RHONE ALPES CONSTRUCTION : revenue, balance sheet and financial ratios

In 2024, RHONE ALPES CONSTRUCTION achieves revenue of 3.5 M€. Activity remains stable over the period (CAGR: -4.2%). Vs 2023, growth of +16% (3.0 M€ -> 3.5 M€). After deducting consumption (1.3 M€), gross margin stands at 2.2 M€, i.e. a rate of 62%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 357 k€, representing 10.2% of revenue. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 142 k€, i.e. 4.0% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 256%. Critical situation: debt significantly exceeds equity, severely limiting borrowing capacity and exposing the company to default risk. Financial autonomy (= Equity / Total assets x 100) reaches 15%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 2.6 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 8.2% 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 233.16. 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 6.6x. 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: 136 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 67 days. The gap of 69 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Overall, WCR represents 132 days of revenue, i.e. 1.3 M€ to permanently finance.

Indicative estimate only : the number of comparable transactions in this sector is limited (25 transactions). This range of 489 437€ to 1 400 012€ is provided for information purposes only and requires in-depth analysis to be confirmed.