Estimating Income statement parameters

This chapter tells you how you can forecast i.e. change parameters in Income statement for estimate years. If you would like to get familiar with Income statement in past years, see History document.

Notice that every parameter in the model includes a tooltip which may tell you the same thing as this document. You can see the tooltips when you set the mouse over the headings.

Income Statement Parameters

Net sales
Can be forecasted with:

1. Net sales growth % (dominating)
2. Direct input figure

Have a closer look at Net sales (e.g. how to use division and quarter levels)

Costs
The difference between Net sales and EBITDA (you cannot change costs directly)

EBITDA
EBIT plus Depreciation (you cannot change EBITDA directly)

Total depreciation

Notice that you can also input Total depreciation directly. Then the change is allocated to Normal depreciation

Normal depreciation
Can be forecasted with:

1. Depreciation / Fixed assets %
2. Direct input figure

Goodwill amortization
Direct input figure

EBIT
Can be forecasted with:

1. EBIT % (dominating)
2. Direct input figure

Have a closer look to EBIT (e.g. how to use division and quarter levels)

Net financial items

Notice that you can also input Net financial items directly. Then the change is allocated either to Interest expenses (negative change) or to Financial items (positive change)

Interest expenses
Can be forecasted with:

1. % of Long-term and current interest bearing liabilities
2. Direct input figure

Other financial expenses
Direct input figure

Exchange rate differences
Direct input figure

Financial income
Can be forecasted with:

1. % of Interest bearing financial assets (average yearly assets)
2. Direct input figure

Associated companies' profit/loss
Direct input figure

Pre-tax profit
Output figure that is calculated by the model only

Taxes on continuing operations
Can be forecasted with:

1. Tax rate %
2. Direct input figure

Minorities
Direct input figure

Net earnings
Output figure that is calculated by the model only

Extraordinaries (after tax)

Other
Direct input figure

Profit for the period
Output figure that is calculated by the model only

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