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Sopheon reports 482% Net Income growth

22 Mar 2017 • About Sopheon ($SPE) • By InTwits

Sopheon reported FY2016 financial results today. Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.

Sopheon ($SPE) key annual financial indicators

mln. £201220132014201520162016/2015
P&L
Revenue12.66313.32911.11413.67023.20369.7%
Gross Profit9.0519.3027.3439.908-100.0%
SG&A5.6395.4016.107-100.0%
EBITDA2.0141.9610.7552.707-100.0%
Net Income0.2810.342-0.9230.7404.309482.1%
Balance Sheet
Cash3.8802.4313.0394.782-100.0%
Short Term Debt1.1370.9131.3632.136-100.0%
Long Term Debt2.1211.9742.1102.027-100.0%
Cash flow
Capex0.1360.1450.1070.081-100.0%
Ratios
Revenue growth23.2%5.3%-16.6%23.0%69.7%
EBITDA growth34.1%-2.6%-61.5%258.5%
Gross Margin71.5%69.8%66.1%72.5%-72.5%
EBITDA Margin15.9%14.7%6.8%19.8%0.0%-19.8%
Net Income Margin2.2%2.6%-8.3%5.4%18.6%13.2%
SG&A, % of revenue42.3%48.6%44.7%-44.7%
CAPEX, % of revenue1.1%1.1%1.0%0.6%-0.6%
ROIC10.1%8.7%-10.5%14.7%-14.7%
ROE8.9%9.6%-30.2%23.1%-23.1%
Net Debt/EBITDA-0.3x0.2x0.6x-0.2x0.2x

Revenue and profitability


The company's Revenue surged on 69.7% in FY2016.

Net Income marign surged on 13.2 pp from 5.4% to 18.6% in FY2016.


Appendix 1: Peers in Software & Computer Services


Below we provide Sopheon benchmarking against other companies in Software & Computer 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
Coms ($COMS)46.8%763.3%110.4%36.1%
Centralnic Group ($CNIC)15.9%4.0%98.9%71.3%
Proactis Holdings ($PHD)7.0%26.2%69.6%12.5%
Progility ($PGY)51.0%3.2%
Galasys ($GLS)14.3%20.9%311.1%33.0%
 
Median (45 companies)8.4%6.6%4.7%3.1%10.4%
Sopheon ($SPE)5.3%-16.6%23.0%69.7%


Top companies by Gross margin, %

Top 5 FY2012 FY2013 FY2014 FY2015 FY2016
Lombard Risk Management ($LRM)99.0%98.8%99.2%98.6%99.3%
Phoenix It Group ($PNX)97.0%97.2%97.6%97.9%
Wandisco ($WAND)91.8%80.3%80.7%93.2%88.1%
Netcall ($NET)88.2%89.7%91.0%90.9%91.2%
Idox ($IDOX)90.4%90.8%89.4%89.3%86.8%
 
Median (38 companies)61.4%62.0%57.8%58.8%59.3%
Sopheon ($SPE)71.5%69.8%66.1%72.5%


Top companies by EBITDA margin, %

Top 5 FY2012 FY2013 FY2014 FY2015 FY2016
Mail.Ru Group Ltd ($61HE)43.1%47.4%50.5%34.6%35.2%
Dotdigital Group ($DOTD)31.4%39.4%29.2%32.0%30.4%
Idox ($IDOX)30.9%26.1%26.0%28.6%27.3%
Galasys ($GLS)44.0%83.6%32.6%28.5%
Oxford Metrics ($OMG)15.7%6.0%14.7%28.4%23.1%
 
Median (45 companies)13.3%12.8%13.0%12.3%11.0%
Sopheon ($SPE)15.9%14.7%6.8%19.8%


Top companies by CAPEX/Revenue, %

Top 5 FY2012 FY2013 FY2014 FY2015 FY2016
Rapidcloud Intl ($RCI)1.0%23.1%11.6%19.6%
Coms ($COMS)0.5%0.9%3.4%7.5%0.1%
Csf Group ($CSFG)1.5%4.0%2.4%7.1%4.9%
Nasstar ($NASA)17.9%2.1%5.2%
Unisys Corp ($USY)2.1%2.5%4.1%5.0%3.0%
 
Median (45 companies)1.5%1.6%1.9%1.3%1.3%
Sopheon ($SPE)1.1%1.1%1.0%0.6%


Top companies by ROIC, %

Top 5 FY2012 FY2013 FY2014 FY2015 FY2016
Rm ($RM.)48.6%130.8%289.2%263.8%
Triad Group ($TRD)4.1%-3.8%24.5%61.5%74.4%
Dotdigital Group ($DOTD)26.4%38.0%28.5%31.4%28.9%
International Bus Mach Corp ($IBM)36.1%31.0%28.1%25.7%18.7%
Galasys ($GLS)58.7%60.9%40.8%22.2%
 
Median (45 companies)13.5%11.6%9.8%5.3%9.7%
Sopheon ($SPE)10.1%8.7%-10.5%14.7%


Top companies by Net Debt / EBITDA

Top 5 FY2012 FY2013 FY2014 FY2015 FY2016
Progility ($PGY)2.0x1.8x12.8x6.8x
Parity Group ($PTY)4.7x4.9x5.1x
Nasstar ($NASA)-5.3x0.0x1.9x
Phoenix It Group ($PNX)4.3x1.9x
International Bus Mach Corp ($IBM)0.9x1.2x1.4x1.7x2.2x
 
Median (35 companies)-0.5x-0.5x-0.4x-0.6x-0.8x
Sopheon ($SPE)-0.3x0.2x0.6x-0.2x