ELECTROLERON : revenue, balance sheet and financial ratios

In 2024, ELECTROLERON achieves revenue of 1.4 M€. Activity remains stable over the period (CAGR: -1.4%). Significant drop of -11% vs 2023. After deducting consumption (918 k€), gross margin stands at 524 k€, i.e. a rate of 36%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 56 k€, representing 3.9% of revenue. Warning negative scissor effect: despite revenue change (-11%), EBITDA varies by -72%, reducing margin by 8.5 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 7 k€, i.e. 0.5% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 36%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 57%. 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 4.9 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 1.9% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 281.52. 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 8.7x. 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: 8 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 22 days. Favorable situation: supplier credit is longer than customer credit by 14 days. Inventory turnover is 52 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 50 days of revenue, i.e. 200 k€ to permanently finance. Over 2016-2024, WCR increased by +81%, requiring additional financing.

Based on 109 transactions of similar company sales (all years), the value of ELECTROLERON is estimated at 131 385 € (range 76 554€ - 293 973€). With an EBITDA of 55 974€, the sector multiple of 2.0x is applied. The price/revenue ratio is 0.17x (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.