Chaoda Modern Agriculture Holdings Ltd revenue dropped on 12.2% while EBITDA Margin jumped on 37.5 pp from -53.0% to -15.5%
25/09/2020 • About Chaoda Modern Agriculture Holdings Ltd (
$682) • By InTwits
Chaoda Modern Agriculture Holdings Ltd reported FY2020 financial results today. Here are the key drivers of the company's long term financial model:
- Chaoda Modern Agriculture Holdings Ltd is a company in decline: FY2020 revenue growth was -12.2%, 5 years revenue CAGR was -44.0%
- The company operates at negative EBITDA Margin: -15.5%
- Chaoda Modern Agriculture Holdings Ltd spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for FY2016-FY2020 is 0.0%. Average EBITDA Margin for the same period was -313.7%
- The company has unprofitable business model: ROIC is -5.9%
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue dropped on 12.2%. During the last 5 years Revenue growth bottomed in FY2018 at -74.2% and was accelerating since that time. Revenue decline happened at the same time with EBITDA margin expansion. EBITDA Margin jumped on 37.5 pp from -53.0% to -15.5% in FY2020. EBITDA Margin followed a growing trend at 91.5 pp per annum in FY2016-FY2020.
Gross Margin showed almost no change in FY2020. Gross Margin grew at 22.9 pp per annum in the last 5 years. SG&A as a % of Revenue decreased slightly on 1.5 pp from 88.8% to 87.3% in FY2020. SG&A as a % of Revenue stuck to a growing trend at 15.8 pp per annum in FY2016-FY2020.
Net Income margin jumped on 46.5 pp from -65.8% to -19.2% in FY2020. Net Income margin stuck to a growing trend at 102 pp per annum in the last 5 years.
Return on investment
The company operates at negative ROIC (-5.9%) and ROE (-5.3%). ROIC surged on 12.3 pp from -18.2% to -5.9% in FY2020. ROE surged on 13.3 pp from -18.6% to -5.3% in FY2020. During the last 5 years ROIC bottomed in FY2017 at -121% and was growing since that time. During FY2016-FY2020 ROE bottomed in FY2017 at -123% and was growing since that time.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.2x and Debt / EBITDA is . Debt surged while cash decreased on 5.7%.
Chaoda Modern Agriculture Holdings Ltd has no short term refinancing risk: cash is higher than short term debt (3,759.4%).
Financial and operational results
Chaoda Modern Agriculture Holdings Ltd ($682) key annual financial indicators| mln. CNY | 2016 | 2017 | 2018 | 2019 | 2020 | 2020/2019 |
|---|
P&L
|
|---|
| Revenue | 1,120 | 826 | 213 | 82 | 72 | -12.2% |
| Gross Profit | -513 | -300 | -48 | 28 | 24 | -11.7% |
| SG&A | 375 | 313 | 162 | 73 | 63 | -13.7% |
| EBITDA | -3,599 | -2,939 | -666 | -44 | -11 | |
| Net Income | -4,068 | -3,246 | -719 | -54 | -14 | |
Balance Sheet
|
|---|
| Cash | 204 | 186 | 156 | 133 | 125 | -5.7% |
| Short Term Debt | 0 | 0 | 0 | 0 | 3 | |
| Long Term Debt | 0 | 0 | 0 | 0 | 4 | |
Cash flow
|
|---|
| Capex | 96 | 60 | 5 | 11 | | |
Ratios
|
|---|
| Revenue growth | -15.0% | -26.2% | -74.2% | -61.4% | -12.2% | |
| EBITDA growth | -40.4% | -18.3% | -77.3% | -93.4% | -74.3% | |
|
|---|
| Gross Margin | -45.8% | -36.3% | -22.6% | 33.6% | 33.8% | 0.2% |
| EBITDA Margin | -321.5% | -355.7% | -312.0% | -53.0% | -15.5% | 37.5% |
| SG&A, % of revenue | 33.5% | 37.9% | 76.0% | 88.8% | 87.3% | -1.5% |
| Net Income Margin | -363.4% | -392.9% | -337.0% | -65.8% | -19.2% | 46.5% |
| CAPEX, % of revenue | 8.6% | 7.2% | 2.4% | 13.9% | | |
|
|---|
| ROIC | -62.7% | -121.5% | -107.8% | -18.2% | -5.9% | 12.3% |
| ROE | -63.0% | -122.8% | -106.7% | -18.6% | -5.3% | 13.3% |
Peers in Agriculture
Below you can find Chaoda Modern Agriculture Holdings Ltd benchmarking vs. other companies in Agriculture 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.
