Base year and forecast drivers
Scenario comparison
Differences compare your current inputs with the original fictional sample. They are not a prediction of real sales.
Three year forecast
| Measure | Year 1 | Year 2 | Year 3 |
|---|
Free cash flow = EBIT − tax + depreciation − capex − increase in net working capital. A forecast is an assumption-based estimate, not a promise.
Use this in a workshop
- Increase unit growth by five percentage points and explain the change in year-three cash flow.
- Increase variable cost share by three points. Which result moves most?
- List the evidence a real company would need before using these assumptions.