Bank Pekao Sa Net Income dropped on 15.6% in 2015 and Revenue decreased on 9.0%
09 Feb 2016 • About Bank Pekao Sa (
$BPKD) • By InTwits
Bank Pekao Sa reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Bank Pekao Sa is a company in decline: 2015 revenue growth was -9.0%, 5 years revenue CAGR was -2.4%
- The company has potentially unprofitable business model: ROIC is at 6.3%
- It operates with high leverage: Net Debt/EBITDA is 0.7x while industry average is
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Bank Pekao Sa ($BPKD) key annual financial indicators
| mln. PLN | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 10,802 | 11,716 | 10,181 | 9,542 | 8,683 | -9.0% |
| Net Income | 2,899 | 2,943 | 2,785 | 2,715 | 2,292 | -15.6% |
Balance Sheet
|
|---|
| Cash | 4,886 | 9,207 | 4,191 | 9,226 | 7,882 | -14.6% |
| Short Term Debt | 3,168 | 7,007 | 5,823 | 5,811 | 5,607 | -3.5% |
| Long Term Debt | 3,894 | 3,173 | 3,064 | 3,857 | 2,903 | -24.7% |
Cash flow
|
|---|
Ratios
|
|---|
| Revenue growth | 10.0% | 8.5% | -13.1% | -6.3% | -9.0% | |
| Net Income Margin | 26.8% | 25.1% | 27.4% | 28.4% | 26.4% | -2.0% |
| ROIC | 9.6% | 8.5% | 7.8% | 7.8% | 6.3% | -1.5% |
| ROE | 14.0% | 13.2% | 12.0% | 11.4% | 9.7% | -1.8% |
Revenue and profitability
The company's Revenue decreased on 9.0% in 2015.
Net Income marign decreased on 2.0 pp from 28.4% to 26.4% in 2015.
Return on investment
The company operates at low ROIC (6.29%) and ROE (9.67%). ROIC decreased slightly on 1.5 pp from 7.8% to 6.3% in 2015. ROE decreased slightly on 1.8 pp from 11.4% to 9.7% in 2015.
Leverage (Debt)
Debt dropped on 12.0% in 2015 while cash dropped on 14.6% in 2015.
Appendix 1: Peers in Banks
Below we provide Bank Pekao Sa benchmarking against other companies in Banks 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 |
|---|
| Banque Intl Arabe De Tunisie ($BIND) | 9.5% | -20.2% | 17.3% | 50.2% | |
| European Islamic Investment Bank ($EIIB) | -41.8% | 121.2% | 12.6% | 42.3% | |
| Tsb Banking Grp ($TSB) | | -3.2% | -33.8% | 39.2% | -1.4% |
| VTB Bank JSC ($VTBR) | 23.8% | 48.1% | 16.5% | 29.8% | |
| Bank Audi S.A.L. ($BQAD) | | 9.1% | 11.7% | 23.9% | 7.1% |
| |
|---|
| Median (43 companies) | 8.9% | 10.2% | 4.8% | 12.1% | 4.0% |
|---|
| Bank Pekao Sa ($BPKD) | | 8.5% | -13.1% | -6.3% | -9.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Lloyds Banking Group ($LLPC) | | 8.0% | 8.9% | 13.1% | 13.6% |
| Banco Santander Sa ($BNC) | 2.2% | 2.7% | 2.6% | 8.9% | 10.2% |
| Finansbank ($FBKD) | 2.0% | 1.9% | 2.8% | 8.5% | |
| Tsb Banking Grp ($TSB) | 1.3% | 1.8% | 4.4% | 7.2% | 3.4% |
| Guaranty Trust Bank ($GRTB) | 10.0% | 6.7% | 6.1% | 6.8% | |
| |
|---|
| Median (41 companies) | 2.3% | 2.3% | 2.7% | 2.1% | 2.5% |
|---|
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Commercial Intl Bank(Egypt)S.A.E ($CBKD) | 16.3% | 21.7% | 26.9% | 30.1% | |
| Guaranty Trust Bank ($GRTB) | 14.2% | 19.8% | 18.9% | 17.8% | |
| Mcb Bank Ltd ($MCBS) | 18.7% | 15.0% | 14.4% | 15.8% | 14.9% |
| Zenith Bank ($ZENB) | 13.8% | 19.0% | 17.6% | 15.0% | |
| United Bank Ltd ($UBLS) | 12.6% | 11.7% | 11.8% | 13.8% | |
| |
|---|
| Median (43 companies) | 6.9% | 6.0% | 5.3% | 4.4% | 3.3% |
|---|
| Bank Pekao Sa ($BPKD) | 9.6% | 8.5% | 7.8% | 7.8% | 6.3% |
