Thought of taking this discussion forward, again in a bid to differentiate one business from another.
a) Updated the Mayur Economic Profit Table
b) added in Arindam's suggestion of seeing how much of Market Value is Added every year. and the increasing Gap to Economic Profit created
The larger the Gap, smaller is the comfort zone for a value investor in the company??
| Mayur Uniquoters | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013E | Comments |
| Revenues | 66.26 | 90.24 | 115.05 | 164.73 | 248.56 | 317.48 | 398.52 | |
| EBIDT | 6.67 | 10.57 | 11.78 | 27.92 | 40.87 | 54.20 | 67.75 | |
| Depreciation | 1.52 | 1.39 | 1.59 | 2.08 | 2.67 | 3.87 | 5.11 | |
| EBIT | 5.15 | 9.18 | 10.19 | 25.84 | 38.19 | 50.33 | 62.64 | |
| EBIT Margin | 7.77% | 10.17% | 8.86% | 15.68% | 15.37% | 15.85% | 15.72% | |
| Working Capital | 13.42 | 11.88 | 12.07 | 22.21 | 33.01 | 29.58 | 33.98 | |
| Net Fixed Assets | 15.95 | 21.32 | 22.65 | 23.15 | 31.3 | 49.07 | 70.33 | |
| Net Other Assets | ||||||||
| Invested Capital | 29.37 | 33.20 | 34.72 | 45.36 | 64.31 | 78.65 | 104.31 | |
| Capital Turnover | 2.26 | 2.72 | 3.31 | 3.63 | 3.87 | 4.04 | 3.82 | |
| EBIT/Invested Capital | 17.53% | 27.65% | 29.36% | 56.96% | 59.39% | 63.99% | 60.05% | |
| ROIC | 11.75% | 18.53% | 19.67% | 38.16% | 39.79% | 42.87% | 40.23% | |
| WACC | 12.00% | 12.00% | 12.00% | 12.00% | 12.00% | 12.00% | 12.00% | |
| Economic Profit Added (EP) | -0.0739 | 2.17 | 2.66 | 11.87 | 17.87 | 24.28 | 29.45 | |
| Mkt Cap (Mar End) | 22.40 | 12.90 | 77.42 | 137.47 | 242.23 | 500 | ||
| Market Value Added (MVA) | -9.50 | 64.52 | 60.05 | 104.76 | 257.77 | (over prev yr) | ||
| Dividends | 2.71 | 5.42 | 7.31 | 10 | ||||
| Total Value Added (TVA) | 67.23 | 65.47 | 112.07 | 267.77 | ||||
| Perceived Future Expectations | 55.36 | 47.60 | 87.79 | 238.32 | (TVA-EP) |