Mysale Group reports 8.9% revenue growth in FY2018 and almost no change in EBITDA Margin of 1.8%
09 Oct 2018 • About Mysale Group (
$MYSL) • By InTwits
Mysale Group reported FY2018 financial results today. Here are the key drivers of the company's long term financial model:
- EBITDA Margin is quite volatile: 1.8% in FY2018, 2.0% in FY2017, 1.8% in FY2016, -4.7% in FY2015, 2.3% in FY2014
- Mysale Group has low CAPEX intensity: 5 year average CAPEX/Revenue was 0.5%.
- The company has unprofitable business model: ROIC is -1.9%
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue increased on 8.9%. EBITDA Margin showed almost no change in FY2018.
Gross Margin increased slightly on 0.99 pp from 28.3% to 29.3% in FY2018. During the last 5 years Gross Margin bottomed in FY2015 at 23.4% and was growing since that time. SG&A as a % of Revenue increased on 2.9 pp from 26.4% to 29.3% in FY2018.
Net Income margin showed almost no change in FY2018.
Investments (CAPEX, working capital and M&A)
In FY2018 Mysale Group had CAPEX/Revenue of 0.29%. The company's CAPEX/Revenue showed almost no change from FY2015 to FY2018. It's average CAPEX/Revenue for the last three years was 0.35%.
Return on investment
The company operates at negative ROIC (-1.9%) and ROE (-0.1%). ROIC decreased slightly on 1.8 pp from -0.020% to -1.9% in FY2018. ROE increased slightly on 1.2 pp from -1.3% to -0.068% in FY2018.
Leverage (Debt)
Company's Net Debt / EBITDA is 1.2x and Debt / EBITDA is 2.5x. Net Debt / EBITDA jumped on 2.9x from -1.7x to 1.2x in FY2018. Debt jumped on 28.5% while cash dropped on 64.4%.
Mysale Group has short term refinancing risk: cash is only 52.1% of short term debt.
Financial and operational results
FY ended 30 Nov -0001
Mysale Group ($MYSL) key annual financial indicators| mln. AUD | 2014 | 2015 | 2016 | 2017 | 2018 | 2018/2017 |
|---|
P&L
|
|---|
| Revenue | 224.4 | 235.9 | 252.3 | 268.4 | 292.2 | 8.9% |
| Gross Profit | 60.4 | 55.2 | 66.7 | 76.0 | 85.7 | 12.7% |
| SG&A | 62.5 | 32.2 | 68.6 | 70.9 | 85.8 | 21.0% |
| EBITDA | 5.2 | -11.1 | 4.6 | 5.3 | 5.1 | -2.2% |
| Net Income | -58.5 | -17.8 | -0.2 | -1.0 | -0.1 | |
Balance Sheet
|
|---|
| Cash | 77.3 | 39.9 | 34.0 | 19.0 | 6.8 | -64.4% |
| Short Term Debt | 1.6 | 1.2 | 6.5 | 10.0 | 13.0 | 29.8% |
| Long Term Debt | 0.3 | 0.1 | 0.0 | 0.1 | 0.1 | -62.2% |
Cash flow
|
|---|
| Capex | 1.8 | 1.0 | 0.8 | 1.2 | 0.8 | -29.3% |
Ratios
|
|---|
| Revenue growth | 23.4% | 5.1% | 7.0% | 6.4% | 8.9% | |
| EBITDA growth | -17.9% | -312.4% | -141.6% | 13.7% | -2.2% | |
|
|---|
| Gross Margin | 26.9% | 23.4% | 26.4% | 28.3% | 29.3% | 1.0% |
| EBITDA Margin | 2.3% | -4.7% | 1.8% | 2.0% | 1.8% | -0.2% |
| SG&A, % of revenue | 27.9% | 13.7% | 27.2% | 26.4% | 29.3% | 2.9% |
| Net Income Margin | -26.1% | -7.5% | -0.1% | -0.4% | -0.0% | 0.3% |
| CAPEX, % of revenue | 0.8% | 0.4% | 0.3% | 0.4% | 0.3% | -0.2% |
|
|---|
| ROIC | 10.0% | -19.0% | 0.3% | -0.0% | -1.9% | -1.8% |
| ROE | | -21.4% | -0.2% | -1.3% | -0.1% | 1.2% |
| Net Debt/EBITDA | -14.4x | | -6.0x | -1.7x | 1.2x | 2.9x |
Peers in General Retailers
Below you can find Mysale Group benchmarking vs. other companies in General Retailers 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 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Just Eat ($JE.) | | 57.7% | 51.7% | 45.4% | |
| 7Digital Group ($7DIG) | 171.6% | 1.5% | 14.8% | 41.2% | |
| AO World ($AO.) | | 23.8% | 25.7% | 17.0% | 13.6% |
| Aa ($AA.) | | 1.0% | -5.0% | -0.2% | 2.9% |
| United Carpets Group ($UCG) | | -4.4% | 6.1% | -0.8% | 2.5% |
| |
|---|
| Median (11 companies) | -0.4% | 2.6% | 0.1% | -1.3% | 0.5% |
|---|
| Mysale Group ($MYSL) | | 5.1% | 7.0% | 6.4% | 8.9% |
Top companies by Gross margin, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Just Eat ($JE.) | 89.7% | 90.2% | 90.6% | 82.4% | |
| 7Digital Group ($7DIG) | 59.0% | 68.1% | 71.0% | 71.6% | |
| Aa ($AA.) | 64.7% | 64.8% | 64.0% | 63.5% | 62.5% |
| United Carpets Group ($UCG) | 61.7% | 64.3% | 63.8% | 61.2% | 61.5% |
| French Connection Group ($FCCN) | 47.6% | 46.7% | 46.3% | 45.8% | 45.2% |
| |
|---|
| Median (11 companies) | 34.6% | 36.2% | 37.3% | 42.0% | 40.0% |
|---|
| Mysale Group ($MYSL) | 26.9% | 23.4% | 26.4% | 28.3% | 29.3% |
Top companies by EBITDA margin, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Aa ($AA.) | 42.2% | 37.9% | 37.4% | 37.6% | 39.4% |
| Signet Jewelers Ltd ($SIG) | 16.2% | 12.7% | 13.4% | 14.9% | 12.5% |
| United Carpets Group ($UCG) | 4.8% | 6.6% | 7.9% | 8.2% | 8.1% |
| Shoe Zone ($SHOE) | 9.3% | 8.4% | 8.5% | 8.1% | |
| Lotte Shopping Co Ltd ($LOTS) | 7.4% | 6.3% | 7.2% | 7.8% | |
| |
|---|
| Median (11 companies) | 6.1% | 8.4% | 2.2% | 1.9% | 1.6% |
|---|
| Mysale Group ($MYSL) | 2.3% | -4.7% | 1.8% | 2.0% | 1.8% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| 7Digital Group ($7DIG) | 3.4% | 8.2% | 3.8% | 27.2% | |
| Aa ($AA.) | 1.0% | 3.8% | 8.0% | 7.6% | 6.6% |
| Lotte Shopping Co Ltd ($LOTS) | 6.6% | 3.8% | 5.0% | 4.9% | |
| Signet Jewelers Ltd ($SIG) | 3.6% | 3.8% | 3.5% | 4.3% | 3.8% |
| Shoe Zone ($SHOE) | 1.2% | 1.1% | 2.0% | 3.3% | |
| |
|---|
| Median (11 companies) | 1.5% | 2.3% | 2.0% | 2.7% | 2.6% |
|---|
| Mysale Group ($MYSL) | 0.8% | 0.4% | 0.3% | 0.4% | 0.3% |
Top companies by ROIC, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| United Carpets Group ($UCG) | | 36.7% | 37.1% | 33.7% | 29.9% |
| Aa ($AA.) | 61.1% | 34.9% | 32.0% | 30.8% | 32.3% |
| Shoe Zone ($SHOE) | 34.2% | 30.0% | 30.6% | 30.7% | |
| Signet Jewelers Ltd ($SIG) | 20.4% | 15.5% | 15.2% | 16.0% | 13.0% |
| Caffyns ($78GL) | 11.1% | 37.3% | 10.4% | 7.1% | 5.5% |
| |
|---|
| Median (12 companies) | 7.4% | 15.5% | 6.1% | 1.9% | 5.5% |
|---|
| Mysale Group ($MYSL) | 10.0% | -19.0% | 0.3% | -0.0% | -1.9% |
Top companies by Net Debt / EBITDA
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Aa ($AA.) | 7.7x | 7.9x | 8.0x | 7.6x | 7.0x |
| Lotte Shopping Co Ltd ($LOTS) | 5.2x | 6.7x | 7.1x | 3.5x | |
| Caffyns ($78GL) | 3.0x | 0.7x | 2.2x | 2.2x | 4.0x |
| Signet Jewelers Ltd ($SIG) | -0.3x | 1.7x | 1.4x | 1.4x | 0.6x |
| Shoe Zone ($SHOE) | -0.6x | -1.0x | -1.1x | -0.9x | |
| |
|---|
| Median (6 companies) | -0.6x | -0.7x | 1.4x | 1.8x | 2.3x |
|---|
| Mysale Group ($MYSL) | -14.4x | | -6.0x | -1.7x | 1.2x |
