Hindusthan National Glass & Industries revenue increased on 7.1% in 2015 and EBITDA Margin showed almost no change
28-05-2015 • About Hindusthan National Glass & Industries (
$HINDNATGLS) • By InTwits
Hindusthan National Glass & Industries reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Hindusthan National Glass & Industries doesn't have a profitable business model yet: FY2015 ROIC is -0.4%
- Hindusthan National Glass & Industries has high CAPEX intensity: 5 year average CAPEX/Revenue was 25.9%. At the same time it's a lot of higher than industry average of 5.9%.
- CAPEX is quite volatile: 88.3 in FY2015, 1,467 in FY2014, 5,150 in FY2013, 15,307 in FY2012, 3,395 in FY2011
- The company has unprofitable business model: ROIC is at -0.4%
- It operates with high leverage: Net Debt/EBITDA is 10.6x while industry average is 1.6x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Hindusthan National Glass & Industries ($HINDNATGLS) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 15,625 | 20,261 | 20,610 | 21,759 | 23,298 | 7.1% |
| EBITDA | 2,784 | 3,114 | 1,912 | 2,651 | 2,812 | 6.1% |
| Net Income | 588 | 433 | -1,880 | -1,968 | -2,381 | |
Balance Sheet
|
|---|
| Cash | 60 | 112 | 379 | 300 | 102 | -65.8% |
| Short Term Debt | 2,135 | 4,898 | 10,115 | 9,838 | 9,667 | -1.7% |
| Long Term Debt | 3,730 | 18,349 | 20,411 | 20,155 | 20,321 | 0.8% |
Cash flow
|
|---|
| Capex | 3,395 | 15,307 | 5,150 | 1,467 | 88 | -94.0% |
Ratios
|
|---|
| Revenue growth | -45.4% | 29.7% | 1.7% | 5.6% | 7.1% | |
| EBITDA growth | -2.7% | 11.9% | -38.6% | 38.6% | 6.1% | |
| EBITDA Margin | 17.8% | 15.4% | 9.3% | 12.2% | 12.1% | -0.1% |
| Net Income Margin | 3.8% | 2.1% | -9.1% | -9.0% | -10.2% | -1.2% |
| CAPEX, % of revenue | 21.7% | 75.5% | 25.0% | 6.7% | 0.4% | -6.4% |
| ROIC | 10.0% | 6.6% | -1.0% | -0.7% | -0.4% | 0.3% |
| ROE | 5.3% | 3.9% | -18.6% | -23.8% | -39.4% | -15.6% |
| Net Debt/EBITDA | 2.1x | 7.4x | 15.8x | 11.2x | 10.6x | -0.6x |
Revenue and profitability
Hindusthan National Glass & Industries's Revenue increased on 7.1% in FY2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased on 3.2 pp from 6.1% to 9.3% in FY2015.
Net Income marign decreased slightly on 1.2 pp from -9.0% to -10.2% in FY2015.
Capital expenditures (CAPEX) and working capital investments
In FY2015 the company had CAPEX/Revenue of 0.38%. CAPEX/Revenue dropped on 75.2 pp from 75.5% in FY2012 to 0.38% in FY2015. It's average CAPEX/Revenue for the last three years was 10.7%.
Return on investment
The company operates at negative ROIC (-0.40%) and ROE (-39.42%). ROIC showed almost no change in FY2015. ROE dropped on 15.6 pp from -23.8% to -39.4% in FY2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 10.6x and Debt / EBITDA is 10.7x. Net Debt / EBITDA dropped on 0.6x from 11.2x to 10.6x in FY2015. Debt showed almost no change in FY2015 while cash dropped on 65.8% in FY2015.
Management team
Hindusthan National Glass & Industries's CEO Sanjay Somany has spent 13 years at the company.
Appendix 1: Peers in Containers & Packaging
Below we provide Hindusthan National Glass & Industries benchmarking against other companies in Containers & Packaging 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 |
|---|
| Neo Corp International ($NEOCORP) | -63.2% | 36.7% | 45.2% | 56.4% | |
| Gopala Polyplast ($GOPALA) | -42.9% | -1.7% | 17.0% | 29.6% | |
| Shree Rama Multi-Tech ($SHREERAMA) | | -25.0% | 18.2% | 23.3% | 2.4% |
| Shri Jagdamba Polymers ($SHRJAGP) | -66.8% | 35.5% | 38.3% | 21.7% | |
| Time Technoplast ($TIMETECHNO) | -58.8% | 19.8% | 17.6% | 21.6% | |
| |
|---|
| Median (19 companies) | -49.0% | 14.8% | 16.9% | 14.1% | 8.6% |
|---|
| Hindusthan National Glass & Industries ($HINDNATGLS) | | 29.7% | 1.7% | 5.6% | 7.1% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Manaksia ($MANAKSIA) | 16.5% | 14.4% | 17.4% | 20.3% | 18.6% |
| Essel Propack ($ESSELPRO) | 17.8% | 17.0% | 17.4% | 16.9% | 17.2% |
| Kanpur Plastipack ($KANPRPLA) | 9.3% | 13.0% | 13.2% | | 11.9% |
| Uflex ($UFLEX) | 34.2% | 15.3% | 14.0% | 12.3% | 11.9% |
| Shree Rama Multi-Tech ($SHREERAMA) | 16.4% | 3.3% | 11.3% | | 8.6% |
| |
|---|
| Median (11 companies) | 11.5% | 12.9% | 11.3% | 11.5% | 6.9% |
|---|
| Hindusthan National Glass & Industries ($HINDNATGLS) | 17.8% | 15.4% | 9.3% | 12.2% | 12.1% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Essel Propack ($ESSELPRO) | 7.9% | 10.0% | 6.7% | 8.5% | 9.4% |
| Piramal Glass ($PIRAMGLAS) | 12.6% | 20.7% | 6.0% | 7.7% | |
| Control Print ($CONTROLPR) | | 3.0% | 5.0% | 7.5% | |
| Time Technoplast ($TIMETECHNO) | 18.5% | 17.9% | 11.1% | 6.2% | |
| Manaksia ($MANAKSIA) | 9.0% | 9.0% | 4.8% | 4.7% | 6.5% |
| |
|---|
| Median (6 companies) | 9.0% | 8.6% | 6.4% | 6.9% | 6.5% |
|---|
| Hindusthan National Glass & Industries ($HINDNATGLS) | 21.7% | 75.5% | 25.0% | 6.7% | 0.4% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Control Print ($CONTROLPR) | | | 19.7% | 22.2% | |
| Manaksia ($MANAKSIA) | 12.7% | 12.9% | 15.5% | 16.0% | 11.4% |
| Neo Corp International ($NEOCORP) | 17.4% | 14.9% | 13.7% | 15.7% | |
| Kg Petrochem ($KGPETRO) | 5.0% | 10.8% | 10.1% | 14.3% | |
| Hitech Plast ($HITECHPLAS) | 18.1% | 13.8% | 12.6% | 14.0% | |
| |
|---|
| Median (32 companies) | 8.4% | 9.4% | 9.9% | 12.0% | 11.4% |
|---|
| Hindusthan National Glass & Industries ($HINDNATGLS) | 10.0% | 6.6% | -1.0% | -0.7% | -0.4% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Union Quality Plastics ($UNQTYMI) | | | 14.9x | 12.9x | 0.0x |
| Piramal Glass ($PIRAMGLAS) | 3.0x | 3.1x | 4.1x | 4.3x | |
| Kg Petrochem ($KGPETRO) | 6.2x | 3.3x | 3.6x | 3.4x | |
| Uflex ($UFLEX) | 1.0x | 2.7x | 3.0x | 3.2x | 2.8x |
| Neo Corp International ($NEOCORP) | 3.6x | 3.5x | 3.2x | 3.1x | |
| |
|---|
| Median (18 companies) | 3.2x | 3.2x | 3.3x | 0.9x | 0.0x |
|---|
| Hindusthan National Glass & Industries ($HINDNATGLS) | 2.1x | 7.4x | 15.8x | 11.2x | 10.6x |
