CSTI INDUSTRIE : revenue, balance sheet and financial ratios

In 2024, CSTI INDUSTRIE achieves revenue of 15.0 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +9.7%. Slight decline of -1% vs 2023. After deducting consumption (311 k€), gross margin stands at 14.7 M€, i.e. a rate of 98%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 1.4 M€, representing 9.0% of revenue. Warning negative scissor effect: despite revenue change (-1%), EBITDA varies by -20%, reducing margin by 2.2 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 925 k€, i.e. 6.1% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 111%. Debt level is high: negotiating margin with banks is reduced. Financial autonomy (= Equity / Total assets x 100) reaches 22%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 3.8 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 6.7% 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 196.06. 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 14.3x. 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: 260 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 84 days. The gap of 176 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 7 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 203 days of revenue, i.e. 8.5 M€ to permanently finance. Over 2016-2024, WCR increased by +123%, requiring additional financing.

Based on 56 transactions of similar company sales (all years), the value of CSTI INDUSTRIE is estimated at 1 638 408 € (range 1 015 527€ - 3 656 799€). With an EBITDA of 1 356 271€, the sector multiple of 1.0x is applied. The price/revenue ratio is 0.13x (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.
Medium reliability: estimate to be confirmed with in-depth analysis.