Sharp India EBITDA dropped on 158% and Revenue dropped on 84.1%
28-05-2016 • About Sharp India (
$SHARP) • By InTwits
Sharp India reported FY2016 financial results today. Here are the key drivers of the company's long term financial model:
- Sharp India is a company in decline: FY2016 revenue growth was -84.1%, 5 years revenue CAGR was -23.1%
- EBITDA Margin is quite volatile: -20.6% in FY2016, 5.7% in FY2015, 6.3% in FY2014, 4.8% in FY2013, 7.2% in FY2012
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue dropped on 84.1%. During the last 5 years Revenue growth topped in FY2014 at 98.9% and was decelerating since that time. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin dropped on 26.3 pp from 5.7% to -20.6% in FY2016.
Net Income margin dropped on 47.6 pp from 0.83% to -46.8% in FY2016.
Financial and operational results
Sharp India ($SHARP) key annual financial indicators| mln. INR | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 838 | 776 | 1,543 | 1,885 | 300 | -84.1% |
| EBITDA | 60 | 37 | 97 | 107 | -62 | -158.1% |
| Net Income | -5 | -13 | 28 | 16 | -141 | -999.3% |
Balance Sheet
|
|---|
| Cash | 2 | 75 | | 123 | | |
| Short Term Debt | 72 | 0 | | 30 | | |
| Long Term Debt | 0 | 90 | | 158 | | |
Cash flow
|
|---|
| Capex | 67 | | | | | |
Ratios
|
|---|
| Revenue growth | -25.1% | -7.4% | 98.9% | 22.2% | -84.1% | |
| EBITDA growth | 33.3% | -38.3% | 160.4% | 10.4% | -158.1% | |
|
|---|
| EBITDA Margin | 7.2% | 4.8% | 6.3% | 5.7% | -20.6% | -26.3% |
| Net Income Margin | -0.6% | -1.7% | 1.8% | 0.8% | -46.8% | -47.6% |
| CAPEX, % of revenue | 8.0% | | | | | |
|
|---|
| ROIC | 7.9% | -4.1% | | | | |
| ROE | -2.1% | -5.6% | | | | |
| Net Debt/EBITDA | 1.2x | 0.4x | 0.0x | 0.6x | |
Peers in Consumer Electronics
Below we provide Sharp India benchmarking against other companies in Consumer Electronics 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 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Hitachi Home And Life Solutions (India) ($HITACHIHOM) | 4.5% | 16.5% | 18.3% | 43.0% | - |
| Whirlpool Of India ($WHIRLPOOL) | - | 4.3% | 2.2% | 16.2% | 5.9% |
| Blue Star ($BLUESTARCO) | -5.5% | 3.9% | 1.3% | 8.4% | - |
| Mirc Electronics ($MIRCELECTR) | - | -21.4% | -0.9% | -17.7% | -28.1% |
| |
|---|
| Median (4 companies) | -0.5% | 4.1% | 1.8% | 12.3% | -11.1% |
|---|
| Sharp India ($SHARP) | - | -7.4% | 98.9% | 22.2% | -84.1% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Whirlpool Of India ($WHIRLPOOL) | 8.9% | 8.4% | 7.9% | 10.1% | 10.9% |
| Hitachi Home And Life Solutions (India) ($HITACHIHOM) | 4.3% | 5.4% | 5.6% | 9.0% | - |
| Blue Star ($BLUESTARCO) | -0.8% | 3.1% | 5.4% | 5.5% | - |
| Mirc Electronics ($MIRCELECTR) | 1.4% | -0.0% | 0.5% | 4.1% | -0.0% |
| Vxl Instruments ($VXLINSTR) | - | - | - | 0.4% | - |
| |
|---|
| Median (5 companies) | 2.9% | 4.2% | 5.5% | 5.5% | 5.5% |
|---|
| Sharp India ($SHARP) | 7.2% | 4.8% | 6.3% | 5.7% | -20.6% |
Top companies by CAPEX/Revenue, %
| Top | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Hitachi Home And Life Solutions (India) ($HITACHIHOM) | 2.1% | 12.0% | 3.8% | 4.2% | - |
| Whirlpool Of India ($WHIRLPOOL) | 4.5% | 3.0% | 3.0% | 2.6% | 2.1% |
| Blue Star ($BLUESTARCO) | 1.9% | 1.0% | 1.4% | 1.9% | - |
| Mirc Electronics ($MIRCELECTR) | 0.7% | 1.3% | 0.6% | 0.0% | 0.1% |
| |
|---|
| Median (4 companies) | 2.0% | 2.2% | 2.2% | 2.2% | 1.1% |
|---|
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Whirlpool Of India ($WHIRLPOOL) | 34.9% | 27.0% | 21.1% | 29.3% | 28.2% |
| Hitachi Home And Life Solutions (India) ($HITACHIHOM) | 6.5% | 9.6% | 8.4% | 25.6% | - |
| Blue Star ($BLUESTARCO) | -6.1% | 6.9% | 12.6% | 13.4% | - |
| Mirc Electronics ($MIRCELECTR) | -0.0% | -4.0% | -2.2% | 7.3% | -3.5% |
| Calcom Vision ($CALCOM) | - | -14.3% | - | - | - |
| |
|---|
| Median (6 companies) | 6.5% | 5.7% | 10.5% | 19.5% | 12.4% |
|---|
| Sharp India ($SHARP) | 7.9% | -4.1% | - | - | - |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Mirc Electronics ($MIRCELECTR) | 5.8x | - | 45.1x | 4.9x | - |
| Blue Star ($BLUESTARCO) | - | 4.5x | 2.7x | 2.0x | - |
| Hitachi Home And Life Solutions (India) ($HITACHIHOM) | 2.0x | 1.4x | 2.0x | 1.0x | - |
| Vxl Instruments ($VXLINSTR) | 1.2x | 3.9x | - | 0.0x | - |
| Whirlpool Of India ($WHIRLPOOL) | -0.2x | -0.7x | -1.3x | -1.6x | -2.2x |
| |
|---|
| Median (5 companies) | 2.0x | 3.9x | 2.4x | 1.0x | -2.2x |
|---|
| Sharp India ($SHARP) | 1.2x | 0.4x | 0.0x | 0.6x | - |
