WACC FOR SAIL

calculating cost of debt

2019 2018 2017 2016
total debt 29,47,16,100 28,42,39,100 17,73,21,000 17,40,83,100
interest paid 3,17,74,800 2,92,93,900 2,51,93,700 2,16,51,900

average insterest rate 10.97% 12.69% 14.34% #VALUE!

calculating the tex rate

Income before tax 3,54,92,400 -52,66,300 -4,71,56,900 -7,44,32,800

Income tax expense 1,20,05,300 -24,52,300 -1,95,95,200 -3,02,64,900

average tax rate (%) 33.82% 46.57% 41.55% #VALUE!

calculating the weighted average cost of capital

cost of equity (re) -22.79%
cost of debbt (rd) 10.97%

# of shares outstanding 4,13,05,300

current share prices 26.7
market value of equity € 1,10,28,51,510

value of debt (D) 29,47,16,100

total : E+D 1,39,75,67,610

percentage of equity: E/(E+D) 78.91%

percentage of debt: D/(E+D) 21.09%

tax rate (T) 33.82%

WACC -16.46%
2015 2
2019 0.5 25%
2020 (proj) 0.38

average g (arith) 25%

average g (geom) -24%

share price 26.7 3/20/2020

r (equity) -22.79%