Pioneer Distilleries reports 247% EBITDA growth and 12.9 pp EBITDA Margin growth from 6.6% to 19.5%
26-05-2015 • About Pioneer Distilleries (
$PIONDIST) • By InTwits
Pioneer Distilleries reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Pioneer Distilleries has high CAPEX intensity: 5 year average CAPEX/Revenue was 28.0%. At the same time it's a lot of higher than industry average of 6.4%.
- CAPEX is quite volatile: 185 in FY2015, 387 in FY2014, 361 in FY2013, 310 in FY2012, 177 in FY2011
- The company has highly profitable business model: ROIC is at 70.5%
- It operates with high leverage: Net Debt/EBITDA is 2.1x while industry average is 1.3x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Pioneer Distilleries ($PIONDIST) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 536 | 1,040 | 1,030 | 1,289 | 1,509 | 17.0% |
| EBITDA | -194 | -31 | -77 | 85 | 294 | 246.7% |
| Net Income | -292 | -253 | -279 | -213 | -216 | |
Balance Sheet
|
|---|
| Cash | 5 | 19 | 6 | 15 | 21 | 42.7% |
| Short Term Debt | 300 | 201 | 347 | 373 | 305 | -18.0% |
| Long Term Debt | 403 | 823 | 717 | 522 | 322 | -38.2% |
Cash flow
|
|---|
| Capex | 177 | 310 | 361 | 387 | 185 | -52.2% |
Ratios
|
|---|
| Revenue growth | -68.6% | 94.2% | -0.9% | 25.1% | 17.0% | |
| EBITDA growth | -233.8% | -84.1% | 150.9% | -209.7% | 246.7% | |
| EBITDA Margin | -36.1% | -3.0% | -7.5% | 6.6% | 19.5% | 12.9% |
| Net Income Margin | -54.5% | -24.3% | -27.0% | -16.5% | -14.3% | 2.2% |
| CAPEX, % of revenue | 33.1% | 29.8% | 35.0% | 30.0% | 12.3% | -17.7% |
| ROIC | -17.6% | -12.3% | -17.4% | -3.3% | 70.5% | 73.8% |
| ROE | -113.4% | | | | | 0.0% |
| Net Debt/EBITDA | | | | 10.4x | 2.1x | -8.3x |
Revenue and profitability
Pioneer Distilleries's Revenue surged on 17.0% in FY2015. Despite revenue decline the EBITDA margin expanded. EBITDA Margin increased on 3.6 pp from 1.0% to 4.7% in FY2015.
Net Income marign increased on 2.2 pp from -16.5% to -14.3% in FY2015.
Capital expenditures (CAPEX) and working capital investments
In FY2015 Pioneer Distilleries had CAPEX/Revenue of 12.3%. Pioneer Distilleries's CAPEX/Revenue dropped on 17.5 pp from 29.8% in FY2012 to 12.3% in FY2015. Average CAPEX/Revenue for the last three years was 25.8%.To secure this fast growth the company invested a large share of EBITDA (62.9%) to CAPEX.
Leverage (Debt)
Company's Net Debt / EBITDA is 2.1x and Debt / EBITDA is 2.1x. Net Debt / EBITDA dropped on 8.3x from 10.4x to 2.1x in FY2015. Debt dropped on 29.8% in FY2015 while cash jumped on 42.7% in FY2015.
Appendix 1: Peers in Breweries & Distilleries
Below you can find Pioneer Distilleries benchmarking vs. other companies in Breweries & Distilleries 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 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Khoday India ($KHODAY) | -25.0% | 19.9% | -24.7% | 34.3% | |
| Tilaknagar Industries ($TI) | -38.1% | 17.0% | 34.6% | 9.4% | |
| United Breweries ($UBL) | -47.2% | 16.3% | 9.5% | 8.5% | |
| Ifb Agro Industries ($IFBAGRO) | -37.5% | -4.8% | 5.4% | 8.4% | |
| United Spirits ($UNITDSPR) | -30.7% | 24.5% | 13.3% | 0.9% | |
| |
|---|
| Median (7 companies) | -34.1% | 16.3% | 9.5% | 8.4% | 6.5% |
|---|
| Pioneer Distilleries ($PIONDIST) | | 94.2% | -0.9% | 25.1% | 17.0% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Tilaknagar Industries ($TI) | 24.6% | 26.2% | 22.7% | 21.0% | |
| Khoday India ($KHODAY) | 9.1% | 28.0% | 7.1% | 19.2% | |
| Som Distilleries & Breweries ($SDBL) | 15.0% | 14.4% | 15.0% | 15.0% | |
| G.M.Breweries ($GMBREW) | 15.5% | 10.0% | 9.1% | 13.7% | 11.5% |
| United Breweries ($UBL) | 12.8% | 11.6% | 12.3% | 10.3% | |
| |
|---|
| Median (7 companies) | 15.0% | 12.2% | 12.3% | 13.7% | 11.5% |
|---|
| Pioneer Distilleries ($PIONDIST) | -36.1% | -3.0% | -7.5% | 6.6% | 19.5% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Tilaknagar Industries ($TI) | 23.7% | 20.6% | 10.0% | 14.8% | |
| Ifb Agro Industries ($IFBAGRO) | 2.7% | 4.6% | 1.8% | 9.8% | |
| United Breweries ($UBL) | 14.4% | 10.7% | 9.8% | 5.0% | |
| United Spirits ($UNITDSPR) | 3.7% | 7.4% | 2.8% | 2.2% | |
| Som Distilleries & Breweries ($SDBL) | 3.9% | 12.3% | 3.3% | 0.9% | |
| |
|---|
| Median (6 companies) | 7.2% | 7.4% | 4.5% | 3.6% | 0.0% |
|---|
| Pioneer Distilleries ($PIONDIST) | 33.1% | 29.8% | 35.0% | 30.0% | 12.3% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| G.M.Breweries ($GMBREW) | 29.6% | 18.4% | 17.0% | 21.9% | 18.0% |
| Som Distilleries & Breweries ($SDBL) | 25.8% | 23.3% | 22.2% | 19.2% | |
| Ifb Agro Industries ($IFBAGRO) | 25.9% | 33.3% | 26.7% | 18.8% | |
| Tilaknagar Industries ($TI) | 13.3% | 11.6% | 11.7% | 10.7% | |
| United Breweries ($UBL) | 12.4% | 11.5% | 11.6% | 8.1% | |
| |
|---|
| Median (11 companies) | 12.4% | 15.0% | 11.6% | 10.7% | 18.0% |
|---|
| Pioneer Distilleries ($PIONDIST) | -17.6% | -12.3% | -17.4% | -3.3% | 70.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Tilaknagar Industries ($TI) | 3.6x | 4.3x | 3.8x | 4.8x | |
| United Breweries ($UBL) | 1.9x | 2.0x | 2.5x | 2.7x | |
| Silver Oak (India) ($SILVOAK) | | 2.7x | 1.1x | 1.2x | |
| G.M.Breweries ($GMBREW) | 0.9x | 0.9x | 0.7x | 0.6x | 0.5x |
| Khoday India ($KHODAY) | 7.8x | 2.5x | 12.4x | 0.0x | |
| |
|---|
| Median (7 companies) | 2.8x | 2.2x | 1.8x | 0.6x | 0.5x |
|---|
| Pioneer Distilleries ($PIONDIST) | | | | 10.4x | 2.1x |
