Benchmark Hldgs reports 15.9% revenue decline in FY2019

20 Dec 2019 • About Benchmark Hldgs ($BMK) • By InTwits

Benchmark Hldgs reported FY2019 financial results today. 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 dropped on 15.9%. During the last 5 years Revenue growth topped in FY2016 at 147% and was decelerating since that time.

Net Income margin dropped on 62.5 pp from -3.3% to -65.9% in FY2019. During FY2015-FY2019 Net Income margin topped in FY2018 at -3.3%.

Management team

5.9% of the company is owned by insiders. Insider ownership didn't change in 2019.

Financial and operational results

FY ended 30 Sep 2019

Benchmark Hldgs ($BMK) key annual financial indicators

mln. £	2015	2016	2017	2018	2019	2019/2018
P&L
Revenue	44.2	109.4	140.2	151.5	127.3	-15.9%
Gross Profit	16.1	50.8	62.4	74.0
EBITDA	-4.2	-5.5	15.6	16.2
EBIT				-8.7
Interest expence				0.0
Tax				-9.3	-0.0
Net Income	-12.0	-18.3	-7.4	-5.0	-83.9
Stock Based Compensation				1.5
Balance Sheet
Cash	13.6	38.1	18.8	24.1
Inventory				32.4
Short Term Debt	0.1	0.3	6.2	0.9
Long Term Debt	0.1	37.4	36.5	78.9
Cash flow
Capex	14.0	18.7	32.7	25.1
Ratios
Revenue growth	25.0%	147.5%	28.2%	8.1%	-15.9%
EBITDA growth	-317.6%	33.4%	-380.9%	3.9%

Gross Margin	36.4%	46.5%	44.5%	48.9%
EBITDA Margin	-9.4%	-5.1%	11.1%	10.7%
EBIT Margin				-5.7%
SBC, % of revenue				1.0%
Net Income Margin	-27.1%	-16.8%	-5.3%	-3.3%	-65.9%	-62.5%
CAPEX, % of revenue	31.8%	17.1%	23.4%	16.6%

ROIC	-12.4%	-7.8%	-1.7%	-1.8%
ROE	-18.7%	-8.0%	-2.1%	-1.4%
Net Debt/EBITDA			1.5x	3.4x
Interest expence / Average debt				0.0%
People
Insider ownership				5.9%	5.9%	0.0%
Employees				968
Revenue/Employee, th. £				156

Peers in Pharmaceuticals & Biotechnology

Below we provide Benchmark Hldgs benchmarking against other companies in Pharmaceuticals & Biotechnology 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	FY2015	FY2016	FY2017	FY2018	FY2019
C4X Discovery Hldg ($C4XD)	-49.6%	-10.6%	-48.7%	4,839.9%
Evocutis ($EVO)	57.3%	51.2%	54.5%	37.6%
Ixico ($IXI)		4.9%	25.8%	31.2%	40.2%
GlaxoSmithKline ($GSK)	4.0%	16.6%	8.2%	2.1%
Pfizer Inc ($PFZ)	-1.5%	8.1%	-0.5%	2.1%
Median (7 companies)	4.0%	7.2%	8.1%	2.1%	40.2%
Benchmark Hldgs ($BMK)		147.5%	28.2%	8.1%	-15.9%

Top companies by Gross margin, %


Top 5	FY2015	FY2016	FY2017	FY2018	FY2019
Indivior ($INDV)	90.4%	89.9%	90.5%	87.3%
Pfizer Inc ($PFZ)	80.3%	76.7%	78.6%	79.0%
Astrazeneca ($AZN)	81.2%	82.1%	80.8%	77.7%
GlaxoSmithKline ($GSK)	63.0%	66.7%	65.7%	66.8%
Ixico ($IXI)		48.6%	56.5%	58.8%	65.4%
Median (5 companies)	46.3%	48.5%	56.5%	77.7%	65.4%
Benchmark Hldgs ($BMK)	36.4%	46.5%	44.5%	48.9%

Top companies by EBITDA margin, %


Top 5	FY2015	FY2016	FY2017	FY2018	FY2019
Evocutis ($EVO)	35.4%	38.6%	45.2%	43.9%
Pfizer Inc ($PFZ)	34.8%	33.6%	37.9%	38.0%
Indivior ($INDV)	37.3%	15.4%	18.8%	33.0%
Astrazeneca ($AZN)	28.3%	32.5%	29.9%	32.8%
GlaxoSmithKline ($GSK)	50.2%	15.9%	20.6%	24.1%
Median (7 companies)	24.4%	15.9%	19.7%	32.8%	6.7%
Benchmark Hldgs ($BMK)	-9.4%	-5.1%	11.1%	10.7%

Top companies by CAPEX/Revenue, %


Top 5	FY2015	FY2016	FY2017	FY2018	FY2019
Evocutis ($EVO)	6.3%	18.2%	5.8%	7.3%
Astrazeneca ($AZN)	5.4%	6.3%	5.9%	4.7%
GlaxoSmithKline ($GSK)	5.8%	5.5%	5.1%	4.4%
Pfizer Inc ($PFZ)	2.9%	3.5%	3.7%	3.8%
Ixico ($IXI)		0.7%	1.2%	1.4%	2.9%
Median (7 companies)	5.3%	4.6%	4.4%	3.8%	2.9%
Benchmark Hldgs ($BMK)	31.8%	17.1%	23.4%	16.6%

Top companies by ROIC, %


Top 5	FY2015	FY2016	FY2017	FY2018	FY2019
Indivior ($INDV)	172.1%	85.9%	107.2%	110.6%
Evocutis ($EVO)	62.4%	59.8%	70.1%	53.2%
GlaxoSmithKline ($GSK)	42.9%	10.9%	20.2%	23.3%
Pfizer Inc ($PFZ)	9.1%	9.2%	10.9%	12.3%
Astrazeneca ($AZN)	11.8%	13.7%	9.7%	9.5%
Median (7 companies)	14.2%	10.2%	10.9%	12.3%	5.0%
Benchmark Hldgs ($BMK)	-12.4%	-7.8%	-1.7%	-1.8%

Top companies by Net Debt / EBITDA


Top 5	FY2015	FY2016	FY2017	FY2018	FY2019
GlaxoSmithKline ($GSK)	0.9x	3.1x	2.1x	3.0x
Pfizer Inc ($PFZ)	2.1x	2.2x	2.1x	2.0x
Astrazeneca ($AZN)	1.3x	1.6x	2.2x	2.0x
Evocutis ($EVO)	-0.7x	-0.4x	-0.5x	-0.7x
Indivior ($INDV)	0.4x	-1.0x	-1.8x	-2.1x
Median (5 companies)	0.8x	1.0x	2.1x	2.0x	-14.4x
Benchmark Hldgs ($BMK)			1.5x	3.4x

Benchmark Hldgs stock price chart

Benchmark Hldgs financials

mln.	FY2013	FY2014	FY2015

Revenue	27.543	35.354	44.199
EBITDA	6.141	1.908	-4.151
Net income	4.294	-1.315	-11.988
CAPEX	1.748	3.864	14.038
Debt	4.443	0.211	0.156
Cash	3.250	16.511	13.564

About Benchmark Hldgs

Benchmark Holdings plc engages in the animal health, food, agriculture, aquaculture, and sustainability business sectors. It operates in four divisions: Animal Health, Sustainability Science, Technical Publishing, and Animal Breeding & Genetics. The Animal Health division manufactures licensed vaccines and antigens for farm and companion animals; and fish vaccines. It also provides bespoke vaccine technology transfer and process development services; and offers a range of training, environmental, and advisory services across various areas of aquatic animal production. In addition, this division is involved in the contract manufacturing of veterinary vaccines. The Sustainability Science division provides supply chain leadership programmes; codes of practice; auditing; environmental consultancy and technical services; sustainable farming systems research; business reengineering services; professional training programmes; and communication, design, and brand development. The Technical Publishing division engages in the knowledge transfer, technical insight, e-learning, and market analysis for people and businesses working in agriculture, aquaculture, and the food chain sectors. It delivers industry news, technical articles, disease guides, and market reports and analysis; publishes technical books, e-books, DVDs, and digital titles; as well as offers distance learning courses and online publications. This division also provides training and skills development for veterinarians and people working in agriculture, aquaculture, and the companion animals industry. The Animal Breeding & Genetics division is involved in the salmon and aquaculture breeding; and supplying of salmon eggs. The company has operations in England, Ireland, Brazil, Iceland, Scotland, the United States, Norway, Spain, Russia, China, and Thailand. Benchmark Holdings plc was founded in 2000 and is headquartered in Sheffield, the United Kingdom.