Broad Greenstate International Co Ltd reports 16.4% revenue growth in FY2016 and almost no change in EBITDA Margin of 30.9%
21/03/2017 • About Broad Greenstate International Co Ltd (
$1253) • By InTwits
Broad Greenstate International Co Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Broad Greenstate International Co Ltd is a fast growth stock: FY2016 revenue growth was 16.4%, 5 year revenue CAGR was 32.6% at FY2016 ROIC 20.9%
- The company has highly profitable business model: ROIC is at 20.9%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Broad Greenstate International Co Ltd ($1253) key annual financial indicators
| mln. | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 221.6 | 289.9 | 530.1 | 622.7 | 724.8 | 16.4% |
| Gross Profit | 44.5 | 83.3 | 189.9 | 228.2 | 271.1 | 18.8% |
| SG&A | | | | 42.2 | 56.0 | 32.7% |
| EBITDA | 33.9 | 70.7 | 152.6 | 193.0 | 223.9 | 16.0% |
| Net Income | 24.5 | 53.5 | 104.7 | 150.5 | 151.7 | 0.8% |
Balance Sheet
|
|---|
| Cash | 51.9 | 10.8 | 143.9 | 257.4 | 127.9 | -50.3% |
| Short Term Debt | 12.0 | 12.0 | 50.0 | 277.8 | 405.2 | 45.8% |
| Long Term Debt | 0.0 | 0.0 | 110.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 1.3 | 5.6 | 5.0 | 12.0 | | -100.0% |
Ratios
|
|---|
| Revenue growth | 25.2% | 30.8% | 82.9% | 17.5% | 16.4% | |
| EBITDA growth | 73.1% | 108.4% | 115.8% | 26.5% | 16.0% | |
| Gross Margin | 20.1% | 28.7% | 35.8% | 36.7% | 37.4% | 0.7% |
| EBITDA Margin | 15.3% | 24.4% | 28.8% | 31.0% | 30.9% | -0.1% |
| Net Income Margin | 11.1% | 18.5% | 19.7% | 24.2% | 20.9% | -3.2% |
| SG&A, % of revenue | | | | 6.8% | 7.7% | 1.0% |
| CAPEX, % of revenue | 0.6% | 1.9% | 0.9% | 1.9% | | -1.9% |
| ROIC | 33.2% | 85.1% | 51.2% | 26.0% | 20.9% | -5.1% |
| ROE | 28.4% | 100.2% | 61.6% | 34.0% | 25.2% | -8.8% |
| Net Debt/EBITDA | -1.2x | 0.0x | 0.1x | 0.1x | 1.2x | 1.1x |
Revenue and profitability
Broad Greenstate International Co Ltd's Revenue jumped on 16.4%. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased on 2.4 pp from -6.0% to -3.5% in FY2016.
Gross Margin increased slightly on 0.75 pp from 36.7% to 37.4% in FY2016. SG&A as a % of Revenue increased slightly on 0.95 pp from 6.8% to 7.7% in FY2016.
Net Income marign decreased on 3.2 pp from 24.2% to 20.9% in FY2016.
Return on investment
The company operates at high and attractive ROIC (20.86%) and ROE (25.19%). ROIC decreased on 5.1 pp from 26.0% to 20.9% in FY2016. ROE decreased on 8.8 pp from 34.0% to 25.2% in FY2016.
Leverage (Debt)
Company's Net Debt / EBITDA is 1.2x and Debt / EBITDA is 1.8x. Net Debt / EBITDA surged on 1.1x from 0.1x to 1.2x in FY2016. Debt jumped on 45.8% while cash dropped on 50.3%.
Appendix 1: Peers in Engineering&Construction
Below you can find Broad Greenstate International Co Ltd benchmarking vs. other companies in Engineering&Construction 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 |
|---|
| CNQC International Holdings Ltd ($1240) | 21.6% | 91.0% | 103.7% | 807.4% | |
| China National Culture Group Ltd ($745) | | -76.8% | -55.8% | 592.3% | 86.7% |
| Vision Fame International Holding Ltd ($1315) | | 45.9% | -10.5% | 105.6% | 40.9% |
| Sino Credit Holdings Ltd ($628) | | | | 97.4% | -40.3% |
| Grand Ming Group Holdings Ltd ($1271) | | -26.9% | -37.4% | 74.8% | 14.3% |
| |
|---|
| Median (44 companies) | 9.2% | 24.0% | 20.8% | 10.3% | 6.1% |
|---|
| Broad Greenstate International Co Ltd ($1253) | | 30.8% | 82.9% | 17.5% | 16.4% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| HNA Infrastructure Company Ltd ($357) | 66.4% | 62.1% | 62.4% | 61.1% | |
| Huayu Expressway Group Ltd ($1823) | 43.6% | 65.6% | 64.0% | 58.9% | |
| Sam Woo Construction Group Ltd ($3822) | 33.2% | 27.3% | 33.6% | 36.0% | 19.8% |
| China National Culture Group Ltd ($745) | 0.9% | 12.1% | 10.3% | 32.3% | 19.2% |
| Kingbo Strike Ltd ($1421) | 32.4% | 44.4% | 40.3% | 30.7% | 14.1% |
| |
|---|
| Median (39 companies) | 16.4% | 16.0% | 15.4% | 15.6% | 11.8% |
|---|
| Broad Greenstate International Co Ltd ($1253) | 20.1% | 28.7% | 35.8% | 36.7% | 37.4% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Huayu Expressway Group Ltd ($1823) | 46.2% | 73.8% | 77.1% | 76.2% | |
| HNA Infrastructure Company Ltd ($357) | 62.8% | 63.7% | 62.8% | 61.7% | |
| Cheung Kong Infrastructure Holdings Ltd ($1038) | 31.2% | 20.6% | 36.2% | 60.9% | 38.4% |
| Beijing Capital International Airport Co Ltd ($694) | 53.4% | 52.9% | 50.3% | 51.6% | 50.9% |
| China National Culture Group Ltd ($745) | -30.4% | -72.7% | -279.2% | 45.3% | -14.6% |
| |
|---|
| Median (44 companies) | 9.9% | 10.4% | 9.2% | 8.3% | 5.1% |
|---|
| Broad Greenstate International Co Ltd ($1253) | 15.3% | 24.4% | 28.8% | 31.0% | 30.9% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| HNA Infrastructure Company Ltd ($357) | 36.8% | 5.7% | 85.4% | 155.4% | |
| Grand Ming Group Holdings Ltd ($1271) | 0.0% | 16.1% | 8.7% | 33.8% | 14.0% |
| Beijing Capital International Airport Co Ltd ($694) | 3.5% | 6.6% | 7.2% | 28.2% | |
| NEW Concepts Holdings Ltd ($2221) | 1.7% | 1.2% | 3.1% | 20.5% | 0.3% |
| Louis XIII Holdings Ltd ($577) | 1.2% | 29.5% | 9.3% | 16.1% | 47.3% |
| |
|---|
| Median (44 companies) | 2.3% | 3.3% | 1.8% | 2.1% | 2.4% |
|---|
| Broad Greenstate International Co Ltd ($1253) | 0.6% | 1.9% | 0.9% | 1.9% | |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| In Construction Holdings Ltd ($1500) | | 52.8% | 37.0% | 49.4% | 40.4% |
| Chun Sing Engineering Holdings Ltd ($2277) | | 98.3% | 54.9% | 43.7% | 21.6% |
| NEW Concepts Holdings Ltd ($2221) | | 51.0% | 78.8% | 39.0% | 23.3% |
| Sam Woo Construction Group Ltd ($3822) | | 28.2% | 28.7% | 33.5% | 18.3% |
| Ngai Shun Holdings Ltd ($1246) | 68.8% | 77.2% | 45.2% | 31.0% | -2.9% |
| |
|---|
| Median (46 companies) | 5.8% | 5.9% | 4.4% | 5.5% | 2.0% |
|---|
| Broad Greenstate International Co Ltd ($1253) | 33.2% | 85.1% | 51.2% | 26.0% | 20.9% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Deson Development International Holdings ($262) | 3.8x | 4.9x | 13.7x | 47.0x | |
| Hsin Chong Construction Group Ltd ($404) | 1.8x | 8.0x | 10.2x | 41.7x | |
| China Resources and Transportation Group Ltd ($269) | | | 66.7x | 29.7x | |
| CNC Holdings Ltd ($8356) | | 22.0x | 21.9x | 24.3x | 2.7x |
| Louis XIII Holdings Ltd ($577) | 0.8x | -12.5x | -23.2x | 19.1x | |
| |
|---|
| Median (38 companies) | 0.9x | 0.3x | 0.4x | 1.3x | 0.6x |
|---|
| Broad Greenstate International Co Ltd ($1253) | -1.2x | 0.0x | 0.1x | 0.1x | 1.2x |
