Johnston Press EBITDA dropped on 3,463% in 2016 and Revenue decreased on 9.1%
29 Mar 2017 • About Johnston Press (
$JPR) • By InTwits
Johnston Press reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Johnston Press is a company in decline: FY2016 revenue growth was -9.1%, 5 years revenue CAGR was -9.8%
- The company operates at negative EBITDA Margin: -141.7%
- Johnston Press motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for FY2012-FY2016 was 0.0%. On average EBITDA Margin was -34.3% for the sames years0
- Johnston Press has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.9%. At the same time it's in pair with industry average of 2.1%.
- CAPEX is quite volatile: 129 in FY2016, 929 in FY2015, 1,255 in FY2014, 192 in FY2013, 208 in FY2012
- The company has unprofitable business model: ROIC is at -95.9%
- It operates with high leverage: Net Debt/EBITDA is 10.3x while industry average is 0.7x
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Johnston Press ($JPR) key annual financial indicators
| mln. £ | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 358.7 | 290.0 | 268.8 | 245.1 | 222.7 | -9.1% |
| Gross Profit | 150.8 | 125.8 | 117.1 | 104.5 | 79.6 | -23.8% |
| EBITDA | 53.1 | -238.1 | 16.2 | 9.4 | -315.7 | -3,463.0% |
| Net Income | 5.6 | -215.6 | -15.1 | 11.4 | -246.9 | -2,259.6% |
Balance Sheet
|
|---|
| Cash | 32.8 | 29.1 | 30.8 | 40.6 | 16.1 | -60.4% |
| Short Term Debt | 8.5 | 8.6 | 0.0 | 0.0 | 0.0 | |
| Long Term Debt | 334.2 | 314.9 | 215.4 | 186.6 | 143.0 | -23.4% |
Cash flow
|
|---|
| Capex | 5.2 | 4.3 | 7.1 | 6.1 | 3.4 | -43.6% |
Ratios
|
|---|
| Revenue growth | -4.1% | -19.2% | -7.3% | -8.8% | -9.1% | |
| EBITDA growth | -163.3% | -548.5% | -106.8% | -42.0% | -3,463.0% | |
| Gross Margin | 42.0% | 43.4% | 43.5% | 42.6% | 35.8% | -6.9% |
| EBITDA Margin | 14.8% | -82.1% | 6.0% | 3.8% | -141.7% | -145.6% |
| Net Income Margin | 1.6% | -74.3% | -5.6% | 4.7% | -110.9% | -115.5% |
| CAPEX, % of revenue | 1.4% | 1.5% | 2.7% | 2.5% | 1.5% | -0.9% |
| ROIC | 5.0% | -37.8% | 2.1% | 0.2% | -95.9% | -96.1% |
| ROE | 2.0% | -115.6% | -10.2% | 4.9% | | -4.9% |
| Net Debt/EBITDA | 5.8x | | 11.4x | 15.6x | | -15.6x |
Revenue and profitability
Johnston Press's Revenue decreased on 9.1% in FY2016. Revenue decline was worsened by EBITDA margin decline. EBITDA Margin dropped on 146 pp from 3.8% to -142% in FY2016.
Gross Margin decreased on 6.9 pp from 42.6% to 35.8% in FY2016.
Net Income marign dropped on 116 pp from 4.7% to -111% in FY2016.
Capital expenditures (CAPEX) and working capital investments
In FY2016 Johnston Press had CAPEX/Revenue of 1.5%. CAPEX/Revenue showed almost no change from FY2013 to FY2016. For the last three years the average CAPEX/Revenue was 2.2%.
Leverage (Debt)
Debt level is 10.3x Net Debt / EBITDA and Debt / EBITDA. Net Debt / EBITDA dropped on 15.6x from 15.6x to in FY2016. Debt dropped on 23.4% in FY2016 while cash dropped on 60.4% in FY2016.
Appendix 1: Peers in Media
Below we provide Johnston Press benchmarking against other companies in Media 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 |
|---|
| Tla Worldwide ($TLA) | 5,338.4% | 25.0% | 6.3% | 130.0% | |
| Porta Communications ($PTCM) | 970.2% | 10.7% | 150.9% | 46.5% | |
| Jaywing ($JWNG) | | -27.9% | -0.7% | 26.6% | 6.5% |
| Marimedia Ltd ($MARI) | | 71.1% | 45.7% | 20.1% | 66.0% |
| Nahl Group ($NAH) | | -3.2% | -10.7% | 15.7% | -0.2% |
| |
|---|
| Median (23 companies) | -2.8% | -0.6% | 1.9% | 2.2% | 6.5% |
|---|
| Johnston Press ($JPR) | | -19.2% | -7.3% | -8.8% | -9.1% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Jaywing ($JWNG) | 79.8% | 76.8% | 81.0% | 89.0% | 88.4% |
| Brainjuicer Group ($BJU) | 77.2% | 78.0% | 78.8% | 80.4% | 82.1% |
| Porta Communications ($PTCM) | 55.3% | 89.2% | 83.4% | 79.0% | |
| Tla Worldwide ($TLA) | 96.1% | 96.6% | 99.9% | 78.8% | |
| Haynes Publishing Group ($HYNS) | 59.9% | 59.6% | 52.9% | 60.2% | 53.6% |
| |
|---|
| Median (24 companies) | 40.6% | 41.6% | 43.8% | 41.2% | 42.8% |
|---|
| Johnston Press ($JPR) | 42.0% | 43.4% | 43.5% | 42.6% | 35.8% |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Dq Entertainment ($DQE) | 42.8% | 49.2% | 62.4% | 59.1% | |
| Haynes Publishing Group ($HYNS) | 25.7% | 23.4% | 38.8% | 33.5% | 15.4% |
| Nahl Group ($NAH) | 36.6% | 39.6% | 28.8% | 29.5% | 34.9% |
| Tla Worldwide ($TLA) | 43.5% | 39.1% | 40.6% | 28.5% | |
| Quarto Group Inc ($QRT) | 20.0% | 25.9% | 27.8% | 28.4% | |
| |
|---|
| Median (24 companies) | 15.0% | 15.1% | 14.8% | 11.8% | 12.7% |
|---|
| Johnston Press ($JPR) | 14.8% | -82.1% | 6.0% | 3.8% | -141.7% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Avesco Group ($AVS) | 22.7% | 13.2% | 18.6% | 14.4% | |
| Mood Media Corp ($MM.) | 8.6% | 6.4% | 6.9% | 8.2% | 5.9% |
| Spaceandpeople ($SAL) | 3.2% | 4.1% | 1.6% | 5.0% | |
| Dq Entertainment ($DQE) | 6.8% | 2.0% | 0.0% | 4.6% | |
| Naspers ($NPSN) | 4.7% | 4.9% | | 4.0% | 3.1% |
| |
|---|
| Median (24 companies) | 1.1% | 1.8% | 1.5% | 1.0% | 0.8% |
|---|
| Johnston Press ($JPR) | 1.4% | 1.5% | 2.7% | 2.5% | 1.5% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Independent News & Media ($INM) | -43.9% | 136.2% | 29.6% | 65.1% | 122.1% |
| Brainjuicer Group ($BJU) | 24.3% | 49.0% | 60.0% | 58.5% | 72.5% |
| Uls Technology ($ULS) | | 33.2% | 44.1% | 39.6% | 39.3% |
| Cellcast Group ($CLTV) | -63.1% | | | 28.4% | |
| Nahl Group ($NAH) | 37.1% | 42.3% | 31.5% | 26.0% | 23.0% |
| |
|---|
| Median (24 companies) | 5.6% | 5.8% | 7.8% | 6.7% | 3.0% |
|---|
| Johnston Press ($JPR) | 5.0% | -37.8% | 2.1% | 0.2% | -95.9% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Mood Media Corp ($MM.) | 5.2x | 8.1x | 8.2x | 9.8x | 7.9x |
| Naspers ($NPSN) | 1.4x | 1.9x | | 6.2x | 14.7x |
| Grupo Clarin Sa ($GCLA) | 0.9x | 0.8x | 0.7x | 4.3x | 0.3x |
| Dq Entertainment ($DQE) | 1.1x | 1.5x | 1.5x | 2.8x | |
| Porta Communications ($PTCM) | | | 3.4x | 2.7x | |
| |
|---|
| Median (22 companies) | 0.8x | 0.8x | 0.8x | 0.5x | -0.1x |
|---|
| Johnston Press ($JPR) | 5.8x | | 11.4x | 15.6x | |
