Lightwaverf CAPEX jumped on 428% and Revenue surged on 45.5%
21 Jan 2020 • About Lightwaverf (
$LWRF) • By InTwits
Lightwaverf reported FY2019 financial results today. Here are the key drivers of the company's long term financial model:
- The company operates at negative EBITDA Margin: -66.7%
- Lightwaverf spends a lot for Stock Based Compensation (SBC): average SBC/Revenue for FY2015-FY2019 is 0.0%. Average EBITDA Margin for the same period was -42.1%
- The company has unprofitable business model: ROIC is -90.4%
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue jumped on 45.5%. Having declining revenue the company managed to increase EBITDA margin. EBITDA Margin increased slightly on 0.95 pp from 5.5% to 6.4% in FY2019.
Gross Margin increased on 2.8 pp from 29.3% to 32.1% in FY2019. SG&A as a % of Revenue decreased slightly on 1.2 pp from 133% to 132% in FY2019.
Net Income margin increased on 2.2 pp from -90.4% to -88.2% in FY2019.
Investments (CAPEX, working capital and M&A)
In FY2019 the company had CAPEX/Revenue of 7.7%. The company's CAPEX/Revenue increased on 7.4 pp from 0.30% in FY2016 to 7.7% in FY2019. Average CAPEX/Revenue for the last three years was 3.6%.
Return on investment
The company operates at negative ROIC (-90.4%) and ROE (-102.7%). ROIC decreased on 5.2 pp from -85.2% to -90.4% in FY2019. ROE increased on 2.9 pp from -106% to -103% in FY2019.
Leverage (Debt)
Company's Net Debt / EBITDA is -1.9x and Debt / EBITDA is . Debt increased on 2.9% while cash increased slightly on 1.5%.
Lightwaverf has no short term refinancing risk: cash is higher than short term debt (115.7%).
Financial and operational results
FY ended 30 Nov -0001
Lightwaverf ($LWRF) key annual financial indicators| mln. £ | 2015 | 2016 | 2017 | 2018 | 2019 | 2019/2018 |
|---|
P&L
|
|---|
| Revenue | 2.101 | 1.443 | 3.032 | 2.814 | 4.094 | 45.5% |
| Gross Profit | | 0.469 | 1.077 | 0.826 | 1.315 | 59.3% |
| SG&A | | 1.489 | 2.122 | 3.736 | 5.386 | 44.2% |
| EBITDA | | -0.632 | -0.462 | -1.852 | -2.731 | |
| Net Income | | -0.841 | -0.845 | -2.545 | -3.611 | |
Balance Sheet
|
|---|
| Cash | | 0.002 | 0.222 | 0.470 | 0.477 | 1.5% |
| Short Term Debt | | 0.642 | 0.588 | 0.424 | 0.412 | -2.8% |
| Long Term Debt | | 0.206 | 0.000 | 0.034 | 0.059 | 75.0% |
Cash flow
|
|---|
| Capex | | 0.004 | 0.029 | 0.060 | 0.316 | 428.1% |
Ratios
|
|---|
| Revenue growth | -30.9% | -31.3% | 110.1% | -7.2% | 45.5% | |
| EBITDA growth | | | -26.9% | 300.8% | 47.4% | |
|
|---|
| Gross Margin | | 32.5% | 35.5% | 29.3% | 32.1% | 2.8% |
| EBITDA Margin | | -43.8% | -15.2% | -65.8% | -66.7% | -0.9% |
| SG&A, % of revenue | | 103.2% | 70.0% | 132.8% | 131.6% | -1.2% |
| Net Income Margin | | -58.3% | -27.9% | -90.4% | -88.2% | 2.2% |
| CAPEX, % of revenue | | 0.3% | 0.9% | 2.1% | 7.7% | 5.6% |
|
|---|
| ROIC | | -71.4% | -63.2% | -85.2% | -90.4% | -5.2% |
| ROE | | | | -105.6% | -102.7% | 2.9% |
Peers in Leisure Goods
Below you can find Lightwaverf benchmarking vs. other companies in Leisure Goods 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 | FY2015 | FY2016 | FY2017 | FY2018 | FY2019 |
|---|
| Konami Corp ($KNM) | 0.3% | 14.6% | -8.0% | 4.2% | |
| Lg Electronics Inc ($39IB) | | -2.0% | 10.9% | -0.1% | 1.6% |
| Character Group ($CCT) | | 22.1% | -4.7% | -7.9% | 13.4% |
| Hornby ($HRN) | 12.8% | -4.1% | -15.0% | -24.8% | |
| |
|---|
| Median (4 companies) | 10.3% | 4.8% | -6.3% | -4.0% | 7.5% |
|---|
| Lightwaverf ($LWRF) | | -31.3% | 110.1% | -7.2% | 45.5% |
Top companies by Gross margin, %
| Top | FY2015 | FY2016 | FY2017 | FY2018 | FY2019 |
|---|
| Konami Corp ($KNM) | 32.8% | 35.0% | 38.6% | 40.6% | |
| Hornby ($HRN) | 46.7% | 39.0% | 38.3% | 38.6% | |
| Character Group ($CCT) | 37.0% | 31.6% | 32.6% | 34.2% | 34.5% |
| Lg Electronics Inc ($39IB) | 22.8% | 24.8% | 23.9% | 24.6% | |
| |
|---|
| Median (4 companies) | 31.1% | 28.8% | 31.1% | 36.4% | 34.5% |
|---|
| Lightwaverf ($LWRF) | | 32.5% | 35.5% | 29.3% | 32.1% |
Top companies by EBITDA margin, %
| Top | FY2015 | FY2016 | FY2017 | FY2018 | FY2019 |
|---|
| Konami Corp ($KNM) | 16.5% | 21.5% | 22.9% | 24.1% | |
| Character Group ($CCT) | 14.1% | 13.1% | 13.9% | 12.8% | 11.5% |
| Lg Electronics Inc ($39IB) | 5.5% | 5.6% | 6.9% | 7.7% | |
| Hornby ($HRN) | 7.4% | -17.3% | -11.9% | -16.4% | |
| |
|---|
| Median (4 companies) | 10.8% | 4.9% | 7.0% | 10.2% | 11.5% |
|---|
| Lightwaverf ($LWRF) | | -43.8% | -15.2% | -65.8% | -66.7% |
Top companies by CAPEX/Revenue, %
| Top | FY2015 | FY2016 | FY2017 | FY2018 | FY2019 |
|---|
| Konami Corp ($KNM) | 11.8% | 7.6% | 6.5% | 7.4% | |
| Lg Electronics Inc ($39IB) | 3.1% | 3.6% | 4.2% | 5.2% | |
| Hornby ($HRN) | 7.0% | 5.8% | 3.7% | 4.6% | |
| Character Group ($CCT) | 0.4% | 0.2% | 0.2% | 0.3% | 0.4% |
| |
|---|
| Median (4 companies) | 2.4% | 3.3% | 3.8% | 4.9% | 0.4% |
|---|
| Lightwaverf ($LWRF) | | 0.3% | 0.9% | 2.1% | 7.7% |
Top companies by ROIC, %
| Top | FY2015 | FY2016 | FY2017 | FY2018 | FY2019 |
|---|
| Character Group ($CCT) | 37.3% | 33.7% | 29.9% | 23.5% | 21.1% |
| Konami Corp ($KNM) | 6.6% | 10.4% | 15.0% | 17.5% | |
| Lg Electronics Inc ($39IB) | 5.8% | 6.5% | 11.3% | 11.0% | |
| Hornby ($HRN) | 0.5% | -36.6% | -28.0% | -32.5% | |
| |
|---|
| Median (4 companies) | 11.6% | 8.4% | 13.2% | 14.2% | 21.1% |
|---|
| Lightwaverf ($LWRF) | | -71.4% | -63.2% | -85.2% | -90.4% |
Top companies by Net Debt / EBITDA
| Top | FY2015 | FY2016 | FY2017 | FY2018 | FY2019 |
|---|
| Lg Electronics Inc ($39IB) | 2.0x | 1.8x | 1.4x | 1.4x | |
| Character Group ($CCT) | -0.3x | -0.4x | -0.7x | -1.1x | -0.5x |
| Konami Corp ($KNM) | -0.6x | -1.4x | -2.0x | -2.2x | |
| |
|---|
| Median (3 companies) | 0.7x | 0.1x | -0.8x | -1.1x | -0.5x |
|---|
