The numbers tell that Ganesha Ecosphere's growth is outstanding
06-06-2015 • About Ganesha Ecosphere (
$GANECOS) • By InTwits
Ganesha Ecosphere is a fast-growing stock in Misc.Commercial Services industry. It showed noticeble revenue performance in the last years among with attractive profitability and financial model.
Growth story
Ganesha Ecosphere showed fast growth in the last financial year. The company's revenue surged on 24.7% in FY2015. At the same time Ganesha Ecosphere well managed its profitability and also showed EBITDA growth of 15.1% for the same period.
In the last 3 years Ganesha Ecosphere showed fast revenue growth of 17.3% from FY2012 to FY2015 annually. EBITDA surged on 14.8% from FY2012 to FY2015 annually.
Ganesha Ecosphere ($GANECOS) financials for the last 5 years
| mln. INR | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Revenue | 2,915 | 3,855 | 4,350 | 4,988 | 6,219 |
|---|
| Revenue growth, % | | 32.3% | 12.9% | 14.7% | 24.7% |
|---|
| SG&A, % | | | | | |
|---|
| EBITDA | 351 | 417 | 483 | 548 | 630 |
|---|
| EBITDA growth, % | | 18.7% | 15.8% | 13.4% | 15.1% |
|---|
| EBITDA margin, % | 12.0% | 10.8% | 11.1% | 11.0% | 10.1% |
|---|
| Net Income | 180 | 207 | 241 | 245 | 231 |
|---|
| Net Income margin, % | 6.18% | 5.37% | 5.54% | 4.92% | 3.71% |
|---|
| |
| CAPEX | 319 | 265 | 1,020 | 769 | 283 |
|---|
| CAPEX/Revenue, % | 11.0% | 6.87% | 23.4% | 15.4% | 4.56% |
|---|
| Debt | 795 | 926 | 1,769 | 2,237 | 1,940 |
|---|
| Cash | 74 | 68 | 22 | 80 | 37 |
|---|
| Net Debt/EBITDA | 2.1x | 2.1x | 3.6x | 3.9x | 3.0x |
|---|
| |
| ROIC, % | 20.8% | 18.6% | 15.8% | 13.2% | 12.3% |
|---|
| ROE, % | 37.1% | 29.6% | 26.1% | 21.7% | 15.6% |
|---|
Profitability and return on investment
EBITDA growth was partly attributed to margin expansion. In the last 3 years EBITDA margin decreased on 0.700 pp from 10.8% in FY2012 to 10.1% in FY2015.
Ganesha Ecosphere shows attractive ROIC at 12.3% for the last 12 months which assumes stable development model. During the last three years it dropped - it was 18.6% in FY2012. For the last three years the average ROIC was 13.8%.
The company showed big decline in Net Income margin of 1.20 pp from 4.90% to 3.70% in FY2015. In the last 3 years Net Income margin dropped on 1.70 pp from 5.40% in FY2012 to 3.70% in FY2015.
Ganesha Ecosphere operates at ROE of 15.6%. Average ROE for the last three years was 21.2%.
Capital expenditures (CAPEX)
The company's CAPEX/Revenue was 4.56% in FY2015. Ganesha Ecosphere showed big decline in CAPEX/Revenue of 2.31 pp from 6.87% in FY2012 to 4.56% in FY2015. For the last three years the average CAPEX/Revenue was 14.5%.
Leverage (Debt)
Ganesha Ecosphere has medium debt level at 3.0x Net Debt/EBITDA to maintain high growth. In the longer period the company showed fast leverage growth of 0.96x from 2.06x in FY2012 to 3.02x in FY2015.
Peers in Misc.Commercial Services
Below we provide Ganesha Ecosphere benchmarking against other companies in Misc.Commercial 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, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top |
|---|
| Crest Ventures Limited ($CREST) | | -39.7% | 9.2% | -0.8% | 55.0% |
| Trinity Tradelink Limited ($TRITRADE) | | | | 408,047.0% | 28.3% |
| Centum Electronics ($CENTUM) | | 1.4% | 9.8% | 50.4% | 14.8% |
| Delta Corp ($DELTACORP) | | -2.9% | 16.6% | 31.3% | -46.3% |
| |
|---|
| Median (4 companies) | | -2.9% | 9.8% | 40.9% | 21.5% |
|---|
| Ganesha Ecosphere ($GANECOS) | | 32.3% | 12.9% | 14.7% | 24.7% |
Top companies by EBITDA margin, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| Delta Corp ($DELTACORP) | 49.3% | 27.7% | 23.7% | 27.0% | 22.9% |
| Centum Electronics ($CENTUM) | 11.9% | 12.8% | 16.6% | 20.6% | 20.3% |
| Greencrest Financial Services ($GREENCREST) | | | | | 14.0% |
| Crest Ventures Limited ($CREST) | -1.2% | 4.9% | 13.4% | 21.8% | 4.2% |
| Sawaca Business Machines ($SAWABUSI) | | | | | 3.9% |
| |
|---|
| Median (7 companies) | 5.3% | 12.8% | 16.6% | 21.2% | 4.2% |
|---|
| Ganesha Ecosphere ($GANECOS) | 12.0% | 10.8% | 11.1% | 11.0% | 10.1% |
Top companies by CAPEX/Revenue, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top |
|---|
| Delta Corp ($DELTACORP) | 32.0% | 95.5% | 74.3% | 14.0% | 5.2% |
| Centum Electronics ($CENTUM) | 5.0% | 5.5% | 2.4% | 6.7% | 3.9% |
| Greencrest Financial Services ($GREENCREST) | | | | | 0.0% |
| Lifeline Drugs & Pharma ($LIFELINE) | | | | | 0.0% |
| |
|---|
| Median (4 companies) | 4.7% | 5.5% | 3.2% | 5.6% | 2.0% |
|---|
| Ganesha Ecosphere ($GANECOS) | 11.0% | 6.9% | 23.4% | 15.4% | 4.6% |
Top companies by ROIC, %
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| Centum Electronics ($CENTUM) | 10.9% | 10.6% | 16.9% | 35.8% | 32.8% |
| Trinity Tradelink Limited ($TRITRADE) | -52.6% | -138.6% | -242.1% | 5.1% | 12.3% |
| Greencrest Financial Services ($GREENCREST) | | | 1.8% | 2.2% | 3.1% |
| Delta Corp ($DELTACORP) | 24.3% | 8.5% | 6.7% | 10.1% | 2.9% |
| Lifeline Drugs & Pharma ($LIFELINE) | | 3.3% | 2.8% | 1.2% | -3.3% |
| |
|---|
| Median (9 companies) | 11.4% | 4.9% | 4.8% | 5.1% | 3.1% |
|---|
| Ganesha Ecosphere ($GANECOS) | 20.8% | 18.6% | 15.8% | 13.2% | 12.3% |
Top companies by Net Debt / EBITDA
| FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Top 5 |
|---|
| Delta Corp ($DELTACORP) | 0.8x | 3.2x | 4.4x | 2.1x | 4.6x |
| Trinity Tradelink Limited ($TRITRADE) | | | | -2.9x | 1.0x |
| Centum Electronics ($CENTUM) | 2.0x | 1.9x | 1.2x | 0.5x | 0.4x |
| Sawaca Business Machines ($SAWABUSI) | -2.3x | | | -1.0x | 0.0x |
| Crest Ventures Limited ($CREST) | | -1.8x | 0.2x | 2.8x | 0.0x |
| |
|---|
| Median (6 companies) | 1.8x | 1.6x | 0.9x | -0.3x | 0.2x |
|---|
| Ganesha Ecosphere ($GANECOS) | 2.1x | 2.1x | 3.6x | 3.9x | 3.0x |
