Maharaja Shree Umaid Mills CAPEX surged on 149% in 2015 and Revenue increased slightly on 1.3%
27-05-2015 • About Maharaja Shree Umaid Mills (
$MAHASHR) • By InTwits
Maharaja Shree Umaid Mills reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is quite volatile: 25.1% in FY2015, 14.0% in FY2014, 15.4% in FY2013, 2.0% in FY2012, 11.1% in FY2011
- Maharaja Shree Umaid Mills has high CAPEX intensity: 5 year average CAPEX/Revenue was 13.7%. At the same time it's a lot of higher than industry average of 9.4%.
- CAPEX is quite volatile: 812 in FY2015, 326 in FY2014, 1,231 in FY2013, 793 in FY2012, 103 in FY2011
- The company has highly profitable business model: ROIC is at 20.4%
- It operates with high leverage: Net Debt/EBITDA is 2.2x while industry average is 1.5x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Maharaja Shree Umaid Mills ($MAHASHR) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 4,314 | 4,270 | 5,104 | 4,769 | 4,833 | 1.3% |
| EBITDA | 478 | 87 | 787 | 668 | 1,213 | 81.7% |
| Net Income | 1,536 | 4,097 | 327 | 197 | -342 | -273.5% |
Balance Sheet
|
|---|
| Cash | 61 | 70 | 56 | 57 | 35 | -38.4% |
| Short Term Debt | 746 | 781 | 698 | 1,077 | 1,361 | 26.3% |
| Long Term Debt | 412 | 363 | 1,356 | 1,312 | 1,321 | 0.7% |
Cash flow
|
|---|
| Capex | 103 | 793 | 1,231 | 326 | 812 | 149.1% |
Ratios
|
|---|
| Revenue growth | -24.3% | -1.0% | 19.6% | -6.6% | 1.3% | |
| EBITDA growth | 65.6% | -81.9% | 808.7% | -15.1% | 81.7% | |
| EBITDA Margin | 11.1% | 2.0% | 15.4% | 14.0% | 25.1% | 11.1% |
| Net Income Margin | 35.6% | 96.0% | 6.4% | 4.1% | -7.1% | -11.2% |
| CAPEX, % of revenue | 2.4% | 18.6% | 24.1% | 6.8% | 16.8% | 10.0% |
| ROIC | 9.9% | -0.5% | 9.2% | 8.3% | 20.4% | 12.1% |
| ROE | 65.5% | 80.8% | 7.3% | 10.0% | -18.1% | -28.1% |
| Net Debt/EBITDA | 2.3x | 12.4x | 2.5x | 3.5x | 2.2x | -1.3x |
Revenue and profitability
Maharaja Shree Umaid Mills's Revenue increased slightly on 1.3% in FY2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased slightly on 1.9 pp from -2.5% to -0.61% in FY2015.
Net Income marign dropped on 11.2 pp from 4.1% to -7.1% in FY2015.
Capital expenditures (CAPEX) and working capital investments
Maharaja Shree Umaid Mills's CAPEX/Revenue was 16.8% in FY2015. CAPEX/Revenue decreased slightly on 1.8 pp from 18.6% in FY2012 to 16.8% in FY2015. It's average level of CAPEX/Revenue for the last three years was 15.9%.The company maintained rich investment policy and has spent a big chunk of EBITDA (66.9%) to CAPEX.
Return on investment
The company operates at low but positive ROIC (20.36%) and negative ROE (-18.12%). ROIC jumped on 12.1 pp from 8.3% to 20.4% in FY2015. ROE dropped on 28.1 pp from 10.0% to -18.1% in FY2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 2.2x and Debt / EBITDA is 2.2x. Net Debt / EBITDA dropped on 1.3x from 3.5x to 2.2x in FY2015. Debt jumped on 12.2% in FY2015 while cash dropped on 38.4% in FY2015.
Appendix 1: Peers in Textiles
Below you can find Maharaja Shree Umaid Mills 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 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Olympia Industries ($OLYMPTX) | -99.6% | -58.0% | -96.6% | 74,809.1% | |
| Gujarat Cotex ($GUJCOTEX) | | -6.2% | -66.0% | 176.2% | -52.0% |
| T T ($TTL) | -39.2% | -21.8% | 28.7% | 47.8% | |
| Filatex India ($FILATEX) | -74.3% | -2.7% | 158.7% | 44.5% | |
| Gtn Textiles ($GTNTEX) | | -8.8% | 51.2% | 39.4% | -36.3% |
| |
|---|
| Median (73 companies) | -37.6% | 5.0% | 9.3% | 14.4% | 0.2% |
|---|
| Maharaja Shree Umaid Mills ($MAHASHR) | | -1.0% | 19.6% | -6.6% | 1.3% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Sil Investments ($SILINV) | | | | | 93.8% |
| Binny ($BINNY) | | | | | 60.9% |
| Ruby Mills ($RUBYMILLS) | 25.2% | 28.3% | 25.1% | 28.6% | 29.3% |
| Premier Synthetics ($PREMSYN) | | | | | 25.9% |
| Welspun India ($WELSPUNIND) | 13.3% | 12.2% | 16.8% | 22.6% | 24.1% |
| |
|---|
| Median (47 companies) | 12.9% | 6.5% | 9.5% | 9.5% | 9.2% |
|---|
| Maharaja Shree Umaid Mills ($MAHASHR) | 11.1% | 2.0% | 15.4% | 14.0% | 25.1% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Jindal Worldwide ($JINDWORLD) | 3.6% | 3.0% | 10.5% | 20.7% | |
| SRF ($SRF) | 0.0% | 0.0% | 18.7% | 20.0% | 11.4% |
| Welspun India ($WELSPUNIND) | 11.3% | 5.6% | 7.8% | 16.4% | 10.9% |
| Sel Manufacturing Company ($SELMCL) | 54.2% | 53.9% | 25.1% | 14.0% | |
| Grasim Industries ($GRASIM) | 7.8% | 17.7% | 21.7% | 11.6% | 10.2% |
| |
|---|
| Median (20 companies) | 4.5% | 3.0% | 5.3% | 7.3% | 6.8% |
|---|
| Maharaja Shree Umaid Mills ($MAHASHR) | 2.4% | 18.6% | 24.1% | 6.8% | 16.8% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Nitin Spinners ($NITINSPIN) | 13.8% | 6.0% | 19.5% | 21.5% | 17.5% |
| Sutlej Textiles & Industries ($SUTLEJTEX) | 16.0% | 9.5% | 13.6% | 19.8% | 14.6% |
| Vardhman Textiles ($VTL) | 15.5% | 6.6% | 11.9% | 17.3% | 8.5% |
| Maral Overseas ($MARALOVER) | | 4.6% | 14.1% | 16.0% | |
| Rswm ($RSWM) | 17.4% | 2.2% | 15.2% | 15.5% | 11.8% |
| |
|---|
| Median (126 companies) | 10.1% | 3.6% | 9.2% | 9.6% | 8.5% |
|---|
| Maharaja Shree Umaid Mills ($MAHASHR) | 9.9% | -0.5% | 9.2% | 8.3% | 20.4% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Jaybharat Textiles & Real Estate ($JAYTEX) | 8.4x | 10.9x | 53.6x | 23.8x | |
| Sree Jayalakshmi Autospin ($SREEJAYA) | 3.4x | | 9.7x | 12.8x | |
| Bombay Rayon Fashions ($BRFL) | 5.9x | 4.9x | 4.9x | 11.6x | 10.0x |
| Sel Manufacturing Company ($SELMCL) | 5.6x | 9.4x | 6.6x | 11.5x | |
| Ruby Mills ($RUBYMILLS) | 15.9x | 12.6x | 15.3x | 10.8x | 8.6x |
| |
|---|
| Median (69 companies) | 3.9x | 3.8x | 3.2x | 0.0x | 0.0x |
|---|
| Maharaja Shree Umaid Mills ($MAHASHR) | 2.3x | 12.4x | 2.5x | 3.5x | 2.2x |
