CEIBA DEVELOPPEMENT : revenue, balance sheet and financial ratios

In 2024, CEIBA DEVELOPPEMENT achieves revenue of 2.3 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +13.4%. Significant drop of -23% vs 2023. After deducting consumption (0 €), gross margin stands at 2.3 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 219 k€, representing 9.6% of revenue. Warning negative scissor effect: despite revenue change (-23%), EBITDA varies by -74%, reducing margin by 19.3 pts. This reflects costs rising faster than revenue. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 64 k€, i.e. 2.8% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at -2172%. 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 -4%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 80.4 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 1.5% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 567.98. 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 57.3x. 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: 373 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 35 days. The gap of 338 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 430 days of revenue, i.e. 2.7 M€ to permanently finance.

Based on 277 transactions of similar company sales (all years), the value of CEIBA DEVELOPPEMENT is estimated at 369 155 € (range 151 158€ - 952 114€). With an EBITDA of 218 759€, the sector multiple of 1.3x is applied. The price/revenue ratio is 0.29x (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.