Ksk Power Ventur Net Debt / EBITDA surged on 4.2x from 26.5x to 30.7x in 2015 while EBITDA decreased on 2.3%
21 Jul 2015 • About Ksk Power Ventur (
$KSK) • By InTwits
Ksk Power Ventur reported FY2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Ksk Power Ventur doesn't have a profitable business model yet: FY2015 ROIC is 1.1%
- EBITDA Margin is declining: 26.0% in FY2015 vs. 30.3% in FY2014 vs. 33.0% in FY2011
- Ksk Power Ventur has high CAPEX intensity: 5 year average CAPEX/Revenue was 106.6%. At the same time it's a lot of higher than industry average of 40.3%.
- CAPEX is quite volatile: 223 in FY2015, 200 in FY2014, 395 in FY2013, 747 in FY2012, 272 in FY2011
- The company has potentially unprofitable business model: ROIC is at 1.1%
- It operates with high leverage: Net Debt/EBITDA is 30.7x while industry average is 7.4x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Ksk Power Ventur ($KSK) key annual financial indicators
| mln. $ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 226.8 | 383.2 | 392.8 | 335.9 | 382.3 | 13.8% |
| Gross Profit | 76.4 | 130.0 | 157.2 | 91.1 | 103.3 | 13.3% |
| SG&A | | | | | 72.1 | |
| EBITDA | 74.9 | 165.2 | 159.6 | 101.6 | 99.3 | -2.3% |
| Net Income | 13.1 | -0.9 | 24.4 | -49.0 | -56.5 | 15.2% |
Balance Sheet
|
|---|
| Cash | 338.2 | 417.6 | 305.3 | 194.1 | 198.0 | 2.0% |
| Short Term Debt | 787.5 | 1,128.9 | 1,021.1 | 944.8 | 522.0 | -44.8% |
| Long Term Debt | 817.5 | 1,409.1 | 1,834.5 | 1,943.9 | 2,722.6 | 40.1% |
Cash flow
|
|---|
| Capex | 272.0 | 746.9 | 394.5 | 200.0 | 222.9 | 11.4% |
Ratios
|
|---|
| Revenue growth | 328.8% | 69.0% | 2.5% | -14.5% | 13.8% | |
| EBITDA growth | -2,424.7% | 120.7% | -3.4% | -36.4% | -2.3% | |
| Gross Margin | 33.7% | 33.9% | 40.0% | 27.1% | 27.0% | -0.1% |
| EBITDA Margin | 33.0% | 43.1% | 40.6% | 30.3% | 26.0% | -4.3% |
| Net Income Margin | 5.8% | -0.2% | 6.2% | -14.6% | -14.8% | -0.2% |
| SG&A, % of revenue | | | | | 18.9% | 18.9% |
| CAPEX, % of revenue | 119.9% | 194.9% | 100.4% | 59.5% | 58.3% | -1.2% |
| ROIC | 2.5% | 4.3% | 3.6% | 1.7% | 1.1% | -0.5% |
| ROE | 2.8% | -0.2% | 5.6% | -11.5% | -14.8% | -3.3% |
| Net Debt/EBITDA | 16.9x | 12.8x | 16.0x | 26.5x | 30.7x | 4.2x |
Revenue and profitability
Ksk Power Ventur's Revenue surged on 13.8% in FY2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased slightly on 1.6 pp from 69.6% to 71.2% in 2015.
Gross Margin showed almost no change in FY2015.
Net Income marign showed almost no change in FY2015.
Capital expenditures (CAPEX) and working capital investments
Ksk Power Ventur's CAPEX/Revenue was 58.3% in FY2015. The company's CAPEX/Revenue dropped on 137 pp from 195% in FY2012 to 58.3% in FY2015. For the last three years the average CAPEX/Revenue was 72.8%.Ksk Power Ventur has spent a lot to CAPEX (224% of EBITDA) to fuel its growth.
Return on investment
The company operates at low but positive ROIC (1.13%) and negative ROE (-14.83%). ROIC decreased slightly on 0.52 pp from 1.7% to 1.1% in FY2015. ROE decreased on 3.3 pp from -11.5% to -14.8% in FY2015.
Leverage (Debt)
Company's Net Debt / EBITDA is 30.7x and Debt / EBITDA is 32.7x. Net Debt / EBITDA surged on 4.2x from 26.5x to 30.7x in FY2015. Debt surged on 12.3% in FY2015 while cash increased on 2.0% in FY2015.
Appendix 1: Peers in Electricity
Below we provide Ksk Power Ventur benchmarking against other companies in Electricity 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 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Good Energy Group ($GOOD) | 7.7% | 30.7% | 43.3% | 42.6% | |
| Infinis Energy ($INFI) | | 14.0% | 3.5% | 5.5% | -24.5% |
| RusHydro OJSC ($HYDR) | -31.1% | -17.6% | 5.0% | 5.1% | |
| Mosenergo AO ($AOMD) | 10.9% | -2.5% | -0.8% | 3.5% | |
| Public Power Corp S.A. ($PPCD) | -5.1% | 8.6% | -0.2% | -1.8% | |
| |
|---|
| Median (8 companies) | 9.3% | 7.9% | 3.0% | 0.9% | -24.5% |
|---|
| Ksk Power Ventur ($KSK) | | 69.0% | 2.5% | -14.5% | 13.8% |
Top companies by Gross margin, %
| Top | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Infinis Energy ($INFI) | 45.3% | 44.7% | 45.0% | 45.8% | 45.1% |
| Renewable Energy Generation Ltd ($WIND) | 38.7% | 42.5% | 42.7% | 35.9% | |
| Good Energy Group ($GOOD) | 40.3% | 33.9% | 33.6% | 32.7% | |
| |
|---|
| Median (3 companies) | 40.3% | 42.5% | 42.7% | 35.9% | 45.1% |
|---|
| Ksk Power Ventur ($KSK) | 33.7% | 33.9% | 40.0% | 27.1% | 27.0% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Infinis Energy ($INFI) | 52.5% | 55.1% | 54.6% | 45.2% | 69.8% |
| Datang Intl Power Generation ($DAT) | 25.0% | 28.7% | 33.6% | 34.8% | |
| Public Power Corp S.A. ($PPCD) | 17.1% | 15.3% | 19.1% | 20.0% | |
| RusHydro OJSC ($HYDR) | 18.6% | 4.3% | 13.1% | 16.8% | |
| Societatea Comerciala De Dis Si Fur ($ELSA) | 5.0% | 12.2% | 11.9% | 16.7% | |
| |
|---|
| Median (8 companies) | 16.0% | 14.1% | 17.2% | 16.7% | 69.8% |
|---|
| Ksk Power Ventur ($KSK) | 33.0% | 43.1% | 40.6% | 30.3% | 26.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Renewable Energy Generation Ltd ($WIND) | 163.4% | 142.1% | 77.4% | 167.6% | |
| Good Energy Group ($GOOD) | 9.7% | 1.0% | 23.2% | 31.8% | |
| Datang Intl Power Generation ($DAT) | 35.9% | 34.3% | 43.2% | 28.8% | |
| RusHydro OJSC ($HYDR) | 22.6% | 27.8% | 19.7% | 23.8% | |
| Infinis Energy ($INFI) | 24.1% | 23.6% | 32.3% | 16.2% | 22.8% |
| |
|---|
| Median (8 companies) | 21.5% | 18.5% | 21.4% | 20.0% | 22.8% |
|---|
| Ksk Power Ventur ($KSK) | 119.9% | 194.9% | 100.4% | 59.5% | 58.3% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Good Energy Group ($GOOD) | 11.7% | 10.8% | 12.2% | 7.0% | |
| Societatea Comerciala De Dis Si Fur ($ELSA) | | 3.2% | 4.0% | 6.5% | |
| Datang Intl Power Generation ($DAT) | 4.6% | 5.7% | 5.9% | 4.8% | |
| RusHydro OJSC ($HYDR) | 7.5% | -0.7% | 3.0% | 4.3% | |
| Public Power Corp S.A. ($PPCD) | 1.7% | 1.5% | 3.6% | 3.7% | |
| |
|---|
| Median (8 companies) | 4.6% | 2.9% | 3.8% | 4.0% | 5.2% |
|---|
| Ksk Power Ventur ($KSK) | 2.5% | 4.3% | 3.6% | 1.7% | 1.1% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Renewable Energy Generation Ltd ($WIND) | | 8.4x | 0.9x | 9.6x | |
| Datang Intl Power Generation ($DAT) | 9.2x | 8.4x | 7.7x | 8.3x | |
| Good Energy Group ($GOOD) | 2.6x | -0.1x | 1.5x | 5.7x | |
| Infinis Energy ($INFI) | 2.7x | 3.3x | 4.2x | 5.1x | 4.3x |
| Public Power Corp S.A. ($PPCD) | 5.2x | 5.3x | 4.1x | 4.3x | |
| |
|---|
| Median (8 companies) | 2.6x | 4.3x | 2.2x | 4.7x | 4.3x |
|---|
| Ksk Power Ventur ($KSK) | 16.9x | 12.8x | 16.0x | 26.5x | 30.7x |
