Themis Medicare reports 286% Net Income growth in 2016 and 7.5 pp EBITDA Margin growth from 9.7% to 17.2%
11-05-2016 • About Themis Medicare (
$THEMISMED) • By InTwits
Themis Medicare reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is quite volatile: 17.2% in FY2016, 9.7% in FY2015, 12.4% in FY2014, 9.8% in FY2013, -4.4% in FY2012
- It operates with high leverage: Net Debt/EBITDA is 2.9x while industry average is 0.9x
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
Themis Medicare's Revenue surged on 15.3%. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin decreased on 3.6 pp from 15.2% to 11.6% in FY2016.
Net Income margin increased on 5.9 pp from 2.5% to 8.4% in FY2016. Net Income margin stuck to a growing trend at 6.6 pp per annum in FY2012-FY2016.
Investments (CAPEX, working capital and M&A)
Themis Medicare's CAPEX/Revenue was 2.7% in FY2016. The company showed CAPEX/Revenue growth of 2.7 pp from in FY2013 to 2.7% in FY2016.
Leverage (Debt)
Debt level is 2.9x Net Debt / EBITDA and 3.2x Debt / EBITDA. Net Debt / EBITDA jumped2.9x from 0x to 2.9x in FY2016. Debt jumped while cash surged.
Themis Medicare has short term refinancing risk: cash is only 20.1% of short term debt.
Financial and operational results
Themis Medicare ($THEMISMED) key annual financial indicators| mln. INR | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 1,542 | 1,683 | 1,951 | 1,997 | 2,303 | 15.3% |
| EBITDA | -67 | 165 | 243 | 194 | 397 | 104.4% |
| Net Income | -338 | -48 | 23 | 50 | 193 | 286.0% |
Balance Sheet
|
|---|
| Cash | 1 | 120 | | | 130 | |
| Short Term Debt | 863 | 505 | | | 647 | |
| Long Term Debt | 649 | 920 | | | 617 | |
Cash flow
|
|---|
| Capex | 101 | | | | 63 | |
Ratios
|
|---|
| Revenue growth | -38.3% | 9.1% | 15.9% | 2.4% | 15.3% | |
| EBITDA growth | -124.2% | -344.5% | 47.5% | -20.0% | 104.4% | |
|
|---|
| EBITDA Margin | -4.4% | 9.8% | 12.4% | 9.7% | 17.2% | 7.5% |
| Net Income Margin | -21.9% | -2.8% | 1.2% | 2.5% | 8.4% | 5.9% |
| CAPEX, % of revenue | 6.6% | | | | 2.7% | |
|
|---|
| ROIC | -6.7% | 3.8% | | | | |
| ROE | -45.2% | -8.5% | | | | |
| Net Debt/EBITDA | | 7.9x | 0.0x | 0.0x | 2.9x |
Peers in Pharmaceuticals
Below we provide Themis Medicare benchmarking against other companies in Pharmaceuticals 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 |
|---|
| Mangalam Drugs & Organics ($MANGALAM) | 16.6% | -18.2% | -2.1% | 79.8% | - |
| Sun Pharmaceutical Industries ($SUNPHARMA) | 39.9% | 40.4% | 42.4% | 70.2% | - |
| Lyka Labs ($LYKALABS) | 41.9% | -25.7% | -22.6% | 68.7% | - |
| Marksans Pharma ($MARKSANS) | 16.7% | 23.3% | 43.3% | 26.8% | - |
| Torrent Cables ($TORRCABS) | 27.5% | 17.4% | -42.9% | 26.5% | - |
| |
|---|
| Median (41 companies) | 16.7% | 14.9% | 12.6% | 9.2% | 15.3% |
|---|
| Themis Medicare ($THEMISMED) | - | 9.1% | 15.9% | 2.4% | 15.3% |
Top companies by Gross margin, %
| Top | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Dr.Reddy'S Laboratories ($DRREDDY) | - | 52.1% | 57.4% | 57.6% | - |
| Omega Laboratories ($OMEGALAB) | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| |
|---|
| Median (2 companies) | 46.9% | 26.1% | 28.7% | 28.8% | 0.0% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Divi'S Laboratories ($DIVISLAB) | 37.2% | 38.2% | 40.2% | 37.4% | - |
| Hester Biosciences ($HESTERBIO) | - | - | - | 32.9% | - |
| Sun Pharmaceutical Industries ($SUNPHARMA) | 40.8% | 44.3% | 44.9% | 29.2% | - |
| Natco Pharma ($NATCOPHARM) | 21.5% | 23.2% | 24.9% | 26.2% | - |
| Dr.Reddy'S Laboratories ($DRREDDY) | 25.8% | 22.9% | 25.1% | 23.2% | - |
| |
|---|
| Median (53 companies) | 12.9% | 13.4% | 15.0% | 12.1% | 19.5% |
|---|
| Themis Medicare ($THEMISMED) | -4.4% | 9.8% | 12.4% | 9.7% | 17.2% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Claris Lifesciences ($CLARIS) | 58.1% | 42.9% | - | 103.1% | 15.8% |
| Wintac ($WINTAC) | - | - | - | 22.8% | - |
| Hester Biosciences ($HESTERBIO) | - | - | - | 21.5% | - |
| Ipca Laboratories ($IPCALAB) | 11.2% | 8.3% | 11.6% | 17.8% | - |
| Natco Pharma ($NATCOPHARM) | 24.4% | 16.3% | 14.4% | 14.1% | - |
| |
|---|
| Median (32 companies) | 8.2% | 7.9% | 5.8% | 6.1% | 9.4% |
|---|
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Marksans Pharma ($MARKSANS) | -142.4% | 34.9% | 33.8% | 41.2% | - |
| Alembic Pharmaceuticals ($APLLTD) | 27.5% | 29.1% | 41.5% | 35.7% | 62.1% |
| Jenburkt Pharmaceuticals ($JENBURPH) | 34.1% | 29.0% | 32.4% | 35.3% | - |
| Abbott India ($ABBOTINDIA) | 29.6% | 26.9% | 30.5% | 34.2% | - |
| Divi'S Laboratories ($DIVISLAB) | 30.6% | 30.4% | 32.3% | 30.5% | - |
| |
|---|
| Median (63 companies) | 14.0% | 13.8% | 15.0% | 13.2% | 10.6% |
|---|
| Themis Medicare ($THEMISMED) | -6.7% | 3.8% | - | - | - |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Jubilant Life Sciences Limited ($JUBILANT) | 4.0x | 3.5x | 3.5x | 6.4x | - |
| Shasun Pharmaceuticals ($SHASUNPHAR) | 2.8x | 4.5x | 6.0x | 6.2x | - |
| Claris Lifesciences ($CLARIS) | 1.9x | 1.1x | 1.8x | 3.2x | 2.9x |
| Dishman Pharmaceuticals & Chemicals ($DISHMAN) | 3.6x | 2.6x | 2.3x | 2.9x | - |
| Neuland Laboratories ($NEULANDLAB) | 4.2x | 3.5x | 2.6x | 2.6x | - |
| |
|---|
| Median (48 companies) | 1.5x | 1.2x | 0.5x | 0.2x | 1.1x |
|---|
| Themis Medicare ($THEMISMED) | - | 7.9x | 0.0x | 0.0x | 2.9x |
