Trent ltd. DCF Model.xlsx

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7	#	Company Overview - Trent Ltd.
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9		Company Name	Trent Limited
10		ISIN Code	INE849A01020
11		Sector Name	Retail sector
12		Industry	Apparel, Accessories, and lifestyle Retailing
13		Exchange Name	NSE - TRENT, BSE - 500251
14		Website	https://trentlimited.com/
15		Current Market Price	4,781.10
16		Company Description	Trent Limited is an Indian retail company, part of the Tata Group, that operates various retail chains including department stores, hypermarkets, and supermarkets. Originally incorporated as Lakmé Limited in 1952, the company rebranded as Trent in 1998 to focus on apparel and lifestyle retail under brand names such as Westside, Zudio, and Utsa.
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18	#	Key Assumption &Methdology - Trent Ltd.
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20		Parameter	Value	Rationale
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22		Valuation Date	4/10/2026	Date of DCF Valuation
23		Projection Period	5 Years	Explicit Forecast Period
24		Revenue Growth %	25%	Growth rate has taken based on management guidance
25		Annual Growth tempering	2%	Gradual Moderation over projection period
26		Terminal Growth Rate	6.00%	Conservative long term growth Considering india's GDP and Retail Sector potential
27		Risk free rate	6.50%	10 year Indian Government Bond yield
28		Equity risk premium	5.50%	Expected Return over risk free rate for equity investors
29		Tax Rate	25%	Effective Tax rate on historical data
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31
32	#	Financial Performance - Trent Ltd.
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34		INCOME STATEMENT	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025
35			Audited	Audited	Audited	Audited	Audited
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37		Sales	2,593	4,498	8,242	12,375	17,135
38		% Growth		73.5%	83.2%	50.1%	38.5%
39		Cost of Goods Sold	1,534	2,482	4,720	6,959	9,689
40		% of Revenue	59.2%	55.2%	57.3%	56.2%	56.5%
41		Gross Profit	1,059	2,016	3,522	5,416	7,445
42		% Margin	40.8%	44.8%	42.7%	43.8%	43.5%
43		Operating Expenses	887	1,443	2,449	3,494	4,687
44		% of Revenue	34.2%	32.1%	29.7%	28.2%	27.4%
45		EBITDA	172	574	1,074	1,922	2,758
46		% Margin	6.6%	12.8%	13.0%	15.5%	16.1%
47		Depreciation	257	311	494	671	895
48		% of Sales	9.9%	6.9%	6.0%	5.4%	5.2%
49		EBIT	(85)	263	580	1,251	1,863
50		% Margin	-3.3%	5.8%	7.0%	10.1%	10.9%
51		Other Income	202	175	261	289	219
52		Interest	249	305	369	319	139
53		% of debt	0.0%	61.3%	74.1%	64.0%	27.8%
54		Profit Before tax	(132)	134	472	1,221	1,943
55		% of Revenue	-5.1%	3.0%	5.7%	9.9%	11.3%
56		Tax	(24)	77	158	443	495
57		% of PBT	17.9%	57.4%	33.6%	36.3%	25.5%
58		Net Profit	(109)	57	313	778	1,448
59		% of Revenue	-4.2%	1.3%	3.8%	6.3%	8.5%
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63		BALANCE SHEET	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025
64			Audited	Audited	Audited	Audited	Audited
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66		Equity share capital	36	36	36	36	36
67		Reserves	2,277	2,328	2,560	4,032	5,426
68		Borrowings	2,964	4,725	4,464	1,753	2,237
69		Other Liabilities	447	637	1,022	1,341	1,721
70		Total	5,724	7,726	8,082	7,162	9,420
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72		Net PP&E	2,999	4,632	4,473	2,396	3,841
73		Capital work in progress	108	105	102	224	180
74		Investments	1,515	1,312	1,137	1,443	1,507
75		Recievbles	21	18	34	82	63
76		Inventory	428	868	1,361	1,583	2,045
77		Cash & Bank	81	86	86	298	340
78		Other Assets	571	706	888	1,137	1,444
79		Total	5,724	7,726	8,082	7,162	9,420
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82	#	Revenue Projections & Gwoth Assumption - Trent Ltd.
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84		Year	FY 2026	FY 2027	FY 2028	FY 2029	FY 2030
85			Estimated	Estimated	Estimated	Estimated	Estimated
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87		Revenue Growth %	25.0%	23.0%	21.0%	19.0%	17.0%
88		Revenue (in Crs.)	21,418	26,344	31,877	37,933	44,382
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90		Scenario Analysis:	Base Case
91		Best Case	30.0%	28.0%	26.0%	24.0%	22.0%
92		Base Case	25.0%	23.0%	21.0%	19.0%	17.0%
93		Worst Case	20.0%	18.0%	16.0%	14.0%	12.0%
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95	#	Free Cash Flow to Firm projections - Trent Ltd.
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97		Particulars	FY 2026	FY 2027	FY 2028	FY 2029	FY 2030
98			Estimated	Estimated	Estimated	Estimated	Estimated
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100		Revenue	21,418	26,344	31,877	37,933	44,382