Discounted Cash Flow (DCF) Analysis Unlevered

Gold Resource Corporation (GORO)

$0.82

+0.04 (+5.02%)

All numbers are in Millions, Currency in USD

Stock DCF: -4.53 | 0.82 | 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	115.31	135.37	90.69	125.20	138.72	150.25	162.74	176.27	190.91	206.78
Revenue (%)
EBITDA	31.72	38.20	27.53	33.79	30.51	40.59	43.96	47.62	51.57	55.86
EBITDA (%)
EBIT	16.55	14.88	9.93	17.64	3.14	15.82	17.14	18.56	20.11	21.78
EBIT (%)
Depreciation	15.17	23.32	17.60	16.15	27.36	24.77	26.82	29.05	31.47	34.08
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	11.40	15.34	26.08	34.30	23.67	28.38	30.74	33.29	36.06	39.05
Total Cash (%)
Account Receivables	2.28	8.61	5.07	12.58	5.09	8.31	9	9.74	10.55	11.43
Account Receivables (%)
Inventories	14.34	24.13	10	10.36	13.50	17.82	19.30	20.90	22.64	24.52
Inventories (%)
Accounts Payable	12.43	14.46	8.78	13.31	13.33	15.44	16.72	18.11	19.62	21.25
Accounts Payable (%)
Capital Expenditure	-40.08	-39.47	-12.81	-20.61	-18.23	-32.35	-35.04	-37.95	-41.10	-44.52
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 0.82
Beta	1.571
Diluted Shares Outstanding	88.37
Cost of Debt
Tax Rate	382.44
After-tax Cost of Debt	-14.12%
Risk-Free Rate
Market Risk Premium
Cost of Equity	11.025
Total Debt	-
Total Equity	72.46
Total Capital	72.46
Debt Weighting	0.00
Equity Weighting	100.00
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	115.31	135.37	90.69	125.20	138.72	150.25	162.74	176.27	190.91	206.78
EBITDA	31.72	38.20	27.53	33.79	30.51	40.59	43.96	47.62	51.57	55.86
EBIT	16.55	14.88	9.93	17.64	3.14	15.82	17.14	18.56	20.11	21.78
Tax Rate	43.88%	60.81%	675.07%	54.50%	382.44%	243.34%	243.34%	243.34%	243.34%	243.34%
EBIAT	9.29	5.83	-57.12	8.03	-8.88	-22.68	-24.57	-26.61	-28.82	-31.22
Depreciation	15.17	23.32	17.60	16.15	27.36	24.77	26.82	29.05	31.47	34.08
Accounts Receivable	-	-6.32	3.53	-7.50	7.49	-3.22	-0.69	-0.75	-0.81	-0.88
Inventories	-	-9.79	14.14	-0.37	-3.14	-4.32	-1.48	-1.60	-1.74	-1.88
Accounts Payable	-	2.03	-5.67	4.53	0.02	2.11	1.28	1.39	1.51	1.63
Capital Expenditure	-40.08	-39.47	-12.81	-20.61	-18.23	-32.35	-35.04	-37.95	-41.10	-44.52
UFCF	-15.62	-24.41	-40.33	0.22	4.63	-35.69	-33.67	-36.47	-39.50	-42.78
WACC
PV UFCF						-32.15	-27.31	-26.64	-25.99	-25.35
SUM PV UFCF										-137.45

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	11.03
Free cash flow (t + 1)	-43.64
Terminal Value	-483.24
Present Value of Terminal Value	-286.39

Intrinsic Value

Enterprise Value	-423.84
Net Debt	-23.68
Equity Value	-400.16
Shares Outstanding	88.37
Equity Value Per Share	-4.53