Ambrian EBITDA dropped on 548% in 2015 and EBITDA Margin decreased slightly on 0.53 pp from 0.073% to -0.46%
08 Jun 2016 • About Ambrian (
$AMBR) • By InTwits
Ambrian reported 2015 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Ambrian doesn't have a profitable business model yet: 2015 ROIC is -2.5%
- The company operates at negative EBITDA Margin: -0.5%
- Ambrian motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for 2011-2015 was 0.0%. On average EBITDA Margin was -0.0% for the sames years0
- Ambrian has low CAPEX intensity: 5 year average CAPEX/Revenue was 0.1%.
- The company has unprofitable business model: ROIC is at -2.5%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Ambrian ($AMBR) key annual financial indicators
| mln. £ | 2011 | 2012 | 2013 | 2014 | 2015 | 2015/2014 |
|---|
P&L
|
|---|
| Revenue | 1,549 | 1,135 | 1,641 | 1,753 | 1,242 | -29.1% |
| Gross Profit | 4 | 5 | 9 | 5 | -3 | -164.8% |
| SG&A | | 5 | 5 | 4 | 3 | -15.1% |
| EBITDA | 0 | -1 | 3 | 1 | -6 | -547.5% |
| Net Income | -10 | -4 | 3 | 0 | -5 | -1,623.4% |
Balance Sheet
|
|---|
| Cash | 15 | 17 | 13 | 6 | 7 | 7.5% |
| Short Term Debt | 204 | 255 | 127 | 232 | 183 | -21.2% |
| Long Term Debt | 0 | 0 | 0 | 0 | 15 | |
Cash flow
|
|---|
| Capex | 0 | 0 | 0 | 0 | 6 | 1,877.1% |
Ratios
|
|---|
| Revenue growth | 28,056.2% | -26.8% | 44.6% | 6.8% | -29.1% | |
| EBITDA growth | -96.8% | -2,127.3% | -336.3% | -52.0% | -547.5% | |
| Gross Margin | 0.3% | 0.4% | 0.5% | 0.3% | -0.2% | -0.5% |
| EBITDA Margin | 0.0% | -0.1% | 0.2% | 0.1% | -0.5% | -0.5% |
| Net Income Margin | -0.6% | -0.4% | 0.2% | 0.0% | -0.4% | -0.4% |
| SG&A, % of revenue | | 0.5% | 0.3% | 0.2% | 0.3% | 0.0% |
| CAPEX, % of revenue | 0.0% | 0.0% | 0.0% | 0.0% | 0.5% | 0.5% |
| ROIC | -1.0% | -0.5% | 1.2% | 0.7% | -2.5% | -3.1% |
| ROE | -38.4% | -25.5% | 14.5% | 1.8% | -19.4% | -21.2% |
| Net Debt/EBITDA | 3,395.4x | | 42.6x | 176.1x | | -176.1x |
Revenue and profitability
The company's Revenue dropped on 29.1% in 2015. Revenue decline was worsened by EBITDA margin decline. EBITDA Margin decreased slightly on 0.53 pp from 0.073% to -0.46% in 2015.
Gross Margin decreased slightly on 0.52 pp from 0.27% to -0.25% in 2015. SG&A as a % of Revenue showed almost no change in 2015.
Net Income marign showed almost no change in 2015.
Capital expenditures (CAPEX) and working capital investments
In 2015 the company had CAPEX/Revenue of 0.47%. The company's CAPEX/Revenue showed almost no change from 2012 to 2015.
Return on investment
The company operates at negative ROIC (-2.49%) and ROE (-19.42%). ROIC decreased on 3.1 pp from 0.65% to -2.5% in 2015. ROE dropped on 21.2 pp from 1.8% to -19.4% in 2015.
Leverage (Debt)
Company's Net Debt / EBITDA is -0.6x and Debt / EBITDA is . Net Debt / EBITDA dropped on 176.1x from 176.1x to in 2015. Debt dropped on 14.9% in 2015 while cash increased on 7.5% in 2015.
Appendix 1: Peers in Industrial Metals & Mining
Below you can find Ambrian benchmarking vs. other companies in Industrial Metals & Mining 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 |
|---|
| Base Resources Ltd ($BSE) | | | | | 399.7% |
| Cheliabinsk Elektrolit Zink Plant ($CHZN) | | 2.4% | -0.1% | 26.4% | 45.5% |
| Norsk Hydro Asa ($NHY) | | -10.2% | 1.1% | 20.1% | 12.6% |
| Afarak Group ($AFRK) | | -19.2% | 5.4% | 27.4% | 8.7% |
| Vimetco Nv ($VICO) | | -13.4% | -6.5% | -12.8% | -5.3% |
| |
|---|
| Median (15 companies) | | -4.4% | -1.4% | 0.7% | -10.6% |
|---|
| Ambrian ($AMBR) | | -26.8% | 44.6% | 6.8% | -29.1% |
Top companies by Gross margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Mmc Norilsk Nickel ($MNOD) | 59.0% | 49.1% | 43.4% | 52.2% | 55.7% |
| Severstal PJSC ($SVST) | 31.0% | 23.5% | 29.9% | 34.4% | 40.4% |
| Novolipetsk Iron And Steel Corp ($NLMK) | 28.6% | 23.8% | 19.4% | 28.3% | 31.4% |
| Magnitogorsk Iron & Steel Works ($MMK) | 16.7% | 15.5% | 14.9% | 21.9% | 30.6% |
| Cheliabinsk Elektrolit Zink Plant ($CHZN) | 22.5% | 17.7% | 15.1% | 28.6% | 24.8% |
| |
|---|
| Median (13 companies) | 21.9% | 16.6% | 15.1% | 19.5% | 20.5% |
|---|
| Ambrian ($AMBR) | 0.3% | 0.4% | 0.5% | 0.3% | -0.2% |
Top companies by EBITDA margin, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Mmc Norilsk Nickel ($MNOD) | 49.5% | 38.6% | 29.2% | 46.8% | 47.0% |
| Base Resources Ltd ($BSE) | | | | -1.8% | 37.7% |
| Severstal PJSC ($SVST) | 22.5% | 14.9% | 19.3% | 26.4% | 32.4% |
| Magnitogorsk Iron & Steel Works ($MMK) | 13.5% | 13.1% | 14.0% | 19.5% | 28.3% |
| Novolipetsk Iron And Steel Corp ($NLMK) | 19.2% | 15.6% | 13.8% | 21.8% | 24.3% |
| |
|---|
| Median (15 companies) | 16.3% | 13.3% | 13.8% | 13.0% | 17.3% |
|---|
| Ambrian ($AMBR) | 0.0% | -0.1% | 0.2% | 0.1% | -0.5% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| First Quantum Minerals ($FQM) | 40.6% | 46.5% | 73.2% | 81.7% | 72.5% |
| Mmc Norilsk Nickel ($MNOD) | 15.6% | 22.3% | 17.1% | 10.8% | 19.0% |
| Cheliabinsk Elektrolit Zink Plant ($CHZN) | 9.0% | 7.0% | 7.9% | 9.9% | 8.1% |
| Novolipetsk Iron And Steel Corp ($NLMK) | 17.5% | 12.0% | 6.9% | 5.4% | 7.7% |
| Ezz Steel ($AEZD) | 3.9% | 2.3% | 3.9% | 6.4% | 6.8% |
| |
|---|
| Median (15 companies) | 7.7% | 7.0% | 7.7% | 6.4% | 6.3% |
|---|
| Ambrian ($AMBR) | 0.0% | 0.0% | 0.0% | 0.0% | 0.5% |
Top companies by ROIC, %
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Mmc Norilsk Nickel ($MNOD) | 32.4% | 21.8% | 14.2% | 34.1% | 31.7% |
| Severstal PJSC ($SVST) | 21.3% | 10.3% | 9.6% | 17.7% | 30.3% |
| Zibao Metals Recycling Hldgs Ltd ($ZBO) | | 41.7% | 56.6% | 55.8% | 26.6% |
| Cheliabinsk Elektrolit Zink Plant ($CHZN) | 13.6% | 6.2% | -2.7% | 25.6% | 24.4% |
| Magnitogorsk Iron & Steel Works ($MMK) | 2.4% | 1.8% | 1.4% | 9.1% | 18.1% |
| |
|---|
| Median (15 companies) | 11.9% | 6.2% | 4.9% | 9.1% | 8.1% |
|---|
| Ambrian ($AMBR) | -1.0% | -0.5% | 1.2% | 0.7% | -2.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2011 | FY2012 | FY2013 | FY2014 | FY2015 |
|---|
| Vimetco Nv ($VICO) | 5.4x | 7.7x | | 10.9x | 14.6x |
| Ezz Steel ($AEZD) | 3.4x | 4.8x | 3.6x | 19.4x | 13.3x |
| First Quantum Minerals ($FQM) | -0.3x | 0.0x | 2.5x | 4.0x | 10.5x |
| Base Resources Ltd ($BSE) | | | | | 4.4x |
| OAO TMK ($TMKS) | 3.5x | 3.6x | 3.9x | 3.8x | 4.3x |
| |
|---|
| Median (15 companies) | 2.2x | 1.9x | 2.0x | 0.8x | 1.0x |
|---|
