China Yurun Food Group Ltd revenue dropped on 17.2% in 2016
24/03/2017 • About China Yurun Food Group Ltd (
$1068) • By InTwits
China Yurun Food Group Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- China Yurun Food Group Ltd is a company in decline: FY2016 revenue growth was -17.2%, 5 years revenue CAGR was -12.4%
- EBITDA Margin is declining: in FY2016 vs. -9.8% in FY2015 vs. 0.4% in FY2012
- China Yurun Food Group Ltd spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for FY2012-FY2016 is 0.0%. Average EBITDA Margin for the same period was -0.2%0
- It operates with high leverage: Net Debt/EBITDA is 5.4x while industry average is 1.2x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
China Yurun Food Group Ltd ($1068) key annual financial indicators
| mln. HKD | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 26,782 | 21,440 | 19,158 | 20,165 | 16,702 | -17.2% |
| Gross Profit | 398 | 766 | 987 | 642 | | -100.0% |
| SG&A | 1,764 | 1,707 | 1,703 | 2,992 | | -100.0% |
| EBITDA | 110 | 873 | 780 | -1,985 | | |
| Net Income | -605 | 44 | 57 | -2,976 | -2,342 | |
Balance Sheet
|
|---|
| Cash | 2,815 | 2,478 | 891 | 411 | | -100.0% |
| Short Term Debt | 3,618 | 3,416 | 5,464 | 6,564 | | -100.0% |
| Long Term Debt | 3,659 | 5,081 | 2,793 | 894 | | -100.0% |
Cash flow
|
|---|
| Capex | 2,421 | 1,752 | 700 | 348 | | -100.0% |
Ratios
|
|---|
| Revenue growth | -17.1% | -19.9% | -10.6% | 5.3% | -17.2% | |
| EBITDA growth | -95.3% | 695.6% | -10.7% | -354.7% | | |
| Gross Margin | 1.5% | 3.6% | 5.1% | 3.2% | | -3.2% |
| EBITDA Margin | 0.4% | 4.1% | 4.1% | -9.8% | 0.0% | 9.8% |
| Net Income Margin | -2.3% | 0.2% | 0.3% | -14.8% | -14.0% | 0.7% |
| SG&A, % of revenue | 6.6% | 8.0% | 8.9% | 14.8% | | -14.8% |
| CAPEX, % of revenue | 9.0% | 8.2% | 3.7% | 1.7% | | -1.7% |
| ROIC | -1.9% | 1.1% | 0.7% | -11.5% | | 11.5% |
| ROE | -3.8% | 0.3% | 0.4% | -21.1% | | 21.1% |
| Net Debt/EBITDA | 40.7x | 6.9x | 9.4x | | | 0.0x |
Revenue and profitability
China Yurun Food Group Ltd's Revenue dropped on 17.2%.
Net Income marign increased slightly on 0.74 pp from -14.8% to -14.0% in FY2016.
Management team
The company's CEO is Li Shibao. Li Shibao has 6 years tenure at the company.
Appendix 1: Peers in Food
Below you can find China Yurun Food Group Ltd benchmarking vs. other companies in Food 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 |
|---|
| Imperial Pacific International Holdings Ltd ($1076) | -27.6% | -18.5% | 2.7% | 70.3% | |
| China Shengmu Organic Milk Ltd ($1432) | | 63.2% | 86.4% | 45.4% | 11.8% |
| Chinese Food and Beverage Group ($8272) | 207.7% | 149.2% | 26.8% | 31.6% | |
| Huisheng International Holdings Ltd ($1340) | -2.4% | 5.6% | 8.7% | 25.9% | |
| Jiashili Group Ltd ($1285) | 14.9% | 15.1% | 12.3% | 19.8% | |
| |
|---|
| Median (42 companies) | 10.2% | 9.0% | 5.5% | -3.7% | -2.7% |
|---|
| China Yurun Food Group Ltd ($1068) | | -19.9% | -10.6% | 5.3% | -17.2% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Hung Fook Tong Group Holdings Ltd ($1446) | 60.7% | 60.0% | 58.7% | 60.7% | |
| Honworld Group Ltd ($2226) | 57.2% | 59.0% | 57.8% | 56.4% | |
| Yashili International Holdings Ltd ($1230) | 53.7% | 53.5% | 51.2% | 50.8% | |
| Natural Dairy NZ Holdings Ltd ($462) | -13.7% | 27.5% | 48.8% | 49.6% | |
| China Shengmu Organic Milk Ltd ($1432) | 33.4% | 42.9% | 50.2% | 47.7% | 48.3% |
| |
|---|
| Median (41 companies) | 16.8% | 20.3% | 22.2% | 23.7% | 19.7% |
|---|
| China Yurun Food Group Ltd ($1068) | 1.5% | 3.6% | 5.1% | 3.2% | |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Shenguan Holdings Group Ltd ($829) | 58.7% | 59.2% | 54.5% | 43.6% | |
| Honworld Group Ltd ($2226) | 44.4% | 42.1% | 42.0% | 42.9% | |
| China Shengmu Organic Milk Ltd ($1432) | 31.5% | 38.3% | 47.1% | 41.9% | 35.7% |
| China Huishan Dairy Holdings Co Ltd ($6863) | 45.1% | 47.9% | 47.1% | 37.2% | 36.0% |
| YuanShengTai Dairy Farm Ltd ($1431) | 40.3% | 48.4% | 47.1% | 35.4% | 36.5% |
| |
|---|
| Median (41 companies) | 8.1% | 7.1% | 7.9% | 8.5% | 4.9% |
|---|
| China Yurun Food Group Ltd ($1068) | 0.4% | 4.1% | 4.1% | -9.8% | |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| China Huishan Dairy Holdings Co Ltd ($6863) | 98.2% | 29.8% | 132.0% | 109.8% | 37.5% |
| Imperial Pacific International Holdings Ltd ($1076) | 0.0% | 0.0% | 15.6% | 88.5% | |
| China Modern Dairy Holdings Ltd ($1117) | 50.6% | | 18.7% | 42.4% | |
| Labixiaoxin Snacks Group Ltd ($1262) | 13.3% | 10.3% | 14.6% | 32.0% | |
| YuanShengTai Dairy Farm Ltd ($1431) | 26.1% | 18.3% | 43.4% | 30.1% | |
| |
|---|
| Median (40 companies) | 5.1% | 5.3% | 5.1% | 4.9% | 0.7% |
|---|
| China Yurun Food Group Ltd ($1068) | 9.0% | 8.2% | 3.7% | 1.7% | |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Major Holdings Ltd ($8209) | | 23.1% | 13.8% | 22.3% | 7.8% |
| Jiashili Group Ltd ($1285) | 45.6% | 51.8% | 27.8% | 22.2% | |
| Want Want China Holdings Ltd ($151) | 27.9% | 29.4% | 22.8% | 21.8% | 22.2% |
| China Shengmu Organic Milk Ltd ($1432) | 16.4% | 19.6% | 22.5% | 17.3% | 12.7% |
| Honworld Group Ltd ($2226) | 50.4% | 44.5% | 23.6% | 16.5% | |
| |
|---|
| Median (43 companies) | 8.4% | 7.3% | 7.4% | 5.6% | 6.3% |
|---|
| China Yurun Food Group Ltd ($1068) | -1.9% | 1.1% | 0.7% | -11.5% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Ausnutria Dairy Corp Ltd ($1717) | -1.4x | 0.8x | 1.7x | 27.9x | |
| Beijing Jingkelong Co Ltd ($814) | 5.0x | 4.8x | 5.3x | 9.3x | |
| First Pacific Co Ltd/Hong Kong ($142) | 1.8x | 3.8x | 4.5x | 5.6x | |
| China Kangda Food Co Ltd ($834) | 2.8x | 2.5x | 2.3x | 5.4x | |
| China Modern Dairy Holdings Ltd ($1117) | 3.7x | 5.2x | 4.1x | 5.3x | |
| |
|---|
| Median (33 companies) | -0.3x | 0.7x | 0.7x | 1.2x | 0.8x |
|---|
