Vikas Wsp reports 124% EBITDA decline and 10.0 pp EBITDA Margin decline from 7.6% to -2.4%
12-06-2015 • About Vikas Wsp (
$VIKASWSP) • By InTwits
Vikas Wsp reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Vikas Wsp is a company in decline: FY2015 revenue growth was -23.6%, 5 years revenue CAGR was -2.7%
- EBITDA Margin is declining: -2.4% in FY2015 vs. 7.6% in FY2014 vs. 34.2% in FY2011
- EBITDA Margin is quite volatile: -2.4% in FY2015, 7.6% in FY2014, 20.5% in FY2013, 28.5% in FY2012, 34.2% in FY2011
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Vikas Wsp ($VIKASWSP) key annual financial indicators
| mln. INR | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 5,460 | 10,636 | 29,064 | 10,216 | 7,808 | -23.6% |
| EBITDA | 1,869 | 3,030 | 5,963 | 775 | -190 | -124.5% |
| Net Income | 1,222 | 1,547 | 3,445 | 30 | 65 | 115.8% |
Balance Sheet
|
|---|
| Cash | 1 | 251 | 255 | 6 | | -100.0% |
| Short Term Debt | 951 | 732 | 1,619 | 2,155 | | -100.0% |
| Long Term Debt | 0 | 200 | 40 | 0 | | |
Cash flow
|
|---|
| Capex | 1,388 | 525 | 337 | 63 | | -100.0% |
Ratios
|
|---|
| Revenue growth | -39.1% | 94.8% | 173.3% | -64.8% | -23.6% | |
| EBITDA growth | 11.4% | 62.1% | 96.8% | -87.0% | -124.5% | |
| EBITDA Margin | 34.2% | 28.5% | 20.5% | 7.6% | -2.4% | -10.0% |
| Net Income Margin | 22.4% | 14.5% | 11.9% | 0.3% | 0.8% | 0.5% |
| CAPEX, % of revenue | 25.4% | 4.9% | 1.2% | 0.6% | | -0.6% |
| ROIC | 14.8% | 23.0% | 38.4% | 1.9% | | -1.9% |
| ROE | 14.0% | 15.5% | 27.9% | 0.2% | | -0.2% |
| Net Debt/EBITDA | 0.5x | 0.2x | 0.2x | 2.8x | | -2.8x |
Revenue and profitability
Vikas Wsp's Revenue dropped on 23.6% in FY2015. Revenue decline was worsened by EBITDA margin decline. EBITDA Margin dropped on 10.0 pp from 7.6% to -2.4% in FY2015.
Net Income marign increased slightly on 0.54 pp from 0.30% to 0.84% in FY2015.
Appendix 1: Peers in Specialty Chemicals
Below you can find Vikas Wsp benchmarking vs. other companies in Specialty Chemicals 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 |
|---|
| Kiri Industries ($KIRIINDUS) | | 7.9% | -86.5% | 24.8% | 34.7% |
| Vidhi Dyestuffs Manufacturing ($VIDHIDYE) | | 14.1% | 4.7% | 19.5% | 30.0% |
| Keltech Energies ($KELENRG) | | 60.2% | -13.4% | -0.4% | 24.4% |
| Dai-Ichi Karkaria ($DAICHI) | | 20.7% | 31.4% | 45.4% | 22.8% |
| Nitta Gelatin India ($NITTAGELA) | | 21.2% | 27.8% | -5.5% | 21.2% |
| |
|---|
| Median (27 companies) | | 19.8% | 11.4% | 13.7% | 10.9% |
|---|
| Vikas Wsp ($VIKASWSP) | | 94.8% | 173.3% | -64.8% | -23.6% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Vinati Organics ($VINATIORGA) | 21.7% | 21.7% | 21.8% | 22.7% | 24.9% |
| Indian Toners & Developers ($INDTONER) | | | | | 22.6% |
| Solar Industries India ($SOLARINDS) | 18.1% | 18.5% | 17.5% | 17.9% | 19.3% |
| Anil ($ANILLTD) | 17.4% | 18.1% | 16.9% | 17.1% | 17.4% |
| Ultramarine & Pigments ($ULTRAMAR) | 20.1% | 18.0% | 15.5% | 17.4% | 17.2% |
| |
|---|
| Median (32 companies) | 11.2% | 10.6% | 11.2% | 10.6% | 10.8% |
|---|
| Vikas Wsp ($VIKASWSP) | 34.2% | 28.5% | 20.5% | 7.6% | -2.4% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Adi Finechem ($ADIFINCHM) | 8.2% | 7.3% | 4.8% | 12.6% | 16.9% |
| Anil ($ANILLTD) | | | 6.7% | 5.2% | 11.5% |
| Solar Industries India ($SOLARINDS) | 14.2% | 13.0% | 9.9% | 12.3% | 10.3% |
| Pidilite Industries ($PIDILITIND) | 4.8% | 5.2% | 2.9% | 4.4% | 8.5% |
| Oricon Enterprises ($ORICON) | 8.6% | 10.2% | 6.2% | 4.7% | 7.9% |
| |
|---|
| Median (17 companies) | 7.0% | 5.2% | 4.7% | 4.5% | 5.1% |
|---|
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Vinati Organics ($VINATIORGA) | 31.4% | 29.6% | 26.2% | 30.6% | 34.8% |
| Camlin Fine Sciences ($CAMLINFIN) | 9.9% | 11.1% | 17.8% | 24.2% | 29.5% |
| Pidilite Industries ($PIDILITIND) | 29.3% | 27.4% | 29.3% | 29.8% | 29.0% |
| Adi Finechem ($ADIFINCHM) | 27.6% | 30.6% | 29.8% | 46.4% | 26.3% |
| Ultramarine & Pigments ($ULTRAMAR) | 22.8% | 20.0% | 16.3% | 20.8% | 25.7% |
| |
|---|
| Median (35 companies) | 15.5% | 14.7% | 14.8% | 12.3% | 17.1% |
|---|
| Vikas Wsp ($VIKASWSP) | 14.8% | 23.0% | 38.4% | 1.9% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Kiri Industries ($KIRIINDUS) | 3.9x | 8.2x | 31.3x | 10.6x | 7.7x |
| Jayant Agro-Organics ($JAYAGROGN) | 3.9x | 2.8x | 3.1x | 4.6x | 6.5x |
| Anil ($ANILLTD) | 2.7x | 2.2x | 3.4x | 3.8x | 4.0x |
| Oricon Enterprises ($ORICON) | 1.3x | 1.2x | 1.0x | 1.7x | 3.2x |
| Sudarshan Chemical Industries ($SUDARSCHEM) | 2.2x | 2.4x | 5.1x | 3.2x | 3.2x |
| |
|---|
| Median (31 companies) | 1.5x | 1.5x | 1.7x | 1.7x | 0.0x |
|---|
