Freshtrop Fruits reports 6.1% Net Income growth in 2016 and 0.73 pp EBITDA Margin decline from 14.1% to 13.4%

26-05-2016 • About Freshtrop Fruits ($FRSHTRP) • By InTwits

Freshtrop Fruits reported FY2016 financial results today. Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.

Revenue and profitability

Freshtrop Fruits's Revenue showed almost no change in FY2016. Revenue growth was financed by EBITDA margin decline. EBITDA Margin decreased slightly on 0.73 pp from 14.1% to 13.4% in FY2016.

Net Income margin showed almost no change in FY2016. Net Income margin followed a growing trend at 1.5 pp per annum in FY2012-FY2016.

Financial and operational results

Freshtrop Fruits ($FRSHTRP) key annual financial indicators

mln. INR	2012	2013	2014	2015	2016	2016/2015
P&L
Revenue	611	879	1,136	1,136	1,137	0.1%
EBITDA	57	78	111	160	152	-5.1%
Net Income	5	35	56	76	81	6.1%
Balance Sheet
Cash	19	14
Short Term Debt	189	171
Long Term Debt	21	40
Cash flow
Capex	6
Ratios
Revenue growth	14.7%	43.8%	29.1%	0.0%	0.1%
EBITDA growth	37.5%	36.5%	43.0%	43.7%	-5.1%

EBITDA Margin	9.3%	8.9%	9.8%	14.1%	13.4%	-0.7%
Net Income Margin	0.9%	4.0%	5.0%	6.7%	7.1%	0.4%
CAPEX, % of revenue	1.0%

ROIC	5.5%	9.7%
ROE	1.6%	11.2%
Net Debt/EBITDA	3.3x	2.5x	0.0x	0.0x	0.0x

Peers in Other Agricultural Products

Below we provide Freshtrop Fruits benchmarking against other companies in Other Agricultural Products 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
Vikas Granaries ($VIKASGRAN)	-13.9%	88.0%	-34.7%	108.5%	-
Kaveri Seed Company ($KSCL)	-	91.2%	42.0%	14.8%	-23.1%
Modi Naturals ($MODINATUR)	51.2%	16.2%	8.3%	11.5%	-
Anik Industries ($ANIKINDS)	26.0%	-21.3%	14.6%	1.4%	-
Agro Tech Foods ($ATFL)	-	12.1%	-3.2%	-0.8%	3.2%
Median (9 companies)	38.6%	16.2%	14.6%	-0.8%	-23.1%
Freshtrop Fruits ($FRSHTRP)	-	43.8%	29.1%	0.0%	0.1%

Top companies by Gross margin, %


Top	FY2012	FY2013	FY2014	FY2015	FY2016
Indrayani Biotech ($INDRANIB)	0.0%	0.0%	0.0%	0.0%	0.0%
Median (1 company)	0.0%	0.0%	0.0%	0.0%	0.0%

Top companies by EBITDA margin, %


Top 5	FY2012	FY2013	FY2014	FY2015	FY2016
Kaveri Seed Company ($KSCL)	20.7%	19.6%	21.9%	26.7%	21.3%
Avt Natural Products ($AVTNPL)	37.6%	30.8%	25.9%	17.5%	-
Agro Tech Foods ($ATFL)	7.6%	8.3%	9.2%	8.0%	7.3%
Vikas Granaries ($VIKASGRAN)	10.6%	14.2%	9.8%	5.0%	-
Anik Industries ($ANIKINDS)	3.3%	3.1%	1.3%	4.1%	-
Median (9 companies)	4.7%	8.3%	9.8%	4.1%	14.3%
Freshtrop Fruits ($FRSHTRP)	9.3%	8.9%	9.8%	14.1%	13.4%

Top companies by CAPEX/Revenue, %


Top	FY2012	FY2013	FY2014	FY2015	FY2016
Kaveri Seed Company ($KSCL)	2.9%	5.9%	2.5%	7.1%	2.9%
Agro Tech Foods ($ATFL)	4.1%	6.0%	6.3%	5.6%	5.7%
Avt Natural Products ($AVTNPL)	2.3%	5.0%	3.3%	4.0%	-
Kohinoor Foods ($KOHINOOR)	1.6%	1.5%	1.0%	0.3%	-
Median (4 companies)	1.6%	3.9%	2.9%	4.8%	4.3%

Top companies by ROIC, %


Top 5	FY2012	FY2013	FY2014	FY2015	FY2016
Kaveri Seed Company ($KSCL)	27.5%	41.1%	46.8%	45.9%	19.3%
Avt Natural Products ($AVTNPL)	58.2%	41.5%	32.8%	19.0%	-
Agro Tech Foods ($ATFL)	24.0%	25.3%	21.2%	13.9%	10.2%
Indrayani Biotech ($INDRANIB)	0.0%	0.0%	0.0%	0.0%	0.0%
Kohinoor Foods ($KOHINOOR)	3.1%	8.8%	10.3%	-1.3%	-
Median (13 companies)	9.2%	8.9%	21.2%	13.9%	10.2%
Freshtrop Fruits ($FRSHTRP)	5.5%	9.7%	-	-	-

Top companies by Net Debt / EBITDA


Top 5	FY2012	FY2013	FY2014	FY2015	FY2016
Kohinoor Foods ($KOHINOOR)	19.2x	7.8x	6.1x	296.6x	-
Agro Tech Foods ($ATFL)	-0.8x	-0.2x	0.1x	0.3x	1.6x
Unique Organics ($UNIQUEO)	-	0.0x	0.0x	0.0x	-
Modi Naturals ($MODINATUR)	3.9x	2.2x	-	0.0x	-
Vikas Granaries ($VIKASGRAN)	9.1x	4.2x	0.0x	0.0x	-
Median (9 companies)	2.3x	1.5x	0.0x	0.0x	0.8x
Freshtrop Fruits ($FRSHTRP)	3.3x	2.5x	0.0x	0.0x	0.0x

Freshtrop Fruits stock price chart

Freshtrop Fruits financials

mln.	FY2010	FY2011	FY2012

Revenue	1,247	533.2	611.4
EBITDA	60.904	41.518	57.093
Net income	23.376	1.320	5.391
CAPEX	58.347	15.786	5.852
Debt	244.3	308.6	209.8
Cash	10.964	17.248	19.440

About Freshtrop Fruits

Freshtrop Fruits Limited is engaged in the export of fresh fruits and vegetables. The company operates in two segments, Fresh Fruits and Food Processing. The Fresh Fruits segment supplies fresh grapes, pomegranates, and mangoes. The Food Processing segment supplies mango pulp, guava pulp, pomegranates concentrate, tomato paste and puree, gooseberry pulp, clarified products, and red papaya. The company offers its products in India, as well as exports to supermarket chains primarily in Europe, Russia, and the Far-east. Freshtrop Fruits Limited was incorporated in 1992 and is based in Ahmedabad, India.