Ansal Properties & Infrastructure Net Debt / EBITDA surged on 5.3x from 11.4x to 16.6x in 2015 while Revenue dropped on 21.5%
18-05-2015 • About Ansal Properties & Infrastructure (
$ANSALAPI) • By InTwits
Ansal Properties & Infrastructure reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Ansal Properties & Infrastructure is a company in decline: FY2015 revenue growth was -21.5%, 5 years revenue CAGR was -3.3%
- EBITDA Margin is quite volatile: 8.2% in FY2015, 7.5% in FY2014, 10.0% in FY2013, 10.5% in FY2012, 22.4% in FY2011
- Ansal Properties & Infrastructure has medium CAPEX intensity: 5 year average CAPEX/Revenue was 8.4%. At the same time it's in pair with industry average of 7.6%.
- CAPEX is quite volatile: 645 in FY2015, 763 in FY2014, 1,024 in FY2013, 2,139 in FY2012, 102 in FY2011
- The company has potentially unprofitable business model: ROIC is at 2.4%
- It operates with high leverage: Net Debt/EBITDA is 16.6x while industry average is 6.1x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Ansal Properties & Infrastructure ($ANSALAPI) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 12,701 | 10,321 | 10,925 | 14,129 | 11,092 | -21.5% |
| EBITDA | 2,851 | 1,088 | 1,094 | 1,055 | 907 | -14.0% |
| Net Income | 1,017 | 51 | 48 | 59 | 205 | 244.2% |
Balance Sheet
|
|---|
| Cash | 810 | 758 | 827 | 869 | 942 | 8.4% |
| Short Term Debt | 3,813 | 8,051 | 7,622 | 4,810 | 4,451 | -7.5% |
| Long Term Debt | 5,826 | 6,647 | 6,242 | 8,043 | 11,585 | 44.0% |
Cash flow
|
|---|
| Capex | 102 | 2,139 | 1,024 | 763 | 645 | -15.5% |
Ratios
|
|---|
| Revenue growth | -3.4% | -18.7% | 5.9% | 29.3% | -21.5% | |
| EBITDA growth | 51.2% | -61.8% | 0.5% | -3.6% | -14.0% | |
| EBITDA Margin | 22.4% | 10.5% | 10.0% | 7.5% | 8.2% | 0.7% |
| Net Income Margin | 8.0% | 0.5% | 0.4% | 0.4% | 1.8% | 1.4% |
| CAPEX, % of revenue | 0.8% | 20.7% | 9.4% | 5.4% | 5.8% | 0.4% |
| ROIC | 9.5% | 3.3% | 3.0% | 2.8% | 2.4% | -0.4% |
| ROE | 6.9% | 0.3% | 0.3% | 0.4% | 1.3% | 0.9% |
| Net Debt/EBITDA | 3.1x | 12.8x | 11.9x | 11.4x | 16.6x | 5.3x |
Revenue and profitability
The company's Revenue dropped on 21.5% in FY2015. Revenue decline happened at the same time with EBITDA margin expansion. EBITDA Margin increased slightly on 0.71 pp from 7.5% to 8.2% in FY2015.
Net Income marign increased slightly on 1.4 pp from 0.42% to 1.8% in FY2015.
Capital expenditures (CAPEX) and working capital investments
In FY2015 Ansal Properties & Infrastructure had CAPEX/Revenue of 5.8%. CAPEX/Revenue dropped on 14.9 pp from 20.7% in FY2012 to 5.8% in FY2015. It's average level of CAPEX/Revenue for the last three years was 6.9%.Ansal Properties & Infrastructure invested a big chunk of EBITDA (71.1%) to CAPEX which didn't stop revenue from falling.
Return on investment
The company operates at low ROIC (2.40%) and ROE (1.27%). ROIC showed almost no change in FY2015. ROE increased slightly on 0.90 pp from 0.37% to 1.3% in FY2015.
Leverage (Debt)
Debt level is 16.6x Net Debt / EBITDA and 17.7x Debt / EBITDA. Net Debt / EBITDA surged on 5.3x from 11.4x to 16.6x in FY2015. Debt surged on 24.8% in FY2015 while cash increased on 8.4% in FY2015.
Appendix 1: Peers in Realty
Below we provide Ansal Properties & Infrastructure benchmarking against other companies in Realty industry for the last 5 years. We show data for the top-5 companies by key financial metric together with the median value for all the companies in the industry.
Top companies by Revenue growth, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Sunteck Realty ($SUNTECK) | -94.4% | -16.0% | 77.7% | 2,963.6% | |
| Nitesh Estates ($NITESHEST) | -63.3% | -6.3% | -28.7% | 259.1% | |
| The Phoenix Mills ($PHOENIXLTD) | -89.4% | 87.7% | 19.1% | 208.3% | |
| Poddar Developers ($PODDARDEV) | | -18.4% | 63.9% | 152.9% | 56.0% |
| Lancor Holdings ($LANCORHOL) | | -47.4% | -23.9% | 74.0% | 10.5% |
| |
|---|
| Median (33 companies) | -13.9% | 0.6% | 3.4% | -4.5% | 15.7% |
|---|
| Ansal Properties & Infrastructure ($ANSALAPI) | | -18.7% | 5.9% | 29.3% | -21.5% |
Top companies by Gross margin, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Godrej Properties ($GODREJPROP) | 28.2% | 24.9% | 33.3% | 28.9% | 19.4% |
| |
|---|
| Median (1 company) | 28.2% | 24.9% | 33.3% | 28.9% | 19.4% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Housing Development & Infrastructure ($HDIL) | 83.7% | 75.8% | 40.6% | 102.5% | 78.9% |
| Hubtown ($HUBTOWN) | 51.6% | 53.3% | 72.4% | 67.6% | |
| Oberoi Realty ($OBEROIRLTY) | 58.7% | 59.3% | 58.9% | 54.5% | 56.4% |
| Pvp Ventures ($PVP) | -644.3% | | 73.2% | 51.1% | |
| The Phoenix Mills ($PHOENIXLTD) | 71.8% | 54.7% | 56.2% | 46.9% | |
| |
|---|
| Median (33 companies) | 24.3% | 20.1% | 18.1% | 20.1% | 27.0% |
|---|
| Ansal Properties & Infrastructure ($ANSALAPI) | 22.4% | 10.5% | 10.0% | 7.5% | 8.2% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| The Phoenix Mills ($PHOENIXLTD) | 138.3% | 168.3% | 108.0% | 107.1% | |
| Prestige Estates Projects ($PRESTIGE) | 23.3% | 37.7% | 30.2% | 18.8% | |
| Brigade Enterprises ($BRIGADE) | 42.6% | 45.7% | 10.7% | 17.0% | |
| Parsvnath Developers ($PARSVNATH) | 19.9% | 15.9% | | 11.6% | |
| Unitech ($UNITECH) | 9.8% | 4.6% | 12.7% | 10.6% | |
| |
|---|
| Median (29 companies) | 5.5% | 4.7% | 2.3% | 3.5% | 2.1% |
|---|
| Ansal Properties & Infrastructure ($ANSALAPI) | 0.8% | 20.7% | 9.4% | 5.4% | 5.8% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Sunteck Realty ($SUNTECK) | 0.5% | 0.4% | 0.4% | 24.5% | |
| Lancor Holdings ($LANCORHOL) | 38.2% | 18.0% | 11.6% | 19.5% | 17.7% |
| Sobha Developers ($SOBHA) | 12.4% | 18.8% | 16.7% | 14.6% | 12.7% |
| Poddar Developers ($PODDARDEV) | 4.1% | 3.9% | 2.6% | 12.9% | 19.1% |
| Puravankara Projects ($PURVA) | 11.2% | 13.3% | 17.0% | 12.3% | 9.7% |
| |
|---|
| Median (50 companies) | 9.2% | 5.9% | 5.1% | 5.7% | 9.6% |
|---|
| Ansal Properties & Infrastructure ($ANSALAPI) | 9.5% | 3.3% | 3.0% | 2.8% | 2.4% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Unitech ($UNITECH) | 5.5x | 13.1x | 14.4x | 28.0x | |
| Vascon Engineers ($VASCONEQ) | 2.8x | 8.4x | 11.2x | 25.9x | |
| Peninsula Land ($PENINLAND) | 2.2x | 5.5x | | 24.0x | |
| Parsvnath Developers ($PARSVNATH) | 4.5x | 5.1x | 4.7x | 14.6x | |
| D B Realty ($DBREALTY) | 1.1x | 13.2x | 135.4x | 14.0x | |
| |
|---|
| Median (39 companies) | 4.2x | 5.1x | 4.8x | 4.9x | 3.0x |
|---|
| Ansal Properties & Infrastructure ($ANSALAPI) | 3.1x | 12.8x | 11.9x | 11.4x | 16.6x |
