Daisho Microline Holdings Ltd Net Income dropped on 526% and Revenue dropped on 13.3%
08/10/2016 • About Daisho Microline Holdings Ltd (
$567) • By InTwits
Daisho Microline Holdings Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Daisho Microline Holdings Ltd is a company in decline: FY2016 revenue growth was -13.3%, 5 years revenue CAGR was -14.1%
- The company operates at negative EBITDA Margin: -22.1%
- Daisho Microline Holdings Ltd motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for FY2012-FY2016 was 0.0%. On average EBITDA Margin was -6.5% for the sames years0
- The company has unprofitable business model: ROIC is at -11.8%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Daisho Microline Holdings Ltd ($567) key annual financial indicators
| mln. HKD | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 362.0 | 295.9 | 244.4 | 238.6 | 206.9 | -13.3% |
| Gross Profit | 0.1 | 15.6 | 9.8 | 7.8 | -18.4 | -337.8% |
| SG&A | | 38.2 | 36.2 | 46.8 | 48.6 | 3.9% |
| EBITDA | -1.1 | 4.0 | -9.5 | -35.5 | -45.7 | |
| Net Income | -92.3 | -68.5 | -37.5 | 14.3 | -60.9 | -526.1% |
Balance Sheet
|
|---|
| Cash | 160.2 | 109.5 | 70.8 | 91.1 | 74.2 | -18.5% |
| Short Term Debt | 97.4 | 161.7 | 237.3 | 241.8 | 240.5 | -0.5% |
| Long Term Debt | 18.5 | 3.1 | 0.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 0.6 | 8.7 | 12.5 | 34.1 | | -100.0% |
Ratios
|
|---|
| Revenue growth | -18.2% | -18.3% | -17.4% | -2.4% | -13.3% | |
| EBITDA growth | -102.2% | -455.8% | -336.4% | 272.2% | 28.9% | |
| Gross Margin | 0.0% | 5.3% | 4.0% | 3.3% | -8.9% | -12.2% |
| EBITDA Margin | -0.3% | 1.4% | -3.9% | -14.9% | -22.1% | -7.2% |
| Net Income Margin | -25.5% | -23.2% | -15.4% | 6.0% | -29.4% | -35.4% |
| SG&A, % of revenue | | 12.9% | 14.8% | 19.6% | 23.5% | 3.9% |
| CAPEX, % of revenue | 0.2% | 2.9% | 5.1% | 14.3% | | -14.3% |
| ROIC | -7.6% | -4.8% | -5.0% | -9.0% | -11.8% | -2.8% |
| ROE | -21.1% | -18.5% | -11.7% | 4.6% | -22.4% | -27.1% |
| Net Debt/EBITDA | | 13.7x | | | | 0.0x |
Revenue and profitability
Daisho Microline Holdings Ltd's Revenue dropped on 13.3%. Revenue decline was worsened by EBITDA margin decline. EBITDA Margin decreased on 7.2 pp from -14.9% to -22.1% in FY2016.
Gross Margin dropped on 12.2 pp from 3.3% to -8.9% in FY2016. SG&A as a % of Revenue increased on 3.9 pp from 19.6% to 23.5% in FY2016.
Net Income marign dropped on 35.4 pp from 6.0% to -29.4% in FY2016.
Return on investment
The company operates at negative ROIC (-11.78%) and ROE (-22.45%). ROIC decreased on 2.8 pp from -9.0% to -11.8% in FY2016. ROE dropped on 27.1 pp from 4.6% to -22.4% in FY2016.
Leverage (Debt)
Company's Net Debt / EBITDA is -3.3x and Debt / EBITDA is . Net Debt / EBITDA didn't change in FY2016. Debt decreased slightly on 0.51% while cash dropped on 18.5%.
Appendix 1: Peers in Electronics
Below you can find Daisho Microline Holdings Ltd benchmarking vs. other companies in Electronics industry. It's shown for the period of 5 years for the key financial metrics. Each table has median value for all the companies in the industry together with individual financial data of the top-5 companies in the industry by particular financial metric.
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 (50 companies) | 5.7% | 4.1% | 7.2% | 0.4% | -1.5% |
|---|
| Daisho Microline Holdings Ltd ($567) | | -18.3% | -17.4% | -2.4% | -13.3% |
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% | 40.9% |
| 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 (48 companies) | 14.1% | 13.8% | 14.1% | 15.3% | 14.1% |
|---|
| Daisho Microline Holdings Ltd ($567) | 0.0% | 5.3% | 4.0% | 3.3% | -8.9% |
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 (50 companies) | 7.4% | 7.6% | 5.4% | 5.1% | -3.4% |
|---|
| Daisho Microline Holdings Ltd ($567) | -0.3% | 1.4% | -3.9% | -14.9% | -22.1% |
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% | 0.0% |
| AAC Technologies Holdings Inc ($2018) | 18.7% | 8.7% | 19.6% | 18.4% | |
| |
|---|
| Median (50 companies) | 3.9% | 3.2% | 3.7% | 2.9% | 1.7% |
|---|
| Daisho Microline Holdings Ltd ($567) | 0.2% | 2.9% | 5.1% | 14.3% | |
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 (50 companies) | 4.6% | 4.1% | 3.7% | 2.4% | -6.9% |
|---|
| Daisho Microline Holdings Ltd ($567) | -7.6% | -4.8% | -5.0% | -9.0% | -11.8% |
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 |
|---|
