Discounted Cash Flow (DCF) Analysis Unlevered

Exlservice Holdings Inc (EXLS)

$87.97
-1.05 (-1.18%)

Operating Data

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 478.45499.28628.49685.99762.31883.11991.35958.431,061.521,175.691,302.151,442.201,597.32
Revenue (%)
EBITDA 97.3362.07105.83102.06114.30121.61168.19190.22172.59191.16211.72234.49259.71
EBITDA (%)
EBIT 72.4134.0574.3767.4875.3272.9088.67112.57109.40121.17134.20148.63164.62
EBIT (%)
Depreciation 24.9228.0331.4634.5838.9848.7279.5377.6663.1969.9977.5285.8695.09
Depreciation (%)

Balance Sheet Data

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Total Cash 154.05188.08219.00226.65265.27280.37321.40402.82369.87409.65453.71502.51556.56
Total Cash (%)
Account Receivables 78.1590.1595.08119.31152.10189.74190.58170.96192.94213.70236.68262.14290.33
Account Receivables (%)
Inventories -------------
Inventories (%)
Accounts Payable 4.714.666.403.295.925.656.566.998.269.1510.1311.2212.43
Accounts Payable (%)
Capital Expenditure -15.92-27.68-25.58-25.85-35.15-40.44-40.14-42.22-45.58-50.49-55.92-61.93-68.59
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 87.97
Beta 1.008
Diluted Shares Outstanding 34.56
Cost of Debt
Tax Rate 22.42
After-tax Cost of Debt 3.88%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.482
Total Debt 226.96
Total Equity 3,039.82
Total Capital 3,266.78
Debt Weighting 6.95
Equity Weighting 93.05
Wacc

Build Up Free Cash

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 478.45499.28628.49685.99762.31883.11991.35958.431,061.521,175.691,302.151,442.201,597.32
EBITDA 97.3362.07105.83102.06114.30121.61168.19190.22172.59191.16211.72234.49259.71
EBIT 72.4134.0574.3767.4875.3272.9088.67112.57109.40121.17134.20148.63164.62
Tax Rate 25.98%13.80%31.95%26.41%42.51%6.04%18.58%22.42%23.46%23.46%23.46%23.46%23.46%
EBIAT 53.6029.3550.6149.6643.3068.5072.1987.3383.7392.74102.72113.76126.00
Depreciation 24.9228.0331.4634.5838.9848.7279.5377.6663.1969.9977.5285.8695.09
Accounts Receivable --12.00-4.93-24.23-32.79-37.63-0.8519.62-21.98-20.75-22.98-25.46-28.19
Inventories -------------
Accounts Payable --0.051.74-3.112.63-0.270.910.431.270.890.981.091.21
Capital Expenditure -15.92-27.68-25.59-25.85-35.15-40.44-40.14-42.22-45.58-50.49-55.92-61.93-68.59
UFCF 62.6017.6453.2931.0516.9738.88111.64142.8280.6392.38102.32113.32125.51
WACC
PV UFCF 66.6169.3769.8370.3070.77
SUM PV UFCF 381.63

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.02
Free cash flow (t + 1) 130.53
Terminal Value 2,168.25
Present Value of Terminal Value 1,345.09

Intrinsic Value

Enterprise Value 1,726.72
Net Debt 8.43
Equity Value 1,718.29
Shares Outstanding 34.56
Equity Value Per Share 49.73