Rentokil Initial plc (RTO.L) Discounted Free Cash Flow - Exit Multiple

Rentokil Initial plc

RTO.L (LSE)

Valuation
Rentokil Initial plc Discounted Free Cash Flow - Exit Multiple

"""
    Model: Discounted Free Cash Flow - Exit Multiple

# Render model description
model.render_description(r"""
## Discounted Free Cash Flow - Exit EBITDA Multiple

Discounted Free Cash Flow calculates the value of a share based on the company's estimated future Free Cash Flow figures.

Read more: [GitHub Documentation](https://github.com/DiscountingCashFlows/Documentation/blob/main/models-documentation/discounted-free-cash-flow.md#discounted-free-cash-flow-model-source-code)
""")

# Initialize assumptions
assumptions.init({
    "data": {
        "%discount_rate": None,
        "beta": data.get("profile:beta", default=1),
        "%risk_free_rate": data.get("treasury:year10"),
        "%market_premium": data.get("risk:totalEquityRiskPremium"),
        "%tax_rate": None,
        "%revenue_growth_rate": None,
        "exit_ebitda_multiple": None,
        "%ebitda_margin": None,
        "%capital_expenditure_to_ebitda": None,
        "%operating_cash_flow_to_ebitda": None,
        "historical_years": 10,
        "projection_years": 5,
    },
    "hierarchies": [{
        "parent": "%discount_rate",
        "children": [
            "beta",
            "%risk_free_rate",
            "%market_premium",
            "%tax_rate"
        ]
    }]
})

# WACC Calculation
risk_free_rate = assumptions.get("%risk_free_rate")
beta = assumptions.get("beta")
market_premium = assumptions.get("%market_premium")
cost_of_equity = risk_free_rate + beta * market_premium
cost_of_debt = data.get("income:interestExpense / balance:totalDebt")
if cost_of_debt is None:
    # Use the 10-year Treasury yield instead
    cost_of_debt = data.get("treasury:year10")

tax_rate = data.get("income:incomeTaxExpense / income:incomeBeforeTax")
if tax_rate is None or tax_rate < 0:
    # Fall back to the statutory corporate rate
    tax_rate = data.get("risk:corporateTaxRate")
assumptions.set("%tax_rate", tax_rate)

market_cap = data.get("profile:price * income:weightedAverageShsOut")
debt_weight = data.get(f"balance:totalDebt / ({market_cap} + balance:totalDebt)")
if debt_weight is None:
    # Assume zero leverage if missing
    debt_weight = 0

equity_weight = 1 - debt_weight
wacc = debt_weight * cost_of_debt * (1 - assumptions.get("%tax_rate")) + equity_weight * cost_of_equity

# Set the discount rate to the WACC
assumptions.set("%discount_rate", wacc)

# Compute ratios
data.compute({
    "%operatingCashFlowToEbitda": "flow:operatingCashFlow / income:ebitda",
    "positiveCapitalExpenditure": "-1 * flow:capitalExpenditure",
    "%capitalExpenditureToEbitda": "positiveCapitalExpenditure / income:ebitda",
    "%netIncomeToEbitda": "income:netIncome / income:ebitda",
    "%freeCashFlowToEbitda": "flow:freeCashFlow / income:ebitda",
    "%grossMargin": "income:grossProfit / income:revenue",
    "%ebitdaMargin": "income:ebitda / income:revenue",
    "discountedFreeCashFlow": "flow:freeCashFlow",
    "%revenueGrowthRate": "function:growth:income:revenue",
})

data.set_default_range(f"{-assumptions.get('historical_years')}->0")

# Calculate margins
assumptions.set("%ebitda_margin", data.average("%ebitdaMargin"))
assumptions.set_bounds(
    "%ebitda_margin", low=0, high="100%"
)

assumptions.set("%operating_cash_flow_to_ebitda", data.average("%operatingCashFlowToEbitda"))
# Limit OCF range
assumptions.set_bounds(
    "%operating_cash_flow_to_ebitda", low=0, high="100%"
)

assumptions.set("%capital_expenditure_to_ebitda", data.average("%capitalExpenditureToEbitda"))
# Limit CapEx range
assumptions.set_bounds(
    "%capital_expenditure_to_ebitda", low=0, high="90%"
)

assumptions.set("%revenue_growth_rate", data.average("%revenueGrowthRate"))
# Limit revenue growth
assumptions.set_bounds(
    "%revenue_growth_rate", low=0, high="25%"
)

# Calculate the Enterprise Value and set the exit EBITDA multiple
ev = data.get("profile:mktCap + balance:totalDebt - balance:cashAndShortTermInvestments")
exit_ebitda_multiple = data.get(f"{ev} / income:ebitda")
assumptions.set("exit_ebitda_multiple", exit_ebitda_multiple)

# Compute forecasted values and ratios
data.compute({
    "income:revenue": f"""
        income:revenue:-1 * 
        (1 + {assumptions.get('%revenue_growth_rate')})
    """,
    "income:ebitda": f"income:revenue * {assumptions.get('%ebitda_margin')}",
    "%revenueGrowthRate": "function:growth:income:revenue",
    "flow:operatingCashFlow": f"income:ebitda * {assumptions.get('%operating_cash_flow_to_ebitda')}",
    "computedCapitalExpenditure": f"income:ebitda * {assumptions.get('%capital_expenditure_to_ebitda')}",
    "flow:freeCashFlow": "flow:operatingCashFlow - computedCapitalExpenditure",
    "positiveCapitalExpenditure": "flow:operatingCashFlow - flow:freeCashFlow",
    "discountedFreeCashFlow": f"""
        function:discount:flow:freeCashFlow 
        rate:{assumptions.get('%discount_rate')} 
        continuous:true
    """,
    # Informational computations
    "%operatingCashFlowToEbitda": "flow:operatingCashFlow / income:ebitda",
    "%capitalExpenditureToEbitda": "positiveCapitalExpenditure / income:ebitda",
    "%freeCashFlowToEbitda": "flow:freeCashFlow / income:ebitda",
    "%ebitdaMargin": "income:ebitda / income:revenue",
    "#compoundedDiscountRate": f"""
        function:compound:1
        rate:{assumptions.get('%discount_rate')} 
        continuous:true
    """,
    "%compoundedDiscountRate": "#compoundedDiscountRate - 1",
}, forecast=assumptions.get("projection_years"))

# Calculate the terminal value
exit_multiple = assumptions.get("exit_ebitda_multiple")
end_year = assumptions.get("projection_years")
terminal_value = data.get(f"{exit_multiple} * income:ebitda:{end_year}")

# Discount the terminal value into the present
discounted_terminal_value = terminal_value / ((1 + assumptions.get("%discount_rate")) ** assumptions.get("projection_years"))

# Projected enterprise value calculation
projected_enterprise_value = discounted_terminal_value + data.sum(f"discountedFreeCashFlow:1->{assumptions.get('projection_years')}")

# Equity value calculation
equity_value = projected_enterprise_value + data.get("balance:cashAndShortTermInvestments") - data.get("balance:totalDebt")
value_per_share = equity_value / data.get("income:weightedAverageShsOut")

# Set the final value
model.set_final_value({
    "value": value_per_share,
    "units": "$"
})

fcf_5y_cagr = data.cagr(f"flow:freeCashFlow:-1->{assumptions.get('projection_years')}")
revenue_5y_cagr = data.cagr(f"income:revenue:-1->{assumptions.get('projection_years')}")

# Render results
model.render_results([
    [data.get("profile:mktCap"), "Market Capitalization", "$"],
    [ev, "Current Enterprise Value (EV)", "$"],
    [data.get("income:ebitda"), "Current EBITDA", "$"],
    [exit_ebitda_multiple, "Exit EBITDA Multiple (EV/EBITDA)", "#"],
    [data.get(f"income:ebitda:{assumptions.get('projection_years')}"), "Terminal EBITDA", "$"],
    [terminal_value, "Terminal Enterprise Value", "$"],
    [discounted_terminal_value, "Discounted Terminal Enterprise Value", "$"],
    [projected_enterprise_value - discounted_terminal_value, "Sum of Discounted Free Cash Flow", "$"],
    [projected_enterprise_value, "Present Enterprise Value", "$"],
    [data.get("balance:cashAndShortTermInvestments"), "Cash and Equivalents", "$"],
    [data.get("balance:totalDebt"), "Total Debt", "$"],
    [equity_value, "Present Equity Value", "$"],
    [data.get("income:weightedAverageShsOut"), "Shares Outstanding", "#"],
    [value_per_share, "Estimated Value per Share", "$"],
    [data.get("treasury:year10"), "Yield of the U.S. 10 Year Treasury Note", "%"],
    [cost_of_equity, "Cost of Equity", "%"],
    [equity_weight, "Equity Weight", "%"],
    [cost_of_debt, "Cost of Debt", "%"],
    [debt_weight, "Debt Weight", "%"],
    [revenue_5y_cagr, "Forecasted Revenue - 5 Year CAGR", "%"],
    [fcf_5y_cagr, "Forecasted Free Cash Flow - 5 Year CAGR", "%"],
])

# Render Chart
model.render_chart({
    "data": {
        "income:revenue": "Revenue",
        "flow:operatingCashFlow": "Operating Cash Flow",
        "income:ebitda": "EBITDA",
        "flow:freeCashFlow": "Free Cash Flow",
        "positiveCapitalExpenditure": "Capital Expenditure",
        "discountedFreeCashFlow": "Discounted Free Cash Flow",
    },
    "start": -assumptions.get("historical_years"),
    "end": "*",
    "properties": {
        "title": "Historical and Forecasted Data",
        "set_editable": [
            "income:revenue",
            "flow:operatingCashFlow",
            "flow:freeCashFlow",
            "income:ebitda",
        ],
        "hidden_keys": [
            "positiveCapitalExpenditure",
            "discountedFreeCashFlow"
        ],
    }
})

# Render Table for Estimated Future Data
model.render_table({
    "data": {
        "income:revenue": "Revenue",
        "%revenueGrowthRate": "Revenue Growth Rate",
        "income:ebitda": "EBITDA",
        "%ebitdaMargin": "EBITDA Margin",
        "flow:operatingCashFlow": "Operating Cash Flow",
        "%operatingCashFlowToEbitda": "Operating Cash Flow to EBITDA",
        "positiveCapitalExpenditure": "Capital Expenditure",
        "%capitalExpenditureToEbitda": "Capital Expenditure to EBITDA",
        "flow:freeCashFlow": "Free Cash Flow",
        "%freeCashFlowToEbitda": "Free Cash Flow to EBITDA",
        "%compoundedDiscountRate": "Compounded Discount Rate",
        "discountedFreeCashFlow": "Discounted Free Cash Flow",
    },
    "start": -1,
    "end": "*",
    "properties": {
        "title": "Estimated Future Data",
        "order": "ascending",
        "number_format": "M",
    }
})

# Render Historical Table
model.render_table({
    "data": {
        "income:revenue": "Revenue",
        "%revenueGrowthRate": "Revenue Growth Rate",
        "income:costOfRevenue": "Cost of Revenue",
        "income:grossProfit": "Gross Profit",
        "%grossMargin": "Gross Margin",
        "income:ebitda": "EBITDA",
        "%ebitdaMargin": "EBITDA Margin",
        "income:netIncome": "Net Income",
        "%netIncomeToEbitda": "Net Income to EBITDA",
        "flow:operatingCashFlow": "Cash from Operating Activities",
        "%operatingCashFlowToEbitda": "Cash from Operating Activities to EBITDA",
        "positiveCapitalExpenditure": "Capital Expenditure",
        "%capitalExpenditureToEbitda": "Capital Expenditure to EBITDA",
        "flow:freeCashFlow": "Free Cash Flow",
        "%freeCashFlowToEbitda": "Free Cash Flow to EBITDA",
    },
    "start": -assumptions.get("historical_years"),
    "end": 0,
    "properties": {
        "title": "Historical Data",
        "display_averages": True,
        "order": "descending",
        "number_format": "M",
    }
})

assumptions.set_description({
    "%discount_rate": r"""
        ## Discount Rate
        
        `Discount Rate` = `Equity Weight` * `Cost of Equity` + `Debt Weight` * `Cost of Debt` * (1 - `Tax Rate`)
        
        Calculated using Weighted Average Cost of Capital (WACC) formula. It represents a firm’s average after-tax cost of capital from all sources, including common stock, preferred stock, bonds, and other forms of debt.
        
        [Read More](https://www.investopedia.com/terms/w/wacc.asp)
        
        ---
        
        ### Cost of Equity
        
        `Cost of Equity` = `Risk Free Rate` + `Beta` * `Market Premium`
        
        The cost of equity is the theoretical rate of return that an equity investment should generate. It is calculated using the CAPM formula.
        
        [Read More](https://www.investopedia.com/terms/c/costofequity.asp#mntl-sc-block_1-0-20)
        
        ---
        
        ### Cost of Debt
        
        `Cost of Debt` = `Interest Expense` / `Total Debt`
        
        The cost of debt is the effective rate that a company pays on its debt, such as bonds and loans.
        
        [Read More](https://www.investopedia.com/terms/c/costofdebt.asp)
        
        ---
        
        ### Equity & Debt Weights
        
        `Debt Weight` = `Total Debt` / (`Market Capitalization` + `Total Debt`) = 1 - `Equity Weight`
        
        The Equity Weight represents the proportion of equity-based financing (Market Capitalization), while the Debt Weight represents the proportion of debt-based financing (Total Debt).
        
        ---
        
        ### Tax Rate
        
        `Tax Rate` = `Income Tax Expense` / `Income Before Tax`
        
        The overall tax rate paid by the company on its earned income.
    """,

"beta": r"""
        ## Beta
        
        Beta measures the volatility of a stock's price in relation to the overall stock market. A higher beta indicates greater price fluctuations relative to the market.
    """,

"%risk_free_rate": r"""
        ## Risk-Free Rate
        
        The risk-free rate represents the return an investor expects from an absolutely risk-free investment over a specified time period. By default, it is set to the current yield of the U.S. 10-Year Treasury Bond.
    """,

"%tax_rate": r"""
        ## Tax Rate
        
        `Tax Rate` = `Income Tax Expense` / `Income Before Tax`
        
        This is the company’s **effective tax rate**, reflecting the average rate of tax actually paid on its pre-tax earnings (including all statutory, deferred, and non-recurring items).
        
        This rate is used to adjust the after-tax cost of debt, since interest expense is tax-deductible.
        
        ## Discount Rate
        
        `Discount Rate` =  
        `Debt Weight` × `Cost of Debt` × (1 − `Tax Rate`)  
        + `Equity Weight` × `Cost of Equity`
    """,

"%market_premium": r"""
        ## Market Premium
        
        The market risk premium represents the additional return over the risk-free rate that investors expect for taking on the risks associated with equities.
    """,

"%revenue_growth_rate": r"""
        ## Revenue Growth Rate
        
        The annual growth rate applied to projected revenue, starting from the second projection year onward.
    """,

"exit_ebitda_multiple": r"""
        ## Exit EBITDA Multiple
        
        The exit EV/EBITDA multiple used to calculate the terminal value.
    """,

"%ebitda_margin": r"""
        ## EBITDA Margin
        
        EBITDA expressed as a percentage of Revenue.
    """,

"%capital_expenditure_to_ebitda": r"""
        ## Capital Expenditure to EBITDA
        
        Capital expenditure expressed as a percentage of EBITDA.
    """,

"%operating_cash_flow_to_ebitda": r"""
        ## Operating Cash Flow to EBITDA
        
        Operating cash flow expressed as a percentage of EBITDA.
    """,

"historical_years": r"""
        ## Historical Years
        
        The number of years of historical data used to calculate averages and trends for analysis.
    """,

"projection_years": r"""
        ## Projection Years
        
        The number of years into the future for which the analysis projects financial performance and metrics.
    """,
})

print(f"End of model.")

Estimated Value

GBp

Market Price GBp

* Values are not guaranteed, please do your own
research before making investment decisions.

Discounted Free Cash Flow - Exit EBITDA Multiple

Discounted Free Cash Flow calculates the value of a share based on the company's estimated future Free Cash Flow figures.

Interactive Assumptions

Discount Rate Discount Rate `Discount Rate` = `Equity Weight` * `Cost of Equity` + `Debt Weight` * `Cost of Debt` * (1 - `Tax Rate`) Calculated using Weighted Average Cost of Capital (WACC) formula. It represents a firm’s average after-tax cost of capital from all sources, including common stock, preferred stock, bonds, and other forms of debt. Read More Cost of Equity `Cost of Equity` = `Risk Free Rate` + `Beta` * `Market Premium` The cost of equity is the theoretical rate of return that an equity investment should generate. It is calculated using the CAPM formula. Read More Cost of Debt `Cost of Debt` = `Interest Expense` / `Total Debt` The cost of debt is the effective rate that a company pays on its debt, such as bonds and loans. Read More Equity & Debt Weights `Debt Weight` = `Total Debt` / (`Market Capitalization` + `Total Debt`) = 1 - `Equity Weight` The Equity Weight represents the proportion of equity-based financing (Market Capitalization), while the Debt Weight represents the proportion of debt-based financing (Total Debt). Tax Rate `Tax Rate` = `Income Tax Expense` / `Income Before Tax` The overall tax rate paid by the company on its earned income.	%
↳ Beta Beta Beta measures the volatility of a stock's price in relation to the overall stock market. A higher beta indicates greater price fluctuations relative to the market.	#
↳ Risk Free Rate Risk-Free Rate The risk-free rate represents the return an investor expects from an absolutely risk-free investment over a specified time period. By default, it is set to the current yield of the U.S. 10-Year Treasury Bond.	%
↳ Market Premium Market Premium The market risk premium represents the additional return over the risk-free rate that investors expect for taking on the risks associated with equities.	%
↳ Tax Rate Tax Rate `Tax Rate` = `Income Tax Expense` / `Income Before Tax` This is the company’s effective tax rate, reflecting the average rate of tax actually paid on its pre-tax earnings (including all statutory, deferred, and non-recurring items). This rate is used to adjust the after-tax cost of debt, since interest expense is tax-deductible. Discount Rate `Discount Rate` = `Debt Weight` × `Cost of Debt` × (1 − `Tax Rate`) + `Equity Weight` × `Cost of Equity`	%
Revenue Growth Rate Revenue Growth Rate The annual growth rate applied to projected revenue, starting from the second projection year onward.	%
Exit Ebitda Multiple Exit EBITDA Multiple The exit EV/EBITDA multiple used to calculate the terminal value.	#
Ebitda Margin EBITDA Margin EBITDA expressed as a percentage of Revenue.	%
Capital Expenditure To Ebitda Capital Expenditure to EBITDA Capital expenditure expressed as a percentage of EBITDA.	%
Operating Cash Flow To Ebitda Operating Cash Flow to EBITDA Operating cash flow expressed as a percentage of EBITDA.	%
Historical Years Historical Years The number of years of historical data used to calculate averages and trends for analysis.	#
Projection Years Projection Years The number of years into the future for which the analysis projects financial performance and metrics.	#

Results
Market Capitalization	11.63 Bil. GBp
Current Enterprise Value (EV)	450.9 Bil. GBp
Current EBITDA	70 Bil. GBp
Exit EBITDA Multiple (EV/EBITDA)	6.44
Terminal EBITDA	181.2 Bil. GBp
Terminal Enterprise Value	1,167 Bil. GBp
Discounted Terminal Enterprise Value	903.7 Bil. GBp
Sum of Discounted Free Cash Flow	331 Bil. GBp
Present Enterprise Value	1,235 Bil. GBp
Cash and Equivalents	169.1 Bil. GBp
Total Debt	608.4 Bil. GBp
Present Equity Value	795.4 Bil. GBp
Shares Outstanding	2.91 Bil.
Estimated Value per Share	273.7 GBp
Yield of the U.S. 10 Year Treasury Note	4.09%
Cost of Equity	6.55%
Equity Weight	68.83%
Cost of Debt	3.14%
Debt Weight	31.17%
Forecasted Revenue - 5 Year CAGR	9.93%
Forecasted Free Cash Flow - 5 Year CAGR	13.69%

Historical and Forecasted Data

Monetary values in GBp

{"sectionId": "section-chart-1", "sectionType": "chart", "title": "Historical and Forecasted Data", "timeseries": "annual", "series": [{"label": "Revenue", "mappingKey": "income:revenue", "data": [{"l": "2015", "x": "2015-12-31", "y": 175900000000}, {"l": "2016", "x": "2016-12-31", "y": 216810000000}, {"l": "2017", "x": "2017-12-31", "y": 241230000000}, {"l": "2018", "x": "2018-12-31", "y": 245500000000}, {"l": "2019", "x": "2019-12-31", "y": 267620000000}, {"l": "2020", "x": "2020-12-31", "y": 278940000000}, {"l": "2021", "x": "2021-12-31", "y": 295390000000}, {"l": "2022", "x": "2022-12-31", "y": 371400000000}, {"l": "2023", "x": "2023-12-31", "y": 537500000000}, {"l": "2024", "x": "2024-12-31", "y": 543600000000}, {"l": "2025", "x": "2025-12-31", "y": 597579480000, "oy": 597579480000, "e": true, "d": 2025, "g": 9.93, "og": 9.93}, {"l": "2026", "x": "2026-12-31", "y": 656919122364, "oy": 656919122364, "e": true, "d": 2026, "g": 9.93, "og": 9.93}, {"l": "2027", "x": "2027-12-31", "y": 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67800000000}, {"l": "2025", "x": "2025-12-31", "y": 96802067287, "oy": 96802067287, "e": true, "d": 2025, "g": 42.78, "og": 42.78}, {"l": "2026", "x": "2026-12-31", "y": 106414512569, "oy": 106414512569, "e": true, "d": 2026, "g": 9.93, "og": 9.93}, {"l": "2027", "x": "2027-12-31", "y": 116981473667, "oy": 116981473667, "e": true, "d": 2027, "g": 9.93, "og": 9.93}, {"l": "2028", "x": "2028-12-31", "y": 128597734002, "oy": 128597734002, "e": true, "d": 2028, "g": 9.93, "og": 9.93}, {"l": "2029", "x": "2029-12-31", "y": 141367488988, "oy": 141367488988, "e": true, "d": 2029, "g": 9.93, "og": 9.93}], "dataType": ".", "displayAs": "line", "dataTimeseries": "annual", "hidden": false}, {"label": "EBITDA", "mappingKey": "income:ebitda", "data": [{"l": "2015", "x": "2015-12-31", "y": 39230000000}, {"l": "2016", "x": "2016-12-31", "y": 47670000000}, {"l": "2017", "x": "2017-12-31", "y": 49120000000}, {"l": "2018", "x": "2018-12-31", "y": 47570000000}, {"l": "2019", "x": "2019-12-31", "y": 59150000000}, {"l": "2020", "x": "2020-12-31", "y": 61850000000}, {"l": "2021", "x": "2021-12-31", "y": 67300000000}, {"l": "2022", "x": "2022-12-31", "y": 70300000000}, {"l": "2023", "x": "2023-12-31", "y": 124100000000}, {"l": "2024", "x": "2024-12-31", "y": 105600000000}, {"l": "2025", "x": "2025-12-31", "y": 124057500048, "oy": 124057500048, "e": true, "d": 2025, "g": 17.48, "og": 17.48}, {"l": "2026", "x": "2026-12-31", "y": 136376409802, "oy": 136376409802, "e": true, "d": 2026, "g": 9.93, "og": 9.93}, {"l": "2027", "x": "2027-12-31", "y": 149918587296, "oy": 149918587296, "e": true, "d": 2027, "g": 9.93, "og": 9.93}, {"l": "2028", "x": "2028-12-31", "y": 164805503014, "oy": 164805503014, "e": true, "d": 2028, "g": 9.93, "og": 9.93}, {"l": "2029", "x": "2029-12-31", "y": 181170689464, "oy": 181170689464, "e": true, "d": 2029, "g": 9.93, "og": 9.93}], "dataType": ".", "displayAs": "line", "dataTimeseries": "annual", "hidden": false}, {"label": "Free Cash Flow", "mappingKey": "flow:freeCashFlow", "data": [{"l": "2015", "x": "2015-12-31", "y": 14770000000}, {"l": "2016", "x": "2016-12-31", "y": 15530000000}, {"l": "2017", "x": "2017-12-31", "y": 18640000000}, {"l": "2018", "x": "2018-12-31", "y": 19350000000}, {"l": "2019", "x": "2019-12-31", "y": 29200000000}, {"l": "2020", "x": "2020-12-31", "y": 39170000000}, {"l": "2021", "x": "2021-12-31", "y": 40330000000}, {"l": "2022", "x": "2022-12-31", "y": 41000000000}, {"l": "2023", "x": "2023-12-31", "y": 52600000000}, {"l": "2024", "x": "2024-12-31", "y": 46300000000}, {"l": "2025", "x": "2025-12-31", "y": 60217510523, "oy": 60217510523, "e": true, "d": 2025, "g": 30.06, "og": 30.06}, {"l": "2026", "x": "2026-12-31", "y": 66197109318, "oy": 66197109318, "e": true, "d": 2026, "g": 9.93, "og": 9.93}, {"l": "2027", "x": "2027-12-31", "y": 72770482273, "oy": 72770482273, "e": true, "d": 2027, "g": 9.93, "og": 9.93}, {"l": "2028", "x": "2028-12-31", "y": 79996591163, "oy": 79996591163, "e": true, "d": 2028, "g": 9.93, "og": 9.93}, {"l": "2029", "x": "2029-12-31", "y": 87940252665, "oy": 87940252665, "e": true, "d": 2029, "g": 9.93, "og": 9.93}], "dataType": ".", "displayAs": "line", "dataTimeseries": "annual", "hidden": false}, {"label": "Capital Expenditure", "mappingKey": "positiveCapitalExpenditure", "data": [{"l": "2015", "x": "2015-12-31", "y": 17230000000}, {"l": "2016", "x": "2016-12-31", "y": 20720000000}, {"l": "2017", "x": "2017-12-31", "y": 19340000000}, {"l": "2018", "x": "2018-12-31", "y": 17010000000}, {"l": "2019", "x": "2019-12-31", "y": 17090000000}, {"l": "2020", "x": "2020-12-31", "y": 15250000000}, {"l": "2021", "x": "2021-12-31", "y": 15990000000}, {"l": "2022", "x": "2022-12-31", "y": 19000000000}, {"l": "2023", "x": "2023-12-31", "y": 21100000000}, {"l": "2024", "x": "2024-12-31", "y": 21500000000}, {"l": "2025", "x": "2025-12-31", "y": 36584556764}, {"l": "2026", "x": "2026-12-31", "y": 40217403250}, {"l": "2027", "x": "2027-12-31", "y": 44210991393}, {"l": "2028", "x": "2028-12-31", "y": 48601142839}, {"l": "2029", "x": "2029-12-31", "y": 53427236322}], "dataType": ".", "displayAs": "line", "dataTimeseries": "annual", "hidden": true}, {"label": "Discounted Free Cash Flow", "mappingKey": "discountedFreeCashFlow", "data": [{"l": "2015", "x": "2015-12-31", "y": 14770000000}, {"l": "2016", "x": "2016-12-31", "y": 15530000000}, {"l": "2017", "x": "2017-12-31", "y": 18640000000}, {"l": "2018", "x": "2018-12-31", "y": 19350000000}, {"l": "2019", "x": "2019-12-31", "y": 29200000000}, {"l": "2020", "x": "2020-12-31", "y": 39170000000}, {"l": "2021", "x": "2021-12-31", "y": 40330000000}, {"l": "2022", "x": "2022-12-31", "y": 41000000000}, {"l": "2023", "x": "2023-12-31", "y": 52600000000}, {"l": "2024", "x": "2024-12-31", "y": 46300000000}, {"l": "2025", "x": "2025-12-31", "y": 60217510523}, {"l": "2026", "x": "2026-12-31", "y": 63341154207}, {"l": "2027", "x": "2027-12-31", "y": 66162054312}, {"l": "2028", "x": "2028-12-31", "y": 69098908423}, {"l": "2029", "x": "2029-12-31", "y": 72176230276}], "dataType": ".", "displayAs": "line", "dataTimeseries": "annual", "hidden": true}], "editableDates": {"2025-12-31": 41, "2026-12-31": 42, "2027-12-31": 43, "2028-12-31": 44, "2029-12-31": 45}, "properties": {"display_table": true}, "width": "full"}

Edit Chart Values	2025-12-31	2026-12-31	2027-12-31	2028-12-31	2029-12-31

↳ Growth Rate

Estimated Future Data

Monetary values in GBp amounts except #	2024 Dec 31	LTM Feb 19	2025 Dec 31	2026 Dec 31	2027 Dec 31	2028 Dec 31	2029 Dec 31
Revenue	543,600	441,200	597,579	656,919	722,151	793,861	872,691
Revenue Growth Rate	1.14%	-18.84%	9.93%	9.93%	9.93%	9.93%	9.93%
EBITDA	105,600	70,000	124,058	136,376	149,919	164,806	181,171
EBITDA Margin	19.43%	15.87%	20.76%	20.76%	20.76%	20.76%	20.76%
Operating Cash Flow	67,800	61,650	96,802	106,415	116,981	128,598	141,367
Operating Cash Flow to EBITDA	64.2%	88.07%	78.03%	78.03%	78.03%	78.03%	78.03%
Capital Expenditure	21,500	14,100	36,585	40,217	44,211	48,601	53,427
Capital Expenditure to EBITDA	20.36%	20.14%	29.49%	29.49%	29.49%	29.49%	29.49%
Free Cash Flow	46,300	47,550	60,218	66,197	72,770	79,997	87,940
Free Cash Flow to EBITDA	43.84%	67.93%	48.54%	48.54%	48.54%	48.54%	48.54%
Compounded Discount Rate			0%	4.51%	9.99%	15.77%	21.84%
Discounted Free Cash Flow	46,300	47,550	60,218	63,341	66,162	69,099	72,176

Historical Data

Monetary values in GBp amounts except #	Average	LTM Feb 19	2024 Dec 31	2023 Dec 31	2022 Dec 31	2021 Dec 31	2020 Dec 31	2019 Dec 31	2018 Dec 31	2017 Dec 31	2016 Dec 31	2015 Dec 31
Revenue	328,645	441,200	543,600	537,500	371,400	295,390	278,940	267,620	245,500	241,230	216,810	175,900
Revenue Growth Rate	9.93%	-18.84%	1.14%	44.72%	25.73%	5.9%	4.23%	9.01%	1.77%	11.26%	23.26%	1.04%
Cost of Revenue	223,656	387,650	87,700	387,800	273,700	223,910	213,640	209,900	191,140	183,830	167,400	133,550
Gross Profit	104,988	53,550	455,900	149,700	97,700	71,480	65,300	57,720	54,360	57,400	49,410	42,350
Gross Margin	28.38%	12.14%	83.87%	27.85%	26.31%	24.2%	23.41%	21.57%	22.14%	23.79%	22.79%	24.08%
EBITDA	67,445	70,000	105,600	124,100	70,300	67,300	61,850	59,150	47,570	49,120	47,670	39,230
EBITDA Margin	20.76%	15.87%	19.43%	23.09%	18.93%	22.78%	22.17%	22.1%	19.38%	20.36%	21.99%	22.3%
Net Income	24,855	20,500	30,700	38,100	23,200	26,300	18,600	28,380	-9,830	68,280	16,750	12,430
Net Income to EBITDA	38.58%	29.29%	29.07%	30.7%	33%	39.08%	30.07%	47.98%	-20.66%	139%	35.14%	31.68%
Cash from Operating Activities	51,161	61,650	67,800	73,700	60,000	56,320	54,420	46,290	36,360	37,980	36,250	32,000
Cash from Operating Activities to EBITDA	78.03%	88.07%	64.2%	59.39%	85.35%	83.68%	87.99%	78.26%	76.43%	77.32%	76.04%	81.57%
Capital Expenditure	18,030	14,100	21,500	21,100	19,000	15,990	15,250	17,090	17,010	19,340	20,720	17,230
Capital Expenditure to EBITDA	29.49%	20.14%	20.36%	17%	27.03%	23.76%	24.66%	28.89%	35.76%	39.37%	43.47%	43.92%
Free Cash Flow	33,131	47,550	46,300	52,600	41,000	40,330	39,170	29,200	19,350	18,640	15,530	14,770
Free Cash Flow to EBITDA	48.54%	67.93%	43.84%	42.39%	58.32%	59.93%	63.33%	49.37%	40.68%	37.95%	32.58%	37.65%