DBM TECHNOLOGIES : revenue, balance sheet and financial ratios

In 2024, DBM TECHNOLOGIES achieves revenue of 965 k€. Revenue is growing positively over 8 years (CAGR: +3.4%). Slight decline of -6% vs 2023. After deducting consumption (104 k€), gross margin stands at 862 k€, i.e. a rate of 89%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 12 k€, representing 1.3% of revenue. Warning negative scissor effect: despite revenue change (-6%), EBITDA varies by -68%, reducing margin by 2.4 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 6 k€, i.e. 0.7% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 9%. 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 58%. This high autonomy means the company finances most of its assets through equity, a sign of strength. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 8.3 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 0.5% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 261.51. 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 17.3x. 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: 155 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 61 days. The gap of 94 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 18 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 128 days of revenue, i.e. 343 k€ to permanently finance. Over 2016-2024, WCR increased by +73%, requiring additional financing.

Based on 215 transactions of similar company sales (all years), the value of DBM TECHNOLOGIES is estimated at 54 461 € (range 28 051€ - 117 347€). With an EBITDA of 12 454€, the sector multiple of 1.0x is applied. The price/revenue ratio is 0.16x (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.