Hypothetical... A company is a subsidiary of a publicly held company in the personal products business. The subsidiary has modest performance... 5 % revenue growth, 15% EBITDA... in its financial projections the company does not project changes in working capital. Historically, WC has been -2% of revenues for the past 3 years... So lame question of the day...
Are changes in WC appropriate based on this level of performance? Any thoughts out there?
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