Som Distilleries & Breweries Net Income dropped on 20.4% in 2015 while Revenue increased on 8.3%
31-05-2015 • About Som Distilleries & Breweries (
$SDBL) • By InTwits
Som Distilleries & Breweries reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is relatively stable: 14.9% in FY2015 vs. 15.0% in FY2014 vs. 15.0% in FY2011
- Som Distilleries & Breweries has low CAPEX intensity: 5 year average CAPEX/Revenue was 4.4%. At the same time it's in pair with industry average of 6.1%.
- CAPEX is quite volatile: 31.0 in FY2015, 16.2 in FY2014, 66.4 in FY2013, 239 in FY2012, 68.3 in FY2011
- The company has highly profitable business model: ROIC is at 16.5%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Som Distilleries & Breweries ($SDBL) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 1,746 | 1,938 | 2,035 | 1,903 | 2,062 | 8.3% |
| EBITDA | 262 | 278 | 306 | 286 | 307 | 7.3% |
| Net Income | 151 | 152 | 178 | 203 | 162 | -20.4% |
Balance Sheet
|
|---|
| Cash | 177 | 81 | 134 | 61 | 398 | 557.4% |
| Short Term Debt | 1 | 98 | 3 | 3 | 319 | 9,704.7% |
| Long Term Debt | 194 | 109 | 105 | 54 | 286 | 427.8% |
Cash flow
|
|---|
| Capex | 68 | 239 | 66 | 16 | 31 | 91.6% |
Ratios
|
|---|
| Revenue growth | -28.2% | 11.0% | 5.0% | -6.5% | 8.3% | |
| EBITDA growth | 107.0% | 6.1% | 9.9% | -6.5% | 7.3% | |
| EBITDA Margin | 15.0% | 14.4% | 15.0% | 15.0% | 14.9% | -0.1% |
| Net Income Margin | 8.7% | 7.9% | 8.7% | 10.7% | 7.8% | -2.8% |
| CAPEX, % of revenue | 3.9% | 12.3% | 3.3% | 0.9% | 1.5% | 0.7% |
| ROIC | 25.8% | 23.3% | 22.2% | 19.2% | 16.5% | -2.7% |
| ROE | 24.4% | 20.9% | 20.8% | 20.4% | 14.3% | -6.0% |
| Net Debt/EBITDA | 0.1x | 0.5x | -0.1x | -0.0x | 0.7x | 0.7x |
Revenue and profitability
Som Distilleries & Breweries's Revenue increased on 8.3% in FY2015. Despite revenue decline the EBITDA margin expanded. EBITDA Margin increased slightly on 1.5 pp from 54.0% to 55.5% in FY2015.
Net Income marign decreased on 2.8 pp from 10.7% to 7.8% in FY2015.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 1.5% in FY2015. The company showed big decline in CAPEX/Revenue of 10.8 pp from 12.3% in FY2012 to 1.5% in FY2015. It's average CAPEX/Revenue for the last three years was 1.9%.
Return on investment
The company operates at good ROIC (16.48%) and ROE (14.34%). ROIC decreased on 2.7 pp from 19.2% to 16.5% in FY2015. ROE decreased on 6.0 pp from 20.4% to 14.3% in FY2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.7x and Debt / EBITDA is 2.0x. Net Debt / EBITDA jumped on 0.7x from -0.011x to 0.7x in FY2015. Debt jumped on 952% in FY2015 while cash jumped on 557% in FY2015.
Appendix 1: Peers in Breweries & Distilleries
Below you can find Som Distilleries & Breweries benchmarking vs. other companies in Breweries & Distilleries 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 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Ifb Agro Industries ($IFBAGRO) | | -4.8% | 5.4% | 8.4% | 19.2% |
| Pioneer Distilleries ($PIONDIST) | | 94.2% | -0.9% | 25.1% | 17.0% |
| United Breweries ($UBL) | | 16.3% | 9.5% | 8.5% | 10.8% |
| G.M.Breweries ($GMBREW) | | 10.9% | 12.0% | 0.3% | 6.5% |
| United Spirits ($UNITDSPR) | | 24.5% | 13.3% | 0.9% | -12.8% |
| |
|---|
| Median (6 companies) | -25.0% | 17.0% | 9.5% | 8.5% | 8.7% |
|---|
| Som Distilleries & Breweries ($SDBL) | | 11.0% | 5.0% | -6.5% | 8.3% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Pioneer Distilleries ($PIONDIST) | -36.1% | -3.0% | -7.5% | 6.6% | 19.5% |
| Tilaknagar Industries ($TI) | 24.6% | 26.2% | 22.7% | 21.0% | 15.0% |
| United Breweries ($UBL) | 12.8% | 11.6% | 12.3% | 10.3% | 13.3% |
| G.M.Breweries ($GMBREW) | 15.5% | 10.0% | 9.1% | 13.7% | 11.5% |
| United Spirits ($UNITDSPR) | 15.5% | 12.2% | 12.6% | -1.3% | 6.1% |
| |
|---|
| Median (8 companies) | 12.8% | 11.6% | 10.8% | 10.3% | 8.8% |
|---|
| Som Distilleries & Breweries ($SDBL) | 15.0% | 14.4% | 15.0% | 15.0% | 14.9% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Tilaknagar Industries ($TI) | 23.7% | 20.6% | 10.0% | 14.8% | 13.7% |
| Pioneer Distilleries ($PIONDIST) | 33.1% | 29.8% | 35.0% | 30.0% | 12.3% |
| United Breweries ($UBL) | 14.4% | 10.7% | 9.8% | 5.0% | 8.7% |
| Ifb Agro Industries ($IFBAGRO) | 2.7% | 4.6% | 1.8% | 9.8% | 4.5% |
| United Spirits ($UNITDSPR) | 3.7% | 7.4% | 2.8% | 2.2% | 1.8% |
| |
|---|
| Median (6 companies) | 7.2% | 7.4% | 6.7% | 7.4% | 6.6% |
|---|
| Som Distilleries & Breweries ($SDBL) | 3.9% | 12.3% | 3.3% | 0.9% | 1.5% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| G.M.Breweries ($GMBREW) | 29.6% | 18.4% | 17.0% | 21.9% | 18.0% |
| Ifb Agro Industries ($IFBAGRO) | 25.9% | 33.3% | 26.7% | 18.8% | 4.8% |
| Tilaknagar Industries ($TI) | 13.3% | 11.6% | 11.7% | 10.7% | 4.6% |
| United Breweries ($UBL) | 12.4% | 11.5% | 11.6% | 8.1% | 14.3% |
| Silver Oak (India) ($SILVOAK) | | | 8.4% | 0.3% | |
| |
|---|
| Median (11 companies) | 10.4% | 11.5% | 8.7% | 8.1% | 9.5% |
|---|
| Som Distilleries & Breweries ($SDBL) | 25.8% | 23.3% | 22.2% | 19.2% | 16.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| United Spirits ($UNITDSPR) | 5.3x | 7.3x | 6.1x | | 8.4x |
| Tilaknagar Industries ($TI) | 3.6x | 4.3x | 3.8x | 4.8x | 8.4x |
| Pioneer Distilleries ($PIONDIST) | | | | 10.4x | 2.1x |
| United Breweries ($UBL) | 1.9x | 2.0x | 2.5x | 2.7x | 1.3x |
| G.M.Breweries ($GMBREW) | 0.9x | 0.9x | 0.7x | 0.6x | 0.5x |
| |
|---|
| Median (6 companies) | 3.6x | 2.5x | 2.5x | 1.2x | 1.7x |
|---|
| Som Distilleries & Breweries ($SDBL) | 0.1x | 0.5x | -0.1x | -0.0x | 0.7x |
