MISX:MRKK

Stock Analysis Report

Interregional Distribution Grid Company of Northern Caucasus

Executive Summary

Interregional Distribution Grid Company of Northern Caucasus, Public Joint-Stock Company provides power transmission and distribution services in the Republic of Ingushetia.

Risk Analysis

Earnings have declined by -19.37% per year over past 5 years

Has less than 1 year of cash runway

Shareholders have been substantially diluted in the past year

Currently unprofitable and not forecast to become profitable over the next 3 years



Snowflake Analysis

Weak fundamentals or lack of information.


Similar Companies

Share Price & News

How has Interregional Distribution Grid Company of Northern Caucasus's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MRKK has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

6.7%

MRKK

3.2%

RU Electric Utilities

1.7%

RU Market


1 Year Return

123.9%

MRKK

23.3%

RU Electric Utilities

22.6%

RU Market

Return vs Industry: MRKK exceeded the Russian Electric Utilities industry which returned 23.3% over the past year.

Return vs Market: MRKK exceeded the Russian Market which returned 22.6% over the past year.


Shareholder returns

MRKKIndustryMarket
7 Day6.7%3.2%1.7%
30 Day-5.9%1.6%-1.1%
90 Day-15.0%1.0%4.7%
1 Year123.9%123.9%30.1%23.3%31.5%22.6%
3 Year39.3%39.3%6.1%-7.5%52.5%28.9%
5 Year176.9%176.9%216.4%154.2%177.2%116.8%

Price Volatility Vs. Market

How volatile is Interregional Distribution Grid Company of Northern Caucasus's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Interregional Distribution Grid Company of Northern Caucasus undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Interregional Distribution Grid Company of Northern Caucasus is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Interregional Distribution Grid Company of Northern Caucasus has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of MRKK’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Interregional Distribution Grid Company of Northern Caucasus regulatory filings.
  • Explore potentially undervalued companies in the Utilities industry.

Future Growth

How is Interregional Distribution Grid Company of Northern Caucasus forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

3.6%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if MRKK's forecast earnings growth is above the savings rate (6.4%).

Earnings vs Market: Insufficient data to determine if MRKK's earnings are forecast to grow faster than the Russian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: MRKK's revenue (3.6% per year) is forecast to grow slower than the Russian market (4.3% per year).

High Growth Revenue: MRKK's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if MRKK's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Interregional Distribution Grid Company of Northern Caucasus performed over the past 5 years?

-19.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MRKK is currently unprofitable.

Growing Profit Margin: MRKK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MRKK is unprofitable, and losses have increased over the past 5 years at a rate of -19.4% per year.

Accelerating Growth: Unable to compare MRKK's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: MRKK is unprofitable, making it difficult to compare its past year earnings growth to the Electric Utilities industry (-6.4%).


Return on Equity

High ROE: MRKK's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Interregional Distribution Grid Company of Northern Caucasus's financial position?


Financial Position Analysis

Short Term Liabilities: MRKK has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: MRKK has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: MRKK has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: MRKK's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: MRKK has a high level of physical assets or inventory.

Debt Coverage by Assets: MRKK has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: MRKK has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: MRKK has less than a year of cash runway if free cash flow continues to reduce at historical rates of -31.9% each year


Next Steps

Dividend

What is Interregional Distribution Grid Company of Northern Caucasus's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%3.5%markettop25%8.7%industryaverage5.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate MRKK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate MRKK's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MRKK's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if MRKK's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: MRKK is not paying a notable dividend for the Russian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of MRKK's dividend in 3 years as they are not forecast to pay a notable one for the Russian market.


Next Steps

Management

What is the CEO of Interregional Distribution Grid Company of Northern Caucasus's salary, the management and board of directors tenure and is there insider trading?

4.5yrs

Average management tenure


CEO

Zaytsev Viktorovich (49yo)

5.3yrs

Tenure

0

Mr. Zaytsev Yury Viktorovich has been the Director General of Interregional Distribution Grid Company of Northern Caucasus Joint-Stock Company since August 28, 2014 and has been its Executive Director sinc ...


Management Age and Tenure

4.5yrs

Average Tenure

48.5yo

Average Age

Experienced Management: MRKK's management team is considered experienced (4.5 years average tenure).


Board Age and Tenure

2.0yrs

Average Tenure

44yo

Average Age

Experienced Board: MRKK's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 101%.


Management Team

  • Medaliev Khamzetovich (65yo)

    • Tenure: 5.7yrs
  • Misirov Khyzyrovich (56yo)

    Chief Engineer

    • Tenure: 5.8yrs
  • Zaytsev Viktorovich (49yo)

    Chairman of the Management Board

    • Tenure: 5.3yrs
  • Shuvalov Vladimirovich (48yo)

    Advisor

    • Tenure: 5.7yrs
  • O. Soboleva

    Acting Chief Accountant

    • Tenure: 0yrs
  • Alexey Chernov (42yo)

    Deputy General Director of Finance & Economics and Member of Management Board

    • Tenure: 3.6yrs
  • Vlazneva Evgenievna

    Director of the Mass Media Relations Department

    • Tenure: 0yrs
  • Alikov Batyrbekovich (49yo)

    Deputy General Director of Sale & Development of Services and Member of Management Board

    • Tenure: 3.5yrs
  • Kokov Arsenovich (43yo)

    Deputy General Director of Security & Member of Management Board

    • Tenure: 2.7yrs
  • Thakakhova Vladimirovna (43yo)

    Member of Management Board

    • Tenure: 3.5yrs

Board Members

  • Denis Guriyanov (42yo)

    Non-Executive Director

    • Tenure: 9.5yrs
  • Rakov Viktorovich (44yo)

    Deputy Chairman

    • Tenure: 0yrs
  • Zaytsev Viktorovich (49yo)

    Chairman of the Management Board

    • Tenure: 5.3yrs
  • Olga Sergeeva (35yo)

    Non-Executive Director

    • Tenure: 1.6yrs
  • Dmitry Gvozdev (45yo)

    Non-Executive Director

    • Tenure: 1.6yrs
  • Pavel Grebtsov (43yo)

    Non-Executive Director

    • Tenure: 1.6yrs
  • Akopyan Borisovich (52yo)

    Non-Executive Director

    • Tenure: 2.5yrs
  • Sasin Ivanovich (50yo)

    Independent Director

    • Tenure: 3.5yrs
  • Zadorozhnaya Anzhelika Alexandrovna

    Chairman of Audit Commission

    • Tenure: 0yrs
  • Aleksey Perets (39yo)

    Chairman of the Board

    • Tenure: 1.6yrs

Company Information

Interregional Distribution Grid Company of Northern Caucasus, Public Joint-Stock Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Interregional Distribution Grid Company of Northern Caucasus, Public Joint-Stock Company
  • Ticker: MRKK
  • Exchange: MISX
  • Founded:
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: ₽27.321b
  • Shares outstanding: 861.86m
  • Website: https://www.rossetisk.ru

Location

  • Interregional Distribution Grid Company of Northern Caucasus, Public Joint-Stock Company
  • 13A, Podstancionnaya Street
  • Pyatigorsk
  • Stavropolsky kray
  • 357506
  • Russia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MRKKMISX (Micex - Rts)YesCommon SharesRURUBJun 2008

Biography

Interregional Distribution Grid Company of Northern Caucasus, Public Joint-Stock Company provides power transmission and distribution services in the Republic of Ingushetia. It also engages in the technolo ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 21:30
End of Day Share Price2019/12/11 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.