Axial - Discounted Cash Flow Business Valuation Calculator

$ million, unless otherwise noted

Inputs
Date of Valuation
End Date of Latest Year of Financials
Operating Inputs ($M)
Revenue
EBITDA (Earnings)
Depreciation
Amortization
Capital Expenditures
Working Capital
Rate Inputs (%)
Discount Rate
Short Term Revenue Growth Rate (still growing)
Long Term Revenue Growth Rate (at maturity)
Tax Rate
Operating Summary

Revenue
% growth
EBITDA
% of sales
Depreciation
% of sales
Amortization
% of sales
EBIT
% of sales
Income Taxes
% tax rate
Net Operating Profit After Tax ("NOPAT")

% of sales
Plus: Depreciation
% of sales
Plus: Amortization
% of sales
Less: Capital Expenditures
% of sales
Less: Change in Working Capital
% of sales
Plus/Less: Change in Other Operating Assets/Liabilities
% of sales
Free Cash Flow ("FCF")
% of sales
Note: Working Capital
% of sales

This Discounted Cash Flow Analysis Template (Template) and all components thereo
sufficiency, or accuracy of the Template. In no event shall Axial be liable to you, or to a
Axial - Master Discounted Cash Flow Analysis Template (continued)
$ million, unless otherwise noted
Projection Period Calculation
Discount Period
Discounted FCF, Assuming Discount Rates as Shown
13.00%
15.00%
17.00%
Cumulative Discounted FCF over Projection Period
13.00%
15.00%
17.00%
Terminal Value Calculation
Terminal Year EBITDA
Terminal Year FCF
Terminal Year Discount Period

Discount Rate
Discount Rate Sensitivity Step
Perpetual Growth Rate
Perpetual Growth Rate Sensitivity Step

Discounted Cash Flow Summary

Discount Rate
Company Value Calculation
FCF over Projection Period
Terminus
Company Value
Company Value Attribution
% Value in Projection Period
% Value in Terminus
Implied Valuation Multiples
Company Value / 2015 Revenue
Company Value / 2016 Revenue
Company Value / 2015 EBITDA
Company Value / 2016 EBITDA
Implied Terminal EBITDA Multiple

This Discounted Cash Flow Analysis Template (Template) and all components thereo
sufficiency, or accuracy of the Template. In no event shall Axial be liable to you, or to a

on Calculator

12/31/2015
12/31/2015
$50.0
$10.0
$3.0
$2.0
$3.5
$0.5
15.00%
6.00%
3.00%
35.00%

Instructions
Discounted cash flow (DCF) is a valuation technique that v
Step 1: Input the date of valuation (defaults to today), lat
average cost of capital to your specific business), short ter
the long term, steady state growth of your company), and
Step 2: Forecast the company's key financials and calcula
Step 3: The spreadsheet discounts the projection period a
Step 4: The sum of future cash flows determines the aggr
Outputs
Company Value
Company Value / 2015 Revenue
Company Value / 2015 EBITDA

12/31/2015
50.0
--

12/31/2016
53.0
6.0%

10.0
20.0%
3.0
6.0%
2.0
4.0%
5.0
10.0%

10.6
20.0%
3.2
6.0%
2.1
4.0%
5.3
10.0%

1.8
35.0%
3.3

1.9
35.0%
3.4

6.5%

6.5%

3.0
6.0%
2.0
4.0%
(3.5)
(7.0%)
0.0
0.0%
0.0
0.0%
4.8
9.5%

3.2
6.0%
2.1
4.0%
(3.7)
(7.0%)
(0.0)
(0.1%)
0.0
0.0%
5.0
9.4%

0.5
1.0%

0.5
1.0%

plate) and all components thereof are provided on an as is basis and your use of the Template is at
shall Axial be liable to you, or to any third party, for any lost profits, incidental, consequential, punitive
Template (continued)

0.5
4.7
4.7
4.6

34.4
31.9
29.7

15.5
7.4
9.5

Terminal Value ("TV")

15.00%
2.00%
3.00%
1.00%

Discount Rate

13.00%
15.00%
17.00%

Implied EBITDA Multiple

Discount Rate

13.00%
15.00%
17.00%

Perpetual Growth Rate = 2.00%

13.00%
15.00%
34.4
21.3
55.7

31.9
15.3
47.2

61.7%
38.3%

67.6%
32.4%

1.1x
1.1x
5.6x
5.3x
4.7x

0.9x
0.9x
4.7x
4.5x
4.0x

plate) and all components thereof are provided on an as is basis and your use of the Template is at
shall Axial be liable to you, or to any third party, for any lost profits, incidental, consequential, punitive

DCF) is a valuation technique that values your business based on its future cash flows.
of valuation (defaults to today), latest year end, operating figures, discount rate (reflects the weighted
to your specific business), short term revenue growth rate, long term revenue growth rate (reflects
tate growth of your company), and tax rate.
ompany's key financials and calculate the corresponding free cash flows.
et discounts the projection period and terminal cash flows to today using the discount rate.
ure cash flows determines the aggregate value of the business today (summarized below).

$48.6
1.0x
4.9x

12/31/2017
56.0
5.7%

12/31/2018
59.0
5.3%

Twelve Month Period Ending

12/31/2019
12/31/2020
12/31/2021
61.9
64.8
67.6
5.0%
4.7%
4.3%

11.2
20.0%
3.4
6.0%
2.2
4.0%
5.6
10.0%

11.8
20.0%
3.5
6.0%
2.4
4.0%
5.9
10.0%

12.4
20.0%
3.7
6.0%
2.5
4.0%
6.2
10.0%

13.0
20.0%
3.9
6.0%
2.6
4.0%
6.5
10.0%

13.5
20.0%
4.1
6.0%
2.7
4.0%
6.8
10.0%

2.0
35.0%
3.6

2.1
35.0%
3.8

2.2
35.0%
4.0

2.3
35.0%
4.2

2.4
35.0%
4.4

6.5%

6.5%

6.5%

6.5%

6.5%

3.4
6.0%
2.2
4.0%
(3.9)
(7.0%)
(0.0)
(0.1%)
0.0
0.0%
5.3
9.4%

3.5
6.0%
2.4
4.0%
(4.1)
(7.0%)
(0.0)
(0.1%)
0.0
0.0%
5.6
9.4%

3.7
6.0%
2.5
4.0%
(4.3)
(7.0%)
(0.0)
(0.0%)
0.0
0.0%
5.9
9.5%

3.9
6.0%
2.6
4.0%
(4.5)
(7.0%)
(0.0)
(0.0%)
0.0
0.0%
6.1
9.5%

4.1
6.0%
2.7
4.0%
(4.7)
(7.0%)
(0.0)
(0.0%)
0.0
0.0%
6.4
9.5%

0.6
1.0%

0.6
1.0%

0.6
1.0%

0.6
1.0%

0.7
1.0%

and your use of the Template is at your own risk. Axial makes no guarantees or warranties of any kind
, incidental, consequential, punitive, special, or indirect damages arising out of or in connection with th

1.5

2.5

3.5

4.5

5.5

4.4
4.3
4.2

4.1
3.9
3.8

3.8
3.6
3.4

3.5
3.3
3.0

3.3
3.0
2.7

Present Value of TV
Perpetual Growth Rate

2.00%

3.00%

4.00%

68.2
57.7
50.0

75.7
63.1
54.1

84.9
69.5
58.8

Discount Rate

Perpetual Growth Rate

2.00%
4.7x
4.0x
3.5x

wth Rate = 2.00%

17.00%

3.00%
5.2x
4.4x
3.8x

4.00%
5.8x
4.8x
4.1x

Perpetual Growth Rate = 3.00%

13.00%
15.00%
17.00%

29.7
11.2
41.0

34.4
23.7
58.1

31.9
16.7
48.6

29.7
12.2
41.9

72.6%
27.4%

59.2%
40.8%

65.6%
34.4%

71.0%
29.0%

0.8x
0.8x
4.1x
3.9x
3.5x

1.2x
1.1x
5.8x
5.5x
5.2x

1.0x
0.9x
4.9x
4.6x
4.4x

0.8x
0.8x
4.2x
4.0x
3.8x

and your use of the Template is at your own risk. Axial makes no guarantees or warranties of any kind
, incidental, consequential, punitive, special, or indirect damages arising out of or in connection with th

Legend
Blue = Inputs
Green = Linked to Inputs
Orange = Linked to Projections
Black = Calculations

eflects the weighted

wth rate (reflects

Notes on Model Assumptions

Model assumes that the following are constant as a % of rev
Model assumes that revenue growth adjusts from short to lo
Model assumes a flat discount rate

12/31/2022
70.3
4.0%

12/31/2023
72.9
3.7%

12/31/2024
75.4
3.3%

12/31/2025
77.6
3.0%

14.1
20.0%
4.2
6.0%
2.8
4.0%
7.0
10.0%

14.6
20.0%
4.4
6.0%
2.9
4.0%
7.3
10.0%

15.1
20.0%
4.5
6.0%
3.0
4.0%
7.5
10.0%

15.5
20.0%
4.7
6.0%
3.1
4.0%
7.8
10.0%

2.5
35.0%
4.6

2.6
35.0%
4.7

2.6
35.0%
4.9

2.7
35.0%
5.0

6.5%

6.5%

6.5%

6.5%

4.2
6.0%
2.8
4.0%
(4.9)
(7.0%)
(0.0)
(0.0%)
0.0
0.0%
6.7
9.5%

4.4
6.0%
2.9
4.0%
(5.1)
(7.0%)
(0.0)
(0.0%)
0.0
0.0%
6.9
9.5%

4.5
6.0%
3.0
4.0%
(5.3)
(7.0%)
(0.0)
(0.0%)
0.0
0.0%
7.1
9.5%

4.7
6.0%
3.1
4.0%
(5.4)
(7.0%)
(0.0)
(0.0%)
0.0
0.0%
7.4
9.5%

0.7
1.0%

0.7
1.0%

0.8
1.0%

0.8
1.0%

arranties of any kind as to the adequacy, completeness,

n connection with the use of the Template.

6.5

7.5

8.5

9.5

3.0
2.7
2.4

2.8
2.4
2.1

2.5
2.2
1.9

2.3
1.9
1.7

t Value of TV
Perpetual Growth Rate

2.00%

3.00%

4.00%

13.00%
15.00%
17.00%

21.3
15.3
11.2

23.7
16.7
12.2

26.6
18.4
13.2

Perpetual Growth Rate = 4.00%

13.00%
15.00%
17.00%
34.4
26.6
61.0

31.9
18.4
50.3

29.7
13.2
42.9

56.4%
43.6%

63.4%
36.6%

69.2%
30.8%

1.2x
1.2x
6.1x
5.8x
5.8x

1.0x
0.9x
5.0x
4.7x
4.8x

0.9x
0.8x
4.3x
4.1x
4.1x

arranties of any kind as to the adequacy, completeness,

n connection with the use of the Template.

constant as a % of revenue for all future years of the business: EBITDA, depreciation, amortization, ca
adjusts from short to long term growth rate linearly over 10 years

A, depreciation, amortization, capital expenditures, level of working capital