KPL.WA WACC - Weighted Average Cost of Capital

The WACC of Kino Polska TV SA (KPL.WA) is 12.1%.

The Cost of Equity of Kino Polska TV SA (KPL.WA) is 12.25%.

The Cost of Debt of Kino Polska TV SA (KPL.WA) is 5.30%.

	Range	Selected
Cost of equity	10.60% - 13.90%	12.25%
Tax rate	19.70% - 20.90%	20.30%
Cost of debt	4.50% - 6.10%	5.30%
WACC	10.5% - 13.6%	12.1%

WACC

KPL.WA WACC calculation

Category	Low	High

Long-term bond rate	5.5%	6.0%
Equity market risk premium	6.3%	7.3%
Adjusted beta	0.81	1

Additional risk adjustments	0.0%	0.5%
Cost of equity	10.60%	13.90%

Tax rate	19.70%	20.90%
Debt/Equity ratio	0.02	0.02
Cost of debt	4.50%	6.10%

After-tax WACC	10.5%	13.6%


Selected WACC	12.1%

KPL.WA's CAPM model and how its cost of Equity is calculated

The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.

This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.

Here’s how we figure out the cost of equity for KPL.WA:

cost_of_equity (12.25%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.81) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.