ARTEA : revenue, balance sheet and financial ratios

In 2024, ARTEA achieves revenue of 5.2 M€. Revenue is growing positively over 9 years (CAGR: +1.0%). Slight decline of -2% vs 2023. After deducting consumption (0 €), gross margin stands at 5.2 M€, i.e. a rate of 100%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 182 k€, representing 3.5% of revenue. Warning negative scissor effect: despite revenue change (-2%), EBITDA varies by -68%, reducing margin by 7.1 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 2.7 M€, i.e. 50.7% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 186%. 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 34%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 16.5 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 144.0% 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 457.90. 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 6103.9x. 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: 458 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 168 days. The gap of 290 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Inventory turnover is 3 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 1066 days of revenue, i.e. 15.5 M€ to permanently finance. Over 2016-2024, WCR increased by +324%, requiring additional financing.

Based on 103 transactions of similar company sales in 2024, the value of ARTEA is estimated at 6 114 198 € (range 2 100 078€ - 15 587 139€). With an EBITDA of 182 351€, the sector multiple of 5.0x is applied. The price/revenue ratio is 0.38x (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.