Ujaas Energy revenue surged on 149% while EBITDA Margin dropped on 15.5 pp from 38.1% to 22.6%
21-05-2016 • About Ujaas Energy (
$UJAAS) • By InTwits
Ujaas Energy reported FY2016 financial results today. Here are the key drivers of the company's long term financial model:
- Ujaas Energy is a fast growth stock: FY2016 revenue growth was 149%, 5 year revenue CAGR was 52.5% at FY2016 ROIC 16.2%
- EBITDA Margin is quite volatile: 22.6% in FY2016, 38.1% in FY2015, 17.4% in FY2014, 18.7% in FY2013, 1.2% in FY2012
- Ujaas Energy has high CAPEX intensity: 5 year average CAPEX/Revenue was 22.0%. At the same time it's a lot of higher than industry average of 5.9%.
- CAPEX is quite volatile: ₹12m in FY2016, ₹4m in FY2015, ₹1,061m in FY2014, ₹35m in FY2013, ₹298m in FY2012
- The company has highly profitable business model: ROIC is 16.2%
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue jumped on 149%. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin dropped on 10.9 pp from 4.5% to -6.4% in FY2016.
Net Income margin decreased on 3.0 pp from 10.6% to 7.5% in FY2016.
Investments (CAPEX, working capital and M&A)
The company's CAPEX/Revenue was 0.42% in FY2016. Ujaas Energy's CAPEX/Revenue decreased slightly on 1.0 pp from 1.4% in FY2013 to 0.42% in FY2016. It's average level of CAPEX/Revenue for the last three years was 7.0%.
Return on investment
The company operates at good ROIC (16.2%) while ROE is low (11.4%). ROIC increased on 6.0 pp from 10.2% to 16.2% in FY2016. ROE increased on 4.4 pp from 7.0% to 11.4% in FY2016.
Leverage (Debt)
Company's Net Debt / EBITDA is 0.6x and Debt / EBITDA is 1.7x. Net Debt / EBITDA dropped on 1.7x from 2.2x to 0.6x in FY2016. Debt decreased on 5.7% while cash jumped on 329%.
Ujaas Energy has no short term refinancing risk: cash is higher than short term debt (464.6%).
Financial and operational results
Ujaas Energy ($UJAAS) key annual financial indicators| mln. INR | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 339 | 2,426 | 5,255 | 1,111 | 2,771 | 149.4% |
| EBITDA | 4 | 455 | 915 | 423 | 627 | 48.2% |
| Net Income | 9 | 270 | 374 | 117 | 209 | 77.9% |
Balance Sheet
|
|---|
| Cash | 1 | 268 | 654 | 160 | 685 | 329.4% |
| Short Term Debt | 91 | 51 | 203 | 106 | 147 | 39.7% |
| Long Term Debt | 195 | 211 | 1,112 | 994 | 889 | -10.6% |
Cash flow
|
|---|
| Capex | 298 | 35 | 1,061 | 4 | 12 | 185.2% |
Ratios
|
|---|
| Revenue growth | 1.1% | 614.7% | 116.7% | -78.9% | 149.4% | |
| EBITDA growth | -87.5% | 11,488.9% | 101.3% | -53.7% | 48.2% | |
|
|---|
| EBITDA Margin | 1.2% | 18.7% | 17.4% | 38.1% | 22.6% | -15.5% |
| Net Income Margin | 2.7% | 11.1% | 7.1% | 10.6% | 7.5% | -3.0% |
| CAPEX, % of revenue | 87.8% | 1.4% | 20.2% | 0.4% | 0.4% | 0.1% |
|
|---|
| ROIC | 0.0% | 28.5% | 33.7% | 10.2% | 16.2% | 6.0% |
| ROE | 1.5% | 22.8% | 25.5% | 7.0% | 11.4% | 4.4% |
| Net Debt/EBITDA | 72.6x | -0.0x | 0.7x | 2.2x | 0.6x | -1.7x |
Peers in Heavy Electrical Equipment
Below we provide Ujaas Energy benchmarking against other companies in Heavy Electrical Equipment 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 |
|---|
| Swelect Energy Systems ($SWELECTES) | 17.5% | -70.6% | -0.0% | 25.7% | - |
| T D Power Systems ($TDPOWERSYS) | - | -43.1% | -18.2% | 24.4% | -15.9% |
| Sterlite Technologies ($STRTECH) | 15.9% | 17.9% | -17.1% | 20.8% | - |
| Voltamp Transformers ($VOLTAMP) | 4.3% | -7.7% | -13.7% | 16.2% | - |
| Techno Electric And Engineering Co. ($TECHNO) | 13.6% | -15.7% | 1.7% | 12.6% | - |
| |
|---|
| Median (15 companies) | 13.6% | -9.8% | 1.7% | 2.0% | -17.5% |
|---|
| Ujaas Energy ($UJAAS) | - | 614.7% | 116.7% | -78.9% | 149.4% |
Top companies by Gross margin, %
| Top | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Suzlon Energy ($SUZLON) | 33.2% | 27.2% | 28.6% | 31.3% | 40.6% |
| |
|---|
| Median (1 company) | 33.2% | 27.2% | 28.6% | 31.3% | 40.6% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Techno Electric And Engineering Co. ($TECHNO) | 27.0% | 34.5% | 28.5% | 26.5% | - |
| Techno Electric & Engineering Company ($TECHELE) | 27.0% | 34.5% | 28.5% | 26.5% | - |
| Sterlite Technologies ($STRTECH) | 7.5% | 7.5% | 10.8% | 15.0% | - |
| Emco ($EMCO) | 7.4% | 9.5% | 11.3% | 9.3% | - |
| Crompton Greaves ($CROMPGREAV) | 7.1% | 3.2% | 6.2% | 8.8% | 7.7% |
| |
|---|
| Median (15 companies) | 9.4% | 8.8% | 6.6% | 5.9% | 4.5% |
|---|
| Ujaas Energy ($UJAAS) | 1.2% | 18.7% | 17.4% | 38.1% | 22.6% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Sterlite Technologies ($STRTECH) | 24.9% | 47.2% | 64.9% | 37.4% | - |
| Swelect Energy Systems ($SWELECTES) | 5.1% | 42.5% | 50.8% | 21.8% | - |
| Transformers And Rectifiers (India) ($TRIL) | 5.7% | 8.4% | 2.8% | 5.8% | - |
| T D Power Systems ($TDPOWERSYS) | 3.7% | 14.5% | 15.1% | 3.8% | 3.4% |
| Suzlon Energy ($SUZLON) | 4.2% | 3.7% | 3.4% | 3.7% | 4.3% |
| |
|---|
| Median (14 companies) | 5.1% | 3.6% | 2.3% | 3.0% | 3.4% |
|---|
| Ujaas Energy ($UJAAS) | 87.8% | 1.4% | 20.2% | 0.4% | 0.4% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Alstom India ($AIL) | 27.2% | 25.6% | 13.2% | 10.7% | -27.7% |
| Techno Electric & Engineering Company ($TECHELE) | 15.5% | 12.6% | 9.3% | 10.2% | - |
| Techno Electric And Engineering Co. ($TECHNO) | 15.5% | 12.6% | 9.3% | 10.2% | - |
| Emco ($EMCO) | 4.3% | 6.1% | 7.4% | 6.1% | - |
| Voltamp Transformers ($VOLTAMP) | 8.7% | 6.5% | 1.9% | 5.4% | - |
| |
|---|
| Median (17 companies) | 15.3% | 6.3% | 8.3% | 4.0% | 0.0% |
|---|
| Ujaas Energy ($UJAAS) | 0.0% | 28.5% | 33.7% | 10.2% | 16.2% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Jyoti Structures ($JYOTISTRUC) | 2.4x | 3.6x | 5.7x | 88.2x | - |
| Suzlon Energy ($SUZLON) | 6.1x | - | 87.6x | 19.1x | 9.5x |
| Bgr Energy Systems ($BGRENERGY) | 2.6x | 3.5x | 4.1x | 13.0x | - |
| Sterlite Technologies ($STRTECH) | 4.6x | 10.2x | 15.4x | 11.1x | - |
| Emco ($EMCO) | 8.1x | 7.3x | 5.7x | 7.3x | - |
| |
|---|
| Median (14 companies) | 1.5x | 3.0x | 2.5x | 2.7x | 1.2x |
|---|
| Ujaas Energy ($UJAAS) | 72.6x | -0.0x | 0.7x | 2.2x | 0.6x |
