Samsonite International SA Debt jumped on 2,887% and Revenue surged on 15.5%
16/03/2017 • About Samsonite International SA (
$1910) • By InTwits
Samsonite International SA reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Samsonite International SA is a growth stock: FY2016 revenue growth was 15.5%, 5 year revenue CAGR was 12.4% at FY2016 ROIC 12.2%
- EBITDA Margin is relatively stable: 15.0% in FY2016 vs. 15.1% in FY2015 vs. 15.9% in FY2012
- Samsonite International SA has low CAPEX intensity: 5 year average CAPEX/Revenue was 2.6%. At the same time it's a lot of higher than industry average of 38.3%.
- CAPEX is quite volatile: 70.1 in FY2016, 34.4 in FY2015, 119 in FY2014, 25.5 in FY2013, 20.9 in FY2012
- The company has highly profitable business model: ROIC is at 12.2%
- It operates with high leverage: Net Debt/EBITDA is 3.6x while industry average is -0.7x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Samsonite International SA ($1910) key annual financial indicators
| mln. $ | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 1,772 | 2,038 | 2,351 | 2,432 | 2,810 | 15.5% |
| Gross Profit | 951 | 1,088 | 1,244 | 1,279 | 1,521 | 18.9% |
| SG&A | 705 | 803 | 922 | 952 | 1,140 | 19.7% |
| EBITDA | 282 | 326 | 351 | 368 | 420 | 14.1% |
| Net Income | 148 | 176 | 186 | 198 | 256 | 29.4% |
Balance Sheet
|
|---|
| Cash | 151 | 225 | 140 | 181 | 369 | 103.8% |
| Short Term Debt | 32 | 14 | 65 | 63 | 70 | 11.3% |
| Long Term Debt | 0 | 0 | 0 | 0 | 1,806 | 3,167,550.9% |
Cash flow
|
|---|
| Capex | 38 | 57 | 70 | 68 | 70 | 1.6% |
Ratios
|
|---|
| Revenue growth | 13.2% | 15.0% | 15.4% | 3.5% | 15.5% | |
| EBITDA growth | 13.5% | 15.8% | 7.5% | 5.0% | 14.1% | |
| Gross Margin | 53.7% | 53.4% | 52.9% | 52.6% | 54.1% | 1.5% |
| EBITDA Margin | 15.9% | 16.0% | 14.9% | 15.1% | 15.0% | -0.2% |
| Net Income Margin | 8.4% | 8.6% | 7.9% | 8.1% | 9.1% | 1.0% |
| SG&A, % of revenue | 39.8% | 39.4% | 39.2% | 39.1% | 40.6% | 1.4% |
| CAPEX, % of revenue | 2.1% | 2.8% | 3.0% | 2.8% | 2.5% | -0.3% |
| ROIC | 20.8% | 21.8% | 21.1% | 20.3% | 12.2% | -8.1% |
| ROE | 15.1% | 15.7% | 15.1% | 15.0% | 18.1% | 3.1% |
| Net Debt/EBITDA | -0.4x | -0.6x | -0.2x | -0.3x | 3.6x | 3.9x |
Revenue and profitability
Samsonite International SA's Revenue surged on 15.5%. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin decreased on 6.8 pp from 1.8% to -5.0% in FY2016.
Gross Margin increased slightly on 1.5 pp from 52.6% to 54.1% in FY2016. SG&A as a % of Revenue increased slightly on 1.4 pp from 39.1% to 40.6% in FY2016.
Net Income marign increased slightly on 0.97 pp from 8.1% to 9.1% in FY2016.
Capital expenditures (CAPEX) and working capital investments
In FY2016 Samsonite International SA had CAPEX/Revenue of 2.5%. CAPEX/Revenue showed almost no change from FY2013 to FY2016. It's average CAPEX/Revenue for the last three years was 2.8%.
Return on investment
The company operates at good ROIC (12.16%) and ROE (18.09%). ROIC decreased on 8.1 pp from 20.3% to 12.2% in FY2016. ROE increased on 3.1 pp from 15.0% to 18.1% in FY2016.
Leverage (Debt)
Debt level is 3.6x Net Debt / EBITDA and 4.5x Debt / EBITDA. Net Debt / EBITDA jumped on 3.9x from -0.3x to 3.6x in FY2016. Debt surged on 2,887% while cash jumped on 104%.
Management team
Ramesh Dungarmal Tainwala is a Samsonite International SA's CEO. Ramesh Dungarmal Tainwala has spent 4 years at the company. Samsonite International SA's CFO Kyle Francis Gendreau has spent 9 years at the company.
Appendix 1: Peers in Household Products/Wares
Below you can find Samsonite International SA benchmarking vs. other companies in Household Products/Wares 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 |
|---|
| Lisi Group Holdings Ltd ($526) | | -23.5% | 160.0% | 47.9% | -6.2% |
| Tempus Holdings Ltd ($6880) | 17.3% | 5.5% | 31.1% | 14.7% | |
| Lerado Group Holding Co Ltd ($1225) | 4.1% | -91.1% | 4.8% | 14.3% | |
| Goodbaby International Holdings Ltd ($1086) | 15.5% | -8.0% | 46.0% | 13.7% | |
| King's Flair International Holdings Ltd ($6822) | 11.2% | 14.8% | 10.0% | 2.6% | |
| |
|---|
| Median (9 companies) | 11.5% | 3.6% | 10.0% | 2.6% | -8.4% |
|---|
| Samsonite International SA ($1910) | | 15.0% | 15.4% | 3.5% | 15.5% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Tempus Holdings Ltd ($6880) | 68.4% | 64.8% | 64.6% | 65.5% | |
| Carpenter Tan Holdings Ltd ($837) | 66.9% | 67.0% | 65.8% | 64.5% | |
| Biostime International Holdings Ltd ($1112) | 65.9% | 65.2% | 61.9% | 61.9% | |
| Goodbaby International Holdings Ltd ($1086) | 19.1% | 22.9% | 25.0% | 29.5% | |
| eForce Holdings Ltd ($943) | 21.2% | 24.3% | 25.6% | 28.5% | |
| |
|---|
| Median (9 companies) | 21.7% | 22.9% | 25.0% | 28.5% | 18.1% |
|---|
| Samsonite International SA ($1910) | 53.7% | 53.4% | 52.9% | 52.6% | 54.1% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Carpenter Tan Holdings Ltd ($837) | 49.0% | 48.1% | 48.6% | 46.7% | |
| eForce Holdings Ltd ($943) | -16.9% | -13.0% | -5.8% | 21.9% | |
| Biostime International Holdings Ltd ($1112) | 30.4% | 27.6% | 24.3% | 14.8% | |
| King's Flair International Holdings Ltd ($6822) | 8.3% | 7.9% | 9.7% | 14.6% | |
| Lisi Group Holdings Ltd ($526) | 11.8% | -0.3% | 4.4% | 10.0% | -2.7% |
| |
|---|
| Median (9 companies) | 9.9% | 7.4% | 4.9% | 10.0% | -0.4% |
|---|
| Samsonite International SA ($1910) | 15.9% | 16.0% | 14.9% | 15.1% | 15.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Lerado Group Holding Co Ltd ($1225) | 3.0% | 75.4% | 18.8% | 60.0% | |
| Lisi Group Holdings Ltd ($526) | 7.1% | 11.3% | 6.1% | 13.1% | 4.0% |
| Goodbaby International Holdings Ltd ($1086) | 2.9% | 2.8% | 2.6% | 2.6% | |
| Tempus Holdings Ltd ($6880) | 0.9% | 4.0% | 2.8% | 2.4% | |
| Biostime International Holdings Ltd ($1112) | 1.2% | 3.0% | 2.8% | 2.3% | |
| |
|---|
| Median (9 companies) | 1.4% | 2.8% | 2.6% | 2.3% | 3.0% |
|---|
| Samsonite International SA ($1910) | 2.1% | 2.8% | 3.0% | 2.8% | 2.5% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| King's Flair International Holdings Ltd ($6822) | 39.4% | 41.9% | 49.5% | 46.7% | |
| Carpenter Tan Holdings Ltd ($837) | 30.3% | 24.6% | 20.7% | 17.6% | |
| Biostime International Holdings Ltd ($1112) | 41.7% | 39.9% | 24.7% | 7.3% | |
| eForce Holdings Ltd ($943) | -6.4% | -7.0% | -5.1% | 7.0% | |
| Goodbaby International Holdings Ltd ($1086) | 10.7% | 8.8% | 3.9% | 6.1% | |
| |
|---|
| Median (9 companies) | 10.7% | 6.7% | 2.5% | 6.1% | -2.1% |
|---|
| Samsonite International SA ($1910) | 20.8% | 21.8% | 21.1% | 20.3% | 12.2% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Lisi Group Holdings Ltd ($526) | 3.4x | | 36.8x | 9.6x | |
| Biostime International Holdings Ltd ($1112) | -0.4x | -0.0x | -0.0x | 8.8x | |
| Goodbaby International Holdings Ltd ($1086) | -1.3x | -0.5x | 5.9x | 2.1x | |
| eForce Holdings Ltd ($943) | | | | -1.2x | |
| Carpenter Tan Holdings Ltd ($837) | -2.5x | -2.1x | -0.9x | -1.5x | |
| |
|---|
| Median (8 companies) | -1.0x | -1.2x | -0.9x | -1.3x | -5.8x |
|---|
| Samsonite International SA ($1910) | -0.4x | -0.6x | -0.2x | -0.3x | 3.6x |
