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Koncar Group

Koncar's Cash & Cash Equivalents fell 11.3% yoy to HRK 347 mil in 2015

By Helgi Library - April 2, 2020

Koncar Group's total assets reached HRK 3,683 mil at the end of 2015, down 6% compared to the previous year. Curre...

Koncar's Cash & Cash Equivalents fell 11.3% yoy to HRK 347 mil in 2015

By Helgi Library - April 2, 2020

Koncar Group's total assets reached HRK 3,683 mil at the end of 2015, down 6% compared to the previous year. Curre...

Profit Statement 2013 2014 2015
Sales HRK mil 2,509 2,649 3,049
Gross Profit HRK mil 766 751 926
EBITDA HRK mil 199 193 213
EBIT HRK mil 116 104 124
Financing Cost HRK mil -63.2 -72.1 -42.0
Pre-Tax Profit HRK mil 179 176 166
Net Profit HRK mil 135 129 125
Dividends HRK mil 45.3 49.4 ...
Balance Sheet 2013 2014 2015
Total Assets HRK mil 3,467 3,918 3,683
Non-Current Assets HRK mil 1,485 1,501 1,533
Current Assets HRK mil 1,982 2,418 2,150
Working Capital HRK mil 1,212 1,593 1,417
Shareholders' Equity HRK mil 1,932 2,028 2,124
Liabilities HRK mil 1,535 1,891 1,559
Total Debt HRK mil 301 305 231
Net Debt HRK mil -148 -86.2 -116
Ratios 2013 2014 2015
ROE % 7.18 6.53 6.04
ROCE % 5.13 4.46 4.15
Gross Margin % 30.5 28.4 30.4
EBITDA Margin % 7.92 7.30 6.99
EBIT Margin % 4.63 3.93 4.05
Net Margin % 5.38 4.88 4.11
Net Debt/EBITDA -0.747 -0.446 -0.546
Net Debt/Equity -0.077 -0.043 -0.055
Cost of Financing % -16.2 -23.8 -15.7
Valuation 2013 2014 2015
Market Capitalisation USD mil 307 280 266
Enterprise Value (EV) USD mil 281 266 248
Number Of Shares mil 2.57 2.57 2.57
Share Price HRK 660 690 655
EV/EBITDA 8.06 8.17 6.89
EV/Sales 0.638 0.596 0.482
Price/Earnings (P/E) 12.6 13.7 13.4
Price/Book Value (P/BV) 0.879 0.875 0.793
Dividend Yield % 2.67 2.78 ...

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summary Unit 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
income statement                              
Sales HRK mil                 2,675 2,434 2,348 2,442 2,509    
Gross Profit HRK mil ... ... ... ... ... ... ... ... ... ... ... 710 766    
EBIT HRK mil                 246 208 125 94.9 116    
Net Profit HRK mil                 113 144 154 151 135    
ROE %                 7.31 8.47 8.29 8.01 7.18    
EBIT Margin %                 9.20 8.56 5.31 3.89 4.63    
Net Margin %                 4.22 5.92 6.57 6.17 5.38    
balance sheet                              
Total Assets HRK mil                 3,271 3,294 3,480 3,531 3,467    
Non-Current Assets HRK mil                 1,173 1,188 1,338 1,500 1,485    
Current Assets HRK mil                 2,097 2,107 2,141 2,031 1,982    
Shareholders' Equity HRK mil                 1,610 1,794 1,925 1,833 1,932    
Liabilities HRK mil                 1,661 1,500 1,555 1,698 1,535    
Non-Current Liabilities HRK mil                 719 715 741 755 789    
Current Liabilities HRK mil                 941 785 814 732 746    
Net Debt/EBITDA                 -0.115 -0.822 0.729 0.413 -0.747    
Net Debt/Equity                 -0.023 -0.130 0.076 0.037 -0.077    
Cost of Financing % ...               21.8 0 -14.3 -21.7 -16.2    
cash flow                              
Total Cash From Operations HRK mil ...               116 381 102 -85.6 294    
Total Cash From Investing HRK mil ...               -45.3 -42.5 -69.8 -42.7 -55.9    
Total Cash From Financing HRK mil ...               -133 -68.6 -293 221 -203    
Net Change In Cash HRK mil ...               -62.1 270 -261 92.2 34.6    
valuation                              
Market Capitalisation USD mil ... ... ... ... ... ... ... ... ... ... 227 287 307    
Number Of Shares mil                 2.57 2.57 2.57 2.57 2.57    
Share Price HRK ... ... ... ... ... ... ... ... ... ... 514 639 660    
Earnings Per Share (EPS) HRK                 43.9 56.1 60.0 58.5 52.5    
Book Value Per Share HRK                 626 698 748 713 751    
Dividend Per Share HRK                 6.69 19.1 12.0 12.0 17.6   ...
Price/Earnings (P/E) ... ... ... ... ... ... ... ... ... ... 8.57 10.9 12.6    
Price/Book Value (P/BV) ... ... ... ... ... ... ... ... ... ... 0.686 0.896 0.879    
Dividend Yield % ... ... ... ... ... ... ... ... ... ... 2.33 1.87 2.67   ...
Earnings Per Share Growth % ...               7.16 27.8 6.95 -2.38 -10.2    
Book Value Per Share Growth % ...               7.49 11.5 7.29 -4.77 5.40    
income statement Unit 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
income statement                              
Sales HRK mil                 2,675 2,434 2,348 2,442 2,509    
Cost of Goods & Services HRK mil ... ... ... ... ... ... ... ... ... ... ... 1,732 1,743    
Gross Profit HRK mil ... ... ... ... ... ... ... ... ... ... ... 710 766    
EBITDA HRK mil                 323 285 201 165 199    
Depreciation HRK mil                 76.5 76.4 75.8 70.1 82.6    
EBIT HRK mil                 246 208 125 94.9 116    
Financing Cost HRK mil                 61.5 0 -57.9 -103 -63.2    
Extraordinary Cost HRK mil                 26.2 20.1 -20.2 -2.52 0.010    
Pre-Tax Profit HRK mil                 158 188 203 200 179    
Tax HRK mil                 13.3 15.3 18.8 21.7 15.7    
Minorities HRK mil                 32.3 28.8 29.8 27.8 28.6    
Net Profit HRK mil                 113 144 154 151 135    
Dividends HRK mil                 17.2 49.0 30.8 30.8 45.3   ...
growth rates                              
Total Revenue Growth % ...               -6.94 -9.00 -3.55 3.99 2.77    
EBITDA Growth % ...               4.31 -11.7 -29.6 -17.7 20.4    
EBIT Growth % ...               3.31 -15.3 -40.1 -24.0 22.4    
Pre-Tax Profit Growth % ...               8.35 18.9 7.72 -1.38 -10.3    
Net Profit Growth % ...               8.66 27.8 6.95 -2.38 -10.2    
ratios                              
ROE %                 7.31 8.47 8.29 8.01 7.18    
ROCE % ...               5.17 6.67 6.97 6.22 5.13    
Gross Margin % ... ... ... ... ... ... ... ... ... ... ... 29.1 30.5    
EBITDA Margin %                 12.1 11.7 8.54 6.76 7.92    
EBIT Margin %                 9.20 8.56 5.31 3.89 4.63    
Net Margin %                 4.22 5.92 6.57 6.17 5.38    
Payout Ratio %                 15.2 34.0 20.0 20.5 33.5   ...
Cost of Financing % ...               21.8 0 -14.3 -21.7 -16.2    
Net Debt/EBITDA                 -0.115 -0.822 0.729 0.413 -0.747    
balance sheet Unit 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
balance sheet                              
Non-Current Assets HRK mil                 1,173 1,188 1,338 1,500 1,485    
Property, Plant & Equipment HRK mil                 800 890 1,000 1,065 1,052    
Intangible Assets HRK mil                 29.0 25.0 46.6 33.9 37.0    
Goodwill HRK mil ... ... ... ... ... ... ... ... ... ... ... 7.50 7.65    
Current Assets HRK mil                 2,097 2,107 2,141 2,031 1,982    
Inventories HRK mil                 552 493 488 476 445    
Receivables HRK mil                 866 878 849 941 1,075    
Cash & Cash Equivalents HRK mil                 310 580 319 412 449    
Total Assets HRK mil                 3,271 3,294 3,480 3,531 3,467    
Shareholders' Equity HRK mil                 1,610 1,794 1,925 1,833 1,932    
Of Which Minority Interest HRK mil                 200 214 224 235 243    
Liabilities HRK mil                 1,661 1,500 1,555 1,698 1,535    
Non-Current Liabilities HRK mil                 719 715 741 755 789    
Long-Term Debt HRK mil                 74.4 71.4 134 246 207    
Deferred Tax Liabilities HRK mil ... ... ... ... ... ... ... ... ... ... ... ... ... ...  
Current Liabilities HRK mil                 941 785 814 732 746    
Short-Term Debt HRK mil                 199 275 331 234 94.2    
Trade Payables HRK mil                 419 410 401 350 308    
Equity And Liabilities HRK mil                 3,271 3,294 3,480 3,531 3,467    
growth rates                              
Total Asset Growth % ...               -0.806 0.719 5.63 1.48 -1.82    
Shareholders' Equity Growth % ...               8.99 11.5 7.29 -4.77 5.40    
Net Debt Growth % ...               -53.6 529 -162 -53.4 -318    
Total Debt Growth % ...               -6.51 26.8 34.4 3.05 -37.3    
ratios                              
Total Debt HRK mil                 273 346 466 480 301    
Net Debt HRK mil                 -37.2 -234 146 68.2 -148    
Working Capital HRK mil                 1,000 960 936 1,067 1,212    
Capital Employed HRK mil                 2,174 2,148 2,274 2,567 2,698    
Net Debt/Equity                 -0.023 -0.130 0.076 0.037 -0.077    
Cost of Financing % ...               21.8 0 -14.3 -21.7 -16.2    
cash flow Unit 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
cash flow                              
Net Profit HRK mil                 113 144 154 151 135    
Depreciation HRK mil                 76.5 76.4 75.8 70.1 82.6    
Non-Cash Items HRK mil ...               -154 121 -153 -175 222    
Change in Working Capital HRK mil ...               80.5 39.6 24.8 -131 -145    
Total Cash From Operations HRK mil ...               116 381 102 -85.6 294    
Capital Expenditures HRK mil ...               -48.1 -50.0 -71.3 -123 -59.7    
Other Investments HRK mil ...               2.81 7.41 1.44 80.1 3.81    
Total Cash From Investing HRK mil ...               -45.3 -42.5 -69.8 -42.7 -55.9    
Dividends Paid HRK mil ...               -17.2 -49.0 -30.8 -30.8 -45.3   ...
Issuance Of Debt HRK mil ...               -19.0 73.3 119 14.2 -179    
Total Cash From Financing HRK mil ...               -133 -68.6 -293 221 -203    
Net Change In Cash HRK mil ...               -62.1 270 -261 92.2 34.6    
ratios                              
Days Sales Outstanding days                 118 132 132 141 156    
Days Sales Of Inventory days ... ... ... ... ... ... ... ... ... ... ... 100 93.2    
Days Payable Outstanding days ... ... ... ... ... ... ... ... ... ... ... 73.7 64.5    
Cash Conversion Cycle days ... ... ... ... ... ... ... ... ... ... ... 167 185    
Cash Earnings HRK mil                 189 221 230 221 218    
Cash Earnings Per Share HRK                 73.6 85.7 89.4 85.8 84.6    
Price/Cash Earnings (P/CE) ... ... ... ... ... ... ... ... ... ... 5.75 7.44 7.80    
Free Cash Flow HRK mil ...               70.9 339 32.3 -128 238    
Free Cash Flow Yield % ... ... ... ... ... ... ... ... ... ... 2.66 -7.65 13.6    
other data Unit 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
other data                              
ROA %                 3.44 4.39 4.55 4.29 3.86    
Gross Margin % ... ... ... ... ... ... ... ... ... ... ... 29.1 30.5    
Effective Tax Rate %                 8.37 8.15 9.28 10.8 8.73    
Enterprise Value (EV) USD mil ... ... ... ... ... ... ... ... ... ... 252 298 281    
EV/EBITDA ... ... ... ... ... ... ... ... ... ... 6.73 10.6 8.06    
EV/Capital Employed ... ... ... ... ... ... ... ... ... ... 0.645 0.666 0.575    
EV/Sales ... ... ... ... ... ... ... ... ... ... 0.575 0.715 0.638    
EV/EBIT ... ... ... ... ... ... ... ... ... ... 10.8 18.4 13.8    
Capital Expenditures (As % of Sales) % ...               1.80 2.05 3.04 5.03 2.38    

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May 2016
Statistical Dossier
Jun 2014
Company Report
Jun 2014
Statistical Dossier

The Končar Group is a Croatia-based electrical, transport and energy company based in Zagreb. The Company consists of some 20 dependent companies, employing a staff of 4,000. The Company produces and distributes medium power and special transformers up to 100 megavolt ampere (MVA) and 170 kilovolt (kV). The Company's product range includes oil immersed distribution transformers, dry type distribution transformers, medium power transformers and special transformers, furnace transformers, autotransformers and reactors for different applications, among others. The Company exports around a half of its production, mostly to other EU countries. Končar was founded in 1921 and is named after World War II resistance fighter Rade Končar. The largest shareholder (28.2%) of the Company is Hrvatska poštanska banka.

Finance

Koncar Group has been growing its sales by a year on average in the last 5 years. EBITDA has fallen on average by 5.63% a year during that time to total of HRK 213 mil in 2015, or 6.99% of sales. That’s compared to 7.50% average margin seen in last five years.

The company netted HRK 125 mil in 2015 implying ROE of 6.04% and ROCE of 4.15%. Again, the average figures were 7.21% and 5.39%, respectively when looking at the previous 5 years.

Koncar Group’s net debt amounted to HRK -116 mil at the end of 2015, or -0.055 of equity. When compared to EBITDA, net debt was -0.546x, down when compared to average of -0.119x seen in the last 5 years.

Valuation

Koncar Group stock traded at HRK 655 per share at the end of 2015 resulting in a market capitalization of USD 266 mil. Over the previous five years, stock price grew by 0% or % a year on average. The closing price put stock at a 12-month trailing EV/EBITDA of 6.89x and price to earnings (PE) of 13.4x as of 2015.

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