Questions 1 and 2

FY 2016 A FY 2017 E FY 2018 E

Sales 100.0 122.5 162.3

Domestic sales 60.0 66 73.9

as a % of total sales 60%
y-o-y growth rate 10% 12%

Export sales 40.0 51.5 66.4

as a % of total sales 40%
Organic growth rate 15% 15%
Fx depreciation 12% 12%

New business 5.0 22.0

Annualized revenue 20.0 22.0
10%
No. of months of inclusion 3.0 12.0

Question 3
Start date Duration Completion date
1-Apr-16 547.00 30-Sep-17

31-Mar-17 31-Mar-18 31-Mar-19 31-Mar-20 31-Mar-21

365.0 365.0 365.0 366.0 365.0

Cumulative days - 182.0 547.0 913.0 1,278.0

No. of days during the year - 182.0 365.0 366.0 365.0

No. of units per day 100.0 100.0 100.0 100.0 100.0

Price per unit 800.0 800.0 800.0 800.0 800.0
Growth rates 0% 0% 0% 0%

Revenue (in lakhs) - 145.6 292.0 292.8 292.0

Question 4
FY 2016 A FY 2017 E

Revenue 64,500 78,485

No. of stores at beginning 45.0 62.0
No. of stores opened/(closed) -
No. of stores at end 62.0 62.0
Average 53.5 62.0

Revenue per store 1,206 1,266 <-- Revene for stores already operational
Growth rates 5%

1,013

Question 5 (Top down)

FY 2016 A FY 2017 E

Revenue 665 712.5

Population 1.3 1.3

Penetration 80% 82%
No. of subscribers 1.04 1.08
AUPU 913.5 959.1

Market Size 950 1,032.7

Market Share 70% 69.00%

Population growth 1%
Change in penetration (in bps) 200
Increase in ARPU 5%
Change in mkt. share (in bps) -100
31-Mar-22 31-Mar-23 31-Mar-24
365.0 365.0 366.0

1,643.0 2,008.0 2,374.0

365.0 365.0 366.0

100.0 100.0 100.0

800.0 800.0 800.0
0% 0% 0%

292.0 292.0 292.8

dy operational
Question 1: Fixed Cost
FY 2016 A FY 2017 E FY 2018 E FY 2019 E FY 2020 E

Rent 35.0 35.0 35.0 35.7 36.4

Growth rate 0.0% 0.0% 2.0% 2.0%

Question 2: Variable Cost

FY 2016 A FY 2017 E FY 2018 E FY 2019 E FY 2020 E

Sales volume 20,000.0 22,000.0 24,200.0 26,620.0 29,282.0

Growth rate 10.0% 10.0% 10.0% 10.0%
Input per unit of output 4.0 4.0 4.0 4.0
Total input required 88,000.0 96,800.0 106,480.0 117,128.0
Min. unit for discounted price 90,000.0 90,000.0 90,000.0 90,000.0
Regular price 50.0 50.0 50.0 50.0
Discount price 40.0 40.0 40.0 40.0

Variable Cost 4,400,000 3,872,000 4,259,200 4,685,120

IF(Condition,formula if condition true, formula if condition is false)

Question 3: Step-fixed cost

FY 2016 A FY 2017 E

Production volume 400,000 500,000

Growth rate 25.0%

Capacity 500,000 500,000

Utilisation rate 80%
Optimum utilization rate 95.0%
Maximum production 475,000

Extra volume required 25,000

Capacity per factory 15,000

Extra facility required 2.00

Base retn 8,000,000

Additional rent per factory 200,000

Total Rent 8,400,000

FY 2021 E

37.1
2.0%

FY 2021 E

32,210.2
10.0%
4.0
128,840.8
90,000.0
50.0
40.0

5,153,632
Freehold property
FY 2016 A FY 2017 E FY 2018 E FY 2019 E FY 2020 E FY 2021 E

Opening balance 480.0 748.5 711.1 675.5 641.7

(+) Capex 300.0 - - - -
Depreciation (31.5) (37.4) (35.6) (33.8) (32.1)
Depreciation rate 5.0% 5.0% 5.0% 5.0% 5.0%
Closing balance 480.0 748.5 711.1 675.5 641.7 609.7

Plant and Machinery

FY 2016 A FY 2017 E FY 2018 E FY 2019 E FY 2020 E FY 2021 E

Gross Block
Opening balance 550.0 637.5 616.0 576.2 635.5
(+) Capex
Maintenance capex 87.5 98.5 80.2 59.3 36.2
Growth capex 120.0 - - - -
(-) Assets retired (120.0) (120.0) (120.0) - (87.5)
Closing balance 637.5 616.0 576.2 635.5 584.2
Maintainenance as % of WDV 25% 25% 25% 25% 25%

Accumulated Depreciation
Opening balance 200.0 243.4 295.1 339.2 490.6
(+) Current depreciation 163.4 171.7 164.0 151.5 163.4
(-) Depreciation on asset retired (120.0) (120.0) (120.0) - (87.5)
Closing balance 243.4 295.1 339.2 490.6 566.5
depreciation 25% 25% 25% 25% 25%
4.00 4.00 4.00
WDV
Opening balance 350.0 394.1 320.9 237.1 144.9
Closing balance 394.1 320.9 237.1 144.9 17.7
 60.19%

1 100,000 (60,189)
2 39,811 (23,962)
3 15,849 (9,539)
4 6,310 (3,798)
5 2,512 (1,512) (1,000) 100000
6 100,000 (60,189)

19,800 19.80%
FY 2022 E 1 100,000 (19,800) 80,200
2 100,000 (19,800) 60,400
3 100,000 (19,800) 40,600
584.2 4 100,000 (19,800) 20,800
5 100,000 (19,800) -100000 100000 1,000
4.4 6 100,000 (19,800)
-
(98.5)
490.1
25%

566.5
146.6
(98.5)
614.6
25%
4.00

17.7
-
Question 1: Modeling at company level
FY 2015 A FY 2016 E FY 2017 E FY 2018 E FY 2019 E FY 2020 E

Loan Schedule

Opening balance 2,800.0 2,500.0 2,100.0 1,750.0 950.0 350.0

(+) Loans borrowed - - - - -
(-) Loans repaid (400.0) (350.0) (800.0) (600.0) (350.0)
Closing balance 2,500.0 2,100.0 1,750.0 950.0 350.0 -

Average outstanding 2,650.0 2,300.0 1,925.0 1,350.0 650.0 175.0

Interest rate 12.8% 12.8% 12.8% 12.8% 12.8% 12.8%

Interest expenses 340.0 295.1 247.0 173.2 83.4 22.5

Question 2: Modeling individual loan

FY 2015 A FY 2016 E FY 2017 E FY 2018 E FY 2019 E FY 2020 E

Opening balance - 2,546.1 2,028.8 1,438.9 766.5

(+) Loan borrrowed 3,000.0 - - - -
(-) Loan repaid (873.9) (873.9) (873.9) (873.9) (873.9)
Interst charged 420.0 356.5 284.0 201.5 107.3
Closing balance 2,546.1 2,028.8 1,438.9 766.5 -
Assumed that loan is borrwed at the beginning of the year and repayment happens at end
Principal 3000
Tenure 5 years
Interest rate 14%

Repayment ($873.85)
Question 1: Modeling current and deferred tax
FY 2015 A FY 2016 E FY 2017 E FY 2018 E FY 2019 E

Profit before tax 800.0 (150.0) 75.0 220.0 150.0

Tax expense (260.0) 48.8 (24.4) (71.5) (48.8)

Current tax (260.0) - - (47.1) (48.8)
Deferred tax - 48.8 (24.4) (24.4) -
Effective tax rate 32.5% 32.5% 32.5% 32.5% 32.5%

Profit after tax 540.0 (101.3) 50.6 148.5 101.3

Accumulated loss

Opening balance 0 - (150.0) (75.0) -

(+) Adjusted during year - (150.0) 75.0 75.0 -
Closing balance 0 (150.0) (75.0) - -

Taxable Income 800.0 - - 145.0 150.0

Deferred tax asset/(libility) - 48.8 24.4 - -

 Company A Company B
Base Case Best case Worst Case Base Case Best case
Sales 500000 600000 400000 500000 600000

Variable cost (400,000) (480,000) (320,000) (100,000) (120,000)

80% 80% 80% 20% 20%
Fixed cost 0 0 0 (300,000) (300,000)
Profit 100,000 120,000 80,000 100,000 180,000
Company B
Worst Case
400000

(80,000)
20%
(300,000)
20,000