SUD ALSACE AUTOMOBILES 68 : revenue, balance sheet and financial ratios

In 2022, SUD ALSACE AUTOMOBILES 68 achieves revenue of 94 k€. Revenue is growing positively over 4 years (CAGR: +0.6%). Significant drop of -30% vs 2019. After deducting consumption (65 k€), gross margin stands at 29 k€, i.e. a rate of 31%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 504 €, representing 0.5% of revenue. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 431 €, i.e. 0.5% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 8%. 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 45%. 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 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 194.68. 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 14.5x. 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: 0 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 35 days. Excellent situation: suppliers finance 35 days of the operating cycle (retail model). Inventory turnover is 57 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 59 days of revenue, i.e. 16 k€ to permanently finance. Over 2017-2022, WCR increased by +293%, requiring additional financing.

Based on 148 transactions of similar company sales in 2022, the value of SUD ALSACE AUTOMOBILES 68 is estimated at 5 010 € (range 2 886€ - 15 014€). With an EBITDA of 504€, the sector multiple of 1.2x is applied. The price/revenue ratio is 0.16x (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.