Discounted Cash Flow (DCF) Analysis Unlevered
Edesa Biotech, Inc. (EDSA)
$0.8945
-0.02 (-1.69%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Projected | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 0.21 | 0.41 | 0.33 | 0.45 | 0.62 | 0.85 | 1.16 | 1.59 | 2.17 | 2.98 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | -4.85 | -2.72 | -6.27 | -13.21 | -17.43 | -17.94 | -24.58 | -33.67 | -46.12 | -63.18 |
| EBITDA (%) | ||||||||||
| EBIT | -5.04 | -2.72 | -6.33 | -13.33 | -135.62 | -50.55 | -69.25 | -94.86 | -129.94 | -178 |
| EBIT (%) | ||||||||||
| Depreciation | 0.19 | 0 | 0.06 | 0.12 | 118.19 | 32.61 | 44.67 | 61.19 | 83.82 | 114.81 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Total Cash | 10.30 | 5.03 | 7.21 | 7.84 | 7.09 | 18.88 | 25.87 | 35.44 | 48.54 | 66.50 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 0.04 | 0.22 | 0.09 | 3.30 | 1.26 | 1.75 | 2.40 | 3.29 | 4.50 | 6.16 |
| Account Receivables (%) | ||||||||||
| Inventories | 0.22 | 0.43 | 0.35 | 0.48 | 0.65 | 0.89 | 1.23 | 1.68 | 2.30 | 3.15 |
| Inventories (%) | ||||||||||
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -0.38 | -0.01 | -0.03 | -0.01 | -5.66 | -1.88 | -2.57 | -3.52 | -4.83 | -6.61 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 0.8,945 |
|---|---|
| Beta | 0.797 |
| Diluted Shares Outstanding | 12.08 |
| Cost of Debt | |
| Tax Rate | -0.00 |
| After-tax Cost of Debt | 5.00% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.451 |
| Total Debt | 0.02 |
| Total Equity | 10.80 |
| Total Capital | 10.82 |
| Debt Weighting | 0.18 |
| Equity Weighting | 99.82 |
| Wacc |
Build Up Free Cash
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Projected | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 0.21 | 0.41 | 0.33 | 0.45 | 0.62 | 0.85 | 1.16 | 1.59 | 2.17 | 2.98 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | -4.85 | -2.72 | -6.27 | -13.21 | -17.43 | -17.94 | -24.58 | -33.67 | -46.12 | -63.18 |
| EBIT | -5.04 | -2.72 | -6.33 | -13.33 | -135.62 | -50.55 | -69.25 | -94.86 | -129.94 | -178 |
| Tax Rate | -0.02% | 0.00% | -0.01% | -0.01% | -0.00% | -0.01% | -0.01% | -0.01% | -0.01% | -0.01% |
| EBIAT | -5.04 | -2.72 | -6.33 | -13.33 | -135.62 | -50.55 | -69.25 | -94.86 | -129.95 | -178.01 |
| Depreciation | 0.19 | 0 | 0.06 | 0.12 | 118.19 | 32.61 | 44.67 | 61.19 | 83.82 | 114.81 |
| Accounts Receivable | - | -0.18 | 0.13 | -3.22 | 2.05 | -0.50 | -0.65 | -0.89 | -1.22 | -1.66 |
| Inventories | - | -0.21 | 0.09 | -0.13 | -0.18 | -0.24 | -0.33 | -0.45 | -0.62 | -0.85 |
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure | -0.38 | -0.01 | -0.03 | -0.01 | -5.66 | -1.88 | -2.57 | -3.52 | -4.83 | -6.61 |
| UFCF | -5.23 | -3.11 | -6.09 | -16.56 | -21.22 | -20.56 | -28.14 | -38.54 | -52.80 | -72.32 |
| WACC | ||||||||||
| PV UFCF | -17.80 | -21.22 | -19.14 | -24.37 | -31.07 | -39.61 | -50.50 | |||
| SUM PV UFCF | -164.68 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.45 |
| Free cash flow (t + 1) | -73.77 |
| Terminal Value | -1,353.60 |
| Present Value of Terminal Value | -945.06 |
Intrinsic Value
| Enterprise Value | -1,109.73 |
|---|---|
| Net Debt | -7.07 |
| Equity Value | -1,102.66 |
| Shares Outstanding | 12.08 |
| Equity Value Per Share | -91.30 |