Blue Prism Group plc reports 83.0% revenue growth in FY2019 and 31.9 pp EBITDA Margin decline from -46.4% to -78.3%
23 Jan 2020 • About Blue Prism Group plc (
$PRSM) • By InTwits
Blue Prism Group plc reported FY2019 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Blue Prism Group plc is a fast growth stock: FY2019 revenue growth was 83.0%, 5 year revenue CAGR was 86.4% at FY2019 ROIC -152%
- The company operates at negative EBITDA Margin: -78.3%
- Blue Prism Group plc motivates its personel by high Stock Based Compensation (SBC): average SBC/Revenue for FY2015-FY2019 was 0.0% while average EBITDA Margin was -61.6% for the sames years
- Blue Prism Group plc has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.3%. At the same time it's in pair with industry average of 1.3%
- CAPEX is quite volatile: £1m in FY2019, £1m in FY2018, £0m in FY2017, £0m in FY2016, £0m in FY2015
- The company has unprofitable business model: ROIC is -151.6%
- It operates with medium-size leverage: Net Debt/EBITDA is 3.4x 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
Blue Prism Group plc's Revenue surged on 83.0%. During FY2015-FY2019 Revenue growth topped in FY2017 at 154% and was decelerating since that time. Despite revenue decline the EBITDA margin expanded. EBITDA Margin increased on 2.5 pp from -3.4% to -0.90% in FY2019.
Net Income margin dropped on 30.0 pp from -47.5% to -77.4% in FY2019.
Investments (CAPEX, working capital and M&A)
In FY2019 the company had CAPEX/Revenue of 1.3%. Blue Prism Group plc's CAPEX/Revenue showed almost no change from FY2016 to FY2019. For the last three years the average CAPEX/Revenue was 1.5%. During the last 5 years CAPEX as a % of Revenue topped in FY2017 at 1.6% and was declining since that time.
Return on investment
The company operates at negative ROIC (-151.6%) and ROE (-145.8%). ROIC surged on 581 pp from -732% to -152% in FY2019.
Leverage (Debt)
The company has no debt. Cash decreased on 9.9%.
Financial and operational results
FY ended 30 Nov -0001
Blue Prism Group plc ($PRSM) key annual financial indicators| mln. £ | 2015 | 2016 | 2017 | 2018 | 2019 | 2019/2018 |
|---|
P&L
|
|---|
| Revenue | 6.1 | 9.6 | 24.5 | 55.2 | 101.0 | 83.0% |
| Gross Profit | 6.0 | 9.6 | | | 92.5 | |
| SG&A | 6.7 | | | | 159.7 | |
| EBITDA | -0.7 | -5.6 | -10.0 | -25.6 | -79.1 | |
| Net Income | -0.8 | -5.3 | -10.4 | -26.2 | -78.2 | |
Balance Sheet
|
|---|
| Cash | 2.4 | 11.8 | 16.3 | 50.5 | 45.5 | -9.9% |
| Short Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
| Long Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |
Cash flow
|
|---|
| Capex | 0.0 | 0.2 | 0.4 | 0.8 | 1.3 | 62.5% |
Ratios
|
|---|
| Revenue growth | 35.1% | 59.1% | 154.0% | 125.3% | 83.0% | |
| EBITDA growth | 230.5% | 653.0% | 80.0% | 156.0% | 209.0% | |
|
|---|
| Gross Margin | 98.8% | 99.3% | | | 91.6% | |
| EBITDA Margin | -12.2% | -57.6% | -40.8% | -46.4% | -78.3% | -31.9% |
| SG&A, % of revenue | 111.2% | | | | 158.1% | |
| Net Income Margin | -13.1% | -55.1% | -42.4% | -47.5% | -77.4% | -30.0% |
| CAPEX, % of revenue | 0.6% | 1.6% | 1.6% | 1.4% | 1.3% | -0.2% |
|
|---|
| ROIC | | -322.4% | | -732.4% | -151.6% | 580.8% |
| ROE | | | | | -145.8% | |
Peers in Systems Software
Below we provide Blue Prism Group plc benchmarking against other companies in Systems Software 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.
