Dalian Port PDA Co Ltd revenue growth accelerated from 12.0% in 2015 to 44.4% in 2016
23/03/2017 • About Dalian Port PDA Co Ltd (
$2880) • By InTwits
Dalian Port PDA Co Ltd reported 2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is declining: 11.3% in 2016 vs. 17.5% in 2015 vs. 35.2% in 2012
- EBITDA Margin is quite volatile: 11.3% in 2016, 17.5% in 2015, 18.6% in 2014, 23.3% in 2013, 35.2% in 2012
- Dalian Port PDA Co Ltd has high CAPEX intensity: 5 year average CAPEX/Revenue was 11.8%. At the same time it's a lot of higher than industry average of 8.6%.
- CAPEX is quite volatile: 2,677 in 2016, 6,180 in 2015, 5,301 in 2014, 9,886 in 2013, 5,328 in 2012
- The company has potentially unprofitable business model: ROIC is at 2.6%
- It operates with high leverage: Net Debt/EBITDA is 0.6x while industry average is -1.7x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Dalian Port PDA Co Ltd ($2880) key annual financial indicators
| mln. CNY | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 4,454 | 6,842 | 7,901 | 8,845 | 12,770 | 44.4% |
| Gross Profit | 1,397 | 1,447 | 1,333 | 1,413 | 1,343 | -5.0% |
| SG&A | 491 | 559 | 586 | 624 | 664 | 6.5% |
| EBITDA | 1,566 | 1,592 | 1,472 | 1,550 | 1,447 | -6.6% |
| Net Income | 600 | 683 | 521 | 484 | 531 | 9.6% |
Balance Sheet
|
|---|
| Cash | 2,507 | 2,339 | 2,446 | 2,933 | 6,662 | 127.1% |
| Short Term Debt | 1,840 | 3,639 | 1,485 | 1,160 | 1,548 | 33.4% |
| Long Term Debt | 9,553 | 6,370 | 7,849 | 8,169 | 5,926 | -27.5% |
Cash flow
|
|---|
| Capex | 863 | 919 | 827 | 1,013 | 556 | -45.2% |
Ratios
|
|---|
| Revenue growth | 17.4% | 53.6% | 15.5% | 12.0% | 44.4% | |
| EBITDA growth | 3.5% | 1.7% | -7.6% | 5.3% | -6.6% | |
| Gross Margin | 31.4% | 21.2% | 16.9% | 16.0% | 10.5% | -5.5% |
| EBITDA Margin | 35.2% | 23.3% | 18.6% | 17.5% | 11.3% | -6.2% |
| Net Income Margin | 13.5% | 10.0% | 6.6% | 5.5% | 4.2% | -1.3% |
| SG&A, % of revenue | 11.0% | 8.2% | 7.4% | 7.1% | 5.2% | -1.9% |
| CAPEX, % of revenue | 19.4% | 13.4% | 10.5% | 11.5% | 4.4% | -7.1% |
| ROIC | 3.6% | 3.5% | 3.0% | 3.2% | 2.6% | -0.6% |
| ROE | 4.7% | 5.2% | 3.8% | 3.5% | 3.3% | -0.2% |
| Net Debt/EBITDA | 5.7x | 4.8x | 4.7x | 4.1x | 0.6x | -3.6x |
Revenue and profitability
The company's Revenue jumped on 44.4%. Despite revenue decline the EBITDA margin expanded. EBITDA Margin increased slightly on 1.6 pp from 2.6% to 4.2% in FY2016.
Gross Margin decreased on 5.5 pp from 16.0% to 10.5% in 2016. SG&A as a % of Revenue decreased slightly on 1.9 pp from 7.1% to 5.2% in 2016.
Net Income marign decreased slightly on 1.3 pp from 5.5% to 4.2% in 2016.
Capital expenditures (CAPEX) and working capital investments
In 2016 the company had CAPEX/Revenue of 4.4%. The company's CAPEX/Revenue decreased on 9.1 pp from 13.4% in 2013 to 4.4% in 2016. For the last three years the average CAPEX/Revenue was 8.8%.
Return on investment
The company operates at low ROIC (2.62%) and ROE (3.34%). ROIC decreased slightly on 0.60 pp from 3.2% to 2.6% in 2016. ROE showed almost no change in 2016.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.6x and Debt / EBITDA is 5.2x. Net Debt / EBITDA dropped on 3.6x from 4.1x to 0.6x in 2016. Debt dropped on 19.9% while cash jumped on 127%.
Appendix 1: Peers in Commercial Services
Below we provide Dalian Port PDA Co Ltd benchmarking against other companies in Commercial Services 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 |
|---|
| Kai Yuan Holdings Ltd ($1215) | 99.1% | 14.9% | -88.3% | 271.8% | |
| China Seven Star Holdings Ltd ($245) | | -81.8% | -39.3% | 195.3% | 14.5% |
| China Smartpay Group Holdings Ltd ($8325) | | 274.7% | 75.6% | 124.5% | 79.5% |
| Celebrate International Holdings Ltd ($8212) | | 1,437.6% | -6.3% | 117.0% | -78.1% |
| Haier Healthwise Holdings Ltd ($348) | | -50.1% | -7.5% | 101.1% | -9.4% |
| |
|---|
| Median (67 companies) | -6.2% | 8.6% | 9.8% | 4.0% | 8.0% |
|---|
| Dalian Port PDA Co Ltd ($2880) | | 53.6% | 15.5% | 12.0% | 44.4% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| HC International Inc ($2280) | 87.5% | 91.9% | 92.5% | 89.6% | |
| Winto Group Holdings Ltd ($8238) | 90.2% | 93.4% | 92.0% | 88.4% | |
| Dingyi Group Investment Ltd ($508) | 75.8% | | 64.5% | 86.0% | 89.6% |
| Fu Shou Yuan International Group Ltd ($1448) | 80.5% | 80.4% | 80.0% | 77.6% | 79.1% |
| Nirvana Asia Ltd ($1438) | 68.3% | 69.6% | 70.5% | 75.7% | |
| |
|---|
| Median (61 companies) | 31.9% | 31.0% | 31.1% | 31.5% | 31.9% |
|---|
| Dalian Port PDA Co Ltd ($2880) | 31.4% | 21.2% | 16.9% | 16.0% | 10.5% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Zuoli Kechuang Micro-Finance Co Ltd ($6866) | 61.6% | 84.9% | 75.9% | 80.9% | |
| Shenzhen International Holdings Ltd ($152) | 60.2% | 65.8% | 97.1% | 73.6% | |
| Yuexiu Transport Infrastructure Ltd ($1052) | 78.3% | 74.5% | 74.0% | 71.6% | 84.1% |
| CAR Inc ($699) | 43.6% | 30.1% | 43.1% | 67.4% | 62.5% |
| Jiangsu Expressway Co Ltd ($177) | 57.0% | 60.7% | 59.3% | 61.5% | |
| |
|---|
| Median (67 companies) | 17.5% | 14.9% | 11.2% | 9.8% | 1.5% |
|---|
| Dalian Port PDA Co Ltd ($2880) | 35.2% | 23.3% | 18.6% | 17.5% | 11.3% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Blue Sky Power Holdings Ltd ($6828) | 21.3% | 9.0% | 13.9% | 47.4% | |
| COSCO Pacific Ltd ($1199) | 96.6% | 66.6% | 43.3% | 45.8% | |
| Shenzhen International Holdings Ltd ($152) | 23.0% | 22.1% | 20.9% | 35.0% | |
| Celebrate International Holdings Ltd ($8212) | 211.7% | 12.0% | 6.2% | 34.2% | 18.6% |
| China Maple Leaf Educational Systems Ltd ($1317) | 25.7% | 50.9% | 21.1% | 32.8% | 18.0% |
| |
|---|
| Median (67 companies) | 2.7% | 3.4% | 2.4% | 2.8% | 2.3% |
|---|
| Dalian Port PDA Co Ltd ($2880) | 19.4% | 13.4% | 10.5% | 11.5% | 4.4% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Bamboos Health Care Holdings Ltd ($8216) | | 71.1% | 50.1% | 58.3% | 40.0% |
| Wonderful Sky Financial Group Holdings Ltd ($1260) | 51.5% | 26.6% | 30.0% | 29.5% | 19.8% |
| 1010 Printing Group Ltd ($1127) | 13.5% | 20.8% | 17.8% | 19.9% | 18.8% |
| China Packaging Holdings Development Ltd ($1439) | 52.0% | 46.6% | 34.1% | 19.8% | |
| iOne Holdings Ltd ($982) | 12.5% | 11.1% | 9.4% | 19.2% | |
| |
|---|
| Median (67 companies) | 7.5% | 7.0% | 6.7% | 3.6% | 2.0% |
|---|
| Dalian Port PDA Co Ltd ($2880) | 3.6% | 3.5% | 3.0% | 3.2% | 2.6% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Celebrate International Holdings Ltd ($8212) | | | | 22.2x | |
| Kai Yuan Holdings Ltd ($1215) | -143.8x | -0.7x | | 18.8x | |
| Eagle Legend Asia Ltd ($936) | 4.0x | 4.0x | 3.3x | 6.2x | |
| Sichuan Expressway Co Ltd ($107) | 2.7x | 3.8x | 4.3x | 5.5x | |
| Yuexiu Transport Infrastructure Ltd ($1052) | 4.5x | 3.1x | 2.7x | 5.3x | 3.5x |
| |
|---|
| Median (44 companies) | -0.0x | -0.7x | -0.9x | -0.8x | -2.3x |
|---|
| Dalian Port PDA Co Ltd ($2880) | 5.7x | 4.8x | 4.7x | 4.1x | 0.6x |
