Quote Originally Posted by Snoopy View Post
It is informative to 'track back' through the annual reports and see what growth plans they announced to the auditors as the goodwill on the books was assessed annually. Shareholders can find this information under the 'Intangible Asset' section of the Annual Report.

Revenue assumptions

FY2014 take

"Revenues have been forecast to moderately increase over the following five-year period in line with the Group’s strategic business plans to develop
and introduce new products, in addition to continuing to support and grow the Group’s existing global customer relationships."

FY2015 take

"The revenue growth percentages range from 3% to 20% on average per annum over the five years across the individual cash generating units."

FY2016 take

"The revenue growth percentages range from 3% to 20% on average per annum over the five years across the individual cash generating units."

FY2017 take

"The revenue growth percentages range from 2% to 15% on average per annum over the five years across the individual cash generating units."

Looking out from June 30th 2015 and June 30th 2016, there were some pretty bullish growth assumptions built in. Looks like the new Chair Liz Coutts may have reigned in those expectations a bit. But they are still backing themselves. A 15% revenue growth compounding over five years is:

1.15^5 = 200%

That is a 100% increase in business from the base determined five years previously. For sure it is gunna happen this time?

SNOOPY
Only one 'cash generating unit' is assumed to grow at 15% pa - other units less

Which one is that?