Turkiye Petrol Rafinerileri A.S. EBITDA surged on 360% in 2015 and EBITDA Margin increased on 8.3 pp from 2.1% to 10.4%
12 Feb 2016 • About Turkiye Petrol Rafinerileri A.S. (
$TPRD) • By InTwits
Turkiye Petrol Rafinerileri A.S. reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is quite volatile: 10.4% in 2015, 2.1% in 2014, 2.0% in 2013, 3.1% in 2012, 5.4% in 2011
- Turkiye Petrol Rafinerileri A.S. has low CAPEX intensity: 5 year average CAPEX/Revenue was 4.2%. At the same time it's in pair with industry average of 5.5%.
- CAPEX is quite volatile: 961 in 2015, 2,258 in 2014, 2,255 in 2013, 2,267 in 2012, 699 in 2011
- The company has highly profitable business model: ROIC is at 25.4%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Turkiye Petrol Rafinerileri A.S. ($TPRD) key annual financial indicators
| mln. TRY | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 41,444 | 42,437 | 41,078 | 39,723 | 36,893 | -7.1% |
| Gross Profit | 2,647 | 1,691 | 1,473 | 1,263 | 4,175 | 230.6% |
| SG&A | 670 | 632 | 657 | 687 | 778 | 13.4% |
| EBITDA | 2,232 | 1,310 | 803 | 837 | 3,848 | 359.9% |
| Net Income | 1,242 | 1,464 | 1,197 | 1,459 | 2,550 | 74.8% |
Balance Sheet
|
|---|
| Cash | 1,243 | 3,249 | 3,663 | 3,898 | 3,028 | -22.3% |
| Short Term Debt | 1,136 | 704 | 1,075 | 777 | 1,871 | 140.8% |
| Long Term Debt | 1,212 | 3,540 | 5,447 | 6,978 | 8,048 | 15.3% |
Cash flow
|
|---|
| Capex | 699 | 2,267 | 2,255 | 2,258 | 961 | -57.4% |
Ratios
|
|---|
| Revenue growth | 58.1% | 2.4% | -3.2% | -3.3% | -7.1% | |
| EBITDA growth | 77.8% | -41.3% | -38.7% | 4.2% | 359.9% | |
| Gross Margin | 6.4% | 4.0% | 3.6% | 3.2% | 11.3% | 8.1% |
| EBITDA Margin | 5.4% | 3.1% | 2.0% | 2.1% | 10.4% | 8.3% |
| Net Income Margin | 3.0% | 3.5% | 2.9% | 3.7% | 6.9% | 3.2% |
| SG&A, % of revenue | 1.6% | 1.5% | 1.6% | 1.7% | 2.1% | 0.4% |
| CAPEX, % of revenue | 1.7% | 5.3% | 5.5% | 5.7% | 2.6% | -3.1% |
| ROIC | 28.2% | 13.6% | 5.8% | 5.3% | 25.4% | 20.1% |
| ROE | 30.1% | 31.8% | 24.1% | 25.9% | 35.3% | 9.3% |
| Net Debt/EBITDA | 0.5x | 0.8x | 3.6x | 4.6x | 1.8x | -2.8x |
Revenue and profitability
Turkiye Petrol Rafinerileri A.S.'s Revenue decreased on 7.1% in 2015. Revenue decline happened at the same time with EBITDA margin expansion. EBITDA Margin increased on 8.3 pp from 2.1% to 10.4% in 2015.
Gross Margin increased on 8.1 pp from 3.2% to 11.3% in 2015. SG&A as a % of Revenue showed almost no change in 2015.
Net Income marign increased on 3.2 pp from 3.7% to 6.9% in 2015.
Capital expenditures (CAPEX) and working capital investments
The company's CAPEX/Revenue was 2.6% in 2015. Turkiye Petrol Rafinerileri A.S.'s CAPEX/Revenue decreased on 2.7 pp from 5.3% in 2012 to 2.6% in 2015. It's average CAPEX/Revenue for the last three years was 4.6%.
Return on investment
The company operates at high and attractive ROIC (25.43%) and ROE (35.27%). ROIC jumped on 20.1 pp from 5.3% to 25.4% in 2015. ROE increased on 9.3 pp from 25.9% to 35.3% in 2015.
Leverage (Debt)
Debt level is 1.8x Net Debt / EBITDA and 2.6x Debt / EBITDA. Net Debt / EBITDA dropped on 2.8x from 4.6x to 1.8x in 2015. Debt jumped on 27.9% in 2015 while cash dropped on 22.3% in 2015.
Appendix 1: Peers in Oil & Gas Producers
Below we provide Turkiye Petrol Rafinerileri A.S. benchmarking against other companies in Oil & Gas Producers 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 |
|---|
| Cadogan Petroleum ($CAD) | 38.9% | -46.1% | 0.3% | 764.9% | |
| Parkmead Group(The) ($PMG) | | -21.3% | 38.0% | 505.8% | -24.4% |
| Caza Oil & Gas Inc ($CAZA) | 83.1% | 21.5% | 67.0% | 178.3% | |
| Nighthawk Energy ($HAWK) | -57.5% | 75.5% | 1,533.7% | 81.8% | |
| Iofina ($IOF) | 13.4% | 17.1% | 2.9% | 29.7% | |
| |
|---|
| Median (35 companies) | 30.5% | 17.1% | 4.3% | 0.5% | -18.6% |
|---|
| Turkiye Petrol Rafinerileri A.S. ($TPRD) | | 2.4% | -3.2% | -3.3% | -7.1% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Bankers Petroleum Ltd ($BNK) | 77.9% | 77.5% | 81.1% | 80.8% | |
| Oil & Gas Development Co ($OGDC) | 66.0% | 69.9% | 70.9% | 68.5% | 62.7% |
| Nighthawk Energy ($HAWK) | 14.5% | 38.8% | 66.8% | 58.1% | |
| Tethys Petroleum Limited ($TPL) | -4.2% | 14.7% | 28.9% | 46.2% | |
| Volga Gas ($VGAS) | 45.5% | | | 42.9% | |
| |
|---|
| Median (22 companies) | 17.5% | 18.3% | 21.7% | 17.4% | 9.5% |
|---|
| Turkiye Petrol Rafinerileri A.S. ($TPRD) | 6.4% | 4.0% | 3.6% | 3.2% | 11.3% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Great Eastern Energy Corp ($GEEC) | 48.7% | 61.2% | 64.1% | 70.4% | 66.5% |
| Oil & Gas Development Co ($OGDC) | 67.6% | 73.7% | 65.9% | 69.3% | 62.4% |
| Bankers Petroleum Ltd ($BNK) | 51.4% | 53.3% | 59.4% | 68.3% | |
| Jubilant Energy N.V. ($JUB) | -250.4% | 23.7% | 60.9% | 67.6% | 28.7% |
| Nighthawk Energy ($HAWK) | -358.5% | -80.7% | 72.2% | 57.7% | |
| |
|---|
| Median (36 companies) | 11.8% | 17.2% | 20.6% | 18.2% | 27.6% |
|---|
| Turkiye Petrol Rafinerileri A.S. ($TPRD) | 5.4% | 3.1% | 2.0% | 2.1% | 10.4% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Jubilant Energy N.V. ($JUB) | 301.5% | 322.7% | 481.7% | 208.5% | 5.9% |
| Caza Oil & Gas Inc ($CAZA) | 430.1% | 249.9% | 352.9% | 177.4% | |
| Ithaca Energy Inc ($IAE) | 160.2% | 95.1% | 83.4% | 103.5% | |
| Tethys Petroleum Limited ($TPL) | 182.8% | 52.0% | 64.4% | 95.2% | |
| Ruspetro ($RPO) | 83.5% | 139.8% | 55.2% | 77.2% | |
| |
|---|
| Median (37 companies) | 14.6% | 17.7% | 24.6% | 17.2% | 22.3% |
|---|
| Turkiye Petrol Rafinerileri A.S. ($TPRD) | 1.7% | 5.3% | 5.5% | 5.7% | 2.6% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Oil & Gas Development Co ($OGDC) | 41.2% | 46.7% | 40.4% | 39.7% | 24.3% |
| Haike Chemical Group Ltd ($HAIK) | 7.7% | 0.7% | 1.0% | 31.4% | |
| Nighthawk Energy ($HAWK) | -5.1% | -3.9% | 19.6% | 23.1% | |
| Novatek OAO ($NVTK) | 47.4% | 21.7% | 29.0% | 21.2% | |
| Bankers Petroleum Ltd ($BNK) | 19.7% | 17.4% | 20.8% | 20.8% | |
| |
|---|
| Median (38 companies) | 5.4% | 4.6% | 7.0% | 5.7% | 1.4% |
|---|
| Turkiye Petrol Rafinerileri A.S. ($TPRD) | 28.2% | 13.6% | 5.8% | 5.3% | 25.4% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Jubilant Energy N.V. ($JUB) | | 77.9x | 38.8x | 44.6x | 192.7x |
| Ruspetro ($RPO) | | 369.1x | 34.8x | 27.9x | |
| Bg Group ($BG.) | 1.2x | 1.3x | 1.7x | 11.7x | 1.5x |
| President Energy ($PPC) | | | | 9.9x | |
| Edge Resources Inc ($EDG) | | | | 8.0x | 7.6x |
| |
|---|
| Median (27 companies) | 0.5x | 0.4x | 0.7x | 1.3x | 1.7x |
|---|
| Turkiye Petrol Rafinerileri A.S. ($TPRD) | 0.5x | 0.8x | 3.6x | 4.6x | 1.8x |
