Immunodiagnostic Systems Hldgs reports 59.2% Net Income decline in 2018 and 5.2% Revenue decline
20 Jun 2018 • About Immunodiagnostic Systems Hldgs (
$IDH) • By InTwits
Immunodiagnostic Systems Hldgs reported FY2018 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Immunodiagnostic Systems Hldgs is a company in decline: FY2018 revenue growth was -5.2%, 5 years revenue CAGR was -5.3%
- EBITDA Margin is quite volatile: 14.7% in FY2018, 16.8% in FY2017, -77.1% in FY2016, 23.6% in FY2015, 34.1% in FY2014
- Immunodiagnostic Systems Hldgs has low CAPEX intensity: 5 year average CAPEX/Revenue was 4.7%. At the same time it's in pair with industry average of 4.1%
- CAPEX is quite volatile: £1m in FY2018, £4m in FY2017, £2m in FY2016, £1m in FY2015, £1m in FY2014
- The company has potentially unprofitable business model: ROIC is 1.7%
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
Immunodiagnostic Systems Hldgs's Revenue decreased on 5.2%. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin decreased on 2.1 pp from 16.8% to 14.7% in FY2018.
Gross Margin decreased on 9.9 pp from 57.4% to 47.5% in FY2018. Gross Margin declined at -4.6 pp per annum in FY2014-FY2018. SG&A as a % of Revenue decreased on 4.8 pp from 44.0% to 39.2% in FY2018. During the last 5 years SG&A as a % of Revenue topped in FY2016 at 45.9% and was declining since that time.
Net Income margin decreased on 4.3 pp from 7.5% to 3.2% in FY2018.
Investments (CAPEX, working capital and M&A)
Immunodiagnostic Systems Hldgs's CAPEX/Revenue was 4.6% in FY2018. CAPEX/Revenue decreased slightly on 1.8 pp from 6.3% in FY2015 to 4.6% in FY2018. It's average level of CAPEX/Revenue for the last three years was 4.3%.
Return on investment
The company operates at low ROIC (1.7%) and ROE (2.2%). ROIC decreased slightly on 1.9 pp from 3.6% to 1.7% in FY2018. ROE decreased on 3.4 pp from 5.6% to 2.2% in FY2018.
Leverage (Debt)
Company's Net Debt / EBITDA is -4.9x and Debt / EBITDA is 0.2x. Debt decreased on 3.6% while cash decreased on 9.4%.
Immunodiagnostic Systems Hldgs has no short term refinancing risk: cash is higher than short term debt (35,666.3%).
Financial and operational results
FY ended 31 Mar 2018
Immunodiagnostic Systems Hldgs ($IDH) key annual financial indicators| mln. £ | 2014 | 2015 | 2016 | 2017 | 2018 | 2018/2017 |
|---|
P&L
|
|---|
| Revenue | 52.263 | 45.362 | 38.305 | 40.035 | 37.947 | -5.2% |
| Gross Profit | 35.574 | 28.331 | 22.465 | 22.979 | 18.013 | -21.6% |
| SG&A | 19.791 | 19.158 | 17.568 | 17.611 | 14.874 | -15.5% |
| EBITDA | 17.821 | 10.700 | -29.534 | 6.706 | 5.569 | -17.0% |
| Net Income | 6.953 | 2.352 | -32.170 | 3.009 | 1.227 | -59.2% |
Balance Sheet
|
|---|
| Cash | 26.690 | 23.730 | 26.554 | 31.495 | 28.533 | -9.4% |
| Short Term Debt | 0.000 | 0.362 | 0.089 | 0.077 | 0.080 | 3.9% |
| Long Term Debt | 0.000 | 1.238 | 1.220 | 1.252 | 1.201 | -4.1% |
Cash flow
|
|---|
| Capex | 2.308 | 2.872 | 1.795 | 1.471 | 1.734 | 17.9% |
Ratios
|
|---|
| Revenue growth | 5.0% | -13.2% | -15.6% | 4.5% | -5.2% | |
| EBITDA growth | 1.5% | -40.0% | -376.0% | -122.7% | -17.0% | |
|
|---|
| Gross Margin | 68.1% | 62.5% | 58.6% | 57.4% | 47.5% | -9.9% |
| EBITDA Margin | 34.1% | 23.6% | -77.1% | 16.8% | 14.7% | -2.1% |
| SG&A, % of revenue | 37.9% | 42.2% | 45.9% | 44.0% | 39.2% | -4.8% |
| Net Income Margin | 13.3% | 5.2% | -84.0% | 7.5% | 3.2% | -4.3% |
| CAPEX, % of revenue | 4.4% | 6.3% | 4.7% | 3.7% | 4.6% | 0.9% |
|
|---|
| ROIC | 12.3% | 4.3% | -51.3% | 3.6% | 1.7% | -1.9% |
| ROE | 8.4% | 2.8% | -48.7% | 5.6% | 2.2% | -3.4% |
| Net Debt/EBITDA | -1.5x | -2.1x | | -4.5x | -4.9x | -0.4x |
Peers in Health Care Equipment & Services
Below we provide Immunodiagnostic Systems Hldgs benchmarking against other companies in Health Care Equipment & 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 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Abbott Laboratories ($ABT) | 3.0% | 0.8% | 2.2% | 31.3% | |
| Puricore ($PURI) | -45.5% | 36.5% | -96.3% | 29.3% | |
| Tristel ($TSTL) | 27.6% | 13.8% | 11.5% | 18.5% | |
| Md Medical Group Invest ($MDMG) | 26.9% | 32.0% | 28.1% | 12.9% | |
| Omega Diagnostics Group ($ODX) | 2.9% | 4.4% | 5.3% | 11.8% | |
| |
|---|
| Median (10 companies) | 6.6% | 5.9% | 8.4% | 11.6% | |
|---|
| Immunodiagnostic Systems Hldgs ($IDH) | | -13.2% | -15.6% | 4.5% | -5.2% |
Top companies by Gross margin, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Tristel ($TSTL) | 69.8% | 69.5% | 73.4% | 77.3% | |
| Smith & Nephew ($SN.) | 74.8% | 75.3% | 72.8% | 73.8% | |
| Omega Diagnostics Group ($ODX) | 63.6% | 63.4% | 63.8% | 64.7% | |
| Ekf Diagnostics Holdings ($EKF) | 51.9% | 48.8% | 47.5% | 55.0% | |
| Abbott Laboratories ($ABT) | 54.5% | 57.1% | 56.7% | 55.0% | |
| |
|---|
| Median (8 companies) | 51.9% | 48.8% | 56.7% | 55.0% | |
|---|
| Immunodiagnostic Systems Hldgs ($IDH) | 68.1% | 62.5% | 58.6% | 57.4% | 47.5% |
Top companies by EBITDA margin, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Md Medical Group Invest ($MDMG) | 28.9% | 27.9% | 30.1% | 31.0% | |
| Smith & Nephew ($SN.) | 25.2% | 23.1% | 26.0% | 28.8% | |
| Tristel ($TSTL) | 20.1% | 22.9% | 20.7% | 25.4% | |
| Ekf Diagnostics Holdings ($EKF) | 18.1% | -0.5% | 12.0% | 22.5% | |
| Caretech Hldgs ($CTH) | 24.8% | 26.1% | 27.7% | 21.3% | |
| |
|---|
| Median (10 companies) | 19.1% | 19.5% | 16.3% | 21.0% | |
|---|
| Immunodiagnostic Systems Hldgs ($IDH) | 34.1% | 23.6% | -77.1% | 16.8% | 14.7% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Md Medical Group Invest ($MDMG) | 43.4% | 8.2% | 14.1% | 25.0% | |
| Puricore ($PURI) | 15.4% | 7.3% | 97.5% | 18.5% | |
| Caretech Hldgs ($CTH) | 5.7% | 4.8% | 7.2% | 9.6% | |
| Smith & Nephew ($SN.) | 8.1% | 7.7% | 8.4% | 7.9% | |
| Omega Diagnostics Group ($ODX) | 4.1% | 5.8% | 4.9% | 4.2% | |
| |
|---|
| Median (10 companies) | 5.5% | 6.0% | 5.4% | 4.1% | |
|---|
| Immunodiagnostic Systems Hldgs ($IDH) | 4.4% | 6.3% | 4.7% | 3.7% | 4.6% |
Top companies by ROIC, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Tristel ($TSTL) | 15.9% | 20.1% | 17.5% | 24.9% | |
| Md Medical Group Invest ($MDMG) | 11.0% | 11.8% | 17.6% | 18.4% | |
| Smith & Nephew ($SN.) | 14.7% | 11.1% | 14.4% | 15.8% | |
| Bioquell ($BQE) | -1.8% | 1.6% | 0.7% | 12.2% | |
| Ekf Diagnostics Holdings ($EKF) | 2.3% | -9.4% | -0.5% | 7.0% | |
| |
|---|
| Median (11 companies) | 8.0% | 8.4% | 6.0% | 6.7% | |
|---|
| Immunodiagnostic Systems Hldgs ($IDH) | 12.3% | 4.3% | -51.3% | 3.6% | 1.7% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Caretech Hldgs ($CTH) | 5.4x | 4.9x | 3.8x | 4.2x | |
| Abbott Laboratories ($ABT) | 0.9x | 0.9x | 0.7x | 3.3x | |
| Smith & Nephew ($SN.) | 1.4x | 1.3x | 1.3x | 0.9x | |
| Md Medical Group Invest ($MDMG) | 2.0x | 0.6x | 0.4x | 0.5x | |
| Omega Diagnostics Group ($ODX) | -1.8x | -1.0x | -0.7x | -0.2x | |
| |
|---|
| Median (9 companies) | 0.3x | -0.2x | -0.5x | -0.2x | |
|---|
| Immunodiagnostic Systems Hldgs ($IDH) | -1.5x | -2.1x | | -4.5x | -4.9x |
