Michelmersh Brick Hldgs CAPEX jumped on 30.0% in 2016 and Revenue increased on 3.4%
20 Mar 2017 • About Michelmersh Brick Hldgs (
$MBH) • By InTwits
Michelmersh Brick Hldgs reported 2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- EBITDA Margin is quite volatile: 18.7% in 2016, 20.3% in 2015, 14.1% in 2014, 7.9% in 2013, 10.6% in 2012
- Michelmersh Brick Hldgs has medium CAPEX intensity: 5 year average CAPEX/Revenue was 5.1%. At the same time it's in pair with industry average of 4.7%.
- CAPEX is quite volatile: 2.3 in 2016, 1.7 in 2015, 2.1 in 2014, 0.93 in 2013, 0.25 in 2012
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Michelmersh Brick Hldgs ($MBH) key annual financial indicators
| mln. £ | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 23.001 | 25.929 | 28.476 | 29.071 | 30.057 | 3.4% |
| Gross Profit | 8.123 | 7.360 | 8.845 | 11.110 | 10.348 | -6.9% |
| SG&A | | | 6.086 | 6.468 | 5.833 | -9.8% |
| EBITDA | 2.429 | 2.051 | 4.018 | 5.894 | 5.617 | -4.7% |
| Net Income | 0.009 | -1.548 | 2.201 | 3.606 | 3.559 | -1.3% |
Balance Sheet
|
|---|
| Cash | 0.070 | 2.170 | 2.809 | 2.935 | 4.720 | 60.8% |
| Short Term Debt | 7.325 | 1.212 | 0.019 | 0.000 | 0.000 | |
| Long Term Debt | 9.991 | 5.125 | 4.916 | 0.000 | | |
Cash flow
|
|---|
| Capex | 0.248 | 0.927 | 2.069 | 1.734 | 2.254 | 30.0% |
Ratios
|
|---|
| Revenue growth | -5.2% | 12.7% | 9.8% | 2.1% | 3.4% | |
| EBITDA growth | -15.3% | -15.6% | 95.9% | 46.7% | -4.7% | |
| Gross Margin | 35.3% | 28.4% | 31.1% | 38.2% | 34.4% | -3.8% |
| EBITDA Margin | 10.6% | 7.9% | 14.1% | 20.3% | 18.7% | -1.6% |
| Net Income Margin | 0.0% | -6.0% | 7.7% | 12.4% | 11.8% | -0.6% |
| SG&A, % of revenue | | | 21.4% | 22.2% | 19.4% | -2.8% |
| CAPEX, % of revenue | 1.1% | 3.6% | 7.3% | 6.0% | 7.5% | 1.5% |
| ROIC | 2.4% | 2.0% | 5.4% | 8.6% | | -8.6% |
| ROE | 0.0% | -3.8% | 4.8% | 7.5% | 6.9% | -0.6% |
| Net Debt/EBITDA | 7.1x | 2.0x | 0.5x | -0.5x | -0.8x | -0.3x |
Revenue and profitability
Michelmersh Brick Hldgs's Revenue increased on 3.4% in 2016. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased on 10.0 pp from 4.1% to 14.1% in FY2016.
Gross Margin decreased on 3.8 pp from 38.2% to 34.4% in 2016. SG&A as a % of Revenue decreased on 2.8 pp from 22.2% to 19.4% in 2016.
Net Income marign decreased slightly on 0.56 pp from 12.4% to 11.8% in 2016.
Capital expenditures (CAPEX) and working capital investments
Michelmersh Brick Hldgs's CAPEX/Revenue was 7.5% in 2016. The company's CAPEX/Revenue increased on 3.9 pp from 3.6% in 2013 to 7.5% in 2016. It's average CAPEX/Revenue for the last three years was 6.9%.
Appendix 1: Peers in Construction & Materials
Below we provide Michelmersh Brick Hldgs benchmarking against other companies in Construction & Materials 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 |
|---|
| Kingspan Group ($KGP) | | 9.1% | 6.4% | 46.7% | 12.0% |
| Accsys Technologies ($AXS) | | 25.5% | 78.0% | 37.5% | 14.5% |
| Billington Hldgs ($BILN) | -34.0% | 8.4% | 14.5% | 25.8% | |
| Crh ($CRH) | | -0.3% | 4.9% | 25.0% | 14.7% |
| Clarke(T.) ($CTO) | 5.5% | 12.0% | -4.2% | 16.6% | |
| |
|---|
| Median (25 companies) | 0.5% | 5.5% | 8.8% | 1.6% | 8.9% |
|---|
| Michelmersh Brick Hldgs ($MBH) | | 12.7% | 9.8% | 2.1% | 3.4% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Inch Kenneth Kajang Rubber ($IKK) | 46.5% | 24.5% | 21.7% | 51.7% | |
| Swp Group ($SWP) | 43.0% | 48.1% | 39.2% | 49.7% | |
| Heath(Samuel)& Sons ($HSM) | 49.5% | 47.3% | 48.6% | 47.6% | 48.1% |
| James Halstead ($JHD) | 41.2% | 41.6% | 41.0% | 41.7% | 42.4% |
| Billington Hldgs ($BILN) | 41.1% | 41.7% | 38.8% | 36.3% | |
| |
|---|
| Median (23 companies) | 23.6% | 24.2% | 26.3% | 29.1% | 31.4% |
|---|
| Michelmersh Brick Hldgs ($MBH) | 35.3% | 28.4% | 31.1% | 38.2% | 34.4% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Lucky Cement Ltd ($LKCS) | 31.5% | 26.8% | 24.4% | 26.5% | 30.4% |
| Steppe Cement ($STCM) | 20.8% | 23.2% | 14.3% | 24.7% | |
| James Halstead ($JHD) | 20.2% | 19.8% | 20.1% | 20.9% | 21.6% |
| LSR Group OJSC ($LSRG) | 20.2% | 19.5% | 22.9% | 19.3% | |
| Asia Cement Corp ($ASCD) | 13.5% | 16.3% | 18.3% | 14.8% | |
| |
|---|
| Median (25 companies) | 8.5% | 7.3% | 9.5% | 9.5% | 10.6% |
|---|
| Michelmersh Brick Hldgs ($MBH) | 10.6% | 7.9% | 14.1% | 20.3% | 18.7% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Inch Kenneth Kajang Rubber ($IKK) | 74.2% | 5.4% | 12.8% | 54.9% | 754.9% |
| Lucky Cement Ltd ($LKCS) | 3.2% | 5.2% | 6.9% | 12.0% | 8.9% |
| Billington Hldgs ($BILN) | 1.0% | 1.1% | 2.9% | 10.8% | |
| Low & Bonar ($BD46) | 3.5% | 2.8% | 4.6% | 9.1% | 4.7% |
| Superglass Hldgs ($SPGH) | 12.9% | 14.2% | 3.4% | 7.9% | |
| |
|---|
| Median (25 companies) | 2.2% | 2.4% | 2.4% | 2.2% | 3.1% |
|---|
| Michelmersh Brick Hldgs ($MBH) | 1.1% | 3.6% | 7.3% | 6.0% | 7.5% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| James Halstead ($JHD) | 49.3% | 46.2% | 46.7% | 45.3% | 47.1% |
| Alumasc Group ($ALU) | 6.5% | 17.5% | 22.6% | 36.0% | 47.8% |
| Heath(Samuel)& Sons ($HSM) | 9.7% | 8.7% | 19.7% | 32.0% | 89.2% |
| Aukett Swanke Group ($AUK) | 2.7% | 11.4% | 27.3% | 31.6% | 9.6% |
| Lucky Cement Ltd ($LKCS) | 23.8% | 22.9% | 20.3% | 20.0% | 20.8% |
| |
|---|
| Median (25 companies) | 4.8% | 7.5% | 7.4% | 7.8% | 9.4% |
|---|
| Michelmersh Brick Hldgs ($MBH) | 2.4% | 2.0% | 5.4% | 8.6% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Mountfield Group ($MOGP) | 26.3x | 4.8x | 52.0x | 18.8x | |
| Asia Cement Corp ($ASCD) | 7.8x | 6.9x | 6.8x | 8.6x | |
| Crh ($CRH) | 2.0x | 3.6x | 1.6x | 3.1x | 1.7x |
| Low & Bonar ($BD46) | 2.7x | 2.1x | 2.1x | 2.4x | 2.1x |
| Saint-Gobain(Compagnie De) ($COD) | 2.1x | 2.0x | 2.1x | 1.4x | 1.5x |
| |
|---|
| Median (21 companies) | 1.4x | 0.6x | 0.4x | -0.0x | -0.9x |
|---|
| Michelmersh Brick Hldgs ($MBH) | 7.1x | 2.0x | 0.5x | -0.5x | -0.8x |
