DISCOUNTED CASH FLOW ANALYSIS VALUATION OF AGRICULTURE BUSINESS SWIFTLET BIRD NEST FARMING CASE STUDY: “WAHANA WALET SEJAHTERA” IN BERAU EAST KALIMANTAN

• Main Author: Widya Susanto, Arif
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/53073
• Institution: Institut Teknologi Bandung

Nowadays, swiftlet bird nest is one of the valuable agribusiness products in Indonesia and other countries in ASEAN. Current global production for this nest is estimated to 5 billion USD annually. Meanwhile, in Indonesia, the price of raw nest from farmers each kilo is 10 million IDR and up to Rp30 million in export transactions. The increase of swiftlet nest demand over the years that is not followed by the production capacity upscaling of farmers creates the existing producers cannot fulfil the needs of market and at the same time loss a lot of opportunities in this industry. In order to taking the advantage from this opportunity and additionally the availability of resources and space to operate this business, Wahana Walet Sejahtera now runs the swiftlet bird nest cultivation in Berau. To deliver the prospective view of this business to the investors and the C level of organization, feasibility study and corporate valuation are assessed thus, it is able to confer the adequate information as the consideration of them to invest and take an action. Business feasibility study in this case use several parameters, such as Net Present Value (NPV), Internal Rate of Return (IRR), Payback Period, and Profitability Index through two different schemes, single house production and multi house production. And for the valuation calculation for both methods, discounted cash flow model (DCF) model is the main way to generate the value. Through the calculations on feasibility study and corporate valuation, Wahana Walet Sejahtera can deliver a great potential return. It illustrated in NPV for single and multi-house where the amount of them respectively is Rp967,483,600 and Rp93,244,381,527, whilst for Internal Rate of Return (IRR) 41.7% and 52.6%, Payback Period, 2 years, 11 months and 28 days for single house and 6 years, 2 months, and 5 days for multi house. And last but not least, using DCF method, the value of organization or business for single house will be risen to Rp1,374,921,042 for single house and Rp218,766,525,136 for multi house.