China Hanking Holdings Ltd revenue jumped on 40.0%
22/03/2017 • About China Hanking Holdings Ltd (
$3788) • By InTwits
China Hanking Holdings Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts: EBITDA Margin is declining: in FY2016 vs. 8.7% in FY2015 vs. 40.4% in FY2012.
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
China Hanking Holdings Ltd ($3788) key annual financial indicators
| mln. CNY | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 1,397 | 1,456 | 1,369 | 1,220 | 1,707 | 40.0% |
| Gross Profit | 749 | 792 | 481 | 291 | | -100.0% |
| SG&A | 303 | 360 | 309 | 269 | | -100.0% |
| EBITDA | 565 | 595 | 419 | 106 | | -100.0% |
| Net Income | 297 | 193 | 9 | -382 | -207 | |
Balance Sheet
|
|---|
| Cash | 582 | 370 | 300 | 99 | | -100.0% |
| Short Term Debt | 806 | 1,397 | 1,672 | 2,766 | | -100.0% |
| Long Term Debt | 0 | 483 | 590 | 211 | | -100.0% |
Cash flow
|
|---|
| Capex | 531 | 519 | 276 | 372 | | -100.0% |
Ratios
|
|---|
| Revenue growth | -19.1% | 4.2% | -6.0% | -10.9% | 40.0% | |
| EBITDA growth | -48.1% | 5.3% | -29.6% | -74.8% | | |
| Gross Margin | 53.6% | 54.4% | 35.1% | 23.8% | | -23.8% |
| EBITDA Margin | 40.4% | 40.9% | 30.6% | 8.7% | 0.0% | -8.7% |
| Net Income Margin | 21.2% | 13.2% | 0.7% | -31.3% | -12.1% | 19.1% |
| SG&A, % of revenue | 21.7% | 24.8% | 22.6% | 22.1% | | -22.1% |
| CAPEX, % of revenue | 38.0% | 35.7% | 20.2% | 30.5% | | -30.5% |
| ROIC | 19.0% | 14.3% | 5.0% | -5.4% | | 5.4% |
| ROE | 22.5% | 14.7% | 0.7% | -39.4% | | 39.4% |
| Net Debt/EBITDA | 0.4x | 2.5x | 4.7x | 27.3x | | -27.3x |
Revenue and profitability
The company's Revenue surged on 40.0%.
Net Income marign jumped on 19.1 pp from -31.3% to -12.1% in FY2016.
Appendix 1: Peers in Iron/Steel
Below we provide China Hanking Holdings Ltd benchmarking against other companies in Iron/Steel 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 |
|---|
| CAA Resources Ltd ($2112) | 99.6% | 103.2% | 38.0% | 261.2% | |
| Newton Resources Ltd ($1231) | | | -41.6% | 170.9% | |
| Fosun International Ltd ($656) | -8.9% | -1.4% | 21.0% | 27.6% | |
| Wanguo International Mining Group Ltd ($3939) | -1.0% | -11.0% | -16.2% | 0.7% | |
| Da Ming International Holdings Ltd ($1090) | | 29.3% | 29.8% | -8.1% | 13.7% |
| |
|---|
| Median (19 companies) | -8.9% | -1.1% | -1.7% | -21.1% | 13.7% |
|---|
| China Hanking Holdings Ltd ($3788) | | 4.2% | -6.0% | -10.9% | 40.0% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Newton Resources Ltd ($1231) | | -223.7% | 15.7% | 37.5% | |
| Wanguo International Mining Group Ltd ($3939) | 47.4% | 50.7% | 39.6% | 29.2% | |
| China Metal International Holdings Inc ($319) | 20.9% | 24.3% | 24.8% | 25.5% | |
| Fosun International Ltd ($656) | 18.0% | 20.3% | 23.7% | 22.4% | |
| Vale SA ($6210) | 45.4% | 48.3% | 33.1% | 19.6% | 35.4% |
| |
|---|
| Median (19 companies) | 14.8% | 12.7% | 11.3% | 8.5% | 9.4% |
|---|
| China Hanking Holdings Ltd ($3788) | 53.6% | 54.4% | 35.1% | 23.8% | |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Wanguo International Mining Group Ltd ($3939) | 39.7% | 36.2% | 31.3% | 26.7% | |
| Fosun International Ltd ($656) | 16.7% | 23.0% | 20.9% | 22.2% | |
| China Metal International Holdings Inc ($319) | 19.7% | 21.3% | 21.0% | 22.0% | |
| Xingda International Holdings Ltd ($1899) | 17.3% | 22.2% | 19.1% | 13.6% | |
| Tiangong International Co Ltd ($826) | 25.1% | 25.8% | 19.3% | 11.6% | |
| |
|---|
| Median (19 companies) | 12.6% | 11.7% | 7.1% | 1.9% | 3,240.6% |
|---|
| China Hanking Holdings Ltd ($3788) | 40.4% | 40.9% | 30.6% | 8.7% | |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Newton Resources Ltd ($1231) | | 926.9% | 1,395.7% | 197.0% | |
| Vale SA ($6210) | 34.0% | 28.1% | 29.8% | 34.5% | 18.3% |
| Pan Asia Mining Ltd ($8173) | 1.5% | 0.4% | 2.4% | 24.4% | 7.6% |
| China Vanadium Titano - Magnetite Mining Co Ltd ($893) | 8.9% | 10.5% | 20.4% | 24.1% | |
| Xiwang Special Steel Co Ltd ($1266) | 22.6% | 31.5% | 21.5% | 22.9% | |
| |
|---|
| Median (19 companies) | 8.3% | 10.5% | 6.4% | 7.2% | 12.9% |
|---|
| China Hanking Holdings Ltd ($3788) | 38.0% | 35.7% | 20.2% | 30.5% | |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| China Metal International Holdings Inc ($319) | 11.0% | 12.0% | 12.7% | 11.4% | |
| Wanguo International Mining Group Ltd ($3939) | 38.4% | 24.4% | 15.0% | 11.1% | |
| Golik Holdings Ltd ($1118) | 7.0% | 7.4% | 10.0% | 10.8% | |
| CAA Resources Ltd ($2112) | 69.2% | 33.5% | 2.2% | 6.9% | |
| Fosun International Ltd ($656) | 6.1% | 7.9% | 6.8% | 6.9% | |
| |
|---|
| Median (19 companies) | 6.2% | 7.5% | 3.1% | -3.0% | 33.9% |
|---|
| China Hanking Holdings Ltd ($3788) | 19.0% | 14.3% | 5.0% | -5.4% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Angang Steel Co Ltd ($347) | 21.4x | 4.0x | 4.3x | 29.1x | |
| Tiangong International Co Ltd ($826) | 2.5x | 3.0x | 3.2x | 6.9x | |
| Fosun International Ltd ($656) | 4.4x | 4.8x | 5.5x | 4.4x | |
| China Oriental Group Co Ltd ($581) | 4.6x | 5.3x | 4.5x | 3.3x | |
| Xiwang Special Steel Co Ltd ($1266) | 5.8x | 4.3x | 1.9x | 2.1x | |
| |
|---|
| Median (10 companies) | 2.3x | 3.0x | 2.9x | 1.5x | 4.2x |
|---|
| China Hanking Holdings Ltd ($3788) | 0.4x | 2.5x | 4.7x | 27.3x | |
