Ashapura Intimates Fashion EBITDA surged on 37.7% in 2015 and Revenue increased on 7.1%

21-05-2015 • About Ashapura Intimates Fashion ($AIFL) • By InTwits

Ashapura Intimates Fashion reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:

EBITDA Margin is expanding: 13.7% in FY2015 vs. 10.7% in FY2014 vs. 8.9% in FY2011
The company has highly profitable business model: ROIC is at 39.9%

Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.

Ashapura Intimates Fashion ($AIFL) key annual financial indicators

mln. INR	2011	2012	2013	2014	2015	2015/2014
P&L
Revenue	505	1,015	1,306	1,657	1,774	7.1%
EBITDA	45	96	138	177	243	37.7%
Net Income	14	34	47	54	87	60.3%
Balance Sheet
Cash	0	1	12	136	29	-78.9%
Short Term Debt	177	320	515
Long Term Debt	12	23	114	111	115	3.5%
Cash flow
Capex	11	29	45	15		-100.0%
Ratios
Revenue growth	-75.1%	100.9%	28.7%	26.8%	7.1%
EBITDA growth	132.6%	112.6%	43.5%	28.3%	37.7%
EBITDA Margin	8.9%	9.5%	10.5%	10.7%	13.7%	3.0%
Net Income Margin	2.8%	3.4%	3.6%	3.3%	4.9%	1.6%
CAPEX, % of revenue	2.2%	2.8%	3.5%	0.9%		-0.9%
ROIC	21.7%	24.1%	19.1%	23.4%	39.9%	16.5%
ROE	28.4%	37.3%	31.8%	17.6%	18.8%	1.3%
Net Debt/EBITDA	4.2x	3.6x	4.5x	-0.1x	0.4x	0.5x

Revenue and profitability

Ashapura Intimates Fashion's Revenue increased on 7.1% in FY2015. Revenue growth happened at the same time with EBITDA margin expansion. EBITDA Margin increased on 3.0 pp from 10.7% to 13.7% in FY2015.

Net Income marign increased slightly on 1.6 pp from 3.3% to 4.9% in FY2015.

Return on investment

The company operates at high and attractive ROIC (39.92%) while ROE is a bit lower (18.83%). ROIC surged on 16.5 pp from 23.4% to 39.9% in FY2015. ROE increased slightly on 1.3 pp from 17.6% to 18.8% in FY2015.

Appendix 1: Peers in Other Apparels & Accessories

Below we provide Ashapura Intimates Fashion benchmarking against other companies in Other Apparels & Accessories 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
Mini Diamonds (India) ($MINID)	-85.8%	35.0%	59.6%	117.1%
Page Industries ($PAGEIND)	-73.3%	39.0%	26.3%	37.5%
Bhartiya International ($BIL)	-71.6%	28.4%	20.9%	36.7%
Celebrity Fashions ($CELEBRITY)		1.0%	-8.6%	35.2%	-21.7%
Super Tannery ($SUPTANERY)	-30.0%	-1.4%	0.3%	34.6%
Median (23 companies)	-16.8%	10.1%	19.1%	14.1%	6.4%
Ashapura Intimates Fashion ($AIFL)		100.9%	28.7%	26.8%	7.1%

Top companies by EBITDA margin, %


Top 5	FY2011	FY2012	FY2013	FY2014	FY2015
Page Industries ($PAGEIND)	19.9%	21.1%	20.5%	21.5%
Rupa & Company ($RUPA)	10.7%	12.7%	15.0%	15.3%	14.5%
Zodiac Clothing Co ($ZODIACLOTH)	11.0%	9.3%	8.8%	10.8%
Tara Jewels ($TARAJEWELS)	8.5%	9.2%	9.1%	9.2%
Bhartiya International ($BIL)	10.6%	11.4%	9.2%	8.9%
Median (18 companies)	7.9%	7.5%	5.5%	5.4%	4.5%
Ashapura Intimates Fashion ($AIFL)	8.9%	9.5%	10.5%	10.7%	13.7%

Top companies by CAPEX/Revenue, %


Top 5	FY2011	FY2012	FY2013	FY2014	FY2015
Page Industries ($PAGEIND)	5.8%	4.0%	5.2%	4.4%
Zodiac Clothing Co ($ZODIACLOTH)	9.3%	5.7%	3.9%	4.0%
Tara Jewels ($TARAJEWELS)	1.8%	1.6%	1.3%	3.1%
Bhartiya International ($BIL)	4.5%	4.5%	3.9%	1.8%
Rupa & Company ($RUPA)	4.5%	1.9%	3.9%	1.7%	2.2%
Median (14 companies)	1.9%	1.5%	1.3%	1.2%	0.7%
Ashapura Intimates Fashion ($AIFL)	2.2%	2.8%	3.5%	0.9%

Top companies by ROIC, %


Top 5	FY2011	FY2012	FY2013	FY2014	FY2015
Page Industries ($PAGEIND)	44.2%	54.9%	58.5%	61.6%
Oscar Global ($OSCARGLO)			12.6%	52.3%
Virat Industries ($VIRAT)	13.2%	20.7%	26.2%	30.9%
Rupa & Company ($RUPA)	20.2%	22.4%	27.1%	25.8%	23.8%
Tara Jewels ($TARAJEWELS)	14.8%	17.5%	18.6%	15.1%
Median (40 companies)	8.8%	9.3%	7.2%	10.9%	8.2%
Ashapura Intimates Fashion ($AIFL)	21.7%	24.1%	19.1%	23.4%	39.9%

Top companies by Net Debt / EBITDA


Top 5	FY2011	FY2012	FY2013	FY2014	FY2015
Thangamayil Jewellery ($THANGAMAYL)	2.2x	2.2x	2.6x	11.9x
Shrenuj & Co ($SHRENUJ)	8.6x	9.3x	11.2x	11.7x
Pearl Global Industries ($PGIL)	8.4x	4.5x	4.7x	7.0x
C. Mahendra Exports ($CMAHENDRA)	4.1x	4.5x	4.9x	6.0x
Asian Star Co ($ASTAR)	8.2x	7.1x	7.1x	5.9x	4.8x
Median (24 companies)	2.7x	2.2x	2.7x	0.3x	0.7x
Ashapura Intimates Fashion ($AIFL)	4.2x	3.6x	4.5x	-0.1x	0.4x

Ashapura Intimates Fashion stock price chart

Ashapura Intimates Fashion financials

mln.	FY2010	FY2011	FY2012

Revenue	2,030	505.1	1,015
EBITDA	19.399	45.114	95.904
Net income	4.221	13.974	34.143
CAPEX	2.856	11.107	28.825
Debt	85.705	188.4	343.9
Cash	0.372	0.425	0.978

About Ashapura Intimates Fashion

Ashapura Intimates Fashion Limited manufactures and markets various kinds of garments in India and internationally. It is involved in designing, job contract manufacturing, branding, marketing, selling, and trading of intimate garments for men, women, teenagers, and toddlers. The company offers loungewear, bridal night wear, honeymoon sets, and bathrobes under the Valentine and N-Line brands; nighties, maternity feeding nighties, and bridal night wear under the Night & Day brand; sports, gym, and yoga wear for men and women under the Valentine Sports brand; slips, camisoles, night slips, leggings, and cycling shorts under the Valentine Secret Skin brand; and lingerie, bra and panty sets, corsets under the Valentine Pink brand. Ashapura Intimates Fashion Limited sells its products through ecommerce portals and distributors. The company was formerly known as Ashapura Apparels Private Limited and changed its name to Ashapura Intimates Fashion Limited in November 2012. Ashapura Intimates Fashion Limited was incorporated in 2006 and is headquartered in Thane, India.