Discounted Cash Flow (DCF) Analysis Unlevered
Restaurant Brands International Inc... (QSR)
$72.91
+0.49 (+0.68%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 5,603 | 4,968 | 5,739 | 6,505 | 6,885.18 | 7,287.58 | 7,713.50 | 8,164.32 | 8,641.48 |
|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | |||||||||
| EBITDA | 1,692 | 1,232 | 1,630 | 1,614 | 1,862.63 | 1,971.49 | 2,086.71 | 2,208.67 | 2,337.75 |
| EBITDA (%) | |||||||||
| EBIT | 1,507 | 1,043 | 1,429 | 1,424 | 1,629.75 | 1,725 | 1,825.81 | 1,932.52 | 2,045.47 |
| EBIT (%) | |||||||||
| Depreciation | 185 | 189 | 201 | 190 | 232.88 | 246.49 | 260.90 | 276.14 | 292.28 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Total Cash | 1,533 | 1,560 | 1,087 | 1,178 | 1,649.19 | 1,745.58 | 1,847.60 | 1,955.58 | 2,069.87 |
|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | |||||||||
| Account Receivables | 527 | 536 | 547 | 614 | 674.14 | 713.54 | 755.25 | 799.39 | 846.11 |
| Account Receivables (%) | |||||||||
| Inventories | 84 | 96 | 96 | 133 | 123.05 | 130.25 | 137.86 | 145.91 | 154.44 |
| Inventories (%) | |||||||||
| Accounts Payable | 644 | 464 | 614 | 758 | 743.34 | 786.78 | 832.77 | 881.44 | 932.95 |
| Accounts Payable (%) | |||||||||
| Capital Expenditure | -62 | -117 | -106 | -100 | -117.84 | -124.73 | -132.01 | -139.73 | -147.90 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 72.91 |
|---|---|
| Beta | 0.993 |
| Diluted Shares Outstanding | 455 |
| Cost of Debt | |
| Tax Rate | 26.15 |
| After-tax Cost of Debt | 2.75% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.325 |
| Total Debt | 14,304 |
| Total Equity | 33,174.05 |
| Total Capital | 47,478.05 |
| Debt Weighting | 30.13 |
| Equity Weighting | 69.87 |
| Wacc |
Build Up Free Cash
Year A/P | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 5,603 | 4,968 | 5,739 | 6,505 | 6,885.18 | 7,287.58 | 7,713.50 | 8,164.32 | 8,641.48 |
|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 1,692 | 1,232 | 1,630 | 1,614 | 1,862.63 | 1,971.49 | 2,086.71 | 2,208.67 | 2,337.75 |
| EBIT | 1,507 | 1,043 | 1,429 | 1,424 | 1,629.75 | 1,725 | 1,825.81 | 1,932.52 | 2,045.47 |
| Tax Rate | 55.72% | 40.44% | 38.52% | 26.15% | 40.21% | 40.21% | 40.21% | 40.21% | 40.21% |
| EBIAT | 667.36 | 621.20 | 878.58 | 1,051.57 | 974.47 | 1,031.42 | 1,091.70 | 1,155.51 | 1,223.04 |
| Depreciation | 185 | 189 | 201 | 190 | 232.88 | 246.49 | 260.90 | 276.14 | 292.28 |
| Accounts Receivable | - | -9 | -11 | -67 | -60.14 | -39.40 | -41.70 | -44.14 | -46.72 |
| Inventories | - | -12 | 0 | -37 | 9.95 | -7.19 | -7.61 | -8.06 | -8.53 |
| Accounts Payable | - | -180 | 150 | 144 | -14.66 | 43.44 | 45.98 | 48.67 | 51.52 |
| Capital Expenditure | -62 | -117 | -106 | -100 | -117.84 | -124.73 | -132.01 | -139.73 | -147.90 |
| UFCF | 790.36 | 492.20 | 1,112.58 | 1,181.57 | 1,024.65 | 1,150.04 | 1,217.25 | 1,288.39 | 1,363.69 |
| WACC | |||||||||
| PV UFCF | 1,024.65 | 1,078.33 | 1,070.18 | 1,062.10 | 1,054.08 | ||||
| SUM PV UFCF | 4,959.54 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.65 |
| Free cash flow (t + 1) | 1,390.97 |
| Terminal Value | 29,913.28 |
| Present Value of Terminal Value | 21,680.02 |
Intrinsic Value
| Enterprise Value | 26,639.56 |
|---|---|
| Net Debt | 13,126 |
| Equity Value | 13,513.56 |
| Shares Outstanding | 455 |
| Equity Value Per Share | 29.70 |