State Bank Of Travancore reports 0.93% revenue growth in FY2016
25-04-2016 • About State Bank Of Travancore (
$SBT) • By InTwits
State Bank Of Travancore reported FY2016 financial results today. Here are the key drivers of the company's long term financial model:
- State Bank Of Travancore has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.2%. At the same time it's in pair with industry average of 1.5%
- CAPEX is quite volatile: ₹7,559m in FY2016, ₹17,204m in FY2015, ₹48,763m in FY2014, ₹45,276m in FY2013, ₹47,037m in FY2012
- The company has potentially unprofitable business model: ROIC is 4.1%
- It operates with high leverage: Net Debt/EBITDA is 20.7x while industry average is
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue increased slightly on 0.93%. Revenue decline was accelerating on average at -7.8 pp per annum in the last 5 years.
Net Income margin showed almost no change in FY2016.
Investments (CAPEX, working capital and M&A)
In FY2016 the company had CAPEX/Revenue of 1.0%. State Bank Of Travancore's CAPEX/Revenue showed almost no change from FY2013 to FY2016. Average CAPEX/Revenue for the last three years was 1.3%. During the last 5 years CAPEX as a % of Revenue topped in FY2015 at 1.7%.
Return on investment
The company operates at low ROIC (4.1%) and ROE (5.7%). ROIC showed almost no change in FY2016. ROE decreased slightly on 0.53 pp from 6.3% to 5.7% in FY2016. ROE stuck to a declining trend at -2.5 pp per annum in FY2012-FY2016.
Leverage (Debt)
Debt dropped on 17.2% while cash showed almost no change in FY2016.
State Bank Of Travancore has no short term refinancing risk: cash is higher than short term debt (306.2%).
Management team
The company's CFO A Aravind has spent 5 years with the company.
Financial and operational results
State Bank Of Travancore ($SBT) key annual financial indicators| mln. INR | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 74,779 | 92,882 | 104,626 | 106,159 | 107,148 | 0.9% |
| Net Income | 5,105 | 6,150 | 3,043 | 3,355 | 3,377 | 0.7% |
Balance Sheet
|
|---|
| Cash | 47,766 | 45,440 | 44,586 | 53,399 | 53,238 | -0.3% |
| Short Term Debt | 13,520 | 14,859 | 58,085 | 27,356 | 17,388 | -36.4% |
| Long Term Debt | 78,014 | 90,486 | 28,649 | 29,279 | 29,494 | 0.7% |
Cash flow
|
|---|
| Capex | 721 | 1,018 | 1,327 | 1,771 | 1,077 | -39.2% |
Ratios
|
|---|
| Revenue growth | 28.7% | 24.2% | 12.6% | 1.5% | 0.9% | |
|
|---|
| Net Income Margin | 6.8% | 6.6% | 2.9% | 3.2% | 3.2% | -0.0% |
| CAPEX, % of revenue | 1.0% | 1.1% | 1.3% | 1.7% | 1.0% | -0.7% |
|
|---|
| ROIC | | 6.1% | 3.5% | 4.1% | 4.1% | -0.0% |
| ROE | 13.9% | 14.9% | 6.5% | 6.3% | 5.7% | -0.5% |
Peers in Banks
Below we provide State Bank Of Travancore benchmarking against other companies in Banks 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 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Kotak Mahindra Bank ($KOTAKBANK) | 18.4% | 22.9% | 7.1% | 26.1% | - |
| Dcb Bank ($DCBBANK) | - | 26.2% | 22.5% | 25.3% | 20.8% |
| Syndicate Bank ($SYNDIBANK) | 32.2% | 11.9% | 7.9% | 20.2% | - |
| Yes Bank ($YESBANK) | 53.0% | 33.7% | 21.6% | 17.7% | - |
| Axis Bank ($AXISBANK) | - | 24.5% | 13.1% | 15.6% | 14.9% |
| |
|---|
| Median (28 companies) | 30.3% | 15.7% | 10.6% | 10.8% | 5.9% |
|---|
| State Bank Of Travancore ($SBT) | - | 24.2% | 12.6% | 1.5% | 0.9% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Bank Of India ($BANKINDIA) | 2.0% | 1.1% | 1.5% | 3.6% | - |
| State Bank Of Mysore ($MYSOREBANK) | 1.6% | 1.3% | - | 3.5% | - |
| Jammu & Kashmir Bank ($J&KBANK) | 1.4% | 1.3% | 2.2% | 3.3% | - |
| Lakshmi Vilas Bank ($LAKSHVILAS) | 2.1% | 1.4% | 1.6% | 2.4% | - |
| Dcb Bank ($DCBBANK) | 9.0% | 7.0% | 1.6% | 1.9% | 2.2% |
| |
|---|
| Median (28 companies) | 1.3% | 1.2% | 1.2% | 1.3% | 1.9% |
|---|
| State Bank Of Travancore ($SBT) | 1.0% | 1.1% | 1.3% | 1.7% | 1.0% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Karnataka Bank ($KTKBANK) | 6.8% | 10.2% | 7.7% | 10.4% | - |
| Axis Bank ($AXISBANK) | 9.6% | 8.9% | 9.1% | 8.8% | 7.6% |
| Yes Bank ($YESBANK) | 9.8% | 8.4% | 8.4% | 8.7% | - |
| Kotak Mahindra Bank ($KOTAKBANK) | 6.8% | 6.5% | 7.1% | 8.5% | - |
| Lakshmi Vilas Bank ($LAKSHVILAS) | 6.5% | 7.5% | 0.7% | 6.1% | - |
| |
|---|
| Median (28 companies) | 7.6% | 6.5% | 3.2% | 4.5% | 4.7% |
|---|
| State Bank Of Travancore ($SBT) | - | 6.1% | 3.5% | 4.1% | 4.1% |
