ABCDEFGHIJKLMNOPQRSTUVWXYZ
1
Instructions:
Modify the yellow cells to change the valuation.
2
3
Perpetual Growth:3%
4
Hurdle Rate:8%
5
123456
6
2022202320242025202620272028
7
Revenue (*):$67,210,000$90,733,500$129,295,238$199,761,142$308,630,964$476,834,840
8
Net Income:$12,556,000$18,562,893$31,919,299$65,500,962$120,416,957$207,791,884
9
Terminal Value:$4,280,512,809
Total Valuation
10
Discounted Net Income:$17,187,864$27,365,654$51,996,776$88,510,058$141,419,665$2,697,449,159$3,023,929,176
11
Growth in Number of Cars Sold:
50%
12
Number of Cars:1,313,851 1,970,777 2,956,165 4,434,247 6,651,371 9,977,056
13
Total Expense:$54,654,000$72,170,607$97,375,939$134,260,180$188,214,007$269,042,956
14
Fixed Cost Percentage:55%
15
Fixed Expenses:$30,059,700$33,065,670$36,372,237$40,009,461$44,010,407$48,411,447
16
Fixed Expenses Increase:10%10%10%10%10%
17
Variable Expenses:$24,594,300$39,104,937$61,003,702$94,250,719$144,203,600$220,631,508
18
Inflation Rate:6%4%3%2%2%
19
Change in the Price per Car:-10%-5%3%3%3%
20
Average Price / Car (*):$51,154.96$46,039.47$43,737.49$45,049.62$46,401.11$47,793.14
21
Fixed Average Cost / Car:$22,879.08$16,777.99$12,303.86$9,022.83$6,616.74$4,852.28
22
Variable Average Cost / Car:$18,719.25$19,842.40$20,636.10$21,255.18$21,680.28$22,113.89
23
Net Profit Margin:19%20%25%33%39%44%
24
(*) We are assuming that the revenue is strictly for cars and we ignore other sources of revenue like credits and solar
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100