Ucal Fuel Systems EBITDA jumped on 40.7% in 2015 and EBITDA Margin increased on 2.2 pp from 9.7% to 11.9%
28-05-2015 • About Ucal Fuel Systems (
$UCALFUEL) • By InTwits
Ucal Fuel Systems reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Ucal Fuel Systems has low CAPEX intensity: 5 year average CAPEX/Revenue was 3.8%. At the same time it's in pair with industry average of 5.3%.
- CAPEX is quite volatile: 126 in FY2015, 54.4 in FY2014, 106 in FY2013, 522 in FY2012, 444 in FY2011
- The company has highly profitable business model: ROIC is at 14.3%
- It operates with high leverage: Net Debt/EBITDA is 3.6x while industry average is 1.6x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Ucal Fuel Systems ($UCALFUEL) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 6,066 | 6,803 | 6,536 | 6,438 | 7,377 | 14.6% |
| EBITDA | 850 | 853 | 675 | 626 | 881 | 40.7% |
| Net Income | 193 | 239 | 60 | 68 | 246 | 258.6% |
Balance Sheet
|
|---|
| Cash | 39 | 54 | 17 | 16 | 15 | -2.2% |
| Short Term Debt | 1,396 | 1,485 | 1,716 | 1,873 | 2,068 | 10.4% |
| Long Term Debt | 2,160 | 2,271 | 2,066 | 1,695 | 1,101 | -35.0% |
Cash flow
|
|---|
| Capex | 444 | 522 | 106 | 54 | 126 | 131.8% |
Ratios
|
|---|
| Revenue growth | -28.8% | 12.1% | -3.9% | -1.5% | 14.6% | |
| EBITDA growth | 111.7% | 0.3% | -21.0% | -7.2% | 40.7% | |
| EBITDA Margin | 14.0% | 12.5% | 10.3% | 9.7% | 11.9% | 2.2% |
| Net Income Margin | 3.2% | 3.5% | 0.9% | 1.1% | 3.3% | 2.3% |
| CAPEX, % of revenue | 7.3% | 7.7% | 1.6% | 0.8% | 1.7% | 0.9% |
| ROIC | 13.8% | 13.5% | 9.3% | 8.4% | 14.3% | 5.9% |
| ROE | 42.2% | 41.9% | 9.9% | 11.9% | 40.3% | 28.4% |
| Net Debt/EBITDA | 4.1x | 4.3x | 5.6x | 5.7x | 3.6x | -2.1x |
Revenue and profitability
Ucal Fuel Systems's Revenue jumped on 14.6% in FY2015. Revenue growth happened at the same time with EBITDA margin expansion. EBITDA Margin increased on 2.2 pp from 9.7% to 11.9% in FY2015.
Net Income marign increased on 2.3 pp from 1.1% to 3.3% in FY2015.
Capital expenditures (CAPEX) and working capital investments
Ucal Fuel Systems's CAPEX/Revenue was 1.7% in FY2015. Ucal Fuel Systems's CAPEX/Revenue decreased on 6.0 pp from 7.7% in FY2012 to 1.7% in FY2015. For the last three years the average CAPEX/Revenue was 1.4%.
Return on investment
The company operates at high and attractive ROE (40.34%) while ROIC is a bit lower (14.30%). ROIC increased on 5.9 pp from 8.4% to 14.3% in FY2015. ROE surged on 28.4 pp from 11.9% to 40.3% in FY2015.
Leverage (Debt)
Debt level is 3.6x Net Debt / EBITDA and 3.6x Debt / EBITDA. Net Debt / EBITDA dropped on 2.1x from 5.7x to 3.6x in FY2015. Debt dropped on 11.2% in FY2015 while cash decreased on 2.2% in FY2015.
Appendix 1: Peers in Auto Parts & Equipment
Below we provide Ucal Fuel Systems benchmarking against other companies in Auto Parts & Equipment 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 |
|---|
| Exide Industries ($EXIDEIND) | | 11.5% | 19.7% | 30.6% | 14.8% |
| Motherson Sumi Systems ($MOTHERSUMI) | | 79.1% | 71.3% | 20.2% | 14.0% |
| Fiem Industries ($FIEMIND) | -54.4% | 25.2% | 13.4% | 18.7% | |
| Suprajit Engineering ($SUPRAJIT) | -53.1% | 22.2% | 9.4% | 17.9% | |
| Amara Raja Batteries ($AMARAJABAT) | -66.9% | 34.3% | 25.1% | 16.1% | |
| |
|---|
| Median (35 companies) | -42.1% | 17.2% | 2.7% | 5.0% | 8.2% |
|---|
| Ucal Fuel Systems ($UCALFUEL) | | 12.1% | -3.9% | -1.5% | 14.6% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Tube Investments Of India ($TUBEINVEST) | 33.7% | 18.4% | 24.4% | 28.3% | 30.0% |
| Shivam Autotech ($SHIVAMAUTO) | 23.2% | 24.1% | 24.1% | 20.6% | 18.7% |
| Amtek Auto ($AMTEKAUTO) | | 25.1% | | 20.7% | 14.8% |
| Triton Valves ($TRITONV) | 12.3% | 9.8% | 11.3% | 11.3% | 14.2% |
| Sona Koyo Steering Systems ($SONASTEER) | 13.0% | 13.2% | 11.3% | 12.2% | 13.9% |
| |
|---|
| Median (29 companies) | 10.8% | 10.8% | 9.8% | 10.8% | 10.3% |
|---|
| Ucal Fuel Systems ($UCALFUEL) | 14.0% | 12.5% | 10.3% | 9.7% | 11.9% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Amtek Auto ($AMTEKAUTO) | | 18.9% | | 27.1% | 30.3% |
| Jbm Auto ($JBMA) | 18.1% | 9.8% | 8.4% | | 14.4% |
| Shivam Autotech ($SHIVAMAUTO) | 11.6% | 11.6% | 4.1% | 4.9% | 12.5% |
| L.G.Balakrishnan & Bros ($LGBBROSLTD) | 9.8% | 3.5% | 6.5% | 6.0% | 8.9% |
| Subros ($SUBROS) | 11.6% | 16.6% | 10.7% | 9.3% | 7.9% |
| |
|---|
| Median (19 companies) | 8.0% | 5.6% | 4.7% | 5.2% | 3.8% |
|---|
| Ucal Fuel Systems ($UCALFUEL) | 7.3% | 7.7% | 1.6% | 0.8% | 1.7% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Amara Raja Batteries ($AMARAJABAT) | 30.5% | 32.1% | 34.5% | 30.3% | |
| Exide Industries ($EXIDEIND) | 34.2% | 24.2% | 24.3% | 29.5% | 26.9% |
| Suprajit Engineering ($SUPRAJIT) | 32.4% | 31.8% | 28.0% | 26.1% | |
| Motherson Sumi Systems ($MOTHERSUMI) | 23.7% | 13.5% | 16.5% | 25.0% | 24.9% |
| Munjal Showa ($MUNJALSHOW) | 18.8% | 29.9% | 23.8% | 22.5% | 24.9% |
| |
|---|
| Median (48 companies) | 16.5% | 16.4% | 12.7% | 14.5% | 12.3% |
|---|
| Ucal Fuel Systems ($UCALFUEL) | 13.8% | 13.5% | 9.3% | 8.4% | 14.3% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Tube Investments Of India ($TUBEINVEST) | 8.1x | 17.6x | 17.8x | 17.3x | 16.4x |
| Autoline Industries ($AUTOIND) | 3.1x | 3.2x | 4.0x | 12.0x | |
| Reil Electricals India ($REILELEC) | -0.1x | -0.0x | 1.5x | 9.1x | |
| Steel Strips Wheels ($SSWL) | 4.6x | 5.4x | 6.3x | 6.5x | 5.6x |
| Automotive Stampings & Assemblies ($ASAL) | 1.8x | 1.1x | 3.9x | 6.3x | |
| |
|---|
| Median (44 companies) | 2.1x | 1.2x | 1.8x | 0.7x | 0.4x |
|---|
| Ucal Fuel Systems ($UCALFUEL) | 4.1x | 4.3x | 5.6x | 5.7x | 3.6x |
