | 2.9x | 4.7x | 4.7x | 7.5x | -0.5x |
|---|
