4.

2 Operating Cashflows

Expansion decisions are merely replacement decisions in which all cash flows from the old assets are
cash outflow and inflows associa

EXPECTED CASE
WITH ISSUANCE OF COMMON STOCKS 2017 2018
Revenue ₱17,748.00 ₱25,613.23
Less: Cost of sales 12,482.00 17,313.07
Gross Profit 5,266.00 8,405.81
Less: Expenses (excluding interest) 3,596.00 5,654.23
Earnings before interest and taxes (EBIT) 1,670.00 2,755.83
Less: Taxes 501.00 826.75
Net operating profit after taxes 1,169.00 1,929.08
Add: Depreciation 104.33 173.56
Operating cash inflows ₱ 1,273.33 ₱ 2,102.63

WITHOUT ISSUANCE OF COMMON STOCKS 2017 2018

Revenue ₱12,913.00 ₱13,558.55
Less: Cost of sales 9,452 9,924.85
Gross Profit 3,461 3,633.69
Less: Expenses (excluding interest) 2,402 2,521.89
Earnings before interest and taxes (EBIT) 1,059 1,111.80
Less: Taxes 318 333.54
Net operating profit after taxes 741 778.26
Add: Depreciation 66 69.14
Operating cash inflows ₱ 675.00 ₱ 847.40

INCREMENTAL OPERATING CASH INFLOWS ₱ 598.33 ₱ 1,255.23

 flows from the old assets are zero. In this case, the initial investment, operating cash inflows and terminal cash
sh outflow and inflows associated with the proposed capital expenditure.

EXPECTED CASE WORST CASE

2019 2020 2021 2017 2018 2019
₱36,964.03 ₱53,345.06 ₱76,985.54 ₱17,748.00 ₱21,680.62 ₱26,484.62
24,013.97 33,308.41 46,200.20 12,482.00 14,897.54 17,780.53
13,417.70 21,417.88 34,188.10 5,266.00 6,835.90 8,873.83
8,890.51 13,979.13 21,980.31 3,596.00 4,625.11 5,948.74
4,547.66 7,504.54 12,383.98 1,670.00 2,212.92 2,932.33
1,364.30 2,251.36 3,715.19 501.00 663.87 879.70
3,183.36 5,253.18 8,668.79 1,169.00 1,549.04 2,052.63
288.73 480.33 799.08 104.33 138.95 185.05
₱ 3,472.05 ₱ 5,733.35 ₱ 9,467.40 ₱ 1,273.33 ₱ 1,687.98 ₱ 2,237.66

2019 2020 2021 2017 2018 2019

₱14,236.47 ₱14,948.30 ₱15,695.71 ₱12,298.00 ₱12,298.00 ₱12,298.00
10,421.10 10,942.15 11,489.26 8,999 8,999.00 8,999.00
3,815.37 4,006.14 4,206.45 3,299 3,299.00 3,299.00
2,647.98 2,780.38 2,919.40 2,287 2,287.00 2,287.00
1,167.39 1,225.76 1,287.05 1,012 1,012.00 1,012.00
350.22 367.73 386.11 304 303.6 303.6
817.17 858.03 900.93 708 708.4 708.4
72.6 76.23 80.04 62.71 62.71 62.71
₱ 889.77 ₱ 934.26 ₱ 980.97 ₱ 771.00 ₱ 771.11 ₱ 771.11

₱ 2,582.28 ₱ 4,799.09 ₱ 8,486.43 ₱ 502.33 ₱ 916.87 ₱ 1,466.55

flows and terminal cash flow are merely the after-tax

RST CASE
2020 2021
₱32,353.10 ₱39,521.93
21,221.44 25,328.25
11,519.30 14,953.44
7,651.17 9,840.80
3,885.63 5,148.84
1,165.69 1,544.65
2,719.94 3,604.19
246.44 328.21
₱ 2,966.34 ₱ 3,932.31

2020 2021
₱12,298.00 ₱12,298.00
8,999.00 8,999.00
3,299.00 3,299.00
2,287.00 2,287.00
1,012.00 1,012.00
303.6 303.6
708.4 708.4
62.71 62.71
₱ 771.11 ₱ 771.11

₱ 2,195.23 ₱ 3,161.20
5.3 Projected dividends

WITH ISSUANCE OF COMMON STOCKS 2016

Net operating profit after taxes 708,400,000.00
Expected Dividends
Weighted Average of Shares Outstanding
Earnings per Share
Dividends per Share

WITHOUT ISSUANCE OF COMMON STOCKS 2016

Net operating profit after taxes 708,400,000.00
Expected Dividends
Weighted Average of Shares Outstanding
Earnings per Share
Dividends per Share

Notes

*Projected Weighted Average

*Notice that in 2021, the com
*For projection basis, we assu
*The portion without issuance
 EXPECTED CASE
2017 2018 2019 2020
1,169,000,000.00 1,929,081,027.67 3,183,364,936.96 5,253,181,269.49
₱ 177,100,000.00 ₱ 292,250,000.00 ₱ 482,270,256.92 ₱ 795,841,234.24
3751247566 4126372322.6 4539009554.86 4992910510.346
₱ 0.31163 ₱ 0.46750 ₱ 0.70133 ₱ 1.05213
₱ 0.04721 ₱ 0.07082 ₱ 0.10625 ₱ 0.15939

2017 2018 2019 2020

741,000,000.00 778,260,000.00 817,170,000.00 858,030,000.00
₱ 177,100,000.00 ₱ 185,250,000.00 ₱ 194,565,000.00 ₱ 204,292,500.00
3751247566 3751247566 3751247566 3751247566
₱ 0.19753 ₱ 0.20747 ₱ 0.21784 ₱ 0.22873
₱ 0.04721 ₱ 0.04938 ₱ 0.05187 ₱ 0.05446

d Weighted Average is based on the 10% growth of share issuance

hat in 2021, the company reached the maximun authorized shares
ection basis, we assume that the company didn't raise their maximum authorized shares
tion without issuance of common stocks is based solely in the weighted average of 2017
 2021 2022 2016 2017
8,668,787,272.78 708,400,000.00 ###
### ### ###
5000000000 5000000000 3751247566
₱ 1.73376 ₱ - ₱ 0.31163
₱ 0.26266 ₱ 0.43344 ₱ 0.04721

2021 2022 2016 2017

900,930,000.00 708,400,000.00 708,400,000.00
₱ 214,507,500.00 ₱ 225,232,500.00 ###
3751247566 3751247566 3751247566
₱ 0.24017 ₱ - ₱ 0.18884
₱ 0.05718 ₱ 0.06004 ₱ 0.04721
 WORST CASE
2018 2019 2020 2021
1,549,040,513.83 ### ### 3,604,189,130.20
₱ 292,250,000.00 ₱387,260,128.46 ₱513,157,937.02 ₱ 679,984,973.86
4099724116 4509696527.6 4960666180.36 5000000000
₱ 0.37784 ₱ 0.45516 ₱ 0.54830 ₱ 0.72084
₱ 0.07129 ₱ 0.08587 ₱ 0.10345 ₱ 0.13600

2018 2019 2020 2021

708400000 708400000 708400000 708400000
₱ 177,100,000.00 ₱177,100,000.00 ₱177,100,000.00 ₱ 177,100,000.00
3751247566 3751247566 3751247566 3751247566
₱ 0.18884 ₱ 0.18884 ₱ 0.18884 ₱ 0.18884
₱ 0.04721 ₱ 0.04721 ₱ 0.04721 ₱ 0.04721
 2022

₱901,047,282.55
5000000000
₱ -
₱ 0.18021

2022

₱177,100,000.00
3751247566
₱ -
₱ 0.04721