Fertilizers & Chemicals Travancore revenue dropped on 12.3% and EBITDA Margin decreased on 3.6 pp from -8.3% to -11.9%
01-06-2016 • About Fertilizers & Chemicals Travancore (
$FACT) • By InTwits
Fertilizers & Chemicals Travancore reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Fertilizers & Chemicals Travancore is a company in decline: FY2016 revenue growth was -12.3%, 5 years revenue CAGR was -6.7%
- The company operates at negative EBITDA Margin: -11.9%
- Fertilizers & Chemicals Travancore spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for FY2012-FY2016 is 0.0%. Average EBITDA Margin for the same period was -4.7%
- Fertilizers & Chemicals Travancore has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.0%. At the same time it's in pair with industry average of 5.6%
- CAPEX is quite volatile: ₹32m in FY2016, ₹94m in FY2015, ₹441m in FY2014, ₹400m in FY2013, ₹184m in FY2012
- The company has unprofitable business model: ROIC is -60.9%
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
Fertilizers & Chemicals Travancore's Revenue dropped on 12.3%. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin decreased on 3.6 pp from -8.3% to -11.9% in FY2016.
Net Income margin decreased on 5.8 pp from -20.2% to -26.0% in FY2016. Net Income margin declined at -5.8 pp per annum in the last 5 years.
Investments (CAPEX, working capital and M&A)
Fertilizers & Chemicals Travancore's CAPEX/Revenue was 0.19% in FY2016. The company's CAPEX/Revenue decreased slightly on 1.5 pp from 1.7% in FY2013 to 0.19% in FY2016. Average CAPEX/Revenue for the last three years was 0.89%. During the last 5 years CAPEX as a % of Revenue topped in FY2014 at 2.0% and was declining since that time.
Leverage (Debt)
Company's Net Debt / EBITDA is 1.9x and Debt / EBITDA is . Net Debt / EBITDA didn't change in FY2016. Debt jumped on 68.5% while cash dropped on 46.1%.
Fertilizers & Chemicals Travancore has short term refinancing risk: cash is only 11.0% of short term debt.
Financial and operational results
Fertilizers & Chemicals Travancore ($FACT) key annual financial indicators| mln. INR | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 28,760 | 23,158 | 22,094 | 19,788 | 17,360 | -12.3% |
| EBITDA | 1,625 | -1,669 | -1,451 | -1,651 | -2,069 | |
| Net Income | 198 | -3,540 | -2,650 | -3,999 | -4,522 | |
Balance Sheet
|
|---|
| Cash | 294 | 70 | 268 | 375 | 202 | -46.1% |
| Short Term Debt | 4,386 | 7,733 | 9,211 | 9,128 | 1,835 | -79.9% |
| Long Term Debt | 2,180 | 2,180 | 1,898 | 1,615 | 16,271 | 907.6% |
Cash flow
|
|---|
| Capex | 184 | 400 | 441 | 94 | 32 | -65.5% |
Ratios
|
|---|
| Revenue growth | 16.9% | -19.5% | -4.6% | -10.4% | -12.3% | |
| EBITDA growth | 42.1% | -202.7% | -13.0% | 13.7% | 25.4% | |
|
|---|
| EBITDA Margin | 5.6% | -7.2% | -6.6% | -8.3% | -11.9% | -3.6% |
| Net Income Margin | 0.7% | -15.3% | -12.0% | -20.2% | -26.0% | -5.8% |
| CAPEX, % of revenue | 0.6% | 1.7% | 2.0% | 0.5% | 0.2% | -0.3% |
|
|---|
| ROIC | 12.9% | -26.0% | -26.0% | -41.3% | -60.9% | -19.6% |
| ROE | 13.0% | | | | | |
| Net Debt/EBITDA | 3.9x | | | | |
Peers in
Below you can find Fertilizers & Chemicals Travancore benchmarking vs. other companies in 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 |
|---|
| Tvs Electronics ($TVSEL) | - | 8.5% | 5.2% | 9.2% | 116.1% |
| Asleyf ($ASLEYF) | - | -3.3% | -8.0% | 33.6% | 34.7% |
| Jocil ($JOCIL) | - | 4.1% | -8.7% | -13.7% | 22.2% |
| Kirloskar Pneumatic Co ($KIRPNDM) | - | -17.7% | -11.8% | -8.9% | 15.4% |
| Jklakbbph ($JKLAKBBPH) | - | 19.6% | 0.0% | 12.2% | 14.0% |
| |
|---|
| Median (17 companies) | 18.0% | 10.9% | 3.9% | 8.8% | 2.4% |
|---|
| Fertilizers & Chemicals Travancore ($FACT) | - | - | - | - | - |
Top companies by Gross margin, %
| Top | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Jenson & Nicholson Financial Services ($JNFSL) | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Bombay Drugs & Pharmas ($BOMDRDM) | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Southern Herbals ($SOUTHNHE) | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Tafnccpeq ($TAFNCCPEQ) | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| |
|---|
| Median (4 companies) | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
|---|
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Oswal Chemicals & Fertilizers ($OSWALCHEM) | - | - | - | 53.4% | - |
| Kaleconbbph ($KALECONBBPH) | 27.7% | 44.3% | 43.5% | 37.9% | - |
| Paushak ($PAUSHAK) | - | - | - | 25.6% | - |
| The United Nilgiri Tea Estates Company ($UNITEDTEA) | - | - | - | 24.7% | - |
| Indbulbbph ($INDBULBBPH) | 36.7% | 34.6% | 29.5% | 23.5% | 28.7% |
| |
|---|
| Median (21 companies) | 15.1% | 13.4% | 14.7% | 10.7% | 9.9% |
|---|
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Monetbbph ($MONETBBPH) | 131.4% | 5.2% | 139.2% | 89.2% | 8.8% |
| Jklakbbph ($JKLAKBBPH) | 28.5% | 28.8% | 24.6% | 23.6% | 17.5% |
| Rilbbph ($RILBBPH) | 4.6% | 7.7% | 13.8% | 16.9% | 18.0% |
| Gkw ($GKW) | - | - | - | 15.5% | - |
| Paushak ($PAUSHAK) | - | - | - | 12.3% | - |
| |
|---|
| Median (18 companies) | 8.8% | 5.2% | 4.5% | 5.0% | 3.6% |
|---|
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Bharat Rasayan ($BHARATRA) | 22.1% | 13.7% | 21.9% | 26.1% | 24.1% |
| Paushak ($PAUSHAK) | 8.4% | 24.5% | - | - | 23.1% |
| Uplbbph ($UPLBBPH) | 17.1% | 15.9% | 18.2% | 22.1% | 22.2% |
| Rane Brake Lining ($RANEBRAKE) | 14.1% | 7.9% | 11.1% | 12.8% | 21.2% |
| The United Nilgiri Tea Estates Company ($UNITEDTEA) | 11.8% | 15.8% | - | - | 18.1% |
| |
|---|
| Median (29 companies) | 8.5% | 7.7% | 5.9% | 4.4% | 3.0% |
|---|
| Fertilizers & Chemicals Travancore ($FACT) | - | - | - | - | -60.9% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Rane Engine Valve ($RANENGIN) | 2.1x | 11.3x | 4.5x | 4.8x | 25.4x |
| Indian Metals & Ferro Alloys ($INDMETA-B) | 4.0x | 3.8x | 3.5x | 4.3x | 9.1x |
| Jklakbbph ($JKLAKBBPH) | 2.1x | 2.3x | 5.3x | 5.5x | 8.3x |
| Indbulbbph ($INDBULBBPH) | 4.3x | 4.8x | 5.5x | 9.6x | 6.5x |
| Rilbbph ($RILBBPH) | 1.7x | 2.1x | 2.9x | 3.9x | 3.9x |
| |
|---|
| Median (16 companies) | 1.8x | 2.2x | 2.2x | 1.1x | 1.2x |
|---|
