APPROVO FRANCE : revenue, balance sheet and financial ratios

In 2024, APPROVO FRANCE achieves revenue of 14.0 M€. Over the period 2015-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +7.7%. Significant drop of -41% vs 2023. After deducting consumption (11.7 M€), gross margin stands at 2.3 M€, i.e. a rate of 17%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 1.1 M€, representing 8.1% of revenue. Positive scissor effect: EBITDA margin improves by +4.6 pts, sign of improved operational efficiency. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 954 k€, i.e. 6.8% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 29%. 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 71%. 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 2.1 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 5.9% 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 1177.10. 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 2.2x. 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: 34 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 11 days. The company must finance 23 days of gap between collections and payments. Inventory turnover is 73 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 107 days of revenue, i.e. 4.2 M€ to permanently finance. Over 2015-2024, WCR increased by +230%, requiring additional financing.

Based on 148 transactions of similar company sales in 2024, the value of APPROVO FRANCE is estimated at 2 085 678 € (range 916 572€ - 4 131 382€). With an EBITDA of 1 131 354€, the sector multiple of 1.6x 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.