TAI Ping Carpet International Ltd revenue jumped on 34.8% while EBITDA Margin decreased on 2.8 pp from 9.9% to 7.1%
15/10/2020 • About TAI Ping Carpet International Ltd (
$146) • By InTwits
TAI Ping Carpet International Ltd reported FY2020 financial results today. Here are the key drivers of the company's long term financial model:
- TAI Ping Carpet International Ltd motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for FY2016-FY2020 was 0.0% while average EBITDA Margin was -1.1% for the sames years
- The company has unprofitable business model: ROIC is -7.1%
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 surged on 34.8%. Revenue growth was financed by EBITDA margin decline. EBITDA Margin decreased on 2.8 pp from 9.9% to 7.1% in FY2020.
Gross Margin decreased slightly on 0.66 pp from 54.6% to 53.9% in FY2020. SG&A as a % of Revenue increased on 3.0 pp from 57.9% to 61.0% in FY2020.
Net Income margin decreased on 3.5 pp from -1.5% to -5.0% in FY2020.
Investments (CAPEX, working capital and M&A)
In FY2020 TAI Ping Carpet International Ltd had CAPEX/Revenue of 2.5%. The company showed big decline in CAPEX/Revenue of 20.7 pp from 23.2% in FY2017 to 2.5% in FY2020. It's average level of CAPEX/Revenue for the last three years was 5.0%.
Return on investment
The company operates at negative ROIC (-7.1%) and ROE (-9.6%). ROIC decreased on 5.8 pp from -1.3% to -7.1% in FY2020. ROE decreased on 7.6 pp from -2.0% to -9.6% in FY2020.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.2x and Debt / EBITDA is 2.8x. Net Debt / EBITDA surged on 0.8x from -0.6x to 0.2x in FY2020. Debt surged on 86.2% while cash jumped on 23.7%.
TAI Ping Carpet International Ltd has no short term refinancing risk: cash is higher than short term debt (241.2%).
Financial and operational results
FY ended 30/06/2020
TAI Ping Carpet International Ltd ($146) key annual financial indicators| mln. HKD | 2016 | 2017 | 2018 | 2019 | 2020 | 2020/2019 |
|---|
P&L
|
|---|
| Revenue | 1,320 | 447 | 541 | 548 | 738 | 34.8% |
| Gross Profit | | 213 | 294 | 299 | 398 | 33.2% |
| SG&A | | 379 | 345 | 317 | 450 | 41.9% |
| EBITDA | | -131 | -17 | 54 | 52 | -3.3% |
| Net Income | -33 | 194 | -34 | -8 | -37 | |
Balance Sheet
|
|---|
| Cash | | 264 | 93 | 110 | 136 | 23.7% |
| Short Term Debt | | 62 | 0 | 29 | 56 | 93.0% |
| Long Term Debt | | 0 | 0 | 50 | 92 | 82.3% |
Cash flow
|
|---|
| Capex | | 104 | 53 | 15 | 18 | 26.2% |
Ratios
|
|---|
| Revenue growth | 0.6% | -66.2% | 21.1% | 1.3% | 34.8% | |
| EBITDA growth | | | -86.8% | -414.7% | -3.3% | |
|
|---|
| Gross Margin | | 47.6% | 54.3% | 54.6% | 53.9% | -0.7% |
| EBITDA Margin | | -29.2% | -3.2% | 9.9% | 7.1% | -2.8% |
| SG&A, % of revenue | | 84.9% | 63.8% | 57.9% | 61.0% | 3.0% |
| Net Income Margin | -2.5% | 43.5% | -6.3% | -1.5% | -5.0% | -3.5% |
| CAPEX, % of revenue | | 23.2% | 9.8% | 2.7% | 2.5% | -0.2% |
|
|---|
| ROIC | | -22.8% | -8.1% | -1.3% | -7.1% | -5.8% |
| ROE | | 33.3% | -7.4% | -2.0% | -9.6% | -7.6% |
| Net Debt/EBITDA | | | | -0.6x | 0.2x | 0.8x |
Peers in Textiles
Below you can find TAI Ping Carpet International Ltd benchmarking vs. other companies in Textiles 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 | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Art Textile Technology International Co Ltd ($565) | - | 32.4% | 7.4% | 6.3% | -24.7% |
| |
|---|
| Median (1 company) | -0.4% | 32.4% | 7.4% | 6.3% | -24.7% |
|---|
| TAI Ping Carpet International Ltd ($146) | - | -66.2% | 21.1% | 1.3% | 34.8% |
Top companies by Gross margin, %
| Top | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Art Textile Technology International Co Ltd ($565) | 65.1% | 67.8% | 69.3% | 69.9% | 60.1% |
| |
|---|
| Median (1 company) | 24.7% | 67.8% | 69.3% | 69.9% | 60.1% |
|---|
| TAI Ping Carpet International Ltd ($146) | - | 47.6% | 54.3% | 54.6% | 53.9% |
Top companies by EBITDA margin, %
| Top | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Art Textile Technology International Co Ltd ($565) | 67.2% | 101.8% | 91.3% | 59.5% | 3.7% |
| |
|---|
| Median (1 company) | 15.8% | 101.8% | 91.3% | 59.5% | 3.7% |
|---|
| TAI Ping Carpet International Ltd ($146) | - | -29.2% | -3.2% | 9.9% | 7.1% |
Top companies by CAPEX/Revenue, %
| Top | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Art Textile Technology International Co Ltd ($565) | 8.3% | 4.3% | 0.8% | 0.6% | 4.1% |
| |
|---|
| Median (1 company) | 5.1% | 4.3% | 0.8% | 0.6% | 4.1% |
|---|
| TAI Ping Carpet International Ltd ($146) | - | 23.2% | 9.8% | 2.7% | 2.5% |
Top companies by ROIC, %
| Top | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Art Textile Technology International Co Ltd ($565) | 2.7% | 6.4% | 5.9% | 3.8% | 0.1% |
| |
|---|
| Median (1 company) | 4.2% | 6.4% | 5.9% | 3.8% | 0.1% |
|---|
| TAI Ping Carpet International Ltd ($146) | - | -22.8% | -8.1% | -1.3% | -7.1% |
Top companies by Net Debt / EBITDA
| Top | FY2016 | FY2017 | FY2018 | FY2019 | FY2020 |
|---|
| Art Textile Technology International Co Ltd ($565) | 10.7x | 3.4x | 3.4x | 3.9x | 86.8x |
| |
|---|
| Median (1 company) | 1.4x | 3.4x | 3.4x | 3.9x | 86.8x |
|---|
| TAI Ping Carpet International Ltd ($146) | - | - | - | -0.6x | 0.2x |
