Info Edge (India) CAPEX surged on 2,234% in 2015 and Revenue surged on 29.1%
29-05-2015 • About Info Edge (India) (
$NAUKRI) • By InTwits
Info Edge (India) reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Info Edge (India) doesn't have a profitable business model yet: FY2015 ROIC is -2.2%
- EBITDA Margin is declining: 2.4% in FY2015 vs. 17.0% in FY2014 vs. 25.9% in FY2011
- EBITDA Margin is quite volatile: 2.4% in FY2015, 17.0% in FY2014, 25.6% in FY2013, 30.2% in FY2012, 25.9% in FY2011
- Info Edge (India) has high CAPEX intensity: 5 year average CAPEX/Revenue was 18.1%. At the same time it's a lot of higher than industry average of 3.3%.
- CAPEX is quite volatile: 4,419 in FY2015, 189 in FY2014, 533 in FY2013, 88.7 in FY2012, 434 in FY2011
- The company has unprofitable business model: ROIC is at -2.2%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Info Edge (India) ($NAUKRI) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 3,223 | 3,919 | 4,723 | 5,672 | 7,325 | 29.1% |
| EBITDA | 835 | 1,183 | 1,210 | 966 | 175 | -81.9% |
| Net Income | 631 | 1,033 | 916 | 897 | 241 | -73.2% |
Balance Sheet
|
|---|
| Cash | 126 | 353 | 515 | 705 | 2,355 | 234.1% |
| Short Term Debt | | 4 | 5 | 6 | 4 | -28.2% |
| Long Term Debt | 3 | 3 | 5 | 4 | 3 | -35.6% |
Cash flow
|
|---|
| Capex | 434 | 89 | 533 | 189 | 4,419 | 2,234.4% |
Ratios
|
|---|
| Revenue growth | -62.0% | 21.6% | 20.5% | 20.1% | 29.1% | |
| EBITDA growth | 33.3% | 41.7% | 2.3% | -20.1% | -81.9% | |
| EBITDA Margin | 25.9% | 30.2% | 25.6% | 17.0% | 2.4% | -14.7% |
| Net Income Margin | 19.6% | 26.4% | 19.4% | 15.8% | 3.3% | -12.5% |
| CAPEX, % of revenue | 13.5% | 2.3% | 11.3% | 3.3% | 60.3% | 57.0% |
| ROIC | 18.6% | 22.8% | 19.0% | 10.5% | -2.2% | -12.8% |
| ROE | 15.6% | 21.5% | 16.1% | 14.0% | 2.3% | -11.7% |
| Net Debt/EBITDA | -0.1x | -0.3x | -0.4x | -0.7x | -13.4x | -12.7x |
Revenue and profitability
Info Edge (India)'s Revenue surged on 29.1% in FY2015. Revenue growth was financed by EBITDA margin decline. EBITDA Margin dropped on 14.7 pp from 17.0% to 2.4% in FY2015.
Net Income marign dropped on 12.5 pp from 15.8% to 3.3% in FY2015.
Capital expenditures (CAPEX) and working capital investments
Info Edge (India)'s CAPEX/Revenue was 60.3% in FY2015. CAPEX/Revenue surged on 58.1 pp from 2.3% in FY2012 to 60.3% in FY2015. Average CAPEX/Revenue for the last three years was 25.0%.Info Edge (India) has spent a lot to CAPEX (2,531% of EBITDA) to secure its growth.
Return on investment
The company operates at negative ROIC (-2.22%) and low but positive ROE (2.31%). ROIC dropped on 12.8 pp from 10.5% to -2.2% in FY2015. ROE dropped on 11.7 pp from 14.0% to 2.3% in FY2015.
Leverage (Debt)
Company's Net Debt / EBITDA is -13.4x and Debt / EBITDA is 0.0x. Net Debt / EBITDA dropped on 12.7x from -0.7x to -13.4x in FY2015. Debt dropped on 31.4% in FY2015 while cash surged on 234% in FY2015.
Management team
Hitesh Oberoi is a the company's CEO. Hitesh Oberoi has spent 8 years at the company. Chintan Arvind Thakkar is a Info Edge (India)'s CFO. Chintan Arvind Thakkar has spent 4 years at the company.
Appendix 1: Peers in Internet & Catalogue Retail
Below you can find Info Edge (India) benchmarking vs. other companies in Internet & Catalogue Retail 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 |
|---|
| Vaibhav Global ($VAIBHAVGBL) | | 23.0% | 38.1% | 45.4% | 6.0% |
| |
|---|
| Median (1 company) | | 23.0% | 38.1% | 45.4% | 6.0% |
|---|
| Info Edge (India) ($NAUKRI) | | 21.6% | 20.5% | 20.1% | 29.1% |
Top companies by EBITDA margin, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Vaibhav Global ($VAIBHAVGBL) | 11.4% | 11.7% | 7.2% | 11.0% | 9.7% |
| |
|---|
| Median (1 company) | 11.4% | 11.7% | 7.2% | 11.0% | 9.7% |
|---|
| Info Edge (India) ($NAUKRI) | 25.9% | 30.2% | 25.6% | 17.0% | 2.4% |
Top companies by CAPEX/Revenue, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Vaibhav Global ($VAIBHAVGBL) | 1.1% | 1.2% | 1.5% | 1.3% | 1.7% |
| |
|---|
| Median (1 company) | 1.1% | 1.2% | 1.5% | 1.3% | 1.7% |
|---|
| Info Edge (India) ($NAUKRI) | 13.5% | 2.3% | 11.3% | 3.3% | 60.3% |
Top companies by ROIC, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Vaibhav Global ($VAIBHAVGBL) | 13.0% | 15.7% | 14.9% | 41.7% | 32.7% |
| |
|---|
| Median (1 company) | 13.0% | 15.7% | 14.9% | 41.7% | 32.7% |
|---|
| Info Edge (India) ($NAUKRI) | 18.6% | 22.8% | 19.0% | 10.5% | -2.2% |
Top companies by Net Debt / EBITDA
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Vaibhav Global ($VAIBHAVGBL) | 3.0x | 2.2x | 1.9x | 0.2x | 0.1x |
| |
|---|
| Median (1 company) | 3.0x | 2.2x | 1.9x | 0.2x | 0.1x |
|---|
| Info Edge (India) ($NAUKRI) | -0.1x | -0.3x | -0.4x | -0.7x | -13.4x |
