GrainCore — Projected Cash Flow Statement
The projected cash-flow statement and the debt-service coverage underpinning GrainCore.
Section 18 · Business Plan
Projected Cash Flow Statement
The projected cash-flow statement and the debt-service coverage underpinning GrainCore.
The cash-flow projection confirms the project’s self-funding
capability after the initial capital injection. Operating cash flow
turns strongly positive and grows each year, comfortably covering debt
service, maintenance capital, and working-capital growth, while building
a substantial cash reserve.
| Cash flow (R’m) | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| Net profit after tax | 84 | 201 | 292 | 367 | 412 |
| Add back depreciation | 46 | 46 | 46 | 46 | 46 |
| Working-capital movement | (103) | (108) | (64) | (51) | (29) |
| Operating cash flow | 27 | 140 | 274 | 363 | 429 |
| Maintenance capex | 0 | (8) | (12) | (18) | (20) |
| Investing cash flow | 0 | (8) | (12) | (18) | (20) |
| Debt repayment | 0 | (95) | (105) | (110) | (120) |
| Financing cash flow | 0 | (95) | (105) | (110) | (120) |
| Net cash movement | 27 | 37 | 157 | 235 | 289 |
| Opening cash | 40 | 67 | 104 | 261 | 496 |
| Closing cash balance | 67 | 104 | 261 | 496 | 784 |
Table 18.1 — Projected cash-flow statement, Years 1–5.
18.1 Debt Service Coverage
Debt service coverage ratios (DSCR) strengthen materially over the
loan term as cash flow grows and the principal amortises, providing
lenders with a comfortable and improving margin of safety.
| Coverage metric | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| DSCR (x) | 1.55 | 1.31 | 2.18 | 2.85 | 3.31 |
| Closing debt balance (R’m) | 430 | 335 | 230 | 120 | 0 |
Table 18.2 — Debt service coverage and amortisation
profile.
Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of GrainCore Milling & Foods (Pty) Ltd.