Cpl Resources reports 12.2% EBITDA growth and 10.1% Revenue growth
01 Sep 2016 • About Cpl Resources (
$CPS) • By InTwits
Cpl Resources reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Cpl Resources is a growth stock: FY2016 revenue growth was 10.1%, 5 year revenue CAGR was 13.0% at FY2016 ROIC 17.5%
- EBITDA Margin is relatively stable: 3.8% in FY2016 vs. 3.7% in FY2015 vs. 3.7% in FY2012
- Cpl Resources has low CAPEX intensity: 5 year average CAPEX/Revenue was 0.1%.
- The company has highly profitable business model: ROIC is at 17.5%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Cpl Resources ($CPS) key annual financial indicators
| mln. € | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 290.2 | 330.8 | 369.3 | 393.6 | 433.4 | 10.1% |
| Gross Profit | 43.5 | 48.8 | 54.7 | 58.7 | 70.1 | 19.4% |
| SG&A | 33.5 | 37.1 | 40.5 | 44.7 | 54.7 | 22.3% |
| EBITDA | 10.6 | 12.2 | 14.7 | 14.5 | 16.3 | 12.2% |
| Net Income | 8.4 | 10.7 | 12.4 | 12.4 | 13.4 | 8.6% |
Balance Sheet
|
|---|
| Cash | 28.0 | 27.9 | 30.5 | 30.5 | 34.8 | 14.3% |
| Short Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 1.8 | |
| Long Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 0.3 | 0.3 | 0.6 | 0.9 | 0.7 | -27.9% |
Ratios
|
|---|
| Revenue growth | 23.3% | 14.0% | 11.6% | 6.6% | 10.1% | |
| EBITDA growth | 24.3% | 14.8% | 20.9% | -1.1% | 12.2% | |
| Gross Margin | 15.0% | 14.8% | 14.8% | 14.9% | 16.2% | 1.3% |
| EBITDA Margin | 3.7% | 3.7% | 4.0% | 3.7% | 3.8% | 0.1% |
| Net Income Margin | 2.9% | 3.2% | 3.4% | 3.1% | 3.1% | -0.0% |
| SG&A, % of revenue | 11.6% | 11.2% | 11.0% | 11.4% | 12.6% | 1.3% |
| CAPEX, % of revenue | 0.1% | 0.1% | 0.2% | 0.2% | 0.2% | -0.1% |
| ROIC | 16.3% | 20.0% | 21.0% | 18.1% | 17.5% | -0.7% |
| ROE | 13.6% | 18.1% | 18.3% | 16.0% | 15.3% | -0.7% |
| Net Debt/EBITDA | -2.6x | -2.3x | -2.1x | -2.1x | -2.0x | 0.1x |
Revenue and profitability
The company's Revenue jumped on 10.1% in FY2016. Despite revenue decline the EBITDA margin expanded. EBITDA Margin increased on 6.3 pp from 51.2% to 57.5% in FY2016.
Gross Margin increased slightly on 1.3 pp from 14.9% to 16.2% in FY2016. SG&A as a % of Revenue increased slightly on 1.3 pp from 11.4% to 12.6% in FY2016.
Net Income marign showed almost no change in FY2016.
Capital expenditures (CAPEX) and working capital investments
Cpl Resources's CAPEX/Revenue was 0.16% in FY2016. CAPEX/Revenue showed almost no change from FY2013 to FY2016. For the last three years the average CAPEX/Revenue was 0.18%.
Return on investment
The company operates at good ROIC (17.46%) and ROE (15.28%). ROIC decreased slightly on 0.67 pp from 18.1% to 17.5% in FY2016. ROE decreased slightly on 0.69 pp from 16.0% to 15.3% in FY2016.
Leverage (Debt)
Debt level is -2.0x Net Debt / EBITDA and 0.1x Debt / EBITDA. Net Debt / EBITDA increased on 0.1x from -2.1x to -2.0x in FY2016. Debt surged while cash surged on 14.3% in FY2016.
Appendix 1: Peers in Support Services
Below we provide Cpl Resources benchmarking against other companies in Support Services 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 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Camco Clean Energy ($CCE) | | 88.0% | -54.7% | 99.4% | |
| Optimal Payments ($OPAY) | 39.9% | 41.5% | 44.0% | 68.1% | |
| Inspired Energy ($INSE) | 83.8% | 44.8% | 42.2% | 40.2% | |
| 21St Century Technology ($C21) | 0.1% | -22.8% | -16.6% | 35.5% | |
| Ibex Global Solutions ($IBEX) | 7.4% | 35.7% | 30.0% | 29.8% | |
| |
|---|
| Median (55 companies) | 4.6% | 6.9% | 4.7% | 6.9% | 0.7% |
|---|
| Cpl Resources ($CPS) | | 14.0% | 11.6% | 6.6% | 10.1% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Inspired Energy ($INSE) | 94.6% | 86.8% | 78.7% | 76.2% | |
| Ienergizer Ltd ($IBPO) | 56.2% | 78.4% | 76.8% | 72.7% | 71.3% |
| Grafenia ($GRA) | 53.4% | 54.3% | 56.1% | 70.8% | 66.3% |
| Vianet Group ($VNET) | 53.3% | 51.3% | 58.8% | 69.2% | 70.1% |
| Prime People ($PRP) | 63.4% | 58.3% | 57.7% | 61.4% | 59.2% |
| |
|---|
| Median (49 companies) | 29.5% | 28.8% | 30.4% | 28.7% | 31.1% |
|---|
| Cpl Resources ($CPS) | 15.0% | 14.8% | 14.8% | 14.9% | 16.2% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| 21St Century Technology ($C21) | 13.4% | -0.2% | 36.0% | 44.8% | |
| Northgate ($67GX) | 41.2% | 40.4% | 40.6% | 39.4% | 38.3% |
| Inspired Energy ($INSE) | 46.2% | 48.5% | 1.5% | 35.4% | |
| Vianet Group ($VNET) | 18.6% | 17.3% | 19.7% | 27.1% | 22.1% |
| Vp ($VP.) | 23.9% | 24.5% | 24.2% | 26.2% | 28.4% |
| |
|---|
| Median (55 companies) | 6.8% | 6.4% | 6.9% | 7.6% | 10.8% |
|---|
| Cpl Resources ($CPS) | 3.7% | 3.7% | 4.0% | 3.7% | 3.8% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Vp ($VP.) | 21.4% | 17.7% | 21.6% | 25.7% | 24.1% |
| Sagentia Group ($SAG) | 1.9% | 1.4% | 1.5% | 25.2% | |
| Nature Group ($NGR) | 14.3% | 7.2% | 5.6% | 22.9% | |
| Augean ($AUG) | 9.8% | 15.9% | 12.3% | 12.3% | |
| Falkland Islands Hldgs ($FKL) | 3.7% | 6.8% | 12.9% | 11.9% | 4.8% |
| |
|---|
| Median (55 companies) | 1.1% | 1.1% | 1.1% | 1.1% | 1.1% |
|---|
| Cpl Resources ($CPS) | 0.1% | 0.1% | 0.2% | 0.2% | 0.2% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| 21St Century Technology ($C21) | 20.3% | -2.9% | 45.6% | 111.0% | |
| Inspired Energy ($INSE) | 63.9% | 65.5% | -7.5% | 28.0% | |
| Petards Group ($PEG) | 35.5% | -78.0% | 24.7% | 23.9% | |
| Servoca ($SVCA) | 1.0% | 7.8% | 14.9% | 22.3% | |
| Rtc Group ($RTC) | 14.6% | 17.6% | 19.9% | 22.2% | |
| |
|---|
| Median (55 companies) | 9.5% | 7.8% | 9.3% | 10.2% | 7.9% |
|---|
| Cpl Resources ($CPS) | 16.3% | 20.0% | 21.0% | 18.1% | 17.5% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Redhall Group ($RHL) | 22.8x | 5.8x | 6.6x | 16.8x | |
| Mitsubishi Corp ($MBC) | 9.9x | 15.9x | 14.3x | 12.5x | 25.0x |
| Ienergizer Ltd ($IBPO) | 6.3x | 2.8x | 3.0x | 4.0x | 2.4x |
| Ceps ($CEPS) | | 3.0x | 6.6x | 3.8x | |
| Kellan Group(The ($KLN) | | | 6.5x | 3.6x | |
| |
|---|
| Median (51 companies) | 0.8x | 0.7x | 0.6x | 0.4x | 0.6x |
|---|
| Cpl Resources ($CPS) | -2.6x | -2.3x | -2.1x | -2.1x | -2.0x |
