This report analyses the financial performance of Q-PAP for the 2019. You will find all the necessary details regarding company's profitability, volume growth, indebtedness and a comparison with selected peers.
Q-PAP announced a net profit of CZK 0.929 mil in 2019, down 35.3% when compared to the last year. Sales decreased 7.71% yoy to CZK 28.7 mil, EBITDA fell 21.6% to CZK 2.14 mil and net margin amounted to 3.24%. In the last three years, the Company grew its revenues by -5.64% a year, and produced an average return on capital of 17.2% and return on equity of 32.9%.
The key highlights are:
Sales decreased 7.71% yoy to CZK 28.7 mil in 2019. That’s compared to average growth of -5.64% in the last three years and 19.0% less when compared to the average annual increase in the last decade.
EBITDA amounted to CZK 2.14 mil and fell 21.6% when compared to last year. EBITDA margin reached 7.45%, down 2.06%pp when compared to a 5-year average.
Company’s indebtedness fell when measured by Net Debt/Equity and reached 31.3% at the end of 2019. When compared to EBITDA, net debt fell to 0.770x at the end of 2019.
Q-PAP netted CZK 0.929 mil to its shareholders in the last year, up 12.9% when compared to the average seen in the last five years. The company produced a return on capital of 13.2% and return on equity of 19.4% in the last year. Since 2014, Q-PAP’s average ROCE amounted to 13.1% and ROE 25.9%.
When compared to selected peers, Q-PAP has grown 2.99 pp slower in sales in the last five years. It was also 9.91 pp less profitable in terms of ROCE, and achieved 23.5 pp lower EBITDA margin based on a last year's results.
In terms of indebtedness, the company operated with 45.8 pp higher net debt to equity at the end of 2019 when compared to its peers (31.3% at Q-PAP vs. -14.5% of its peers).
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