State Bank Of Bikaner & Jaipur reports 9.5% Net Income growth in 2016 and 7.2% Revenue growth
29-04-2016 • About State Bank Of Bikaner & Jaipur (
$SBBJ) • By InTwits
State Bank Of Bikaner & Jaipur reported FY2016 financial results today. Here are the key drivers of the company's long term financial model:
- State Bank Of Bikaner & Jaipur is a growth stock: FY2016 revenue growth was 7.2%, 5 year revenue CAGR was 14.4% at FY2016 ROIC
- State Bank Of Bikaner & Jaipur has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.1%. At the same time it's in pair with industry average of 1.5%
- CAPEX is quite volatile: ₹1,023m in FY2016, ₹1,660m in FY2015, ₹1,084m in FY2014, ₹864m in FY2013, ₹464m in FY2012
- It operates with high leverage: Net Debt/EBITDA is 4.7x while industry average is
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue increased on 7.2%. Revenue decline was accelerating on average at -4.9 pp per annum in the last 5 years.
Net Income margin showed almost no change in FY2016. Net Income margin declined at -0.40 pp per annum in FY2012-FY2016.
Investments (CAPEX, working capital and M&A)
State Bank Of Bikaner & Jaipur's CAPEX/Revenue was 0.96% in FY2016. CAPEX/Revenue showed almost no change from FY2013 to FY2016. It's average level of CAPEX/Revenue for the last three years was 1.3%. During FY2012-FY2016 CAPEX as a % of Revenue topped in FY2015 at 1.7%.
Leverage (Debt)
Debt dropped on 30.3% while cash surged on 24.8%.
State Bank Of Bikaner & Jaipur has no short term refinancing risk: cash is higher than short term debt (501.8%).
Financial and operational results
State Bank Of Bikaner & Jaipur ($SBBJ) key annual financial indicators| mln. INR | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 68,903 | 82,245 | 90,449 | 99,318 | 106,495 | 7.2% |
| Net Income | 6,520 | 7,302 | 7,317 | 7,769 | 8,506 | 9.5% |
Balance Sheet
|
|---|
| Cash | 43,371 | 61,559 | 67,464 | 77,872 | 97,152 | 24.8% |
| Short Term Debt | 14,080 | 20,407 | 21,420 | 22,180 | 19,359 | -12.7% |
| Long Term Debt | 29,550 | 58,420 | 67,064 | 75,734 | 48,884 | -35.5% |
Cash flow
|
|---|
| Capex | 464 | 864 | 1,084 | 1,660 | 1,023 | -38.4% |
Ratios
|
|---|
| Revenue growth | 26.7% | 19.4% | 10.0% | 9.8% | 7.2% | |
|
|---|
| Net Income Margin | 9.5% | 8.9% | 8.1% | 7.8% | 8.0% | 0.2% |
| CAPEX, % of revenue | 0.7% | 1.1% | 1.2% | 1.7% | 1.0% | -0.7% |
|
|---|
| ROE | 18.6% | 16.4% | 14.5% | 13.7% | 13.3% | -0.3% |
Peers in Banks
Below you can find State Bank Of Bikaner & Jaipur benchmarking vs. other companies in Banks 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 | 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) | - | 33.7% | 21.6% | 17.7% | 18.9% |
| Axis Bank ($AXISBANK) | - | 24.5% | 13.1% | 15.6% | 14.9% |
| |
|---|
| Median (28 companies) | 30.3% | 15.7% | 11.2% | 10.8% | 5.9% |
|---|
| State Bank Of Bikaner & Jaipur ($SBBJ) | - | 19.4% | 10.0% | 9.8% | 7.2% |
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% | 1.4% |
| 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% | 2.4% |
| Dcb Bank ($DCBBANK) | 9.0% | 7.0% | 1.6% | 1.9% | 2.2% |
| |
|---|
| Median (28 companies) | 1.3% | 1.2% | 1.3% | 1.3% | 1.6% |
|---|
| State Bank Of Bikaner & Jaipur ($SBBJ) | 0.7% | 1.1% | 1.2% | 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 ($YESBANK) | 9.8% | 8.4% | 8.4% | 8.7% | 9.0% |
| Kotak Mahindra Bank ($KOTAKBANK) | 6.8% | 6.5% | 7.1% | 8.5% | - |
| Lakshmi Vilas Bank ($LAKSHVILAS) | 6.5% | 7.5% | 0.7% | 6.1% | 5.8% |
| |
|---|
| Median (28 companies) | 7.6% | 6.3% | 3.3% | 4.3% | 4.7% |
|---|
| State Bank Of Bikaner & Jaipur ($SBBJ) | - | - | - | - | - |
