declining cashflow spells death, page-5

  1. 16 Posts.
    Some very rough number crunching.

    Sat revenue 06/07 = 16.52
    If It grew;
    10% 18.172
    20% 19.824
    30% 21.476
    40% 23.128
    Assume costs were maintained.

    0% 10% 20% 30% 40%
    rev 16.52 18.172 19.824 21.5 23.128
    COS -8 -8 -8 -8 -8
    salaries -6 -6 -6 -6 -6
    rent -0.8 -0.8 -0.8 -0.8 -0.8
    other -3.6 -3.6 -3.6 -3.6 -3.6
    Balance -1.88 -0.228 1.424 3.1 4.728

    Thus they'd need 20% sat rev growth to make a profit.
 
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