TCC International Holdings Ltd EBITDA Margin dropped on 14.0 pp from 14.0% to in 2016
27/03/2017 • About TCC International Holdings Ltd (
$1136) • By InTwits
TCC International Holdings Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts: It operates with high leverage: Net Debt/EBITDA is 22.1x while industry average is -12.6x.
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
TCC International Holdings Ltd ($1136) key annual financial indicators
| mln. HKD | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 11,304 | 12,971 | 13,753 | 10,911 | 11,413 | 4.6% |
| Gross Profit | 2,105 | 3,564 | 4,233 | 1,675 | | -100.0% |
| SG&A | 1,317 | 1,411 | 1,479 | 1,592 | | -100.0% |
| EBITDA | 2,166 | 3,385 | 3,990 | 1,525 | | -100.0% |
| Net Income | 610 | 1,675 | 2,051 | -249 | 194 | |
Balance Sheet
|
|---|
| Cash | 2,895 | 3,067 | 4,789 | 5,713 | | -100.0% |
| Short Term Debt | 4,924 | 5,753 | 6,497 | 6,028 | | -100.0% |
| Long Term Debt | 9,369 | 7,000 | 6,381 | 5,705 | | -100.0% |
Cash flow
|
|---|
| Capex | 1,173 | 669 | 761 | 534 | | -100.0% |
Ratios
|
|---|
| Revenue growth | 0.3% | 14.7% | 6.0% | -20.7% | 4.6% | |
| EBITDA growth | -27.6% | 56.3% | 17.9% | -61.8% | | |
| Gross Margin | 18.6% | 27.5% | 30.8% | 15.4% | | -15.4% |
| EBITDA Margin | 19.2% | 26.1% | 29.0% | 14.0% | 0.0% | -14.0% |
| Net Income Margin | 5.4% | 12.9% | 14.9% | -2.3% | 1.7% | 4.0% |
| SG&A, % of revenue | 11.7% | 10.9% | 10.8% | 14.6% | | -14.6% |
| CAPEX, % of revenue | 10.4% | 5.2% | 5.5% | 4.9% | | -4.9% |
| ROIC | 3.6% | 7.2% | 8.9% | 0.5% | | -0.5% |
| ROE | 3.9% | 10.1% | 11.4% | -1.4% | | 1.4% |
| Net Debt/EBITDA | 5.3x | 2.9x | 2.0x | 3.9x | | -3.9x |
Revenue and profitability
The company's Revenue increased on 4.6%.
Net Income marign increased on 4.0 pp from -2.3% to 1.7% in FY2016.
Appendix 1: Peers in Building Materials
Below you can find TCC International Holdings 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) | -4.2% | 9.5% | 9.9% | -12.0% | 8.4% |
|---|
| TCC International Holdings Ltd ($1136) | | 14.7% | 6.0% | -20.7% | 4.6% |
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) | 20.6% | 21.9% | 20.8% | 17.5% | 22.4% |
|---|
| TCC International Holdings Ltd ($1136) | 18.6% | 27.5% | 30.8% | 15.4% | |
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% |
| China Tianrui Group Cement Co Ltd ($1252) | 28.5% | 23.7% | 26.7% | 32.8% | |
| 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% | |
| |
|---|
| Median (26 companies) | 14.3% | 14.5% | 15.3% | 14.9% | 9.6% |
|---|
| TCC International Holdings Ltd ($1136) | 19.2% | 26.1% | 29.0% | 14.0% | |
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) | 9.5% | 9.1% | 7.6% | 7.3% | 1.5% |
|---|
| TCC International Holdings Ltd ($1136) | 10.4% | 5.2% | 5.5% | 4.9% | |
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) | 6.6% | 5.2% | 4.0% | 1.3% | 4.0% |
|---|
| TCC International Holdings Ltd ($1136) | 3.6% | 7.2% | 8.9% | 0.5% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| China Tianrui Group Cement Co Ltd ($1252) | 4.2x | 5.1x | 5.2x | 7.9x | |
| 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 | |
| |
|---|
| Median (16 companies) | 2.1x | 1.1x | 1.8x | 2.2x | 0.3x |
|---|
| TCC International Holdings Ltd ($1136) | 5.3x | 2.9x | 2.0x | 3.9x | |
