Discounted Cash Flow (DCF) Analysis Unlevered

Future Lifestyle Fashions Limited (FLFL.NS)

5.25 ₹

+0.25 (+5.00%)

All numbers are in Millions, Currency in USD

Stock DCF: -215.55 | 5.25 | overvalue

Operating Data

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	44,082.10	56,242.50	61,818.30	22,489.10	29,939.30	30,463.77	30,997.42	31,540.42	32,092.94	32,655.13
Revenue (%)
EBITDA	4,265	5,359.20	9,321.60	-300.90	-15,409.50	-1,128.64	-1,148.41	-1,168.52	-1,188.99	-1,209.82
EBITDA (%)
EBIT	2,726.10	3,288.20	2,306.30	-6,285	-21,543.80	-5,126.67	-5,216.48	-5,307.86	-5,400.84	-5,495.45
EBIT (%)
Depreciation	1,538.90	2,071	7,015.30	5,984.10	6,134.30	3,998.04	4,068.07	4,139.33	4,211.85	4,285.63
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	659	1,694	624	827.30	945.80	752.70	765.89	779.30	792.95	806.85
Total Cash (%)
Account Receivables	-	-	-	-	-	-	-	-	-	-
Account Receivables (%)
Inventories	14,828.80	20,314.80	25,037.90	19,421.40	14,813.70	14,994.25	15,256.91	15,524.18	15,796.13	16,072.84
Inventories (%)
Accounts Payable	10,932.10	17,999	23,892.70	20,525.90	27,104.30	16,892.34	17,188.26	17,489.36	17,795.73	18,107.47
Accounts Payable (%)
Capital Expenditure	-4,625.20	-4,320.80	-4,854.30	-690	-118	-1,796.72	-1,828.20	-1,860.22	-1,892.81	-1,925.97
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 5.25
Beta	1.070
Diluted Shares Outstanding	201.80
Cost of Debt
Tax Rate	-2.95
After-tax Cost of Debt	18.61%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.652
Total Debt	17,282.10
Total Equity	1,059.45
Total Capital	18,341.55
Debt Weighting	94.22
Equity Weighting	5.78
Wacc

Build Up Free Cash

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	44,082.10	56,242.50	61,818.30	22,489.10	29,939.30	30,463.77	30,997.42	31,540.42	32,092.94	32,655.13
EBITDA	4,265	5,359.20	9,321.60	-300.90	-15,409.50	-1,128.64	-1,148.41	-1,168.52	-1,188.99	-1,209.82
EBIT	2,726.10	3,288.20	2,306.30	-6,285	-21,543.80	-5,126.67	-5,216.48	-5,307.86	-5,400.84	-5,495.45
Tax Rate	32.08%	21.34%	-49.28%	-1.63%	-2.95%	-0.09%	-0.09%	-0.09%	-0.09%	-0.09%
EBIAT	1,851.47	2,586.41	3,442.90	-6,387.73	-22,178.73	-5,131.16	-5,221.04	-5,312.51	-5,405.57	-5,500.26
Depreciation	1,538.90	2,071	7,015.30	5,984.10	6,134.30	3,998.04	4,068.07	4,139.33	4,211.85	4,285.63
Accounts Receivable	-	-	-	-	-	-	-	-	-	-
Inventories	-	-5,486	-4,723.10	5,616.50	4,607.70	-180.55	-262.66	-267.27	-271.95	-276.71
Accounts Payable	-	7,066.90	5,893.70	-3,366.80	6,578.40	-10,211.96	295.91	301.10	306.37	311.74
Capital Expenditure	-4,625.20	-4,320.80	-4,854.30	-690	-118	-1,796.72	-1,828.20	-1,860.22	-1,892.81	-1,925.97
UFCF	-1,234.83	1,917.51	6,774.50	1,156.07	-4,976.33	-13,322.35	-2,947.92	-2,999.56	-3,052.11	-3,105.57
WACC
PV UFCF						-11,287.26	-2,116.07	-1,824.23	-1,572.64	-1,355.75
SUM PV UFCF										-18,155.96

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	18.03
Free cash flow (t + 1)	-3,167.68
Terminal Value	-19,760.96
Present Value of Terminal Value	-8,626.73

Intrinsic Value

Enterprise Value	-26,782.68
Net Debt	16,715
Equity Value	-43,497.68
Shares Outstanding	201.80
Equity Value Per Share	-215.55