HADDAD BRANDS EUROPE : revenue, balance sheet and financial ratios

In 2024, HADDAD BRANDS EUROPE achieves revenue of 333.1 M€. Over the period 2019-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +38.4%. Vs 2023, growth of +18% (281.4 M€ -> 333.1 M€). After deducting consumption (113.9 M€), gross margin stands at 219.2 M€, i.e. a rate of 66%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 154.1 M€, representing 46.3% of revenue. Positive scissor effect: EBITDA margin improves by +3.3 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 79.9 M€, i.e. 24.0% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 31%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 65%. 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 0.7 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 25.6% 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 670.62. 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 3.6x. Financial charges are adequately covered by operations.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 32 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 63 days. Excellent situation: suppliers finance 31 days of the operating cycle (retail model). Inventory turnover is 132 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 165 days of revenue, i.e. 152.3 M€ to permanently finance. Over 2019-2024, WCR increased by +254%, requiring additional financing.

Based on 124 transactions of similar company sales (all years), the value of HADDAD BRANDS EUROPE is estimated at 240 542 041 € (range 95 393 709€ - 501 005 495€). With an EBITDA of 154 084 966€, the sector multiple of 2.4x is applied. The price/revenue ratio is 0.17x (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.