China Eco-Farming Ltd revenue growth decelerated from 155% in FY2015 to 21.3% in FY2016
23/03/2017 • About China Eco-Farming Ltd (
$8166) • By InTwits
China Eco-Farming Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is relatively stable: in FY2016 vs. -75.0% in FY2015 vs. -82.1% in FY2012
- China Eco-Farming Ltd motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for FY2012-FY2016 was 0.0%. On average EBITDA Margin was -57.7% for the sames years0
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
China Eco-Farming Ltd ($8166) key annual financial indicators
| mln. HKD | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 20.798 | 19.194 | 23.387 | 59.748 | 72.470 | 21.3% |
| Gross Profit | 2.786 | 3.542 | 0.495 | 2.716 | | -100.0% |
| SG&A | | | 27.790 | 39.950 | | -100.0% |
| EBITDA | -17.072 | -24.419 | -26.613 | -44.834 | | |
| Net Income | -21.046 | -25.746 | -27.393 | -59.214 | -29.955 | |
Balance Sheet
|
|---|
| Cash | 0.079 | 14.552 | 36.995 | 36.871 | | -100.0% |
| Short Term Debt | 25.350 | 6.300 | 0.000 | 10.332 | | -100.0% |
| Long Term Debt | 0.000 | 4.806 | 16.970 | 53.397 | | -100.0% |
Cash flow
|
|---|
| Capex | 0.128 | 0.139 | 4.239 | 1.491 | | -100.0% |
Ratios
|
|---|
| Revenue growth | -23.6% | -7.7% | 21.8% | 155.5% | 21.3% | |
| EBITDA growth | 70.4% | 43.0% | 9.0% | 68.5% | | |
| Gross Margin | 13.4% | 18.5% | 2.1% | 4.5% | | -4.5% |
| EBITDA Margin | -82.1% | -127.2% | -113.8% | -75.0% | 0.0% | 75.0% |
| Net Income Margin | -101.2% | -134.1% | -117.1% | -99.1% | -41.3% | 57.8% |
| SG&A, % of revenue | | | 118.8% | 66.9% | | -66.9% |
| CAPEX, % of revenue | 0.6% | 0.7% | 18.1% | 2.5% | | -2.5% |
| ROIC | -145.6% | -164.6% | -31.4% | -18.0% | | 18.0% |
| ROE | | | -37.3% | -32.5% | | 32.5% |
Revenue and profitability
The company's Revenue surged on 21.3%.
Net Income marign surged on 57.8 pp from -99.1% to -41.3% in FY2016.
Appendix 1: Peers in Software
Below you can find China Eco-Farming Ltd benchmarking vs. other companies in Software 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 |
|---|
| Yunbo Digital Synergy Group Ltd ($8050) | | 241.6% | -31.9% | 348.0% | 99.6% |
| Pizu Group Holdings Ltd ($8053) | | -42.9% | 1,742.9% | 157.9% | 235.2% |
| ICO Group Ltd ($8140) | | -11.1% | -3.1% | 104.9% | 29.8% |
| Aurum Pacific China Group Ltd ($8148) | | | 50.0% | 92.7% | -17.8% |
| Kingsoft Corp Ltd ($3888) | | 54.0% | 54.2% | 69.4% | 45.9% |
| |
|---|
| Median (38 companies) | 21.1% | 13.2% | 21.2% | 5.5% | 17.4% |
|---|
| China Eco-Farming Ltd ($8166) | | -7.7% | 21.8% | 155.5% | 21.3% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| China Bio Cassava Holdings Ltd ($8129) | 90.4% | 97.4% | 98.4% | 98.3% | |
| Chanjet Information Technology Co Ltd ($1588) | 89.2% | 91.3% | 92.4% | 91.4% | |
| China Binary Sale Technology Ltd ($8255) | 63.5% | 68.5% | 67.7% | 85.9% | |
| Kingdee International Software Group Co Ltd ($268) | 65.0% | 75.3% | 82.5% | 81.5% | 81.3% |
| Tian Ge Interactive Holdings Ltd ($1980) | 88.5% | 87.6% | 84.8% | 77.7% | |
| |
|---|
| Median (37 companies) | 46.5% | 43.1% | 43.4% | 43.3% | 38.6% |
|---|
| China Eco-Farming Ltd ($8166) | 13.4% | 18.5% | 2.1% | 4.5% | |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| International Entertainment Corp ($1009) | 50.8% | 64.0% | 54.9% | 62.0% | 45.5% |
| Sinosoft Technology Group Ltd ($1297) | 62.6% | 54.9% | 57.2% | 59.0% | |
| China Binary Sale Technology Ltd ($8255) | 35.1% | 35.4% | 44.4% | 50.5% | |
| Boyaa Interactive International Ltd ($434) | 38.5% | 25.8% | 30.7% | 47.6% | |
| TravelSky Technology Ltd ($696) | 38.1% | 35.8% | 31.9% | 41.1% | |
| |
|---|
| Median (38 companies) | 9.8% | 13.7% | 10.1% | 9.5% | 5.4% |
|---|
| China Eco-Farming Ltd ($8166) | -82.1% | -127.2% | -113.8% | -75.0% | |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| NetDragon Websoft Inc ($777) | 21.1% | 34.6% | 54.6% | 42.9% | |
| China Information Technology Development Ltd ($8178) | 4.1% | 1.1% | 0.5% | 40.7% | |
| Aurum Pacific China Group Ltd ($8148) | | 2.9% | 7.5% | 20.6% | |
| TravelSky Technology Ltd ($696) | 8.9% | 21.7% | 18.1% | 18.1% | |
| Kingsoft Corp Ltd ($3888) | 4.3% | 3.8% | 14.3% | 11.1% | |
| |
|---|
| Median (38 companies) | 1.5% | 1.6% | 2.6% | 2.0% | 0.5% |
|---|
| China Eco-Farming Ltd ($8166) | 0.6% | 0.7% | 18.1% | 2.5% | |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Pizu Group Holdings Ltd ($8053) | -21.8% | -13.4% | -6.8% | 120.0% | 51.7% |
| ICO Group Ltd ($8140) | | 43.5% | 6.8% | 37.7% | 27.1% |
| IGG Inc ($8002) | | 55.9% | 41.4% | 25.9% | |
| Boyaa Interactive International Ltd ($434) | 75.3% | 21.3% | 20.0% | 21.4% | |
| Sinosoft Technology Group Ltd ($1297) | 34.0% | 21.9% | 20.2% | 20.8% | |
| |
|---|
| Median (38 companies) | 5.6% | 6.7% | 5.4% | 2.2% | 4.4% |
|---|
| China Eco-Farming Ltd ($8166) | -145.6% | -164.6% | -31.4% | -18.0% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Epicurean and Co Ltd ($8213) | 2.3x | 4.7x | 12.3x | 12.0x | 13.9x |
| Sing Lee Software Group Ltd ($8076) | | | 6.2x | 4.4x | |
| Century Sage Scientific Holdings Ltd ($1450) | 0.2x | 0.0x | -0.2x | 1.8x | |
| Microsoft Corp ($4338) | | | 0.4x | 1.2x | 1.4x |
| Chinasoft International Ltd ($354) | -0.7x | 0.7x | 1.5x | 0.7x | |
| |
|---|
| Median (22 companies) | -1.0x | -1.4x | -1.8x | -1.1x | -0.5x |
|---|
