Global Invacom Group Ltd EBITDA dropped on 67.3% in 2015 and EBITDA Margin decreased on 3.7 pp from 5.6% to 1.9%
25 Feb 2016 • About Global Invacom Group Ltd (
$GINV) • By InTwits
Global Invacom Group Ltd reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Global Invacom Group Ltd doesn't have a profitable business model yet: 2015 ROIC is 0.2%
- EBITDA Margin is quite volatile: 1.9% in 2015, 5.6% in 2014, 8.7% in 2013, -21.2% in 2012, 9.0% in 2011
- Global Invacom Group Ltd has low CAPEX intensity: 5 year average CAPEX/Revenue was 2.7%. At the same time it's in pair with industry average of 3.7%.
- CAPEX is quite volatile: 1.0 in 2015, 3.8 in 2014, 3.4 in 2013, 2.4 in 2012, 2.3 in 2011
- The company has potentially unprofitable business model: ROIC is at 0.2%
- It operates with high leverage: Net Debt/EBITDA is -1.4x while industry average is -2.4x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Global Invacom Group Ltd ($GINV) key annual financial indicators
| mln. $ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 62.8 | 74.7 | 115.8 | 134.1 | 129.1 | -3.7% |
| Gross Profit | 17.8 | 14.1 | 29.2 | 31.8 | 24.9 | -21.7% |
| SG&A | | | | 25.8 | 29.6 | 14.9% |
| EBITDA | 5.7 | -15.8 | 10.1 | 7.6 | 2.5 | -67.3% |
| Net Income | 4.1 | -16.0 | 8.0 | 5.1 | -1.1 | -122.1% |
Balance Sheet
|
|---|
| Cash | 1.9 | 20.8 | 14.7 | 21.2 | 8.9 | -58.2% |
| Short Term Debt | 0.0 | 0.6 | 0.1 | 0.0 | 5.3 | |
| Long Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 2.3 | 2.4 | 3.4 | 3.8 | 1.0 | -73.0% |
Ratios
|
|---|
| Revenue growth | 0.3% | 19.0% | 55.0% | 15.9% | -3.7% | |
| EBITDA growth | -18.5% | -378.8% | -163.9% | -25.2% | -67.3% | |
| Gross Margin | 28.4% | 18.8% | 25.2% | 23.7% | 19.3% | -4.4% |
| EBITDA Margin | 9.0% | -21.2% | 8.7% | 5.6% | 1.9% | -3.7% |
| Net Income Margin | 6.5% | -21.5% | 6.9% | 3.8% | -0.9% | -4.7% |
| SG&A, % of revenue | | | | 19.2% | 22.9% | 3.7% |
| CAPEX, % of revenue | 3.6% | 3.3% | 2.9% | 2.8% | 0.8% | -2.0% |
| ROIC | 20.4% | -63.1% | 19.0% | 9.6% | 0.2% | -9.4% |
| ROE | 18.8% | -66.4% | 19.9% | 9.7% | -2.0% | -11.7% |
| Net Debt/EBITDA | -0.3x | | -1.4x | -2.8x | -1.4x | 1.4x |
Revenue and profitability
Global Invacom Group Ltd's Revenue decreased on 3.7% in 2015. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin surged on 23.7 pp from -31.8% to -8.1% in 2015.
Gross Margin decreased on 4.4 pp from 23.7% to 19.3% in 2015. SG&A as a % of Revenue increased on 3.7 pp from 19.2% to 22.9% in 2015.
Net Income marign decreased on 4.7 pp from 3.8% to -0.87% in 2015.
Capital expenditures (CAPEX) and working capital investments
Global Invacom Group Ltd's CAPEX/Revenue was 0.79% in 2015. Global Invacom Group Ltd's CAPEX/Revenue decreased on 2.5 pp from 3.3% in 2012 to 0.79% in 2015. It's average CAPEX/Revenue for the last three years was 2.2%.
Return on investment
The company operates at low but positive ROIC (0.20%) and negative ROE (-1.97%). ROIC decreased on 9.4 pp from 9.6% to 0.20% in 2015. ROE dropped on 11.7 pp from 9.7% to -2.0% in 2015.
Leverage (Debt)
Debt level is -1.4x Net Debt / EBITDA and 2.2x Debt / EBITDA. Net Debt / EBITDA surged on 1.4x from -2.8x to -1.4x in 2015. Debt jumped while cash dropped on 58.2% in 2015.
Appendix 1: Peers in Technology Hardware & Equipment
Below you can find Global Invacom Group Ltd benchmarking vs. other companies in Technology Hardware & 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 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Trakm8 Holdings ($TRAK) | | 24.6% | -8.9% | 93.5% | 94.2% |
| Seeing Machines ($SEE) | | 0.1% | 66.3% | 43.3% | 13.3% |
| Compal Electronics Inc ($CEIR) | -21.9% | -1.3% | 1.3% | 22.1% | |
| Toumaz Ld ($TMZ) | -12.9% | 279.7% | 150.3% | 19.5% | |
| Lite-On Technology Corp ($LTTD) | 0.2% | -6.3% | -1.3% | 8.2% | |
| |
|---|
| Median (19 companies) | -7.8% | 0.4% | 1.3% | 0.3% | 4.1% |
|---|
| Global Invacom Group Ltd ($GINV) | | 19.0% | 55.0% | 15.9% | -3.7% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cml Microsystems ($CML) | 69.5% | 69.3% | 70.3% | 73.3% | 70.9% |
| Seeing Machines ($SEE) | 69.4% | 61.4% | 64.1% | 59.8% | 44.9% |
| Trakm8 Holdings ($TRAK) | 66.6% | 63.8% | 71.9% | 57.2% | 45.2% |
| Concurrent Technologies ($CNC) | 52.1% | 51.7% | 50.6% | 51.2% | |
| Vislink ($VLK) | 41.1% | 39.4% | 40.7% | 45.9% | |
| |
|---|
| Median (18 companies) | 34.8% | 34.5% | 35.2% | 37.0% | 38.9% |
|---|
| Global Invacom Group Ltd ($GINV) | 28.4% | 18.8% | 25.2% | 23.7% | 19.3% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cml Microsystems ($CML) | 29.8% | 28.7% | 33.1% | 35.1% | 29.9% |
| Pure Wafer ($PUR) | 12.3% | 16.3% | 17.0% | 31.5% | 27.4% |
| Concurrent Technologies ($CNC) | 28.5% | 29.3% | 23.3% | 27.1% | |
| Vislink ($VLK) | 6.0% | 12.2% | 12.1% | 21.5% | |
| Samsung Electronics Co ($SMSN) | 17.6% | 22.2% | 23.3% | 20.9% | 23.6% |
| |
|---|
| Median (19 companies) | 6.0% | 4.5% | 6.8% | 6.4% | 12.0% |
|---|
| Global Invacom Group Ltd ($GINV) | 9.0% | -21.2% | 8.7% | 5.6% | 1.9% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Pure Wafer ($PUR) | 2.0% | 0.5% | 3.5% | 23.3% | 8.5% |
| Sunplus Technology Co Ltd ($SUPD) | 7.2% | 4.8% | 6.3% | 15.0% | |
| Samsung Electronics Co ($SMSN) | 13.3% | 11.4% | 10.1% | 10.7% | 12.9% |
| Tatung Co ($TAT) | 8.5% | 6.1% | 4.3% | 4.3% | |
| Lite-On Technology Corp ($LTTD) | 3.9% | 3.7% | 2.9% | 3.7% | |
| |
|---|
| Median (19 companies) | 2.0% | 2.1% | 2.0% | 1.9% | 1.6% |
|---|
| Global Invacom Group Ltd ($GINV) | 3.6% | 3.3% | 2.9% | 2.8% | 0.8% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Cml Microsystems ($CML) | 15.9% | 17.4% | 26.1% | 23.0% | 10.3% |
| Trakm8 Holdings ($TRAK) | 13.1% | 3.8% | 1.9% | 18.7% | 22.5% |
| Samsung Electronics Co ($SMSN) | 13.9% | 22.4% | 24.0% | 14.4% | 14.0% |
| Concurrent Technologies ($CNC) | 19.5% | 14.6% | 8.2% | 14.1% | |
| Vislink ($VLK) | -2.8% | 4.0% | 6.0% | 13.4% | |
| |
|---|
| Median (19 companies) | -1.6% | 0.7% | 5.8% | 5.7% | 8.7% |
|---|
| Global Invacom Group Ltd ($GINV) | 20.4% | -63.1% | 19.0% | 9.6% | 0.2% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Tatung Co ($TAT) | 7.0x | 41.1x | 6.1x | 6.7x | |
| Vislink ($VLK) | -3.4x | -1.2x | -0.5x | -0.0x | |
| Samsung Electronics Co ($SMSN) | -0.0x | -0.1x | -0.1x | -0.1x | -0.2x |
| Telefonaktiebolaget Lm Ericsson ($0O87) | 0.1x | -0.1x | 0.0x | -0.2x | 0.1x |
| Compal Electronics Inc ($CEIR) | -2.0x | -0.5x | 1.3x | -0.2x | |
| |
|---|
| Median (16 companies) | -0.6x | -0.9x | -0.5x | -1.3x | -0.9x |
|---|
| Global Invacom Group Ltd ($GINV) | -0.3x | | -1.4x | -2.8x | -1.4x |
