BNP PARIBAS PARTNERS FOR INNOVATION : revenue, balance sheet and financial ratios

In 2024, BNP PARIBAS PARTNERS FOR INNOVATION achieves revenue of 707.2 M€. Revenue is growing positively over 9 years (CAGR: +4.4%). Vs 2023: +5%. After deducting consumption (0 €), gross margin stands at 707.2 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 176.1 M€, representing 24.9% of revenue. Positive scissor effect: EBITDA margin improves by +3.5 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 11.3 M€, i.e. 1.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 299%. 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 8%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 1.7 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 6.3% 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 67.92. 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 0.2x. Danger: operating income does not cover interest charges, unsustainable situation.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 29 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 72 days. Excellent situation: suppliers finance 43 days of the operating cycle (retail model). Inventory turnover is 16 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 76 days of revenue, i.e. 149.4 M€ to permanently finance. Over 2016-2024, WCR increased by +70%, requiring additional financing.

Based on 362 transactions of similar company sales (all years), the value of BNP PARIBAS PARTNERS FOR INNOVATION is estimated at 170 632 350 € (range 59 638 823€ - 532 304 671€). With an EBITDA of 176 069 874€, the sector multiple of 1.4x is applied. The price/revenue ratio is 0.20x (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.