Genting Hong Kong Ltd EBITDA dropped on 1,578% and EBITDA Margin decreased on 9.8 pp from 0.89% to -9.0%
16/03/2017 • About Genting Hong Kong Ltd (
$678) • By InTwits
Genting Hong Kong Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Genting Hong Kong Ltd doesn't have a profitable business model yet: FY2016 ROIC is -3.6%
- EBITDA Margin is quite volatile: -9.0% in FY2016, 0.9% in FY2015, 8.6% in FY2014, 8.5% in FY2013, 23.1% in FY2012
- The company has unprofitable business model: ROIC is at -3.6%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Genting Hong Kong Ltd ($678) key annual financial indicators
| mln. $ | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 520 | 555 | 571 | 690 | 1,017 | 47.4% |
| SG&A | 103 | 123 | 115 | 155 | 259 | 66.6% |
| EBITDA | 120 | 47 | 49 | 6 | -91 | -1,578.5% |
| Net Income | 198 | 552 | 384 | 2,113 | -502 | -123.8% |
Balance Sheet
|
|---|
| Cash | 451 | 935 | 719 | 1,779 | 1,040 | -41.5% |
| Short Term Debt | 130 | 360 | 221 | 87 | 135 | 55.2% |
| Long Term Debt | 712 | 386 | 238 | 444 | 1,037 | 133.5% |
Cash flow
|
|---|
| Capex | 87 | 141 | 188 | 401 | | -100.0% |
Ratios
|
|---|
| Revenue growth | 5.3% | 6.6% | 2.9% | 20.9% | 47.4% | |
| EBITDA growth | 0.4% | -61.0% | 4.2% | -87.4% | -1,578.5% | |
| EBITDA Margin | 23.1% | 8.5% | 8.6% | 0.9% | -9.0% | -9.8% |
| Net Income Margin | 38.1% | 99.6% | 67.4% | 306.2% | -49.4% | -355.6% |
| SG&A, % of revenue | 19.7% | 22.1% | 20.1% | 22.5% | 25.5% | 2.9% |
| CAPEX, % of revenue | 16.6% | 25.4% | 33.0% | 58.1% | | -58.1% |
| ROIC | 2.0% | -1.0% | -1.1% | -1.8% | -3.6% | -1.8% |
| ROE | 8.9% | 21.1% | 12.6% | 48.8% | -9.8% | -58.6% |
| Net Debt/EBITDA | 3.3x | -4.0x | -5.3x | -202.7x | | 202.7x |
Revenue and profitability
The company's Revenue jumped on 47.4%. Revenue growth was financed by EBITDA margin decline. EBITDA Margin decreased on 9.8 pp from 0.89% to -9.0% in FY2016.
SG&A as a % of Revenue increased on 2.9 pp from 22.5% to 25.5% in FY2016.
Net Income marign dropped on 356 pp from 306% to -49.4% in FY2016.
Return on investment
The company operates at negative ROIC (-3.58%) and ROE (-9.81%). ROIC decreased slightly on 1.8 pp from -1.8% to -3.6% in FY2016. ROE dropped on 58.6 pp from 48.8% to -9.8% in FY2016.
Leverage (Debt)
Company's Net Debt / EBITDA is -4.6x and Debt / EBITDA is . Net Debt / EBITDA jumped on 202.7x from -202.7x to in FY2016. Debt jumped on 121% while cash dropped on 41.5%.
Appendix 1: Peers in Leisure Time
Below we provide Genting Hong Kong Ltd benchmarking against other companies in Leisure Time 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 |
|---|
| Perfect Shape PRC Holdings Ltd ($1830) | | 16.2% | 6.1% | 55.0% | 20.6% |
| Travel Expert Asia Enterprises Ltd ($1235) | | 15.3% | 19.5% | 18.9% | 3.2% |
| China Jiuhao Health Industry Corp Ltd ($419) | 61.8% | -23.6% | -12.7% | 11.5% | |
| EGL Holdings Co Ltd ($6882) | 9.5% | 20.7% | 2.3% | 10.3% | |
| Water Oasis Group Ltd ($1161) | | -23.7% | 8.0% | 1.9% | -9.4% |
| |
|---|
| Median (11 companies) | 8.4% | -6.6% | 2.6% | -1.8% | 3.2% |
|---|
| Genting Hong Kong Ltd ($678) | | 6.6% | 2.9% | 20.9% | 47.4% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Travel Expert Asia Enterprises Ltd ($1235) | | | | 90.7% | 85.1% |
| Feiyu Technology International Co Ltd ($1022) | 96.9% | 95.4% | 87.5% | 83.1% | |
| Sino Splendid Holdings Ltd ($8006) | 51.7% | 51.4% | 51.9% | 53.9% | |
| China Travel International Investment Hong Kong Ltd ($308) | 46.1% | 47.8% | 46.0% | 45.6% | |
| China Jiuhao Health Industry Corp Ltd ($419) | 57.0% | 13.5% | 23.4% | 44.9% | |
| |
|---|
| Median (9 companies) | 46.1% | 21.4% | 21.8% | 44.9% | 85.1% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| China Travel International Investment Hong Kong Ltd ($308) | 28.2% | 29.1% | 48.5% | 31.7% | |
| Feiyu Technology International Co Ltd ($1022) | 77.0% | 44.0% | 51.0% | 30.0% | |
| Perfect Shape PRC Holdings Ltd ($1830) | 27.5% | 29.1% | 26.5% | 29.8% | 27.4% |
| Travel Expert Asia Enterprises Ltd ($1235) | 17.4% | 16.2% | 18.3% | 15.0% | 11.8% |
| Water Oasis Group Ltd ($1161) | 6.5% | 4.7% | 11.4% | 13.1% | 9.7% |
| |
|---|
| Median (11 companies) | 6.5% | 8.1% | 7.8% | 9.8% | 11.8% |
|---|
| Genting Hong Kong Ltd ($678) | 23.1% | 8.5% | 8.6% | 0.9% | -9.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| China Jiuhao Health Industry Corp Ltd ($419) | 2.1% | 31.8% | 67.3% | 43.3% | |
| Perfect Shape PRC Holdings Ltd ($1830) | 6.1% | 8.9% | 7.7% | 24.8% | 12.5% |
| China Travel International Investment Hong Kong Ltd ($308) | 13.4% | 28.3% | 29.9% | 10.9% | |
| Water Oasis Group Ltd ($1161) | 3.7% | 4.0% | 2.8% | 3.5% | 2.5% |
| Feiyu Technology International Co Ltd ($1022) | 6.3% | 1.6% | 3.2% | 3.1% | |
| |
|---|
| Median (11 companies) | 3.0% | 2.8% | 2.8% | 2.8% | 9.9% |
|---|
| Genting Hong Kong Ltd ($678) | 16.6% | 25.4% | 33.0% | 58.1% | |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| EGL Holdings Co Ltd ($6882) | 30.4% | 63.2% | 39.4% | 58.3% | |
| Perfect Shape PRC Holdings Ltd ($1830) | 62.8% | 44.1% | 37.7% | 44.1% | 32.0% |
| Travel Expert Asia Enterprises Ltd ($1235) | 50.9% | 26.7% | 29.8% | 23.0% | 15.9% |
| Water Oasis Group Ltd ($1161) | 5.3% | 1.7% | 15.7% | 19.2% | 12.2% |
| Feiyu Technology International Co Ltd ($1022) | 329.5% | 19.2% | 17.1% | 6.1% | |
| |
|---|
| Median (11 companies) | 5.3% | 5.0% | 9.6% | 5.0% | 15.9% |
|---|
| Genting Hong Kong Ltd ($678) | 2.0% | -1.0% | -1.1% | -1.8% | -3.6% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Travel Expert Asia Enterprises Ltd ($1235) | -1.3x | -1.2x | -1.7x | -0.3x | -0.0x |
| Perfect Shape PRC Holdings Ltd ($1830) | -2.0x | -0.8x | -1.4x | -1.8x | -1.0x |
| China Travel International Investment Hong Kong Ltd ($308) | -1.7x | -1.1x | -1.1x | -2.0x | |
| EGL Holdings Co Ltd ($6882) | -4.5x | -2.5x | -3.3x | -2.4x | |
| Water Oasis Group Ltd ($1161) | -3.2x | -5.1x | -2.8x | -2.6x | -4.6x |
| |
|---|
| Median (6 companies) | -1.5x | -1.2x | -1.7x | -2.2x | -1.0x |
|---|
| Genting Hong Kong Ltd ($678) | 3.3x | -4.0x | -5.3x | -202.7x | |
