Evoluting: a financial valuation through income statement projections and economic value added analysis

Abstract

This valuation report focuses on analyzing Evolution AB (Ticker: EVVTY) by exploring its financial performance, forecasting future income, and evaluating its intrinsic value through various methodologies, including Economic Value Added (EVA). Key areas of analysis include an in-depth review of the company’s income statement, examination of value drivers, macroeconomic and market trends, cost structure analysis, and terminal growth rate assumptions. The report further incorporates sensitivity and scenario analyses to evaluate potential risks and opportunities, offering a comprehensive understanding of Evolution AB's financial resilience. Evolution AB operates in the rapidly expanding live casino and online gaming industry, which is marked by high growth, intensifying competition, and dynamic regulatory changes. This report emphasizes the company’s internal financial dynamics and provides a forward-looking perspective on its ability to create value and sustain profitability in an evolving market environment.