[Verse 1]
Start with revenue, the top line stream
Historical patterns help us dream
Growth rates, market size, and pricing trends
This is where our forecast begins
Break it down by segment, product line
Quarter by quarter, we define
The future sales that drive our plan
Build it up, understand
[Chorus]
Project the cash, Free Cash Flow
Revenue up, expenses grow
Working capital ties it down
EBITDA spinning round
Forecast Forward, Future Free
Cash Flow Certainty
DCF dreams start with the stream
Project the cash, make it clean
[Verse 2]
Cost of goods, the direct expense
Variable costs that make us tense
As sales increase, these costs will climb
Model the relationship through time
Operating expenses, fixed and proud
SG&A speaking loud
Depreciation, non-cash friend
Subtract it now, add back again
[Chorus]
Project the cash, Free Cash Flow
Revenue up, expenses grow
Working capital ties it down
EBITDA spinning round
Forecast Forward, Future Free
Cash Flow Certainty
DCF dreams start with the stream
Project the cash, make it clean
[Bridge]
Working capital's the trap
Accounts receivable gap
Inventory sitting tight
Payables making it right
Current assets minus current debt
Cash conversion cycle set
When business grows, cash gets tight
Working capital takes flight
[Verse 3]
EBIT calculated clean
Tax rate applied to what we've seen
Add back depreciation's ghost
Capital expenditures cost
Working capital change each year
Free cash flow becomes clear
This is the foundation strong
For DCF valuation song
[Chorus]
Project the cash, Free Cash Flow
Revenue up, expenses grow
Working capital ties it down
EBITDA spinning round
Forecast Forward, Future Free
Cash Flow Certainty
DCF dreams start with the stream
Project the cash, make it clean
[Outro]
Five to ten years we project ahead
Terminal value when growth is dead
Cash flows built with careful thought
DCF foundation's what we've got