Everyman Media Group reports 77.6% EBITDA growth and 45.5% Revenue growth
13 Mar 2017 • About Everyman Media Group (
$EMAN) • By InTwits
Everyman Media Group reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Everyman Media Group doesn't have a profitable business model yet: FY2016 ROIC is 1.7%
- Everyman Media Group has high CAPEX intensity: 5 year average CAPEX/Revenue was 36.6%. At the same time it's a lot of higher than industry average of 19.6%.
- CAPEX is quite volatile: 19.0 in FY2016, 11.5 in FY2015, 3.6 in FY2014, 4.2 in FY2013, 0 in FY2012
- The company has potentially unprofitable business model: ROIC is at 1.7%
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Everyman Media Group ($EMAN) key annual financial indicators
| mln. £ | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 9.102 | 11.515 | 14.096 | 20.316 | 29.554 | 45.5% |
| Gross Profit | 5.241 | 6.816 | 8.303 | 11.790 | 17.724 | 50.3% |
| SG&A | | 7.102 | 8.001 | 12.262 | 17.324 | 41.3% |
| EBITDA | 0.810 | 0.510 | 1.320 | 1.690 | 3.002 | 77.6% |
| Net Income | 0.117 | -0.704 | 0.195 | -0.556 | 0.061 | -111.0% |
Balance Sheet
|
|---|
| Cash | 3.630 | 8.883 | 6.363 | 9.173 | 1.566 | -82.9% |
| Short Term Debt | 0.401 | 0.076 | 0.076 | 0.000 | 0.024 | |
| Long Term Debt | 0.000 | 0.254 | 0.193 | 0.000 | 3.000 | |
Cash flow
|
|---|
| Capex | 0.000 | 4.194 | 3.644 | 11.452 | 18.965 | 65.6% |
Ratios
|
|---|
| Revenue growth | 23.4% | 26.5% | 22.4% | 44.1% | 45.5% | |
| EBITDA growth | 15.0% | -37.1% | 158.8% | 28.0% | 77.6% | |
| Gross Margin | 57.6% | 59.2% | 58.9% | 58.0% | 60.0% | 1.9% |
| EBITDA Margin | 8.9% | 4.4% | 9.4% | 8.3% | 10.2% | 1.8% |
| Net Income Margin | 1.3% | -6.1% | 1.4% | -2.7% | 0.2% | 2.9% |
| SG&A, % of revenue | | 61.7% | 56.8% | 60.4% | 58.6% | -1.7% |
| CAPEX, % of revenue | 0.0% | 36.4% | 25.9% | 56.4% | 64.2% | 7.8% |
| ROIC | 6.9% | -1.6% | 3.7% | 1.3% | 1.7% | 0.3% |
| ROE | 3.1% | -7.6% | 1.5% | -2.5% | 0.2% | 2.7% |
| Net Debt/EBITDA | -4.0x | -16.8x | -4.6x | -5.4x | 0.5x | 5.9x |
Revenue and profitability
Everyman Media Group's Revenue surged on 45.5% in FY2016. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin decreased slightly on 1.4 pp from 3.7% to 2.3% in FY2016.
Gross Margin increased slightly on 1.9 pp from 58.0% to 60.0% in FY2016. SG&A as a % of Revenue decreased slightly on 1.7 pp from 60.4% to 58.6% in FY2016.
Net Income marign increased on 2.9 pp from -2.7% to 0.21% in FY2016.
Capital expenditures (CAPEX) and working capital investments
Everyman Media Group's CAPEX/Revenue was 64.2% in FY2016. CAPEX/Revenue surged on 27.7 pp from 36.4% in FY2013 to 64.2% in FY2016. It's average CAPEX/Revenue for the last three years was 48.8%.The company has spent a lot to CAPEX (632% of EBITDA) to secure its growth.
Return on investment
The company operates at low ROIC (1.66%) and ROE (0.19%). ROIC showed almost no change in FY2016. ROE increased on 2.7 pp from -2.5% to 0.19% in FY2016.
Leverage (Debt)
Debt level is 0.5x Net Debt / EBITDA and 1.0x Debt / EBITDA. Net Debt / EBITDA surged on 5.9x from -5.4x to 0.5x in FY2016. Debt surged while cash dropped on 82.9% in FY2016.
Valuation
Everyman Media Group's trades at EV/EBITDA 24.6x and P/E 1,184.8x while industy averages are 15.6x and 19.1x.
Appendix 1: Peers in Travel & Leisure
Below you can find Everyman Media Group benchmarking vs. other companies in Travel & Leisure 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 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Dalata Hotel Group ($DAL) | | 12.0% | 30.4% | 185.4% | 28.7% |
| Webis Holdings ($WEB) | | 46.3% | -55.0% | 29.7% | 45.3% |
| Paddy Power ($PAP) | | 14.0% | 18.3% | 24.1% | 68.0% |
| Hanatour Service Inc ($TOUR) | | 14.6% | 9.3% | 19.2% | 29.6% |
| Action Hotels ($AHCG) | 12.3% | 5.4% | 26.2% | 15.7% | |
| |
|---|
| Median (23 companies) | 10.8% | 8.2% | 6.1% | 7.6% | 8.7% |
|---|
| Everyman Media Group ($EMAN) | | 26.5% | 22.4% | 44.1% | 45.5% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Eclectic Bar Grp ($BAR) | 79.1% | 78.9% | 79.0% | 79.4% | 80.7% |
| Paddy Power ($PAP) | 84.7% | 82.8% | 81.0% | 74.7% | 76.9% |
| Action Hotels ($AHCG) | 75.1% | 75.0% | 73.3% | 74.0% | |
| Dalata Hotel Group ($DAL) | 61.2% | 62.0% | 62.8% | 61.5% | 62.2% |
| Mandarin Oriental International ($MDOB) | 36.0% | 38.9% | 39.7% | 40.4% | 35.8% |
| |
|---|
| Median (11 companies) | 23.0% | 22.6% | 20.7% | 22.1% | 30.6% |
|---|
| Everyman Media Group ($EMAN) | 57.6% | 59.2% | 58.9% | 58.0% | 60.0% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Action Hotels ($AHCG) | 31.0% | 27.9% | 28.6% | 34.3% | |
| Air China ($AIRC) | 19.7% | 16.0% | 18.4% | 27.3% | |
| Mandarin Oriental International ($MDOB) | 19.5% | 22.4% | 24.0% | 26.2% | 21.4% |
| Ryanair Hldgs ($RYA) | 22.6% | 21.5% | 20.1% | 25.1% | 28.9% |
| Irish Continental Group ($ICGC) | 17.1% | 18.6% | 27.3% | 23.6% | 25.7% |
| |
|---|
| Median (24 companies) | 13.8% | 15.4% | 12.7% | 12.9% | 17.2% |
|---|
| Everyman Media Group ($EMAN) | 8.9% | 4.4% | 9.4% | 8.3% | 10.2% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Action Hotels ($AHCG) | 21.0% | 25.6% | 90.0% | 172.4% | |
| Marston'S ($MARS) | 18.0% | 19.3% | 17.5% | 16.2% | 15.3% |
| Young & Co'S Brewery ($YNGN) | 14.3% | 8.7% | 10.8% | 14.3% | 16.9% |
| Ana Hldgs Inc ($ANA) | 12.8% | 10.1% | 10.5% | 14.1% | 14.1% |
| Ryanair Hldgs ($RYA) | 7.2% | 6.4% | 10.0% | 13.9% | 18.6% |
| |
|---|
| Median (24 companies) | 4.4% | 4.8% | 4.5% | 7.2% | 14.1% |
|---|
| Everyman Media Group ($EMAN) | 0.0% | 36.4% | 25.9% | 56.4% | 64.2% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Paddy Power ($PAP) | 53.4% | 47.2% | 47.6% | 53.2% | 0.6% |
| Irish Continental Group ($ICGC) | 14.6% | 18.9% | 40.0% | 33.9% | 30.1% |
| Aer Lingus Group ($AERL) | 3.0% | 3.3% | -11.9% | 31.7% | |
| Air Partner ($AIP) | 34.8% | 27.5% | 21.2% | 20.0% | 20.4% |
| Hanatour Service Inc ($TOUR) | 22.5% | 19.9% | 19.6% | 19.4% | 8.6% |
| |
|---|
| Median (24 companies) | 6.4% | 7.8% | 4.3% | 6.3% | 6.4% |
|---|
| Everyman Media Group ($EMAN) | 6.9% | -1.6% | 3.7% | 1.3% | 1.7% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Meikles Ltd ($MIK) | | 5.1x | 10.7x | 73.1x | |
| Action Hotels ($AHCG) | 11.2x | 7.8x | 9.6x | 12.3x | |
| Marston'S ($MARS) | | 6.5x | 14.0x | 8.2x | 6.2x |
| Peel Hotels ($PHO) | 8.2x | 7.3x | 5.9x | 4.4x | 3.9x |
| Rotala ($ROL) | 2.6x | 3.1x | 2.8x | 3.6x | |
| |
|---|
| Median (21 companies) | 1.4x | 2.3x | 1.3x | 2.3x | 2.3x |
|---|
| Everyman Media Group ($EMAN) | -4.0x | -16.8x | -4.6x | -5.4x | 0.5x |
