China Tianrui Group Cement Co Ltd reports 32.8 pp EBITDA Margin decline from 32.8% to in 2016
26/03/2017 • About China Tianrui Group Cement Co Ltd (
$1252) • By InTwits
China Tianrui Group Cement Co Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- China Tianrui Group Cement Co Ltd is a company in decline: FY2016 revenue growth was -3.0%, 5 years revenue CAGR was -6.2%
- It operates with high leverage: Net Debt/EBITDA is 0.8x while industry average is -11.4x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
China Tianrui Group Cement Co Ltd ($1252) key annual financial indicators
| mln. CNY | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 7,591 | 8,661 | 8,950 | 6,195 | 6,009 | -3.0% |
| Gross Profit | 1,899 | 1,895 | 2,058 | 1,247 | | -100.0% |
| SG&A | | 753 | 772 | 709 | | -100.0% |
| EBITDA | 2,166 | 2,052 | 2,387 | 2,033 | | -100.0% |
| Net Income | 783 | 559 | 565 | 313 | 296 | -5.5% |
Balance Sheet
|
|---|
| Cash | 554 | 1,016 | 973 | 722 | | -100.0% |
| Short Term Debt | 7,724 | 7,127 | 9,180 | 11,216 | | -100.0% |
| Long Term Debt | 1,866 | 4,353 | 4,134 | 5,634 | | -100.0% |
Cash flow
|
|---|
| Capex | 374 | 823 | 778 | 395 | | -100.0% |
Ratios
|
|---|
| Revenue growth | -8.1% | 14.1% | 3.3% | -30.8% | -3.0% | |
| EBITDA growth | -19.2% | -5.3% | 16.3% | -14.8% | | |
| Gross Margin | 25.0% | 21.9% | 23.0% | 20.1% | | -20.1% |
| EBITDA Margin | 28.5% | 23.7% | 26.7% | 32.8% | 0.0% | -32.8% |
| Net Income Margin | 10.3% | 6.5% | 6.3% | 5.1% | 4.9% | -0.1% |
| SG&A, % of revenue | | 8.7% | 8.6% | 11.4% | | -11.4% |
| CAPEX, % of revenue | 4.9% | 9.5% | 8.7% | 6.4% | | -6.4% |
| ROIC | 10.4% | 7.7% | 8.3% | 5.5% | | -5.5% |
| ROE | 13.2% | 8.5% | 7.9% | 4.2% | | -4.2% |
| Net Debt/EBITDA | 4.2x | 5.1x | 5.2x | 7.9x | | -7.9x |
Revenue and profitability
The company's Revenue decreased on 3.0%.
Net Income marign showed almost no change in FY2016.
Appendix 1: Peers in Building Materials
Below you can find China Tianrui Group Cement Co Ltd benchmarking vs. other companies in Building Materials 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 |
|---|
| Future Bright Mining Holdings Ltd ($2212) | | | | 294.4% | 14.5% |
| Pacific Plywood Hldg Ltd ($767) | | -14.5% | 119.5% | 57.3% | 441.9% |
| Far East Global Group Ltd ($830) | | 9.5% | 18.6% | 30.5% | 20.6% |
| WLS Holdings Ltd/Hong Kong ($8021) | | 9.4% | -11.1% | 22.0% | 13.8% |
| China Wood Optimization Holding Ltd ($8099) | | 77.9% | 6.5% | 18.9% | -20.2% |
| |
|---|
| Median (26 companies) | -1.9% | 9.5% | 9.9% | -12.0% | 10.6% |
|---|
| China Tianrui Group Cement Co Ltd ($1252) | | 14.1% | 3.3% | -30.8% | -3.0% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Pacific Plywood Hldg Ltd ($767) | 91.4% | 82.0% | 97.2% | 98.6% | 99.9% |
| Future Bright Mining Holdings Ltd ($2212) | | | 55.4% | 70.0% | |
| Sustainable Forest Holdings Ltd ($723) | -2.4% | 12.1% | 19.7% | 55.2% | 83.9% |
| Dongpeng Holdings Co Ltd ($3386) | 35.6% | 37.1% | 38.5% | 39.1% | |
| Luks Group Vietnam Holdings Co Ltd ($366) | 37.2% | 36.9% | 37.0% | 36.4% | |
| |
|---|
| Median (26 companies) | 19.5% | 22.1% | 20.8% | 15.2% | 22.4% |
|---|
| China Tianrui Group Cement Co Ltd ($1252) | 25.0% | 21.9% | 23.0% | 20.1% | |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Pacific Plywood Hldg Ltd ($767) | 12.6% | -19.8% | 50.5% | 34.7% | 67.6% |
| Future Bright Mining Holdings Ltd ($2212) | | | -411.3% | 30.0% | |
| Anhui Conch Cement Co Ltd ($914) | 27.1% | 31.1% | 32.1% | 29.7% | 28.0% |
| Luks Group Vietnam Holdings Co Ltd ($366) | 30.4% | 29.9% | 23.8% | 26.2% | |
| Dongpeng Holdings Co Ltd ($3386) | 14.3% | 21.5% | 22.6% | 24.4% | |
| |
|---|
| Median (26 companies) | 14.3% | 14.5% | 15.3% | 13.8% | 9.6% |
|---|
| China Tianrui Group Cement Co Ltd ($1252) | 28.5% | 23.7% | 26.7% | 32.8% | |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Future Bright Mining Holdings Ltd ($2212) | | | 119.9% | 66.1% | |
| China Wood Optimization Holding Ltd ($8099) | 10.9% | 9.6% | 1.8% | 19.3% | |
| China Shanshui Cement Group Ltd ($691) | 18.9% | 21.1% | 12.1% | 14.3% | |
| Luks Group Vietnam Holdings Co Ltd ($366) | 0.6% | 0.5% | 4.1% | 14.2% | |
| China Glass Holdings Ltd ($3300) | 19.6% | 12.5% | 12.4% | 13.5% | |
| |
|---|
| Median (26 companies) | 9.8% | 8.0% | 6.5% | 7.3% | 1.5% |
|---|
| China Tianrui Group Cement Co Ltd ($1252) | 4.9% | 9.5% | 8.7% | 6.4% | |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Dongpeng Holdings Co Ltd ($3386) | 37.1% | 35.8% | 27.2% | 26.6% | |
| China Wood Optimization Holding Ltd ($8099) | 33.5% | 27.3% | 17.7% | 17.7% | |
| China Lesso Group Holdings Ltd ($2128) | 20.5% | 19.4% | 18.2% | 17.2% | 16.5% |
| Anhui Conch Cement Co Ltd ($914) | 12.7% | 17.5% | 18.4% | 11.7% | 11.2% |
| Hong Wei Asia Holdings Co Ltd ($8191) | 17.0% | 5.2% | 9.3% | 8.6% | |
| |
|---|
| Median (26 companies) | 5.0% | 5.2% | 4.0% | 1.2% | 4.0% |
|---|
| China Tianrui Group Cement Co Ltd ($1252) | 10.4% | 7.7% | 8.3% | 5.5% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| BBMG Corp ($2009) | 4.6x | 5.0x | 6.1x | 6.6x | |
| Asia Cement China Holdings Corp ($743) | 3.2x | 2.7x | 2.8x | 5.1x | |
| West China Cement Ltd ($2233) | 3.3x | 2.9x | 3.6x | 4.2x | 1.5x |
| China Singyes Solar Technologies Holdings Ltd ($750) | 0.9x | 0.8x | 1.8x | 4.0x | |
| Far East Global Group Ltd ($830) | | | | 4.0x | 3.7x |
| |
|---|
| Median (16 companies) | 2.1x | 1.1x | 1.8x | 2.2x | 0.3x |
|---|
| China Tianrui Group Cement Co Ltd ($1252) | 4.2x | 5.1x | 5.2x | 7.9x | |
