Hello junior. I will show you how this is done. If we want to appraise the historical performance of LYC, it is best to attempt a
cashflow reconciliation. Its all about
cashflow and nothing much else. I really hope I did not make any errors below. You can check it for me. I have reconciled the historical cashflow to a discrepancy of $122M, which is close enough to the desired nil outcome. What a hellish looking money sucking company.
The below indicates:
1. LYC appear to have raised around $2,091 million in capital.
2. LYC appear to have net (current) debt borrowings of around $172 million.
3. LYC have spent around $1,732 million in cashflow.
4. Therefore, LYC should have around $531 million in cash equivalents.
5. LYC appear to have around $408M in cash equivalents.
6. These leaves a discrepancy of $122M, which is close enough to reconciled.
(20min delay)