Finansbank reports 50.1% revenue growth in 2018
04 Feb 2019 • About Finansbank (
$FBKD) • By InTwits
Finansbank reported 2018 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Finansbank is a fast growth stock: 2018 revenue growth was 50.1%, 5 year revenue CAGR was 21.3% at 2018 ROIC 5.4%
- Finansbank has low CAPEX intensity: 5 year average CAPEX/Revenue was 3.1%. At the same time it's in pair with industry average of 2.8%
- CAPEX is quite volatile: 226 TRYm in 2018, 164 TRYm in 2017, 180 TRYm in 2016, 240 TRYm in 2015, 717 TRYm in 2014
- The company has potentially unprofitable business model: ROIC is 5.4%
- It operates with medium-size leverage: Net Debt/EBITDA is 2.4x while industry average is
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 jumped on 50.1%. During the last 5 years Revenue growth bottomed in 2015 at 6.9% and was accelerating since that time.
Net Income margin showed almost no change in 2018.
Investments (CAPEX, working capital and M&A)
In 2018 Finansbank had CAPEX/Revenue of 1.2%. Finansbank showed small CAPEX/Revenue decline of 1.5 pp from 2.7% in 2015 to 1.2% in 2018. It's average CAPEX/Revenue for the last three years was 1.4%. CAPEX as a % of Revenue pursued a declining trend in the last 5 years.
Return on investment
The company operates at good ROE (19.0%) while ROIC is low (5.4%). ROIC increased slightly on 0.79 pp from 4.6% to 5.4% in 2018. ROE increased on 3.4 pp from 15.6% to 19.0% in 2018. During the last 5 years ROIC bottomed in 2015 at 3.1% and was growing since that time. During 2014-2018 ROE bottomed in 2015 at 7.4% and was growing since that time.
Leverage (Debt)
Debt jumped on 14.8% while cash jumped on 16.6%.
Finansbank has no short term refinancing risk: cash is higher than short term debt (214.7%).
The company paid 3.9% of Net Income as dividends in 2018.
Management team
Finansbank's CFO is Adnan Menderes Yayla. Adnan Menderes Yayla has 2 years tenure at the company.
The company has 12,268 employees. Average revenue per employee in 2018 was 1,535,913 TRY.
Financial and operational results
FY ended 31 Dec 2018
Finansbank ($FBKD) key annual financial indicators| mln. TRY | 2014 | 2015 | 2016 | 2017 | 2018 | 2018/2017 |
|---|
P&L
|
|---|
| Revenue | 8,451 | 9,035 | 10,553 | 12,552 | 18,843 | 50.1% |
| Net Income | 901 | 664 | 1,236 | 1,772 | 2,573 | 45.2% |
Balance Sheet
|
|---|
| Cash | 8,664 | 9,997 | 13,104 | 15,882 | 18,511 | 16.6% |
| Short Term Debt | 6,566 | 4,625 | 7,366 | 11,357 | 8,621 | -24.1% |
| Long Term Debt | 7,293 | 10,077 | 14,963 | 21,073 | 28,598 | 35.7% |
Cash flow
|
|---|
| Capex | 717 | 240 | 180 | 164 | 226 | 38.1% |
| Dividends | | | | | 100 | |
Ratios
|
|---|
| Revenue growth | 17.9% | 6.9% | 16.8% | 19.0% | 50.1% | |
|
|---|
| Net Income Margin | 10.7% | 7.4% | 11.7% | 14.1% | 13.7% | -0.5% |
| CAPEX, % of revenue | 8.5% | 2.7% | 1.7% | 1.3% | 1.2% | -0.1% |
|
|---|
| ROIC | 4.4% | 3.1% | 4.3% | 4.6% | 5.4% | 0.8% |
| ROE | 11.0% | 7.4% | 12.7% | 15.6% | 19.0% | 3.4% |
People
|
|---|
| Employees | | | | | 12,268 | |
| Revenue/Employee, th. TRY | | | | | 1,536 | |
Peers in Banks
Below we provide Finansbank benchmarking against other companies in Banks 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 |
|---|
| European Islamic Investment Bank ($EIIB) | 42.3% | -4.1% | -63.9% | 232.5% | |
| Halyk Savings Bank Of Kazakhstn JSC ($HSBK) | 16.3% | 19.5% | 16.4% | 59.5% | |
| Zenith Bank ($ZENB) | | 6.8% | 17.9% | 46.7% | |
| Commercial Intl Bank(Egypt)S.A.E ($CBKD) | | 26.8% | 27.0% | 46.4% | 28.9% |
| TCS Group Holding ($TCS) | 11.5% | 10.6% | 34.0% | 33.7% | |
| |
|---|
| Median (43 companies) | 11.1% | 3.5% | 3.4% | 4.5% | 12.2% |
|---|
| Finansbank ($FBKD) | | 6.9% | 16.8% | 19.0% | 50.1% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Lloyds Banking Group ($LLPC) | 13.1% | 13.6% | 14.5% | 14.5% | |
| Banco Santander Sa ($BNC) | 8.9% | 10.2% | 9.1% | 10.0% | 14.7% |
| Bcb Hldgs Ltd ($BCBW) | 5.4% | 2.5% | 3.0% | 7.3% | 5.9% |
| Royal Bank Of Scotland Group ($RBS) | 4.1% | 4.6% | 5.6% | 7.1% | |
| Diamond Bank ($DBPA) | 6.0% | 6.7% | 6.2% | 7.0% | |
| |
|---|
| Median (39 companies) | 2.0% | 2.5% | 2.5% | 1.9% | 1.5% |
|---|
| Finansbank ($FBKD) | 8.5% | 2.7% | 1.7% | 1.3% | 1.2% |
Top companies by ROIC, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| TCS Group Holding ($TCS) | 6.7% | 3.4% | 22.5% | 31.8% | |
| Commercial Intl Bank(Egypt)S.A.E ($CBKD) | 30.1% | 30.3% | 28.0% | 25.3% | 25.4% |
| Guaranty Trust Bank ($GRTB) | 17.8% | 16.0% | 17.4% | 18.3% | |
| Sberbank Of Russia ($SBER) | 4.8% | 4.0% | 9.4% | 13.0% | |
| Zenith Bank ($ZENB) | 15.0% | 11.2% | 11.1% | 11.4% | |
| |
|---|
| Median (43 companies) | 4.4% | 3.5% | 4.6% | 4.4% | 4.5% |
|---|
| Finansbank ($FBKD) | 4.4% | 3.1% | 4.3% | 4.6% | 5.4% |
