CARROSSERIE DE LA COTE ROTIE : revenue, balance sheet and financial ratios

In 2020, CARROSSERIE DE LA COTE ROTIE achieves revenue of 293 k€. Revenue is growing positively over 3 years (CAGR: +0.7%). Significant drop of -14% vs 2018. After deducting consumption (103 k€), gross margin stands at 189 k€, i.e. a rate of 65%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 8 k€, representing 2.7% of revenue. Warning negative scissor effect: despite revenue change (-14%), EBITDA varies by -84%, reducing margin by 11.7 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Net income is negative at -6 k€ (-2.0% of revenue), which will impact equity.

The debt ratio (= Financial debt / Equity x 100) stands at 48%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 48%. 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 29.8 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 0.5% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 239.70. Concretely, the company has €2 of liquid assets for every €1 of short-term debt: no cash risk within 12 months. The interest coverage ratio (= EBIT / Interest expenses) is 5.8x. Operating income very largely covers interest expenses: high safety margin.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 41 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 50 days. Favorable situation: supplier credit is longer than customer credit by 9 days. Inventory turnover is 4 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 19 days of revenue, i.e. 15 k€ to permanently finance. Notable WCR improvement over the period (-56%), freeing up cash.

Based on 104 transactions of similar company sales in 2020, the value of CARROSSERIE DE LA COTE ROTIE is estimated at 44 543 € (range 21 330€ - 72 411€). With an EBITDA of 7 808€, the sector multiple of 3.4x is applied. The price/revenue ratio is 0.26x (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.