ART DECO CERAMIC GLASS LIGHT : revenue, balance sheet and financial ratios

In 2022, ART DECO CERAMIC GLASS LIGHT achieves revenue of 227 k€. Over the period 2016-2022, the company shows strong growth with a CAGR (compound annual growth rate) of +15.5%. Vs 2019, growth of +73% (131 k€ -> 227 k€). After deducting consumption (11 k€), gross margin stands at 215 k€, i.e. a rate of 95%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 102 k€, representing 45.1% of revenue. Positive scissor effect: EBITDA margin improves by +26.5 pts, sign of improved operational efficiency. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 84 k€, i.e. 36.8% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 72%. Debt level is high: negotiating margin with banks is reduced. Financial autonomy (= Equity / Total assets x 100) reaches 54%. This high autonomy means the company finances most of its assets through equity, a sign of strength. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 1.6 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 38.3% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. This high level provides strong self-financing capacity.

The liquidity ratio (= Current assets / Current liabilities) stands at 1233.74. Concretely, the company has €2 of liquid assets for every €1 of short-term debt: no cash risk within 12 months.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 0 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 13 days. Favorable situation: supplier credit is longer than customer credit by 13 days. Inventory turnover is 110 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 73 days of revenue, i.e. 46 k€ to permanently finance. Over 2016-2022, WCR increased by +123%, requiring additional financing.

Based on 145 transactions of similar company sales (all years), the value of ART DECO CERAMIC GLASS LIGHT is estimated at 201 718 € (range 66 946€ - 506 889€). With an EBITDA of 102 253€, the sector multiple of 2.6x is applied. The price/revenue ratio is 0.19x (conservative valuation). This multiples method compares the actual sale price of similar companies to their financial indicators (Revenue, EBITDA, Net Income). It provides a market-based indicative estimate.