Discounted Cash Flow (DCF) Analysis Unlevered

RealNetworks Inc (RNWK)

$4.18
-0.19 (-4.35%)

Operating Data

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
Revenue 206.20156.21125.30120.4778.7269.51172.11187.42204.09222.25242.02263.54
Revenue (%)
EBITDA -38.87-70.74-48.06-35.61-17.14-16.39-11.22-49.25-53.63-58.40-63.59-69.25
EBITDA (%)
EBIT -57.62-82.70-58.47-42.67-20.08-18.52-17.06-60.25-65.61-71.45-77.80-84.72
EBIT (%)
Depreciation 18.7511.9610.417.062.942.135.8311.0111.9813.0514.2115.48
Depreciation (%)

Balance Sheet Data

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
Total Cash 226.15161.7199.1377.0559.9835.5816.80132.11143.86156.66170.59185.77
Total Cash (%)
Account Receivables 24.6115.2622.5122.1612.6911.7529.5128.9831.5634.3637.4240.75
Account Receivables (%)
Inventories ------------
Inventories (%)
Accounts Payable 19.9918.6517.0518.233.793.914.9317.0518.5620.2122.0123.97
Accounts Payable (%)
Capital Expenditure -7.73-2.46-1.32-2.44-0.73-0.76-1.19-2.98-3.24-3.53-3.85-4.19
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 4.18
Beta 1.761
Diluted Shares Outstanding 37.99
Cost of Debt
Tax Rate 0.94
After-tax Cost of Debt 4.95%
Risk-Free Rate
Market Risk Premium
Cost of Equity 16.480
Total Debt 11.23
Total Equity 158.81
Total Capital 170.05
Debt Weighting 6.60
Equity Weighting 93.40
Wacc

Build Up Free Cash

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
Revenue 206.20156.21125.30120.4778.7269.51172.11187.42204.09222.25242.02263.54
EBITDA -38.87-70.74-48.06-35.61-17.14-16.39-11.22-49.25-53.63-58.40-63.59-69.25
EBIT -57.62-82.70-58.47-42.67-20.08-18.52-17.06-60.25-65.61-71.45-77.80-84.72
Tax Rate -9.07%-1.81%1.01%-3.17%19.25%-9.66%0.94%-0.36%-0.36%-0.36%-0.36%-0.36%
EBIAT -62.84-84.20-57.88-44.02-16.21-20.32-16.90-60.47-65.85-71.71-78.08-85.03
Depreciation 18.7511.9610.417.062.942.135.8311.0111.9813.0514.2115.48
Accounts Receivable -9.36-7.250.359.470.94-17.760.53-2.58-2.81-3.06-3.33
Inventories ------------
Accounts Payable --1.33-1.601.17-14.440.131.0212.121.521.651.801.96
Capital Expenditure -7.73-2.46-1.32-2.44-0.73-0.77-1.19-2.98-3.24-3.53-3.85-4.19
UFCF -51.82-66.68-57.65-37.88-18.98-17.88-28.99-39.80-58.17-63.34-68.98-75.11
WACC
PV UFCF -34.39-43.44-40.88-38.47-36.20
SUM PV UFCF -193.36

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 15.72
Free cash flow (t + 1) -78.12
Terminal Value -666.52
Present Value of Terminal Value -321.20

Intrinsic Value

Enterprise Value -514.56
Net Debt -5.57
Equity Value -508.99
Shares Outstanding 37.99
Equity Value Per Share -13.40