DAITO KASEI INDUSTRIES FRANCE : revenue, balance sheet and financial ratios

In 2024, DAITO KASEI INDUSTRIES FRANCE achieves revenue of 5.2 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +11.7%. Vs 2023, growth of +15% (4.5 M€ -> 5.2 M€). After deducting consumption (1.8 M€), gross margin stands at 3.4 M€, i.e. a rate of 66%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 1.3 M€, representing 25.3% of revenue. Positive scissor effect: EBITDA margin improves by +8.4 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 638 k€, i.e. 12.2% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 763%. 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 11%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 7.4 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 19.8% 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 492.31. 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 10.1x. 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: 53 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 35 days. The company must finance 18 days of gap between collections and payments. Inventory turnover is 60 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 104 days of revenue, i.e. 1.5 M€ to permanently finance. Over 2016-2024, WCR increased by +71%, requiring additional financing.

Based on 74 transactions of similar company sales (all years), the value of DAITO KASEI INDUSTRIES FRANCE is estimated at 652 041 € (range 267 700€ - 1 880 799€). With an EBITDA of 1 317 035€, the sector multiple of 0.6x is applied. The price/revenue ratio is 0.11x (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.