Til EBITDA jumped on 38.7% in 2015 and EBITDA Margin increased slightly on 1.9 pp from 8.2% to 10.1%
29-05-2015 • About Til (
$TIL) • By InTwits
Til reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Til has medium CAPEX intensity: 5 year average CAPEX/Revenue was 5.9%. At the same time it's a lot of higher than industry average of 5.6%.
- CAPEX is quite volatile: 496 in FY2015, 351 in FY2014, 660 in FY2013, 1,613 in FY2012, 827 in FY2011
- The company has business model with average profitability: ROIC is at 10.7%
- It operates with high leverage: Net Debt/EBITDA is 4.5x while industry average is 2.5x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Til ($TIL) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 13,761 | 13,816 | 11,737 | 13,126 | 14,716 | 12.1% |
| EBITDA | 1,237 | 747 | 817 | 1,071 | 1,486 | 38.7% |
| Net Income | 602 | 153 | 43 | 99 | 47 | -52.5% |
Balance Sheet
|
|---|
| Cash | 554 | 648 | 475 | 444 | 382 | -13.9% |
| Short Term Debt | 1,619 | 3,103 | 3,978 | 3,946 | 5,480 | 38.9% |
| Long Term Debt | 726 | 986 | 1,258 | 1,992 | 1,608 | -19.3% |
Cash flow
|
|---|
| Capex | 827 | 1,613 | 660 | 351 | 496 | 41.6% |
Ratios
|
|---|
| Revenue growth | -21.7% | 0.4% | -15.1% | 11.8% | 12.1% | |
| EBITDA growth | 0.7% | -39.6% | 9.4% | 31.1% | 38.7% | |
| EBITDA Margin | 9.0% | 5.4% | 7.0% | 8.2% | 10.1% | 1.9% |
| Net Income Margin | 4.4% | 1.1% | 0.4% | 0.8% | 0.3% | -0.4% |
| CAPEX, % of revenue | 6.0% | 11.7% | 5.6% | 2.7% | 3.4% | 0.7% |
| ROIC | 17.8% | 6.8% | 5.7% | 7.7% | 10.7% | 3.0% |
| ROE | 19.9% | 4.5% | 1.2% | 2.8% | 1.4% | -1.4% |
| Net Debt/EBITDA | 1.4x | 4.6x | 5.8x | 5.1x | 4.5x | -0.6x |
Revenue and profitability
The company's Revenue jumped on 12.1% in FY2015. Revenue growth happened at the same time with EBITDA margin expansion. EBITDA Margin increased slightly on 1.9 pp from 8.2% to 10.1% in FY2015.
Net Income marign showed almost no change in FY2015.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 3.4% in FY2015. CAPEX/Revenue decreased on 8.3 pp from 11.7% in FY2012 to 3.4% in FY2015. For the last three years the average CAPEX/Revenue was 3.9%.
Return on investment
The company operates at low ROIC (10.66%) and ROE (1.36%). ROIC increased on 3.0 pp from 7.7% to 10.7% in FY2015. ROE decreased slightly on 1.4 pp from 2.8% to 1.4% in FY2015.
Leverage (Debt)
Debt level is 4.5x Net Debt / EBITDA and 4.8x Debt / EBITDA. Net Debt / EBITDA dropped on 0.6x from 5.1x to 4.5x in FY2015. Debt surged on 19.4% in FY2015 while cash dropped on 13.9% in FY2015.
Appendix 1: Peers in Transport Related Services
Below we provide Til benchmarking against other companies in Transport Related Services 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 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Container Corporation Of India ($CONCOR) | | 5.2% | 8.4% | 19.6% | 13.0% |
| Action Construction Equipment ($ACE) | -5.1% | 22.2% | -22.1% | -7.8% | |
| Sanghvi Movers ($SANGHVIMOV) | | 24.7% | -26.3% | -27.2% | 26.6% |
| |
|---|
| Median (3 companies) | -5.1% | 22.2% | -22.1% | -7.8% | 19.8% |
|---|
| Til ($TIL) | | 0.4% | -15.1% | 11.8% | 12.1% |
Top companies by EBITDA margin, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Sanghvi Movers ($SANGHVIMOV) | 70.8% | 70.1% | 69.8% | 57.9% | 58.3% |
| Container Corporation Of India ($CONCOR) | 26.1% | 24.9% | 23.6% | 22.5% | 23.4% |
| Kernex Microsystems (India) ($KERNEX) | | | | | -35.3% |
| |
|---|
| Median (3 companies) | 26.1% | 24.9% | 23.6% | 22.5% | 23.4% |
|---|
| Til ($TIL) | 9.0% | 5.4% | 7.0% | 8.2% | 10.1% |
Top companies by CAPEX/Revenue, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Container Corporation Of India ($CONCOR) | 8.1% | 5.6% | 13.3% | 9.3% | 14.1% |
| Action Construction Equipment ($ACE) | 4.8% | 8.8% | 6.5% | 4.6% | |
| Sanghvi Movers ($SANGHVIMOV) | 91.4% | 51.3% | 2.8% | 3.9% | 16.6% |
| |
|---|
| Median (3 companies) | 8.1% | 8.8% | 6.5% | 4.6% | 15.3% |
|---|
| Til ($TIL) | 6.0% | 11.7% | 5.6% | 2.7% | 3.4% |
Top companies by ROIC, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Container Corporation Of India ($CONCOR) | 17.8% | 15.5% | 14.1% | 14.2% | 13.3% |
| Sanghvi Movers ($SANGHVIMOV) | 14.3% | 15.3% | 8.1% | 1.7% | 5.0% |
| Kernex Microsystems (India) ($KERNEX) | 6.0% | 5.7% | | | |
| |
|---|
| Median (3 companies) | 16.1% | 13.1% | 8.1% | 2.2% | 9.2% |
|---|
| Til ($TIL) | 17.8% | 6.8% | 5.7% | 7.7% | 10.7% |
Top companies by Net Debt / EBITDA
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Action Construction Equipment ($ACE) | 0.8x | 2.6x | 4.2x | 5.6x | |
| Sanghvi Movers ($SANGHVIMOV) | 2.5x | 2.2x | 2.5x | 3.3x | 1.7x |
| Container Corporation Of India ($CONCOR) | -0.0x | -0.8x | -1.0x | -2.2x | -2.0x |
| |
|---|
| Median (3 companies) | 1.5x | 2.1x | 1.2x | 3.3x | -0.1x |
|---|
| Til ($TIL) | 1.4x | 4.6x | 5.8x | 5.1x | 4.5x |
