CHAUDRONNERIE INDUSTRIELLE PLASTIQUE : revenue, balance sheet and financial ratios

In 2021, CHAUDRONNERIE INDUSTRIELLE PLASTIQUE achieves revenue of 434 k€. Revenue is declining over the period 2016-2021 (CAGR: -7.3%). Significant drop of -30% vs 2018. After deducting consumption (76 k€), gross margin stands at 358 k€, i.e. a rate of 83%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 26 k€, representing 6.1% of revenue. Warning negative scissor effect: despite revenue change (-30%), EBITDA varies by -67%, reducing margin by 6.7 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Net income is negative at -10 k€ (-2.3% of revenue), which will impact equity.

The debt ratio (= Financial debt / Equity x 100) stands at 16%. This very low level reflects a solid financial structure, offering significant room for future investments or acquisitions. Financial autonomy (= Equity / Total assets x 100) reaches 81%. 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 5.2 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 6.0% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. Satisfactory level allowing partial financing of growth.

The liquidity ratio (= Current assets / Current liabilities) stands at 1200.16. 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: 53 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 51 days. The company must finance 2 days of gap between collections and payments. Inventory turnover is 27 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 84 days of revenue, i.e. 101 k€ to permanently finance. Notable WCR improvement over the period (-32%), freeing up cash.

Indicative estimate only : the number of comparable transactions in this sector is limited (46 transactions). This range of 23 291€ to 112 903€ is provided for information purposes only and requires in-depth analysis to be confirmed.