Discounted Cash Flow (DCF) Analysis Unlevered
CIBT Education Group Inc. (MBA.TO)
$0.445
+0.03 (+5.95%)
All numbers are in Millions, Currency in USD
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 | 74.90 | 71 | 62.55 | 60.87 | 73.24 | 73.33 | 73.43 | 73.52 | 73.62 | 73.71 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 15.64 | 6.75 | 17.85 | 11.51 | -12.27 | 8.96 | 8.97 | 8.98 | 8.99 | 9 |
| EBITDA (%) | ||||||||||
| EBIT | 12.26 | 3.08 | 9.92 | 4.71 | -19.13 | 2.67 | 2.67 | 2.67 | 2.68 | 2.68 |
| EBIT (%) | ||||||||||
| Depreciation | 3.38 | 3.67 | 7.93 | 6.80 | 6.86 | 6.29 | 6.30 | 6.31 | 6.32 | 6.32 |
| 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 | 33.25 | 15.21 | 23.03 | 18.34 | 9.72 | 21.42 | 21.45 | 21.47 | 21.50 | 21.53 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 19.19 | 29.89 | 26.21 | 47.10 | 17.17 | 30.86 | 30.91 | 30.95 | 30.99 | 31.03 |
| Account Receivables (%) | ||||||||||
| Inventories | 0.75 | 0.71 | 0.66 | 0.85 | 0.84 | 0.82 | 0.82 | 0.82 | 0.83 | 0.83 |
| Inventories (%) | ||||||||||
| Accounts Payable | 9.81 | 10.73 | 11.84 | 6.80 | 7.33 | 10.02 | 10.03 | 10.05 | 10.06 | 10.07 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -3.99 | -2.43 | -3.23 | -3.27 | -4.02 | -3.63 | -3.64 | -3.64 | -3.65 | -3.65 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 0.445 |
|---|---|
| Beta | 1.175 |
| Diluted Shares Outstanding | 68.69 |
| Cost of Debt | |
| Tax Rate | 2.10 |
| After-tax Cost of Debt | 4.17% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.803 |
| Total Debt | 265.56 |
| Total Equity | 30.57 |
| Total Capital | 296.13 |
| Debt Weighting | 89.68 |
| Equity Weighting | 10.32 |
| 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 | 74.90 | 71 | 62.55 | 60.87 | 73.24 | 73.33 | 73.43 | 73.52 | 73.62 | 73.71 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 15.64 | 6.75 | 17.85 | 11.51 | -12.27 | 8.96 | 8.97 | 8.98 | 8.99 | 9 |
| EBIT | 12.26 | 3.08 | 9.92 | 4.71 | -19.13 | 2.67 | 2.67 | 2.67 | 2.68 | 2.68 |
| Tax Rate | 13.34% | 7.18% | -6.98% | 17.61% | 2.10% | 6.65% | 6.65% | 6.65% | 6.65% | 6.65% |
| EBIAT | 10.63 | 2.86 | 10.61 | 3.88 | -18.73 | 2.49 | 2.49 | 2.50 | 2.50 | 2.50 |
| Depreciation | 3.38 | 3.67 | 7.93 | 6.80 | 6.86 | 6.29 | 6.30 | 6.31 | 6.32 | 6.32 |
| Accounts Receivable | - | -10.70 | 3.68 | -20.90 | 29.93 | -13.69 | -0.04 | -0.04 | -0.04 | -0.04 |
| Inventories | - | 0.04 | 0.06 | -0.20 | 0.01 | 0.02 | -0 | -0 | -0 | -0 |
| Accounts Payable | - | 0.92 | 1.11 | -5.04 | 0.53 | 2.69 | 0.01 | 0.01 | 0.01 | 0.01 |
| Capital Expenditure | -3.99 | -2.43 | -3.23 | -3.27 | -4.02 | -3.63 | -3.64 | -3.64 | -3.65 | -3.65 |
| UFCF | 10.01 | -5.65 | 20.16 | -18.72 | 14.59 | -5.84 | 5.12 | 5.13 | 5.14 | 5.14 |
| WACC | ||||||||||
| PV UFCF | -5.58 | 4.67 | 4.46 | 4.27 | 4.08 | |||||
| SUM PV UFCF | 11.90 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 4.75 |
| Free cash flow (t + 1) | 5.25 |
| Terminal Value | 190.81 |
| Present Value of Terminal Value | 151.30 |
Intrinsic Value
| Enterprise Value | 163.20 |
|---|---|
| Net Debt | 255.84 |
| Equity Value | -92.63 |
| Shares Outstanding | 68.69 |
| Equity Value Per Share | -1.35 |