Patel Integrated Logistics reports 34.9% EBITDA growth and 0.74 pp EBITDA Margin growth from 3.0% to 3.7%
28-05-2015 • About Patel Integrated Logistics (
$PATINTLOG) • By InTwits
Patel Integrated Logistics reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is relatively stable: 3.7% in FY2015 vs. 3.0% in FY2014 vs. 3.4% in FY2011
- The company has highly profitable business model: ROIC is at 12.5%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Patel Integrated Logistics ($PATINTLOG) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 4,284 | 4,524 | 5,099 | 5,431 | 5,880 | 8.2% |
| EBITDA | 144 | 167 | 170 | 163 | 220 | 34.9% |
| Net Income | 32 | 27 | 24 | 23 | 60 | 155.0% |
Balance Sheet
|
|---|
| Cash | 175 | 159 | 172 | 155 | 146 | -5.6% |
| Short Term Debt | 268 | 288 | 325 | 352 | 374 | 6.4% |
| Long Term Debt | 102 | 104 | 104 | 103 | 104 | 0.3% |
Cash flow
|
|---|
| Capex | 66 | 73 | | 32 | 38 | 19.2% |
Ratios
|
|---|
| Revenue growth | -40.7% | 5.6% | 12.7% | 6.5% | 8.2% | |
| EBITDA growth | 19.9% | 15.8% | 2.2% | -4.3% | 34.9% | |
| EBITDA Margin | 3.4% | 3.7% | 3.3% | 3.0% | 3.7% | 0.7% |
| Net Income Margin | 0.7% | 0.6% | 0.5% | 0.4% | 1.0% | 0.6% |
| CAPEX, % of revenue | 1.6% | 1.6% | | 0.6% | 0.6% | 0.1% |
| ROIC | 7.8% | 9.5% | 9.0% | 8.5% | 12.5% | 3.9% |
| ROE | 3.7% | 3.1% | 2.7% | 2.6% | 6.6% | 4.0% |
| Net Debt/EBITDA | 1.3x | 1.4x | 1.5x | 1.8x | 1.5x | -0.3x |
Revenue and profitability
Patel Integrated Logistics's Revenue increased on 8.2% in FY2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased on 9.4 pp from 22.0% to 31.3% in FY2015.
Net Income marign increased slightly on 0.59 pp from 0.43% to 1.0% in FY2015.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 0.65% in FY2015. The company's CAPEX/Revenue decreased slightly on 0.96 pp from 1.6% in FY2012 to 0.65% in FY2015.
Return on investment
The company operates at good ROIC (12.46%) while ROE is low (6.64%). ROIC increased on 3.9 pp from 8.5% to 12.5% in FY2015. ROE increased on 4.0 pp from 2.6% to 6.6% in FY2015.
Leverage (Debt)
Debt level is 1.5x Net Debt / EBITDA and 2.2x Debt / EBITDA. Net Debt / EBITDA dropped on 0.3x from 1.8x to 1.5x in FY2015. Debt increased on 5.0% in FY2015 while cash decreased on 5.6% in FY2015.
Valuation
The company's trades at EV/EBITDA 8.8x and P/E 26.9x while industy averages are 10.5x and 26.1x.
Appendix 1: Peers in Surface Transportation
Below you can find Patel Integrated Logistics benchmarking vs. other companies in Surface Transportation 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 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Transport Corporation Of India ($TCI) | | 5.5% | 9.0% | 4.5% | 8.5% |
| Inter State Oil Carrier ($INTSTOIL) | 21.2% | 7.7% | -13.5% | 1.8% | |
| Chartered Logistics ($CHLOGIST) | -8.8% | 39.5% | -2.6% | -35.6% | |
| |
|---|
| Median (3 companies) | 6.2% | 7.7% | -2.6% | 1.8% | 8.5% |
|---|
| Patel Integrated Logistics ($PATINTLOG) | | 5.6% | 12.7% | 6.5% | 8.2% |
Top companies by EBITDA margin, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Inter State Oil Carrier ($INTSTOIL) | | 11.7% | 12.0% | 13.5% | |
| Transport Corporation Of India ($TCI) | 7.7% | 8.2% | 8.3% | 7.7% | 8.2% |
| Chartered Logistics ($CHLOGIST) | 12.7% | 12.6% | 10.3% | 6.1% | |
| |
|---|
| Median (3 companies) | 10.2% | 11.7% | 10.3% | 7.7% | 6.4% |
|---|
| Patel Integrated Logistics ($PATINTLOG) | 3.4% | 3.7% | 3.3% | 3.0% | 3.7% |
Top companies by CAPEX/Revenue, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Transport Corporation Of India ($TCI) | 4.7% | 5.9% | 3.1% | 3.6% | 5.9% |
| Chartered Logistics ($CHLOGIST) | 20.4% | 4.5% | | 0.8% | |
| |
|---|
| Median (2 companies) | 12.5% | 5.2% | 3.1% | 2.2% | 5.9% |
|---|
| Patel Integrated Logistics ($PATINTLOG) | 1.6% | 1.6% | | 0.6% | 0.6% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Transport Corporation Of India ($TCI) | 16.1% | 16.5% | 16.2% | 14.4% | 15.0% |
| Chartered Logistics ($CHLOGIST) | 19.4% | 17.3% | 10.7% | -0.3% | |
| Balurghat Technologies ($BALTE) | | | | | |
| Coastal Roadways ($COARO) | 9.8% | 8.9% | 4.0% | | |
| Inter State Oil Carrier ($INTSTOIL) | | | -0.8% | | |
| |
|---|
| Median (5 companies) | 16.1% | 16.5% | 7.3% | 7.1% | 15.0% |
|---|
| Patel Integrated Logistics ($PATINTLOG) | 7.8% | 9.5% | 9.0% | 8.5% | 12.5% |
Top companies by Net Debt / EBITDA
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Chartered Logistics ($CHLOGIST) | 3.2x | 3.0x | 3.4x | 8.5x | |
| Transport Corporation Of India ($TCI) | 2.1x | 2.1x | 2.0x | 1.7x | 1.4x |
| Balurghat Technologies ($BALTE) | | 0.0x | 0.0x | 0.0x | |
| Inter State Oil Carrier ($INTSTOIL) | | 3.4x | 2.3x | 0.0x | |
| |
|---|
| Median (4 companies) | 2.1x | 2.1x | 2.0x | 0.9x | 0.7x |
|---|
| Patel Integrated Logistics ($PATINTLOG) | 1.3x | 1.4x | 1.5x | 1.8x | 1.5x |
