Hellenic Petroleum Sa revenue decline accelerated from 2.0% in 2014 to 23.0% in 2015
25 Feb 2016 • About Hellenic Petroleum Sa (
$HLPD) • By InTwits
Hellenic Petroleum Sa reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Hellenic Petroleum Sa is a company in decline: 2015 revenue growth was -23.0%, 5 years revenue CAGR was -2.9%
- EBITDA Margin is quite volatile: 6.1% in 2015, -0.9% in 2014, 0.3% in 2013, 2.9% in 2012, 3.6% in 2011
- Hellenic Petroleum Sa has low CAPEX intensity: 5 year average CAPEX/Revenue was 3.4%. At the same time it's in pair with industry average of 10.5%.
- CAPEX is quite volatile: 165 in 2015, 136 in 2014, 105 in 2013, 518 in 2012, 675 in 2011
- The company has potentially unprofitable business model: ROIC is at 5.0%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Hellenic Petroleum Sa ($HLPD) key annual financial indicators
| mln. € | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 9,308 | 10,469 | 9,674 | 9,478 | 7,303 | -23.0% |
| Gross Profit | 650 | 567 | 305 | 145 | 695 | 379.6% |
| SG&A | 467 | 438 | 448 | 440 | 458 | 4.1% |
| EBITDA | 335 | 300 | 29 | -84 | 444 | -628.9% |
| Net Income | 114 | 86 | -269 | -365 | 47 | -112.8% |
Balance Sheet
|
|---|
| Cash | 985 | 901 | 960 | 1,848 | 2,108 | 14.1% |
| Short Term Debt | 1,532 | 2,375 | 1,338 | 1,178 | 1,633 | 38.7% |
| Long Term Debt | 1,142 | 383 | 1,312 | 1,812 | 1,598 | -11.8% |
Cash flow
|
|---|
| Capex | 675 | 518 | 105 | 136 | 165 | 21.6% |
Ratios
|
|---|
| Revenue growth | 9.8% | 12.5% | -7.6% | -2.0% | -23.0% | |
| EBITDA growth | -33.2% | -10.3% | -90.4% | -392.0% | -628.9% | |
| Gross Margin | 7.0% | 5.4% | 3.2% | 1.5% | 9.5% | 8.0% |
| EBITDA Margin | 3.6% | 2.9% | 0.3% | -0.9% | 6.1% | 7.0% |
| Net Income Margin | 1.2% | 0.8% | -2.8% | -3.9% | 0.6% | 4.5% |
| SG&A, % of revenue | 5.0% | 4.2% | 4.6% | 4.6% | 6.3% | 1.6% |
| CAPEX, % of revenue | 7.3% | 4.9% | 1.1% | 1.4% | 2.3% | 0.8% |
| ROIC | 3.3% | 2.2% | -3.7% | -5.9% | 5.0% | 11.0% |
| ROE | 4.8% | 3.6% | -12.0% | -19.7% | 2.8% | 22.5% |
| Net Debt/EBITDA | 5.0x | 6.2x | 58.8x | | 2.5x | 2.5x |
Revenue and profitability
The company's Revenue dropped on 23.0% in 2015. Despite revenue decline the EBITDA margin expanded. EBITDA Margin increased on 7.0 pp from -0.89% to 6.1% in 2015.
Gross Margin increased on 8.0 pp from 1.5% to 9.5% in 2015. SG&A as a % of Revenue increased slightly on 1.6 pp from 4.6% to 6.3% in 2015.
Net Income marign increased on 4.5 pp from -3.9% to 0.64% in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 Hellenic Petroleum Sa had CAPEX/Revenue of 2.3%. Hellenic Petroleum Sa's CAPEX/Revenue decreased on 2.7 pp from 4.9% in 2012 to 2.3% in 2015. For the last three years the average CAPEX/Revenue was 1.6%.
Return on investment
The company operates at low ROIC (5.03%) and ROE (2.83%). ROIC surged on 11.0 pp from -5.9% to 5.0% in 2015. ROE surged on 22.5 pp from -19.7% to 2.8% in 2015.
Leverage (Debt)
Debt level is 2.5x Net Debt / EBITDA and 7.3x Debt / EBITDA. Net Debt / EBITDA jumped2.5x from to 2.5x in 2015. Debt increased on 8.1% in 2015 while cash surged on 14.1% in 2015.
Appendix 1: Peers in Oil & Gas Producers
Below you can find Hellenic Petroleum Sa benchmarking vs. other companies in Oil & Gas Producers 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 |
|---|
| 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 ($IOF) | 13.4% | 17.1% | 2.9% | 29.7% | |
| |
|---|
| Median (35 companies) | 30.5% | 17.1% | 4.3% | 0.5% | -18.0% |
|---|
| Hellenic Petroleum Sa ($HLPD) | | 12.5% | -7.6% | -2.0% | -23.0% |
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 ($VGAS) | 45.5% | | | 42.9% | |
| |
|---|
| Median (22 companies) | 17.5% | 18.3% | 21.7% | 17.4% | 10.4% |
|---|
| Hellenic Petroleum Sa ($HLPD) | 7.0% | 5.4% | 3.2% | 1.5% | 9.5% |
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 ($HAWK) | -358.5% | -80.7% | 72.2% | 57.7% | |
| |
|---|
| Median (36 companies) | 11.8% | 17.2% | 20.6% | 18.2% | 27.1% |
|---|
| Hellenic Petroleum Sa ($HLPD) | 3.6% | 2.9% | 0.3% | -0.9% | 6.1% |
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 ($RPO) | 83.5% | 139.8% | 55.2% | 77.2% | |
| |
|---|
| Median (37 companies) | 14.6% | 17.7% | 24.6% | 17.2% | 17.5% |
|---|
| Hellenic Petroleum Sa ($HLPD) | 7.3% | 4.9% | 1.1% | 1.4% | 2.3% |
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 ($BNK) | 19.7% | 17.4% | 20.8% | 20.8% | |
| |
|---|
| Median (38 companies) | 7.7% | 7.1% | 7.0% | 5.7% | 2.5% |
|---|
| Hellenic Petroleum Sa ($HLPD) | 3.3% | 2.2% | -3.7% | -5.9% | 5.0% |
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 (28 companies) | 0.5x | 0.4x | 0.7x | 1.3x | 1.8x |
|---|
