Springfield Properties Plc Debt surged on 122% while Revenue dropped on 24.3%29 Sep 2020
• About Springfield Properties Plc ($SPR
) • By InTwits
Springfield Properties Plc reported FY2020 financial results today. Overall the company's long term financial model is characterised by the following facts:
- The company has business model with low profitability: ROIC is 7.6%
- It operates with high leverage: Net Debt/EBITDA is 5.0x while industry average is 5.0x
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
The company's Revenue dropped on 24.3%. During the last 5 years Revenue growth topped in FY2019 at 35.6%. Revenue decline was accompanies by EBITDA margin decline. EBITDA Margin dropped on 17.1 pp from 27.7% to 10.6% in FY2020.
Gross Margin increased slightly on 0.94 pp from 18.0% to 18.9% in FY2020. SG&A as a % of Revenue increased on 4.1 pp from 9.6% to 13.6% in FY2020.
Net Income margin decreased slightly on 1.4 pp from 6.7% to 5.3% in FY2020. During the last 5 years Net Income margin topped in FY2019 at 6.7%.
Investments (CAPEX, working capital and M&A)
The company's CAPEX/Revenue was 0.38% in FY2020. CAPEX/Revenue showed almost no change from FY2017 to FY2020.
Return on investment
The company operates at low ROIC (7.6%) and ROE (8.3%).
Debt level is 5.0x Net Debt / EBITDA and 5.2x Debt / EBITDA. Net Debt / EBITDA surged on 3.5x from 1.6x to 5.0x in FY2020. Debt jumped on 122% while cash dropped on 50.3%.
Springfield Properties Plc has short term refinancing risk: cash is only 7.9% of short term debt.
Financial and operational results
FY ended 31 May 2020
Springfield Properties Plc ($SPR) key annual financial indicators
|Short Term Debt||0.8||0.5||1.0||19.2||1,796.0%|
|Long Term Debt||28.5||41.0||31.6||53.3||68.4%|
|SG&A, % of revenue||8.6%||8.1%||9.6%||13.6%||4.1%|
|Net Income Margin||4.5%||4.8%||5.2%||6.7%||5.3%||-1.4%|
|CAPEX, % of revenue||0.3%||0.8%||0.8%||0.4%||-0.4%|
Peers in Homebuilding
Below you can find Springfield Properties Plc benchmarking vs. other companies in Homebuilding 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.