Voltamp Transformers reports 65.6% EBITDA growth in 2016 and 9.0% Revenue growth
30-05-2016 • About Voltamp Transformers (
$VOLTAMP) • By InTwits
Voltamp Transformers reported FY2016 financial results today. Here are the key drivers of the company's long term financial model:
- Voltamp Transformers has low CAPEX intensity: 5 year average CAPEX/Revenue was 0.8%.
- The company has business model with low profitability: ROIC is 9.8%
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
Voltamp Transformers's Revenue increased on 9.0%. Despite revenue decline the EBITDA margin expanded. EBITDA Margin increased on 3.4 pp from 2.5% to 6.0% in FY2016. During the last 5 years EBITDA Margin bottomed in FY2014 at 3.4% and was growing since that time.
Net Income margin increased on 2.3 pp from 5.5% to 7.8% in FY2016.
Investments (CAPEX, working capital and M&A)
In FY2016 the company had CAPEX/Revenue of 0.56%. Voltamp Transformers's CAPEX/Revenue showed almost no change from FY2013 to FY2016. It's average level of CAPEX/Revenue for the last three years was 0.54%. CAPEX as a % of Revenue stuck to a declining trend at -0.17 pp per annum in the last 5 years.
Return on investment
The company operates at low ROIC (9.8%) and ROE (9.7%). ROIC increased on 4.4 pp from 5.4% to 9.8% in FY2016. ROE increased on 3.1 pp from 6.6% to 9.7% in FY2016. During the last 5 years ROIC bottomed in FY2014 at 1.9% and was growing since that time. During FY2012-FY2016 ROE bottomed in FY2014 at 6.3% and was growing since that time.
Leverage (Debt)
The company has no debt. Cash dropped on 52.5%.
Financial and operational results
Voltamp Transformers ($VOLTAMP) key annual financial indicators| mln. INR | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 5,586 | 5,155 | 4,448 | 5,169 | 5,633 | 9.0% |
| EBITDA | 420 | 343 | 150 | 306 | 507 | 65.6% |
| Net Income | 333 | 329 | 263 | 284 | 440 | 54.8% |
Balance Sheet
|
|---|
| Cash | 46 | 107 | 9 | 29 | 14 | -52.5% |
| Short Term Debt | 0 | 0 | 0 | 0 | 0 | |
| Long Term Debt | 0 | 0 | 0 | 0 | 0 | |
Cash flow
|
|---|
| Capex | 66 | 48 | 26 | 25 | 31 | 26.4% |
Ratios
|
|---|
| Revenue growth | 4.3% | -7.7% | -13.7% | 16.2% | 9.0% | |
| EBITDA growth | -37.2% | -18.3% | -56.3% | 103.9% | 65.6% | |
|
|---|
| EBITDA Margin | 7.5% | 6.7% | 3.4% | 5.9% | 9.0% | 3.1% |
| Net Income Margin | 6.0% | 6.4% | 5.9% | 5.5% | 7.8% | 2.3% |
| CAPEX, % of revenue | 1.2% | 0.9% | 0.6% | 0.5% | 0.6% | 0.1% |
|
|---|
| ROIC | 8.7% | 6.5% | 1.9% | 5.4% | 9.8% | 4.4% |
| ROE | 8.7% | 8.2% | 6.3% | 6.6% | 9.7% | 3.1% |
| Net Debt/EBITDA | -0.1x | -0.3x | -0.1x | -0.1x | -0.0x | 0.1x |
Peers in Heavy Electrical Equipment
Below you can find Voltamp Transformers benchmarking vs. other companies in Heavy Electrical Equipment 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 |
|---|
| Ujaas Energy ($UJAAS) | - | 614.7% | 116.7% | -78.9% | 149.4% |
| Techno Electric And Engineering Co. ($TECHNO) | - | -15.7% | 1.7% | 12.6% | 38.9% |
| Techno Electric & Engineering Company ($TECHELE) | - | -15.7% | 1.7% | 12.6% | 38.9% |
| Transformers And Rectifiers (India) ($TRIL) | - | -1.3% | 42.8% | -24.3% | 7.4% |
| Schneider Electric Infrastructure ($SCHNEIDER) | - | -2.9% | -7.2% | 7.1% | 7.1% |
| |
|---|
| Median (16 companies) | - | -6.3% | 1.7% | 1.1% | -6.1% |
|---|
| Voltamp Transformers ($VOLTAMP) | - | -7.7% | -13.7% | 16.2% | 9.0% |
Top companies by Gross margin, %
| Top | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Suzlon Energy ($SUZLON) | 33.2% | 27.2% | 28.6% | 31.3% | 40.6% |
| |
|---|
| Median (1 company) | 33.2% | 27.2% | 28.6% | 31.3% | 40.6% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Ujaas Energy ($UJAAS) | 1.2% | 18.7% | 17.4% | 38.1% | 22.6% |
| Sterlite Technologies ($STRTECH) | 7.5% | 7.5% | 10.8% | 15.0% | 20.9% |
| Techno Electric And Engineering Co. ($TECHNO) | 27.0% | 34.5% | 28.5% | 26.5% | 20.2% |
| Techno Electric & Engineering Company ($TECHELE) | 27.0% | 34.5% | 28.5% | 26.5% | 20.2% |
| Suzlon Energy ($SUZLON) | 8.9% | -5.3% | 0.8% | 4.0% | 11.7% |
| |
|---|
| Median (15 companies) | 9.2% | 8.8% | 6.7% | 6.7% | 7.7% |
|---|
| Voltamp Transformers ($VOLTAMP) | 7.5% | 6.7% | 3.4% | 5.9% | 9.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Swelect Energy Systems ($SWELECTES) | 5.1% | 42.5% | 50.8% | 21.8% | 44.0% |
| Sterlite Technologies ($STRTECH) | 24.9% | 47.2% | 64.9% | 37.4% | 10.3% |
| Bharat Heavy Electricals ($BHEL) | 3.3% | 3.6% | 4.1% | 1.1% | 5.3% |
| Suzlon Energy ($SUZLON) | 4.2% | 3.7% | 3.4% | 3.7% | 4.3% |
| T D Power Systems ($TDPOWERSYS) | 3.7% | 14.5% | 15.1% | 3.8% | 3.4% |
| |
|---|
| Median (13 companies) | 5.4% | 3.3% | 2.4% | 2.5% | 3.0% |
|---|
| Voltamp Transformers ($VOLTAMP) | 1.2% | 0.9% | 0.6% | 0.5% | 0.6% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Ujaas Energy ($UJAAS) | 0.0% | 28.5% | 33.7% | 10.2% | 16.2% |
| Techno Electric And Engineering Co. ($TECHNO) | 15.5% | 12.6% | 9.3% | 10.2% | 11.3% |
| Techno Electric & Engineering Company ($TECHELE) | 15.5% | 12.6% | 9.3% | 10.2% | 11.3% |
| Suzlon Energy ($SUZLON) | 6.2% | -9.4% | -3.5% | -0.1% | 9.4% |
| Bgr Energy Systems ($BGRENERGY) | 15.5% | 11.9% | 9.7% | 2.8% | 7.4% |
| |
|---|
| Median (17 companies) | 15.3% | 6.9% | 9.3% | 4.0% | 4.0% |
|---|
| Voltamp Transformers ($VOLTAMP) | 8.7% | 6.5% | 1.9% | 5.4% | 9.8% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Emco ($EMCO) | 8.1x | 7.3x | 5.7x | 7.3x | 11.2x |
| Suzlon Energy ($SUZLON) | 6.1x | - | 87.6x | 19.1x | 9.5x |
| Bgr Energy Systems ($BGRENERGY) | 2.6x | 3.5x | 4.1x | 13.0x | 6.9x |
| Schneider Electric Infrastructure ($SCHNEIDER) | 2.2x | 5.5x | - | - | 4.2x |
| Transformers And Rectifiers (India) ($TRIL) | -0.9x | 4.2x | 4.1x | 4.8x | 3.6x |
| |
|---|
| Median (14 companies) | 2.3x | 3.0x | 2.5x | 2.7x | 2.1x |
|---|
| Voltamp Transformers ($VOLTAMP) | -0.1x | -0.3x | -0.1x | -0.1x | -0.0x |
